ECE256
Oana Secrieru
Management&Economics
RMC
Fall 2014
Problem Set 2
1. Let the cost function of a rm be C(Q) = 6Q3 20Q2 + 25Q + 144.
(a) Derive the marginal cost and the average cost functions for this rm.
(b) Determine the monotonicity of the cost func

ECE256
Oana Secrieru
Management&Economics
RMC
Fall 2014
Problem Set 4
1. A rm produces two dierent kinds of a commodity. The daily cost of producing Q1
units of good 1 and Q2 units of good 2 is C(Q1 , Q2 ) = 0.1(Q21 + Q1 Q2 + Q22 ). Suppose
that the rm se

ECE256
Oana Secrieru
Management&Economics
RMC
Fall 2014
Assignment #1
Handed-out September 25, 2014
DUE : October 2, 2014 by 1600 hours. Late assignments will not be accepted.
Group work: Maximum two per group. Please submit one assignment per group.
1.

ECE256
Oana Secrieru
Management&Economics
RMC
Fall 2014
Problem Set 3
1. Is the function f (x, y) = xy 2 + x3 homogeneous in x and y? If so, what is the degree
of homogeneity?
2. Verify that the function f (x, y) =
homogeneity.
xy
x2 +y 2
is homogeneous a

ECE256
Oana Secrieru
Management&Economics
RMC
Problem Set 1
1. Prove that
n
X
i=1
1
i2 = n(n + 1)(2n + 1)
6
(1)
by mathematical induction.
2. Solve each of the equations
(a)
(x+1)2
x(x1)
+
(b) x + 2 =
(x1)2
x(x+1)
2 3x+1
= 0 for x;
x2 1
4x + 13 for x;
(c

ECE256
Oana Secrieru
Management&Economics
RMC
Fall 2014
19 November 2014
Quiz 3
x
1. Let f (x) = 1+x
2 . Find possible extreme points and inflection points. Use your results
to sketch the graph of the function.
2. A competitive firm receives a price p = 1