Chapter 2:
Functions & Limits
References:
1) Soo T. Tan. Applied Calculus for the Managerial, Life, and Social Sciences
2) James Stewart, Calculus: Early Transcendentals
1
Defining Functions
• The set A is called the domain of the function. It is customary to denote a
function by a letter of the alphabet, such as the letter f.
• If x is an element in the domain of a function f, then the
element in B that f associates with x is written f (x)
(read “f of x”) and is called the value of f at x.
• The set comprising all assigned values assumed by y = f(x) as x takes on
all possible values in its domain is called the range of the function f.
Variable x is called independent variable and variable y, dependent
variable.
2
Vertical Line Test
Can form graphs – ordered pairs (x,y) = (x, f(x))
Further constraints: (1) division by zero is not permitted and (2) the even root of a
negative number is not a real number. These conditions restrict the domain.
3
Examples
4
Examples
5
Injective Functions & Horizontal Line Test
6
Algebraic Operations With Functions
Algebraic operations such as addition, subtraction, multiplication
and division can be defined pointwise on functions.
7
Examples
Let and . Form , and .
8
Applications: Cost Functions
• Costs that remain more or less constant regardless of the firm’s level
of activity are called fixed costs. Examples of fixed costs are rental
fees and executive salaries.
• On the other hand, costs that vary with production or sales are called
variable costs. Examples of variable costs are wages and costs of raw
materials.
• The total cost of operating a business is thus given by the sum of the
variable costs and the fixed costs.
total cost = variable costs + fixed costs
9
Examples
10
Composition of Functions
In general, the composition of a function g with a function f is defined as follows.
11
Examples
Let and . Find and
12
Inverse Functions
• An identity function is a function that maps x to itself i.e. .
• An inverse function to is one that satisfies
• Caution: .
( )
Notation adopted as analogous to for variables/numbers x.
• Example: / is an inverse function of since / / .
• Example: is an inverse function of since ( ).
• Example: is an inverse function of since
.
13
Examples
Find the inverse function of .
14
Examples
Find the inverse function of .
15
Examples
Let .
(a) Find g(x) such that .
(b) Find h(x) such that .
16
Polynomial Functions
A polynomial function of degree n is a function of the form
where n is a nonnegative integer and the numbers a0, a1, . . . , an are constants,
called the coefficients of the polynomial function.
17
Exponential Functions
18
Logarithmic Functions
Graphs of Logarithmic Function
20
Applications: Compound Interest
Compound interest is a natural application of the exponential function to the
business world, with the following formula.
21
Examples
Find the accumulated amount after 3 years if $1000 is invested at 8% per year
compounded
(a) annually;
(b) semi-annually;
(c) quarterly;
(d) monthly;
(e) daily.
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