Business MathematicsNEB 2075 (old course)
a) Find the indefinite integral 3x+1x 2 dx . b) The marginal revenue function is given by MR = 3 2x x^2 , x being the output. Find the total revenue function and the demand function.
6Answer
a) Indefinite Integral:
Step 1: Simplify the integrand
The integrand is a rational function . To simplify, we perform polynomial long division or rewrite the numerator to match the denominator.
We express the numerator in terms of the denominator : This is because:
Thus, the integrand becomes:
Step 2: Integrate term by term
Now, the integral can be split into two simpler integrals:
The first term is straightforward:
The second term is a standard logarithmic integral:
Step 3: Combine the results
Adding the results of the two integrals and combining the constants of integration (), we get:
Final Answer:
b) Marginal Revenue and Demand Function
Given:
The marginal revenue function is: where is the output.
Step 1: Find the total revenue function
The total revenue function is the integral of the marginal revenue function:
Integrate term by term:
Thus, the total revenue function is:
Since revenue cannot be negative and is typically defined up to a constant, we can set for simplicity (assuming when ):
Step 2: Find the demand function
The demand function is the inverse of the total revenue function in terms of price . However, revenue is defined as: where is the price per unit.
From the total revenue function:
But , so:
Divide both sides by (assuming ):
Thus, the demand function is:
Alternatively, if the question expects the demand function in terms of as a function of , we can write it as:
However, if the demand function is to be expressed as in terms of , we solve for : Rearrange: Multiply by 3:
This is a quadratic in :
Since must be non-negative, we take the positive root:
But this is not typically required unless specified. The more common interpretation is to express as a function of , which we have already done.
Final Answers:
Total Revenue Function:
Demand Function (Price as a function of output):
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