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# Note for MATH 1313 with Professor Ahmed-Zaid at UH section3.1

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COURSE
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PAGES
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KARMA
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Date Created: 02/06/15
meg ms SPMMQ QOl Section 13 Linear Functions and Math Models Simple Depreciation B r B K Example 1 In 2000 the BampC Company installed a new machine in one of its factories at a cost of 250000 The machine is depreciated linearly over 10 years With a scrap value b v of10000 olqjol l LD BK a Findthe rate of preciation forthis machine IL q o K JUOK 0 at b m M 3 lttuhooo Va Yup l oo 0 o on guhsw b Find an expression for the machine s book value in the tth year of use 0 g t g 10 YM5glgt quotV sQANQQO E f 0 30 c Find the machine s book value at the end of the 7th year 39 QL ODO 10600 v 60 3 diam 4QYOgt O iigtl Linear Cost Revenue and Profit Functions If x is the number of units of a product manufactured or sold at a company then the cost function Cx is the total cost of manufacturing x units of the product the revenue function Rx is the total revenue realized from the sale of x units of the product and the pro t function Px is the total pro t realized from manufacturing and selling x units of the product Fixed costs are costs that remain more or less constant regardless of the company s activitylevel y r c x rt E E l talf d t1 al V xampe ren eesan execu ves anes L V Variable costs are costs that vary With production or sales 4 R C t W M F K1 1 Example wages and costs for raw material LR C equot 3 RWAJ C K ree l x 58 um f Section 13 7 Linear Depreciation Cost Revenue Pro t Functions 5 Zlk bu hik KM 5 am KM Cost Revenue and Pro t Formulas Suppose a company has xed cost of F dollars production cost of c dollars per unit and selling price of s dollars per unit then CxcxF OKK S TCX e Rx sx POO RXCX Where x is the numb Example 2 A man1 of14 for each unit a What is the pro CAM 41 v 2 11 b Compute the pro 2 9515 Example 3 A com of 55000 and mon price for each unit is S 5 16 a Find the cost fun KL 5 b How many helm of 50000 ekkic I ha Section 13 7 Linea1

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