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The simplest function to use is the linear function y = mx + b to get the equations for Jan ,Feb and March

for Jan we have points (1,10) and (31,12)

for Feb we have points (1,12) and (28,9)

for Mar we have points (1,9) and (31,15)

slope (m) = (y2-y1)/(x2-x1)


slope of Jan = (12-10)/(31-1) = 2/30 =1/15

slope of Feb = (9-12)/(28-1) = -3/27 = -1/9

slope of mar = (15-9)/(31-1) = 6/30 =1/5

equation of line for Jan is y=(x/15)+b


use first Jan point
10=(1/15)+b , b=9.93
JAN line formula y = (x/15)+9.93

equation of line for Feb is y=(-x/9)+b


use first Feb point
12=(-1/9)+b , b =12.11
Feb line formula y=(-x/9)+12.11

equation of line for march is y=(x/5)+b


9=(1/5)+b , b= 8.8
march line formula y = (x/5)+8.8

Increase and Decrease in stock price by month:


January: $10 -> $12 = increase by $2
February: $12 -> $9 = decrease by $3
March: $9 -> $15 = increase by $6
No it is not a straight line as stock price increased in January, then decreased in February and then
increased in March.
It is clear that in each of the three time intervals mentioned there was a complex daily variation of prices
as in an electrocardiogram. But what would be a simplified solution for a first naive view of the situation?
The simplified solution would be to select starting point in graph at (0, 10) and end point at (90, 15)
where x is the number of days and y is the profit from $10 to $15.
Would a simple function hold up?
It is possible to evaluate slope of the function within specific period using a simple function as shown
above
A naïve initial and simplified model may allow us to predict the behavior of the stock in the next month,
but it may not be accurate. It is important to consider other factors that may affect the stock price, such as
market trends, news, and company performance.

How can I use three “pieces” of lines to describe the price movements from the beginning of January to
the end of March? Show the graph for the price movement.
Now that we have the equations we can present it as a piecewise function to create graphs

y = (x/15)+9.93 { 0 ≤ x ≤ 31}

y=(-x/9)+12.11 { 31 ≤ x ≤59}

y = (x/5)+8.8 {59≤ x ≤90}

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