TUTORIAL BASIC TRAINING

1. Determine the first and second order derivatives of the functions below:-
a. Y = 10
b. Y = 2X2
c. Y = -1X3
d. Y = 1/2X-2
e. Y = 3X2 + 4X + 25
f. Y = 45X – 0.5X2
g. Y = U2 + 5
h. TC = 182 + 56Q2
i. Q = 100 – 0.2P2
j. Y = aX2 + bX + c
k. C = 2000 – 200X2 + 3X3
l. Y = 3X2 + 2XZ + Z2
m. AC = X2 + 2Y2 – 2XY – 2X – 6Y + 10
n. Y = X3 - 8X2 + 57X + 2
o. Y = X3 – 2X2
p. TR = 100Q – 10Q2
q. Y = 1 0
X3
2. Given P = 8 – 0.1Q, derive the TR, AR and MR functions. Find the first order derivative of the
MR function.

3. The demand function of a firm is Q = 40 – 2P, where P = price and Q is the output. Derive
the TR, AR and MR.

4. Given TR = 100Q – 10Q2, TC = 182 + 56Q. Derive the AR, MR, AC, MC and profit functions.

5. TR = 30Q – Q2, is a firm total revenue function. Q is the quantity.

a. Derive the AR and MR functions.
b. Determine the level of output that maximized TR
c. What is the value of TR at the maximizing output.

6. TR = 110Q – 5Q2, TC = 10Q – Q2 + 0.33Q3, determine:-

a. MR, AR, MC and AC functions
b. the output that maximizes TR
c. the Q that minimizes AC
d. output that maximizes profit

7. Given TR = 20Q – 2Q2, determine:-

a. the output (Q) that maximize TR
b. MR function
c. the Q where MR = 0
8. Profit function for product Q1 and Q2 is as follow:-
Profit = 50Q1 – Q12 + 100 Q2 – 4Q22
Determine the profit maximizing output rates for the two products and the profit associated
with these output rates.

9. A firm’s TR and TC are as follow:

TR = 4Q, TC = 0.04Q3 – 0.9Q2 + 10Q + 5
Calculate the quantity that will maximizes its total profit. How much is the profit at the
maximizing quantity.
10. Given the multivariate function Y = 50 +18X +10Z -5XZ -2X 2, determine the values of X and Z
that maximizes the function.

11. TR = 22Q – 0.5Q2; TC = 1Q3 – 8.5Q2 +50Q + 90. Determine the profit maximizing level of
output. 3

12. Given AC = 200 – 24Q + Q2. Calculate the quantity that minimizes the AC. Determine the
value of AC at that output level.

13. Given MC = 200 – 48Q + 3Q2. Calculate the level of output that minimizes the MC.
Determine the value of MC at that minimizing output level.