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Semester 2 2016
Assignment 2 SOLUTIONS
Total marks: 19 + 17 + 15 + 29 + 15 + 4 + 21 + 13 = 133 marks
This assignment is based on the relevant unit material (lectures, tutorial exercises, prescribed reading,
prescribed Problems, etc). We expect that students who have not revised such material before attempting the
assignment will obtain VERY POOR marks (but, at least, they will know why they obtained poor marks).
This solutions document (with marking scheme) for the assignment is fairly comprehensive. Consequently,
the approach to providing feedback to students is not to write extensive comments on individual work,
because the detail is shown in the solutions document. However, if you require additional feedback (after
consulting the solutions document), please contact your tutor.
Square brackets [ ] placed around your work by the marker indicate sections that are not contributing to
your marks tally. This is
(a) a convenience to help the marker in allocating marks
and
(b) an indication to you of what is most relevant to the question that was asked.
(Often, such bracketed responses are correct statements, but do not address the question that was asked.)
Marks were based on the quality of answers, not just on the amount written.
Many marks were lost due to failure to answer the question which was asked, and MANY words were
written that did not answer the questions which were asked.
Marks were not awarded for the mere use of key terms, but for their appropriate use.
Where there are reasonable grounds for believing that plagiarism or collusion has occurred, this will be
reported to the Chief Examiner, who will disallow the work concerned by prohibiting assessment or refer the
matter to the faculty manager.
Graphs, tables, etc should be appropriately and informatively labelled, with chart titles, axis titles, legends,
etc as appropriate.
You have, at your disposal, MUCH, MUCH more computing power than was available to astronauts on the
first moon landing! So, its not unreasonable to ask for calculations accurate to the specified number of
decimal places.
The unit is called Mathematics for Business not Pure Mathematics. So, of course, you will need to
employ your English language skills in reading and in answering the questions. If you did not understand
what the question was asking, then you should have consulted a staff member.
If you still dont know how to do sub/superscripts in Word, you should refer to Tutorial 1.
In an assignment, you can be asked to use software and to do more calculation/graphing/tabulation than you
would be asked to do in an exam. By contrast, an exam focuses more on understanding/explanation of the unit
material. So, if you performed poorly on the assignment tasks which required understanding/explanation, be
aware that you may be poorly prepared for the exam.
(a)
(i)
Ux = 500.5x
0.2
y = 25x
0.5
0.2
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It is sufficient to show only one mixed partial derivative - because they are equal.
(ii)
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So, as x (consumption of good X) increases, U (utility) also increases.
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Marginal utility is not an explanation. It is just a renaming of U x.
Ux: is NOT the rate of change in marginal utility per unit increase in x because a derivative
is based on infinitesimals. (Were not interpreting the slope of a linear equation here.)
If your answer is only expressed algebraically (eg, if y is held constantthe curve is
concave to the origin), then you are failing to provide information to a nonmathematician/economist.
Uxx = -12.5x1.5 y0.2
Holding y (the consumption of good Y) constant,
Uxx is the rate of change in Ux (see above)
in response to an increase in the consumption of good X.
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Uxy = 5x y
(iii)
(b)
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Q = 100L0.5 K0.5
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(i)
(ii)
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L and K > 0 because they are the amounts input of labour and capital.
QL > 0 because L > 0 and K > 0.
So, as L increases, (K being held constant) production function Q increases.
QLL < 0 because L > 0 and K > 0.
So, as L increases (K being held constant), QL decreases.
ie, as L increases (K being held constant), Q increases, but at a decreasing rate.
So, the production function exhibits diminishing returns to labour.
Show your working. (SYW)
Question 2
(a)
(i)
y = -2x + 18x
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[(3+10) + 4 = 17 marks]
2
Shape
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x-axis label
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y-axis label
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Domain includes -5 x 10
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Correct numbers shown on both axes
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(The graph should be smooth, not a succession of line segments.)
(ii)
y = -2x3 + 18x2
y = -6x2 + 36x
y = -12x + 36
1st derivative = 0
y = 0 when -6x2 + 36x = 0,
ie, when 6x(x 6) = 0
x=0
or x = 6.
At x = 0,
y = -2x3 + 18x2
=0
y = -12x + 36
= -12*0 + 36
So, there is a minimum at (0, 0).
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= 36 > 0
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At x = 6,
y = -2x3 + 18x2
= -2*63 + 18*62 = 216
y = -12x + 36
= -12*6 + 36 = -36 < 0
So, there is a maximum at (6, 216).
2nd derivative = 0
y = 0 when -12x + 36 = 0 12x = 36 x = 3.
At x = 3, y = -2x3 + 18x2 = -2*33 + 18*32 = 108.
Check:
at x = 2.95,
y = -12*2.95 + 36 = 0.6
at x = 3.05,
y = -12*3.05 + 36 = -0.6
y changes sign around x = 3.
So, there is a point of inflection at (3, 108).
[Lecture 5 Slide 37 seems to have been invisible to many students.]
[FYI: at a point of inflection, if y 0, then it is a stationary point of inflection.]
(b)
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A
B
So, if we are indeed at an inflection point now - with knowledge of the immediate past movements and
of the mathematical behaviour of graphs which have inflection points - then Julies statement doesnt
make sense because the sign of the slope which pertained prior to the inflection point will continue.
That is, we do have some knowledge of where were going from here continuing down (A) or
continuing up (B). However, the slope (rate of climb/decline) would be unknown.
If Julia used business jargon (eg, Investopedia) and was describing the behaviour of y (q.v.)
[Students do not have to mention this dubious appropriation of mathematical terms.]
An inflection point is an event that results in a significant change in the progress of a sector
and can be considered a turning point after which a dramatic change, with either positive or
negative results, is expected
According to this explanation, an inflection point is a turning point. So, if we are at a turning point now
- with knowledge of the immediate past movements and of the mathematical behaviour of graphs which
have turning points - then Julies statement doesnt make sense because the trend which pertained prior
to the turning point will reverse. That is, we do have some knowledge of where were going from here
changing the trend from up to down or vice versa.
If Julia used standard mathematical concepts and was describing the behaviour of y
At an inflection point on the graph of y, there is a turning point in the graph of y.
So, maybe Julie was referring to being, for example, at a point where
* the slope of y (rate of increase over time)
became steeper and then declined - although
retaining its sign (depicted here for another
example of an inflection point different
from A and B above).
* the slope of y (rate of decrease over time)
became larger and then declined - although
retaining its sign.
Statements like the stock market changed its concavity (meaning?) didnt earn marks.
At a point of inflection, the curvature doesnt change sign: y changes sign.
(a)
(i)
dy/dt = 100e0.05t
(dy/dt)dt
= 100e0.05t dt
dy
= 100e0.05t dt
/1
= 100e0.05t dt
/1
= 100(1/0.05)e0.05t
/1
+c
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= 2,000 e0.05t + c
(ii)
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y = 2,000 e0.05t + c
y = 200 when t = 0
200 = 2,000e0.050 + c
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200 = 2,000e0 + c
(b)
(i)
200 = 2,000 + c
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c = -1,800
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dy/dx = xy
Separate the variables.
dy(1/y) = x dx
/1
ln|y|
/1
= x2/2
/1
+c
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eln|y| = e 0.5x + c
/1
2
y = e 0.5x ec
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(ii)
y=
Ae 0.5x , where A = ec
y=
Ae 0.5x
/0.5
y = 1 when x = 1
1=
Ae 0.51
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A = e-0.5
= Ae0.5
/1
or
y = e 0.5x 0.5
or
y = e-0.5 e 0.5x
2
y = e 0.5( x 1)
or
y = (1/e) e 0.5 x
y = 0.6065 e 0.5x
or
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To find an optimum:-
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x=y
20x 100x + 800 = 0
80x = 800, x = 10 = y
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Now, use the 2nd derivatives to determine if the point where x = y = 10 is a local maximum, local
minimum, stationary point of inflection or a saddle point.
= TRxxTRyy (TRxy)2
TRxx = d/dx(TRx)
= -20
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TRyy = d/dy(TRy)
= -100
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TRxy = d/dx(TRy)
= 20
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2
= (-20)(-100) 20 = 1,600.
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TRxx < 0, TRyy < 0 and > 0.
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So, there is a maximum point when x = y = 10.
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(ii)
(b)
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Set the 1st derivatives = 0. [BTW, much easier to solve via matrices.]
0 = -20x + 20y - 2
(1)
0 = 20x 100y 4 + 800
(2)
0 = 2x 4y + 44.5
(3)
40x + 40y 4 = 0
60x 140y + 800 = 0
(4) = 2 (1)
(5) = (2) (4)
eliminated.
(5)
(6) = 30 (3)
(5) + (6)
x eliminated.
260y = 2,135
y = 8.211538 (Store in calculator memory.)
y calculated.
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x calculated.
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Answer:
5.8269 units of X;
8.2115 units of Y.
A matrix solution is OK if details are shown.
Answers must be correct to 4 decimal places.
(iii)
(iv)
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0 = -20x + 20y - 2
(1)
2 = -20(x y)
= -10(x y)
x = 5.82692 and y = 8.211538
= 23.8462
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Evaluate TR
Change the TR constraint by $1 from 44.5 to 45.5.
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[ ]
[ ]
Let A =
a 0 0
b c 0
d e f
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det
=a
a 0 0
b c 0
d e f
| |
c 0
e f
-0
| |
b
d
0
f
+0
| |
b
d
c
e
/1
= acf e 0 0 + 0
= acf
= the product of the diagonal terms of A.
NB, showing this for a numerical example is NOT showing it in general: 0 marks.
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(b)
(ii)
(iii)
AB
L2:S9
=MMULT(A,B)
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trace(AB)
L11
=L2+M3+N4+O5+P6+Q7+R8+S9
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BA
L13:Q18
=MMULT(B,A)
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det(BA)
L20
=MDETERM(L13:Q18)
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BA and det(BA)
BA: 68 86 66.
(iv)
A2 and det(A2)
Because A is not square (86), AA is not conformable. So, A2 doesnt exist.
Therefore, det(A2) cannot be calculated.
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(v)
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trace(AAT)
L40
=L31+M32+N33+O34+P35+Q36+R37+S38
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(c)
[4 marks]
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Individual sales (number of units) for Alpha, Beta, Gamma and Others
April
SA (43 31 41)
970, 550, 185, 195, respectively.
=MMULT(S,A)
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SM (43 31 41)
940, 500, 175, 185, respectively.
=MMULT(S,B)
May
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[6 + (3+9+3) = 21 marks]
y = (x2 x + 5)/(2x + 3)
Obtain dy/dx
Let u = x2 x + 5 and let v = 2x + 3
dy/dx = (vdu/dx udv/dx)/v2
du/dx = 2x - 1
dv/dx = 2
dy/dx = [(2x + 3)(2x 1) - 2(x2 x + 5)]/(2x + 3)2
= [1/(2x + 3)2][4x2 + 4x - 3 (2x2 - 2x + 10)]
= [1/(2x + 3)2][4x2 + 4x - 3 2x2 + 2x - 10)]
= (2x2 + 6x 13)/(2x + 3)2
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dy/dx = 0
when 2x2 + 6x 13 = 0.
2x2 + 6x 13 = 0 when x = (-6 140)/4 = (-3 35)/2
(b)
Answer:
or
(i)
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(ii)
Shape
x-axis label
y-axis label
domain includes -1.4 x 2
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Are there any turning points or points of inflection in the graph in (b)(i)?
For -1.4 < x < 2, dy/dx = 0 when x = 1.4580399
To check whether the graph has minimum, maximum or inflection points, obtain y.
Obtain d2y/dx2
y = (2x2 + 6x 13)/(2x + 3)2
Let u = 2x2 + 6x 13 and let v = (2x + 3)2
dy/dx = (vdu/dx udv/dx)/v2 (Quotient Rule)
du/dx = 4x + 6 = 2(2x + 3)
dv/dx = 2(2x + 3)2 = 4(2x + 3)
dy/dx = [(2x + 3)22(2x + 3) - (2x2 + 6x 13)4(2x + 3)] / (2x + 3)4
= [2(2x + 3)2 - 4(2x2 + 6x 13)] / (2x + 3)3
= [2(4x2 + 12x + 9) (8x2 + 24x - 52)] / (2x + 3)3
= [8x2 + 24x + 18 8x2 - 24x + 52] / (2x + 3)3
= 70/(2x + 3)3
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At x = 1.4580399,
y = (x2 x + 5)/(2x + 3)
= (1.45803992 - 1.4580399+ 5)/(21.4580399 + 3)
= 0.9580
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y = 0 (exactly)
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(iii)
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(i)
(ii)
(iii)
[(2+3+5) + 3 = 13 marks]
(1 x)x dx
= (x1/2 x3/2) dx
= x1/2 dx x3/2 dx
= (2/3) x3/2 (2/5)x5/2 + c
(x3 + 5x2 4)/x2 dx
= (x + 5 4x-2) dx
= (1/2)x2 + 5x + 4x-1 + c
3x(1 2x2) dx
Let u = 1 2x2
du/dx = -4x, dx = du/(-4x)
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x0
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3x(1 2x2) dx
(b)
= 3xu du/-4x
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= -(3/4)u du
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= -(3/4)(2/3)u3/2 + c
/1.5
= -0.5(1 2x2)3/2 + c
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Spelling lesson
o 1 minimum, 2 minima. 1 maximum, 2 maxima.
o slope not slop.
o point of inflection not infection.
o trace spells trace; transpose spells transpose. (Many people confused these terms.)
o sloping not slopping.
o linear not liner.
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