The Stock Exchange and Calculus

Applications of Derivatives in real life

Prepared and Presented by: Jomega Ningi, Anania Douglas, Vennessa , Joseph Garap, Ronald Membup
 Contents
 Introduction
 Pictures of Stock Fluctuations
 Model Question Derivation Process
 Conclusion
 References
Pictures of Stock Graphs
How can we predict the graphs path?
Model Equation Derivative Process
 From the original equation, we can equate t=x and derive two formulas.

First Derivative

Second Derivative
Model Equation Derivative Process
(cont)
 Find where the two derivatives are equal to 0.
 From the first derivative, notice that it is equal to 0 when x = 0, or x = 2/3.
 First derivative test.
Max = 2/3

-∞ , 0 0 , 2/3 2/3 , +∞
-1 1/2 +1
-25,106.9 13.95 -12.477
- + -
Model Equation Derivative Process (cont
 Second Derivative is equal to 0, when x =.
 Second Derivative Test

-∞ , 0.2 0.2 , 1.14 1.14 , +∞

0 1 2
IP = Sell remaining
stocks
500 -12.45 8.65

Time to buy
     
Model Equation Derivative Process (cont
Time to sell

16 %
14

12

10
Sell remaining stocks
8

6 Time to buy
4

0
0 0.2 0.4 0.6 0.8 1 1.2 1.4 1.6 1.8 2 2.2