FM 38176 - Trin The Aesiqnmment ' Question | U(x) = [ «* KO ACK" x <0 Given: R= O93 , A= Bw > Uk): } er ee -2(-x) x 60 -0.1 Whe) = fone 1 Xe? -1@(-x) «x ¢6 Whe 2 6.4" ' > O ¥ x 20, 50 the Function Uk) is increasing ( but at & decreasing Pate > Ue) = hw <0, ce the functlo, Ulx> is decreasing Cat an increnting rate ) 2) whe) = f-2.09) x 20 01 (=x) x <0 for x20, WEI <0, 50 the function U(x) tS Concave for x 0, Se the Functimn Ulv) is convexQuestion 2 D Flay) ext tx? by + 3,2 fys kx + by fy =O » ~bx thy =o G 6x =-by aK =y fe WP 4 te - by fro 5 Ux* + Xx by =o Sub x zy SYK? +t Ax - by ze Ux? Hx =O @ Uxlx?- 1.20 dS x0, x ot) > =0,y =i! Critlead foints are (9,0), (1,12, Gl,-1) ex = ext t & fey = 76 fy = & > Dz lix By Fey Fry & fax fyy - (fy) = (iee*¥ap(6) - (-6)? = Wx t 1d - BC > At pei: (0,0) 3 D = 72(0)*+ 12-36= -£4<0 J. (0,0) is a neither a docad max/min, put is a Saddle print | D> At point (1,1) 5 O= F201)? + 12-36 = 4€>56 fees ett 2 2 1210742 = 1430 D>0, fx >O fe 0 ts 4 deal min D> At point (0-1) De 72l-1)* + 12-3 = 4@>0 fx = A(-10"+ 2214 50 1) is adso 2) flay) = Ki bey 4 2y 7b lOe Fy“ F ker we -by ye fy co d fx by tloz Oo Co fy = -6x t+4% +2 fy = O53 ~bx t4y t+ 2 =O (a) 3xCID + (4A) = bx- hy +30 lg bay Fh -Wy - 32 =O 7oe 14 “yy OD ax- 60'%3) +10 =e aK = (Ly “x= Fxx = & z Fry 2-6 De Fexfy, - Fey . fy = 4 = (a4) - (6) = €- = -Z4<0 Since DSO, the Function has a sade point at (#, 3 3) Fly D2 xy? t xy - Ky fee ye 4 3x%y -» lt fx2 OD y (y + 3Bx?-; ) =? SysO, yt 3x*-] =O () Fy = dxy + x*% -x lt fy= o Sd x(ly tx®-1) =o > «co , Ly tx7-1 =P CK HY Sub /x =9 into (K) 5 y + 3(0)?-1 =0 Gz Sud G2ine lax) > er z12400 - (K*) = dy + bx - Zz ~ly + x? W/ Sub x= 1 into (a) = gE! yD ¥ ys Sub X= -! into Cx ) DD 7 ve IN J. The Griticad points are (0,0) (o,1) (-1,0), £1,9) (451 4%), Che» 2 ) CassiFy ing : fxx = Sky > Leading coeff of Hessian Deteriminant fxy = dt 3x7-] Foy = 2x > at (0,6) > fxx = 0 L atryy = “lat yy ey > De fee: Fyy - Fry! = (e)(0) -(-1)* = -1 ¢ fxx = @ fry = 20) +36 -1= 2 Frys £G0 2-2 5 0. 0(-22- (a)?= - 4 O fxy = L(%6) t3(ME) =I = Wet Heo!= ae frye £(Vfe) = WF 50: (%ml%Ms)- (4%e)* 24 4 ~ 2 >0 ~ a BF ae The pant ( Mes Ye) is a Local wain > at Che) te?» fee (Ke \%*) = 2 fee 2. 450 aT s i The peint (“wes =) is a fecal Max UW Flx,y) = 3x44 3x?y - y 3 Fe 12x? t be vt f& =o SH xt they =o & xCRx*ibyI2O & «=e of (2x? +t by =O ( &) fy = 3x? - 3y2 z 0 wfs0S 3x%- 3y ;xo FY a Kat Sub X= y ine (PD 5 Rx? 1 by aD @® x(itx +£)20 6s x =9,x2 fz -! (2 z Dd Xe F then y = 2 Sub ka-y into (A) S Ie? - bx =9 S X= Y2 Drs h The eritical peints are (0,0) CY21 V2) (Ye, V2) Classify ing : fx = 36x74 by fey = Cx fy = ~by Sat COP, De Fixx Fy - Fey ? = @)lod- 6 = 0 Since H=0, it’s neither a tecod max or min ot peini Co, 0) eens Sat (Ye, D2 FexcPyy - fey? ;= (E03) > 3)7 = 1-G9= 5>8 Since HD O and fex=G>O, poine (72,7) Bs a decal min 3S at (%2,7'4, > be. 9>0 qx = 620 \ Since HO, Fixx >O, we comedude that point (yp, 72) is alse 2 decal min Question, 3 0D Fle, y) = xt x2 - oxy + By? Critical points : We in (0,9) + saddle point cal label Mor 1,10 + hocak min QV Me alee wey (1-1): Lacad min Now we want te Find global min /mnax , we need to check boundaries (in this case is K-31 ,y >t) and the ¢riticad pointslet x >to a Flx,y) >t” When x > - y Ffi,y) > +0 At the extreme values, the Function tecok FC x,y) approaches thet our miniomas ( peints C1) and CU-1)) will alse be the global minima (given there’s no change af concavity between the points and to /- 00 ) FOO meanin 2flyy>-= xtobxy t by lox tr 2y - Critical points: ( "ns , yy )2kddle point litx P+OQ,y 2 to BS flay) 24 Xx %-&, yrx- let S Flx, y) > fo let x > +o, y>- 0 Cand vice versa) dy Flex y) >t > bisa Four Since we oly bwe a Saddde print as cur eriticad pore » there is no gt-bal mo Nor globat min. And the Function = +%3) Fly)Qmestion el Maximize UlCx,y? = Lx, Sabject to Xt Zy = loo ly xt2y -100 = 9 ve We have the Lagrangian LU Cx,y, 222 UGayr- AO... Dd «txt *- alee 2y~100) Se oder partial der ee yn, =O Az yz ax ay. xt ae % xt Z —= x - Qa 204 az ~ 2 @Or2e ay 4 BLL. (x + 2y- ood = 0 @xe 4y aa Sxt2y-100 20 (XK) Sab xe Uy Sate GES tty -log =O 6) Cy 2100 Sy = We, c 3 5 x+ 4%) -100 =? then x = 220 3 The optioned commedity bundle is (S07, ,*22.) Fer Ux, yD