MJNV1W03 – Business Mathematics

Class Branding 1A

Session 4
September 27, 2019
 Content
Non-linear Functions & Applications
• Solving quadratic equations and sketch the graph
• Non-linear Demand and Supply Functions
• Total Revenue for a Revenue-maximizing
• Break-even point
• Cubic functions
• Polynomials
• Exponential functions
• Logarithmic functions
• Hyperbolic functions
 Solving quadratic equations

 b  (b ) 2
 4(a)(c)
For ax  bx  c  0, we have x 
2

2(a)
example
(i) x  6x  5  0
2
(ii) x 2  6 x  9  0
( x  1)( x  5)  0 ( x  3)( x  3)  0
x  1 and x  5 x  3 and x  3

(iii) x 2  6 x  10  0 , x = ?
 6  36  4(1)(10)  6   4  6  2  1  6  2i
x     3  i
2(1) 2 2 2
 Graph of a Quadratic Equation (1)
Ex. Equation (i)
Case 1 : Different real roots
y = x2 + 6x + 5
y
14
x y
Remember,
12
-7 12 10

-6 5
8
6
root = value of x
-5 0 4
2
when y = 0
-4 -3 0 x
-3 -4 -8 -7 -6 -5 -4 -3 -2 -1 -2 0 1 2

-4
-2 -3 -6
-1 0 When a > 0 (in ax2 + bx + c) then
0 5 x coordinate of y min = (root1+root2)/2
1 12 in this example, = (-5-1)/2 = -3
so, y min = (-3)2 + 6(-3)+5=-4
 Graph of a Quadratic Equation (2)
y = x2 + 6x + 9 Case 2 : Repeated real roots

x y y
18
-7 16 16
-6 9 14

-5 4 12

-4 1 10
8
-3 0 6
-2 1 4

-1 4 2

0 9 -8 -7 -6 -5 -4 -3 -2 -1
0
0 1 2
x
1 16
 Graph of a Quadratic Equation (3)
y = x2 + 6x + 10 Case 3 : Imaginary roots

x y y
18

-7 17 16
14
-6 10
12
-5 5 10
-4 2 8

-3 1 6
4
-2 2 2
-1 5 0 x
-8 -7 -6 -5 -4 -3 -2 -1 0 1 2
0 10
1 17 y never reach zero!!
 Non-linear Demand and Supply Functions
Given: Ps = Pd
Ps = Q2+6Q+9 Q2+6Q+9 = Q2-10Q+25
Pd = Q2-10Q+25 16Q =16  Q=1
So, P=Q2+6Q+9 = 1+6+9=16
Calculate Pe & Qe  Pe=16 and Qe=1
Sketch the graph with Q = 0 to Q = 5
(Pe, Qe)
Q Ps Pd 70

60
0 9 25
50
1 16 16 40
Price

2 25 9 30
Supply
Demand
3 36 4 20

4 49 1 10

5 64 0 0
0 1 2 3 4 5 6
Quantity
 Total Revenue for a Revenue-maximizing

Given a demand function: P =50-2Q

a) Write the equation of total revenue function

b) Graph the total revenue function for 0≤Q ≤30
c) Estimate the value Q at which TR is maximum and TR max

Study Worked Example 4.8

Total Revenue for a Revenue-maximizing
Total Revenue for a Revenue-maximizing
 Break-even & Profit

Break – Even Point:

Total Revenue = Total Cost

Profit ():

 = Total Revenue - Total Cost

Study Worked Example 4.9

 Break-even & Profit

Study Worked Example 4.9

Break-even & Profit
Break-even & Profit
 Cubic Functions
General form :
Cubic equation will have :
ax3 + bx2 + cx + d = 0  No turning points or two
turning points
No turning points  Either 1 root or 3 roots
30

120 y = 0.5x 3 - 5x 2 + 8.5x + 27

y = x3
20
Turning 80
10 point 1 40
y

0
0
y

-4 -3 -2 -1 0 1 2 3 4
-12 -10 -8 -6 -4 -2 0 2 4 6 8 10 12
-10 -40

-80
-20 y = -x 3
Turning point 2
-120
-30
x
x

Two turning points

 Cubic Functions
Cubic equation will have :
120 y = 0.5x 3 - 5x 2 + 8.5x + 27

 No turning points or 80

two turning points 40

 Either 1 root or 3 roots 0

y
-12 -10 -8 -6 -4 -2 0 2 4 6 8 10 12
-40

30
-80
1 roots
20 1 roots y=x 3

-120

x
10
120
3 roots 100
y

0
80 3 2
-4 -3 -2 -1 0 1 2 3 4
60 y = -0.5x - 5x + 8.5x + 27
-10 40
20
y

0
-20 y = -x 3
-12 -10 -8 -6 -4 -2-20 0 2 4 6 8 10 12
-40
-30
-60
x -80
-100
Study Worked Example 4.11 -120
x
Study Worked Example 4.11
Cubic Functions

a
Cubic Functions
Cubic Functions
 Polynomials
General form

n 1 n2
f ( x)  an x  an 1 x
n
 an  2 x  ...  a1 x  a0

a0, a1 , … an are constants

Degree 2 polynomial  quadratic

Degree 3 polynomial  cubic
 Exponential Function
base

General form : y=ax Index or power

Rules for using exponential functions

mn
a 1
0
a m
a a
n

a a  a
m n mn
a  m n
a mn

e = euler’s number = 2.71828182

 Application of Exponential Function
Unlimited growth: Population Growth
– Worked Example 4.15 (page 180)
P=753e0.03t Study Worked Example 4.15
t=year-1980, P=the number of persons in the population at time

Limited Growth: Consumption and changes in income

– Worked Example 4.16 (page 182)
C=500(1-e-0.3Y) Study Worked Example 4.16

Logistic growth
800
– Progress exercise 4.8 question 3  N =
1  790e 0.1t
 Logarithmic Function
• log10 10 = 1; log 100 = 2; log 1000 = 3; log 2 =?
• ln e = Loge e = 1; ln 12 = ?
• Log10 10x = x
• Given 31=10x calculate x
• Given P=753e0.03t find t when P is 1750.
• Rules for logs:
– logb(M)+logb(N)=logb(MN)
– logb(M)-logb(N)=logb(M/N)
– logb(Mz)=zlogb(M)
– logb(M)=logx(M)/logx(b)
• Solve the following equations:
– a) 20+(2.4)2x=32.5 b) log(x+2)=2.5
 Hyperbolic Function
General form:

a
y
bx  c 

Study Worked Example 4.24

– Demand Function: Q+1=200/P

– Supply Function: P=5+0.5Q
– Find Pe and Qe
– Sketch the graph for 0≤ Q ≤ 20