MAZOON COLLEGE

Assignment
AY 2023-2024, Semester 1 (fall)

Course Name Business-Calculus

Course Code Maths-12

Instructor Name Adil Ali Khan

Semester AY2022/2023 Semester 1 (Fall)

Student Name

Student ID

Assignment Task

Question No 1

The manager of a company chain has studied the supply and demand for bottles of
water. He has noticed that the demand increases as the price decrease. He has
determined that the quantity (in thousands) demanded weekly, q, and the price (in
dollars) per bottle, p, are related by the linear function
p = 3 − 0.25q = D(q)
Here D is the demand function.
 a) Determine the quantity demanded at $3.00 and $1.50 per bottle, respectively.
Solution
Given that
D ( q )=3−0.25 q= p
1st set p=3
D ( q )=3−0.25 q=3
3−3=0.25 q
0.25 q=0
q=0
Hence the amount requested at the price of 3.00 per bottle is 0 thousands bottles.

D ( q )=3−0.25 q= p
2nd set p=1.50
D ( q )=3−0.25 q=1.50
3−1.50=0.25 q
0.25 q=1.50
1.50
q=
0.25
q=6

Therefore 6000 bottles are required at a cost of 1.50 each bottle.

The manager also observed that as the price dropped, fewer water bottles were
provided. The linear relationship between price (p) and supply (q) is given by p =
0.25q = S(q).
Here S is the supply function.

b) Determine the amount supplied at $3.00 for each watermelon and $1.50 for
each bottle. Solution
S ( q )=0.25 q= p
st
1 set p=3
S ( q )=0.25 q=3
0.25 q=3
3
q=
0.25
q=12
Hence 12 thousands are given at a cost of 3 each
2nd set p=1.50
S ( q )=0.25 q=1.50
0.25 q=1.50
1.50
q=
0.25
q=6

Therefore 6000 bottles are required at a cost of 1.50 each bottle.

c) Graph both the functions on the same axes.

Question no 2
2

If f (x)=7 x +2 x .
a) Find all the values of x such that f(x) = 343.
Solution
2

f (x)=7 x +2 x .
2

7 x +2 x =343
2

7 x +2 x =7 3
2
x + 2 x=3

x ( x +2 ) =3

x=3∨( x+ 2 )=3

x=3∨x=3−2
x=3∨x=1

.
b) Suppose $10,000 is invested at an annual interest rate of 4%. Compute the balance
after 15 years if the interest is compounded
a. Quarterly b. Monthly c. semi-annually d. continuously
Solution

( )
nt
r
F . V =P 1+
n
P is the main amount, r is the rate, t is the duration, and n is the number of times it is
compounded.
Given data
P=10000
r =4 %
t=15 years
 For quarterly n=4

( )
4 ×15
0.04
F . V =10000 1+
4

60
F . V =10000 ( 1+0.01 )
60
F . V =10000 ( 1.01 )
F . V =18166.967

 For monthly n=12

( )
12 ×15
0.04
F . V =10000 1+
12

180
F . V =10000 ( 1+0.0034 )
180
F . V =10000 ( 1.0034 )

F . V =18422.0266

 For semi-annually n=6

( )
6 × 15
0.04
F . V =10000 1+
6

90
F . V =10000 ( 1+0.0067 )
90
F . V =10000 ( 1.0067 )

F . V =18239.2164

 For continuously
Formula for continuous
rt
F . V =P e
 0.04 × 15
F . V =10000 e
0.6
F . V =10000 e

F . V =18221.188

Question no 3
Suppose we take a trip from Muscat driving south. Every half-hour we note how far we
have travelled with the following results from first three hours. Find the average speed
between all-time intervals

Distance Travelled

Time in hours 0 0.5 1 1.5 2 2.5 3

Distance in miles 0 60 110 160 208 248 76

Solution
Here we have 6 total interval
Formula of average speed in time interval is
distance
average speed=
time
d 2−d 1
average speed=
t 2−t 1
1st interval is (0, 0.5)
60−0
average speed=
0.5−0
average speed=120

2nd interval is (0.5, 1)

110−60
average speed=
1−0.5

50
average speed=
0.5

average speed=100
3rd interval is (1, 1.5)
160−110
average speed=
1.5−1
 50
average speed=
0.5

average speed=100
4th interval is (1.5, 2)
208−160
average speed=
2−1.5

48
average speed=
0.5

average speed=96
th
5 interval is (2, 2.5)
248−208
average speed=
2.5−2

40
average speed=
0.5

average speed=80
th
6 interval is (2.5, 3)
76−248
average speed=
3−2.5

−172
average speed=
0.5

average speed=−344
Since speed never be negative hence I think there is mistake in given question if we chose
it 276

6th interval is (2.5, 3)

276−248
average speed=
3−2.5

28
average speed=
0.5

average speed=56
Question No 4
a) Suppose a short run total cost function is given by an equation
TC = 2Q3− 8Q2 +20Q+150.
Find the marginal cost and interpret it.
Solution
Marginal cost is derivative of total cost function with respect to parameter Q
3 2
TC=2 Q −8 Q +20 Q+150
3 2
dTC d (2 Q −8 Q +20 Q+150)
Marginal cost ¿ =
dQ dQ
By applying power rule of derivative
n
dx n−1
=n x
dx
3 2
dQ dQ dQ d 150
M C=2 −8 +20 +
dQ dQ dQ dQ
2
M C=2.3Q −8.2 .Q+20
2
M C=6Q −16 Q+20
Marginal cost is the additional level of cost incurred to produce additional level of output
To produce and additional unit of output producer incurs a cost 6 Q2−16 Q+20

b) A smart phone manufacturer knows that the cost of producing x phones is given by
2
C ( x )=8 x +34 x +2500

Calculate the marginal cost and what the relation between total cost and marginal cost is?
Similarly in part a Marginal cost is derivative of total cost function with respect to
parameter x
2
dC d (8 x +34 x +2500)
Marginal cost ¿ =
dx dx
2
dx dx d 2500
M C=8 +34 +
dx dx dx
M C=8.2. x +34
M C=16 x +34

The difference in cost incurred by manufacturing an extra unit is represented by the

marginal cost, which is the connection between total cost (TC) and marginal cost (MC).
The total cost, expressed mathematically, is the sum of the marginal costs throughout the
course of time.
 References

1. (No date) Chapter 4 handout. Available at:

https://math.iupui.edu/~momran/m119/old/ch4h.htm (Accessed: 22 November 2023).
2. (No date a) Indices_and_logarithms. Available at:
https://amsi.org.au/teacher_modules/Indices_and_logarithms.html (Accessed: 22 November
2023)
3. Log in (no date) Login - OnCourse Systems For Education. Available at:
https://app.oncoursesystems.com/account/login (Accessed: 22 November 2023).
4. Average speed formula: How to find average speed (video) (no date) Khan Academy.
Available at: https://www.khanacademy.org/math/7th-grade-foundations-engageny/7th-m1-
engage-ny-foundations/7th-m1-tc-foundations/v/usain-bolt-s-average-speed (Accessed: 22
November 2023).
5. (No date a) Examples of cost function - Iowa State University. Available at:
https://www2.econ.iastate.edu/faculty/langinier/documents/examplecost.pdf (Accessed: 22
November 2023).