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    Cost and Revenue Calculations Using Calculus

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    1. The cost and the revenue functions (in dollars) for a frozen yogurt shop are given by:
    C(x)= 400x +400/ x +4 and
    R(x)=100x
    Where x is measured in hundreds of units
    A=Graph C(x) and R(x) on the same set of axes
    B=What is the break-even point for this shop
    C=If the profit function is given by P(x), does P(1) represent a profit or a loss ?
    D= Does P(4) represent a profit or a loss?

    2. The average cost (in dollars) per item of manufacturing x thousand cans of spray paint is given by:
    A(x) = - .000006x^4 +.0017x^3 + .03 x^2- 24x + 1110
    How many cans should be manufactured if the average cost is to be as low as possible? What is the average cost in that case?

    3. Use the definition of the derivative to find the derivative of the function
    Y=x^3 +5

    4. Find the slope of the Tangent line to the given curve at the given value of x. Find the equation of each tangent line
    Y=8-x^2; at x=1

    5. Find the derivative of each of the given function
    g(t)=t^3 + t-2 /(2t - 1)^5

    The total energy Consumption in Quadrillion BTU for the US can be approximately by the function
    f(x)=-0.00144x^3+ 0.014151x^2 +0.1388x + 23.35
    Where x=0 corresponds to the year 1970
    Find the energy consumption for 1990, 2000 and 2008
    Find the average rate of change in energy consumption between 2000 and 2008
    At what rate was energy Consumption changing in 2008

    6. The Net Revenue for Chase Bank can be approximated by the function
    g(x)= - .033741x^4 +1.62176x^3 - 28.4297x^2 +216.603x- 599.806 (9 <_( less than or = to) x less than or equal to 18)
    Find the revenue in 2006
    Find the revenue in 2008
    Find the rate of change of revenue in 2007

    7. Find the absolute extrema of each function on the given interval
    f(x)=x^4 -18x^2 +1;[-4,4]

    8. A restaurant has an annual demand for $900 bottles of a California wine. It costs $1 to store one bottle for 1 year and it costs $5 to place a reorder. Find the number orders that should be placed annually.

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    Solution Preview

    Please see the attached file for details.

    1
    The cost and the revenue functions (in dollars) for a frozen yogurt shop are given by
    C(x)= 400x +400/ x +4 and
    R(x)=100x
    Where x is measured in hundreds of units
    A=Graph C(x) and R(x) on the same set of axes
    Solution

    Note: The blue curve is for the cost function

    B=What is the break-even point for this shop
    Solution
    From the above graphs, we can see clearly that they do not meet. So, there is no break-even point.

    C=If the profit function is given by P(x), does P(1) represent a profit or a loss ?
    Solution
    As we can see from the graph that C(1)>R(1), P(1)=R(1)-C(1)<0. So, P(1) represents a loss.
    D= Does P(4) represent a profit or a loss?
    Solution
    As we can see from the graph that C(4)>R(4), P(4)=R(4)-C(4)<0. So, P(4) represents a loss.

    2
    The average cost (in dollars) per item of manufacturing x thousand cans of spray paint is given by
    A(x) = - .000006x^4 +.0017x^3 + .03 x^2- 24x + 1110
    How many cans should be manufactured if the average cost is to be as low as possible? What is the average cost in that case?
    Solution
    We need to find the ...

    Solution Summary

    The cost and revenue calculations using calculus are examined in the solution.

    $2.49

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