Day 21 - Quotient Rule Notes
Course Information and Learning Objectives
Course Module: Day 21 - Quotient Rule
Textbook Reference: Section
Core Learning Objectives:
Apply the quotient rule to compute derivatives of rational functions and complex algebraic quotients.
Formulate and interpret the average cost function in economic contexts.
Analyze the relationship between marginal cost and average cost to establish conditions for increasing, decreasing, and minimal unit cost.
The Quotient Rule for Differentiation
Formal Definition: For differentiable functions and , the derivative of their quotient is defined wherever the denominator :
Operational Guidelines:
Numerator: (Derivative of top) (Original bottom) (Original top) (Derivative of bottom).
Denominator: Square of the original bottom function: .
Order of Subtraction: Order is rigid; reversing terms introduces an erroneous sign change.
Worked Examples: Applying the Quotient Rule
Example 21.1(a): Rational Polynomial Function
Function:
Component Derivatives:
Numerator:
Denominator:
Quotient Rule Application:
Expansion & Simplification:
Numerator expansion:
Combine like terms:
Final Answer:
Standard form:
Factored form:
Example 21.1(b): Quotient with Factored Denominator
Function:
Component Derivatives:
Numerator:
Denominator expanded:
Quotient Rule Application:
Numerator Simplification:
Expand:
Final Answer:
Standard form:
Factored form:
The Average Cost Function and Marginal Analysis
Definitions:
Total Cost: is the cost of producing units.
Average Cost: , representing unit cost.
Derivation of Marginal Average Cost:
Economic Criteria (for physical output ):
Increasing Average Cost: (Marginal cost exceeds average cost).
Decreasing Average Cost: (Marginal cost is below average cost).
Optimum / Minimum Average Cost: (Average cost is minimized where marginal cost equals average cost).
Real-World Applications: Marginal vs. Average Cost in Production
Example 21.2: Automotive Production Rate Analysis
Scenario: Manufacturing firm scaling output at thousand cars ( cars).
Marginal Cost:
Average Cost:
Computation:
Per thousand cars ():
Per individual car ():
Interpretation: Because marginal cost () is significantly less than average cost (), producing additional vehicles drives unit cost downward.
Logistic Growth Modeling: Video Game Sales
Example 21.3: Cyberpunk II Sales Velocity
Model: Sales units at months.
Target Time: Two years months.
Differentiation:
Numerator:
Denominator:
Evaluation at :
Numerator:
Denominator:
Conclusion: Sales have reached carrying capacity, stabilizing at approximately .
Practice Exercises and Step-by-Step Solutions
You Try Exercise (a): Polynomial Quotient
Function:
Derivatives: ,
Expansion:
Numerator:
Result:
You Try Exercise (b): Constant Numerator with Cubic Denominator
Function:
Expanded Denominator:
Derivatives: ,
Quotient Rule:
Result:
Key Terminology and Deliverables
Quotient Rule:
Average Cost:
Marginal Cost:
Course Deliverables: HW 9 due next Thursday