1.

The demand and supply functions for computers are:

Demand: 𝑄𝑑 = 100 − 6𝑃
Supply: 𝑄𝑠 = 28 + 3𝑃
where 𝑃 > 0 is the price of a computer and 𝑄𝑑 > 0, 𝑄𝑠 > 0 are the corresponding quantities.
The quantity 𝑄 ∗ of computers bought and sold at equilibrium is
a) 8
b) 40
c) 52
d) > 60
Solution:
𝑄 = 100 − 6𝑃 subtract
𝑄𝑑 = 𝑄𝑠 = 𝑄 → { → 9𝑃 = 72 → 𝑃∗ = 8 → 𝑄 ∗ = 28 + 3𝑃 ∗ = 52
𝑄 = 28 + 3𝑃

2. The demand and supply functions for some product A are:

Demand: 𝑄𝑑 = 200 − 𝑃2 + 4𝑃
Supply: 𝑄𝑠 = 20 + 𝑃
where 𝑃 > 0 is the price and 𝑄𝑑 > 0, 𝑄𝑠 > 0 are the corresponding quantities. The quantity
𝑄 ∗ of product A bought and sold at equilibrium is
a) 25
b) 35
c) 45
d) > 45
Solution:
𝑄 = 200 − 𝑃2 + 4𝑃 subtract 2
𝑄𝑑 = 𝑄𝑠 = 𝑄 → { → 𝑃 − 3𝑃 − 180 = 0 → 𝑃1,2 = 15, −12 →
𝑄 = 20 + 𝑃
𝑃∗ = 15 is only feasible solution, so 𝑄 ∗ = 20 + 𝑃∗ = 35.

3. Consider the demand and supply of two commodities, as follows:

𝑄𝑑1 = 18 + 2𝑃1 − 𝑃2
𝑄𝑠1 = 1 + 3𝑃1
𝑄𝑑2 = 17 + 𝑃1 − 𝑃2
𝑄𝑠2 = 6 + 2𝑃2 .
The equilibrium prices (𝑃1 ∗ , 𝑃2 ∗ ) are
a) (12,5)
b) (5,12)
c) (10,7)
d) (7,10) Subtract 2nd from 1st Subtract 4th from 3rd
Solution:
0 = 17 − 𝑃1 − 𝑃2 sum
𝑄𝑑1 = 𝑄𝑠1 = 𝑄1 and 𝑄𝑑2 = 𝑄𝑠2 = 𝑄2 → { → 4𝑃2 = 28
0 = 11 + 𝑃1 − 3𝑃2
→ 𝑃2 ∗ = 7 → 𝑃1 ∗ = 10 → (𝑃1 ∗ , 𝑃2 ∗ ) = (10,7) and the answer is c).
4. Consider the demand and supply of two commodities, as follows:
𝑄𝑑1 = 18 − 𝑃1 + 𝑃2
𝑄𝑠1 = 7 + 2𝑃1 .
𝑄𝑑2 = 19 − 𝑃1 + 2𝑃2
𝑄𝑠2 = 2 + 3𝑃2
The quantities (𝑄1 ∗ , 𝑄2 ∗ ) bought and sold at equilibrium for both goods are
a) (21,32)
b) (15,17)
c) (10,7)
d) (7,10) Subtract 2nd from 1st Subtract 4th from 3rd
Solution:
0 = 11 − 3𝑃1 + 𝑃2 sum
𝑄𝑑1 = 𝑄𝑠1 = 𝑄1 and 𝑄𝑑2 = 𝑄𝑠2 = 𝑄2 → { → 4𝑃1 = 28
0 = 17 − 𝑃1 − 𝑃2
→ 𝑃1 ∗ = 7 → 𝑃2 ∗ = 10 → (𝑄1 ∗ , 𝑄2 ∗ ) = (7 + 2𝑃1 ∗ , 2 + 3𝑃2 ∗ ) = (21,32) and the answer is a).

5. The demand function 𝑃 = 𝑓(𝑄) and the cost function 𝑇𝐶 = 𝑔(𝑄) for a certain product
are given as functions of the quantity 𝑄, 𝑄 ≥ 0:
𝑃 = 30 − 𝑄
𝑇𝐶 = 180 + 3 ∙ 𝑄.
The breakeven points for this product are the value(s) of 𝑄
a) 15 (unique breakeven point)
b) 12 (unique breakeven point)
c) 15 and -12
d) 12 and 15
Solution:
Total revenue equals 𝑇𝑅 = 𝑃 ∙ 𝑄 = (30 − 𝑄) ∙ 𝑄 and the breakeven points are solution of
the equation 𝒑𝒓𝒐𝒇𝒊𝒕 = 𝑇𝑅 − 𝑇𝐶 = 0.
So, (30 − 𝑄) ∙ 𝑄 − (180 + 3 ∙ 𝑄) = 0 → 𝑄 2 − 27𝑄 + 180 = 0 → 𝑄1,2 = 12, 15
Since both solutions are feasible (𝑄 ≥ 0), answer is d).

−𝑥 4 +2𝑥+1
6. The value of lim is
𝑥→0 𝑥4
a) +∞
b) −∞
c) −1
d) 0 Take the lowest powers of 𝑥 since 𝑥 →0
Solution:
−𝑥 4 +2𝑥+1 1
lim = lim 𝑥 4 = ∞
𝑥→0 𝑥4 𝑥→0
 −𝑥 4 +2𝑥+1
7. The value of lim is
𝑥→∞ 𝑥4
a) +∞
b) −∞
c) −1
d) 0 Take the highest powers of 𝑥 since 𝑥 →∞
Solution:
−𝑥 4 +2𝑥+1 −𝑥 4
lim = lim = −1
𝑥→∞ 𝑥4 𝑥→∞ 𝑥 4

𝑥 4 −2𝑥+1
8. The value of lim is
𝑥→0 𝑥 3 −2𝑥 2
a) −∞
b) 0
c) 1
d) +∞
Solution:
𝑥 4 −2𝑥+1 1
lim = lim −2𝑥 2 = −∞
𝑥→0 𝑥 3 −2𝑥 2 𝑥→0

𝑥 4 −2𝑥+1
9. The value of lim is
𝑥→−∞ 𝑥 3 −2𝑥 2
a) −∞
b) 0
c) 1
d) +∞
Solution:
𝑥 4 −2𝑥+1 𝑥4
lim = lim = lim 𝑥 = −∞
𝑥→−∞ 𝑥 3 −2𝑥 2 𝑥→−∞ 𝑥 3 𝑥→−∞

𝑥 3 −2𝑥+1
10. The value of lim is
𝑥→−∞ 𝑥 4 −2𝑥 2
a) −∞
b) 0
c) 1
d) +∞
Solution:
𝑥 3 −2𝑥+1 𝑥3
lim = lim = lim 1/𝑥 = 0
𝑥→−∞ 𝑥 4 −2𝑥 2 𝑥→−∞ 𝑥 4 𝑥→−∞
11. The first derivative of the function 𝑃(𝑄) = 10 ∙ 𝑄−0.3 at the point 𝑄 = 2 is
a) −3 ∙ 2−1.3
b) −3 ∙ 20.7
c) 9.7 ∙ 2
d) 9.7 ∙ 2−1.3
Solution:
(10 ∙ 𝑄 −0.3 )′ = 10 ∙ (−0.3) ∙ 𝑄 −0.3−1 = −3 ∙ 𝑄 −0.3−1 = 3 ∙ 𝑄 −1.3, hence, the answer is a).

3
12. The first derivative of the function 𝑓(𝑧) = 𝑧 3 − 3 at the point 𝑧 = 1 is
√𝑧
a) 4
b) 2
c) −2
d) 0
Solution:
3 ′ ′ 𝑧=1
(𝑧 3 − 3 ) = (𝑧 3 − 3 ∙ 𝑧 −1/3 ) = 3𝑧 2 − 3(−1/3)𝑧 −4/3 → 𝑓′(1) = 3 + 1 = 4.
√𝑧

𝑥−2
13. The equation of the tangent line to the curve 𝑦 = 𝑥+2 at 𝑥 = 2 is
a) 𝑦 = 2(𝑥 − 2)
b) 𝑦 − 2 = 2 ∙ 𝑥
c) 𝑦 = 0.25 ∙ (𝑥 − 2)
d) 𝑦 = −0.25 ∙ (𝑥 − 2)
Solution:
𝑥−2 ′ 1∙(𝑥+2)−(𝑥−2)∙1 𝑥=2 4−0 1
(𝑥+2) = → 𝑦 ′ (2) = = 4 = 0.25.
(𝑥+2)2 42
Since the slope of the tangent line at 2 equals 𝑦 ′ (2) = 0.25, we could immediately circle c)
as the answer. Nevertheless, we will calculate the equation.
The equation of the tangent line at 𝑥 = 2 is
𝑦 − 𝑦(2) = (𝑥 − 2) ∙ 𝑦 ′ (2).
We need 𝑦(2) = 0 and the final answer is 𝑦 − 0 = (𝑥 − 2) ∙ 0.25, so c).

14. The equation of the tangent line to the curve 𝑦 = (𝑥 − 2)√𝑥 at 𝑥 = 4 is

a) 𝑦 − 4 = 2(𝑥 − 4)
b) 𝑦 − 4 = 2 ∙ 𝑥
c) 𝑦 = 2.5 ∙ (𝑥 − 4)
d) 𝑦 − 4 = 2.5 ∙ (𝑥 − 4)
Solution:
′
′ 1 1
1 1 𝑥=4 1 1
((𝑥 − 2)√𝑥) = ((𝑥 − 2) ∙ 𝑥 ) = 1 ∙ 𝑥 2 + (𝑥 − 2) ∙ 2 𝑥 −2 →
2 𝑦 ′ (4) = 2 + 2 ∙ 2 ∙ 2 = 2.5.
The equation of the tangent line at 𝑥 = 4 is
𝑦 − 𝑦(4) = (𝑥 − 4) ∙ 𝑦 ′ (4).
We need 𝑦(4) = 4 and the final answer is 𝑦 − 4 = (𝑥 − 4) ∙ 2.5, so d).