BC190402760

ECO406 Assignment 2
Fall 2020
Question No.1:
A linear function is one in which the power of an independent variable is
equal to one. Given below is an example of linear function showing the
Relationship between demand and price.
P 550 225

Q 100 150

Derive the linear equation of demand function from the following table.
Solution:
P1=550 , Q1=100
P2=225 , Q2=150
Q-Q1=Q2-Q1/P2-P1 (P-P1)
Q-100= 150-100/225-550 (P-550)
Q-100=50/-325 (P-550)
-325(Q-100) = 50(P-550)
-325Q+32500 =50P – 27500
-325Q= 50P-27500-32500
-325Q= 50P – 60000
Q= -0.154P+184.62
Q=184.62-0.154P
Question No.2:

Solve the following equations using the substitution method and find the
values of unknown.

6x – 2y = 12

– 8x + 4y = –16
Solution:
6x – 2y = 12 (1st equation)
– 8x + 4y = –16 (2nd equation)
Solve 1st eq. for y,
6x – 2y = 12 “÷”by “2” we get
3x-y=6
-y=-3x+6
y=3x-6 (Multiply both sides by -1)
Substitute this value for y in 2nd eq.
– 8x + 4y = –16
-8x+4(3x-6) = -16

-8x+12x-24=-16
-8x+12x=24-16
4x=8
X=2
Substitute x=2 into the 1st eq. solved for y
y=3x-6
= 3(2)-6
=0
Our computation has produced the point (2, 0).
Check the point in the original equations.
1st equation,
6x – 2y = 12
6(2)-2(0) =12
12 = 12 true
2nd equation,
– 8x + 4y = –16
-8(2) +4(0) =-16
-16 = -16 true
Question No.3:

Solve the following equation by factorizing method and find the values of
X.
2X2-X-15=0
Solution:

We have to solve f(x) =2X2-X-15 by factorizing method.

Now we see that -1 can be written as 5-6=-1. Here 5*-6=-30

f (x)= 2X2-X-15=0

2X2-6X+5X-15=0
2X(X-3) +5(X-3) =0
(2X+5) (X-3) =0
For 2X+5=0
X=-5/2
And for X-3=0
X=3
Therefore X= (-5/2, 3).