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Math 211 Business Calculus Applications of Derivatives

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– p. 34/34<br />

Marginal Example Continued<br />

The exact increase in pr<strong>of</strong>it is<br />

P(51)−P(50) = 43,383.89−42,550 = 833.89<br />

What is the marginal pr<strong>of</strong>it<br />

Differentiate<br />

P(x) = −0.006x 3 −0.2x 2 +900x−1200<br />

P ′ (x) = −0.018x 2 −0.4x+900<br />

What is the marginal pr<strong>of</strong>it whenx = 50<br />

Answer:<br />

P ′ (50) = −0.018(50) 2 −0.4(50)+900<br />

= −0.018(2500)−0.4(50)+900 = −45−20+900<br />

= 835<br />

Compare835 with actual increase in pr<strong>of</strong>it833.89

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