MATH 015 Foundations Mathematics A

Lecture 12 Ex. 2.3

2.3 BUSINESS APPLICATIONS OF QUADRATIC FUNCTIONS

Supply, Demand, and Market Equilibrium

Question 1

p q 2 100
If the supply function for a commodity is given by
p 20q 2500
, find the point of market equilibrium.

and the demand is given by

Break-even Points
Question 2
Suppose that in a monopoly market the total cost per week of producing a high-tech product
C 3600 100 x 2 x 2

is given by
and the total revenue function is given by
Find the number of units that will give the break-even point for the product.

R 500 x 2 x 2

Question 3

P x 1100 120 x x 2
Given that
and limitations on space require that production is less
than 100 units, find the break-even points.

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Maximization
Question 4

R x 1600 x x 2
Find the maximum revenue for the revenue function

Question 5

C x 3600 100 x 2 x 2
For the total cost function

R x 500 x 2 x

and the total revenue function

, find the number of units that maximizes profit and find the maximum
profit.

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HOMEWORK QUESTIONS

Exercis
e
2.3

Page #
151

Questions
2, 4, 6, 8, 10, 12, 18, 26, 28, 30, 32

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