Originally Posted by
lemontea The demand function for a product is given by
p=f(q)=30 -Öq
where p is the price per unit in dollars for q units. Use the linear approximation to approximate the the price when 224 units are demanded.
Solution: We want to approximate f(224). From
f(q) » L(q)=f(a)+f¢(a)(q-a)
and the fact that f¢(a)= a)-1/sqrt(a)
b) 1/(2sqrt(a))
c) - 1/(2sqrt(a))
d) 1/sqrt(a)
we choose a= ____________ .
From f(225)= ________ and f¢(225)= ________ we get f(224) » ______ .
Hence, the price per unit when 224 units are demanded is approximately $ _________ .