CHAPTER 5

TEST

Let D1x2  1x  722 be the price, in dollars per unit, that
consumers are willing to pay for x units of an item, and let
S1x2  x 2  x  4 be the price, in dollars per unit, that
producers are willing to accept for x units. Find:
1. The equilibrium point
2. The consumer surplus at the equilibrium point
3. The producer surplus at the equilibrium point
4. Business: future value. Find the future value of $12,000
invested for 10 yr at an annual percentage rate of 4.1%,
compounded continuously.
5. Business: future value of a continuous income stream.
Find the accumulated future value of $8000 per year,
at an interest rate of 4.88%, compounded continuously,
for 6 yr.
6. Physical science: demand for potash. In 2004 1t = 02,
the world production of potash was approximately 49.9
million metric tons, and demand was increasing at the rate
of 9.9% a year. (Source: U.S. Energy Information Adminis-
tration.) If the demand continues to grow at this rate, how
much potash will be produced from 2004 to 2016?
7. Physical science: depletion of potash. See Exercise 6.
The world reserves of potash in 2004 were approximately
8300 million metric tons. (Source: U.S. Geological
Survey.) Assuming the demand for potash continues to
grow at the rate of 9.9% per year and no new reserves are
discovered, when will the world reserves be depleted?
8. Business: accumulated present value of a continuous
income stream. Bruce Kent wants to have $25,000 in
5 yr for a down payment on a house. Find the amount
he needs to save, at R 1t2 dollars per year, at 6.125%,
compounded continuously, to achieve the desired future
value.
9. Business: contract buyout. Guy Laplace signs a 6-yr
contract to play professional hockey at a salary of
$475,000 per year. After 2 yr, his team offers to buy out
the remainder of his contract. What is the least amount
Guy should accept, if the going interest rate is 7.1%,
compounded continuously?
13. Find k such that f 1x2 = kx 3 is a probability density func-
tion over the interval 30, 24. Then write the probability
density function.
14. Business: times of telephone calls. A telephone
company determines that the length of a phone call,
t, in minutes, is an exponentially distributed random
variable with probability density function
f 1t2 = 2e -2t, 0 … t 6 q .
Find the probability that a phone call will last no more
than 3 min.
Given the probability density function f 1x2  14 x over 71, 38,
find each of the following.
15. E 1x2 16. E 1x 22
17. The mean 18. The variance
19. The standard deviation
20. The percentile corresponding to x = 2
Let x be a continuous random variable with a standard normal
distribution. Using Table A, find each of the following.
21. P10 … x … 1.32 22. P1- 2.31 … x … - 1.052
23. P1- 1.61 … x … 1.762
24. The price per pound p of wild salmon at various stores in
a certain city is normally distributed with mean m = $12
and standard deviation s = $2.50. What is the probabil-
ity that the price at a randomly selected store is at least
$13.25 per pound?
25. Business: price distribution. If the price per pound p of
wild salmon is normally distributed with mean m = $12
and standard deviation s = $2.50, what is the lowest
price in the top 15% of salmon prices?
Find the volume generated by rotating about the x-axis the
regions bounded by the following.
1
26. y = , x = 1, x = 5
2x
27. y = 22 + x, x = 0, x = 1

10. Business: future value of a noncontinuous income Solve each differential equation.
stream. Stan signs a contract that will pay him an dy dy
income given by R 1t2 = 100,000 + 10,000t, where t is
9
28. = 8x 7y 29. =
dx dx y
in years and 0 … t … 8. If he invests this money at 5%,
compounded continuously, what is the future value of dy
the income stream? 30. = 6y; y = 11 when t = 0
dt
Determine whether each improper integral is convergent or
divergent, and calculate its value if it is convergent. dv
q q
31. y¿ = 5x 2 - x 2y 32. = 2v -3
dx 4 dt
11. 12. dx
L1 x 5
L0 1 + 3x 33. y¿ = 4y + xy

Chapter 5 Test 543

544 CHAPTER 5 • Applications of Integration

34. Economics: elasticity. Find the demand function SYNTHESIS

q = D1x2, given the elasticity condition
36. The function f 1x2 = x 3 is a probability density function
E 1x2 = 4 for all x 7 0. over the interval 30, b4. What is b?
35. Business: stock growth. The growth rate of Fabric Indus- 37. Determine whether the following improper integral is
tries stock, in dollars per month, can be modeled by convergent or divergent, and calculate its value if it is
dV convergent:
= k1L - V2, 0
dt
x 3e -x dx.
4

where V is the value of a share, in dollars, after t months; L- q

L = $36, the limiting value of the stock; k is a constant;
and V 102 = 0.
TECHNOLOGY CONNECTION
a) Write the solution V 1t2 in terms of L and k.
b) If V 162 = 18, determine k to the nearest hundredth. 38. Approximate the integral
c) Rewrite V 1t2 in terms of t and k using the value of k q
1
found in part (b). dx.
d) Use the equation in part (c) to find V 1122, the value L- q 1 + x 2
of the stock after 12 months.
e) In how many months will the value be $30?