Lines Any point (x,y) on the line can be described by

(x1,y1) y 1 −y y 1−y 2 y 1−y 2 y 1−y 2

(x,y) = ⇒ y =−  x 1−x y 1 =  x−x 1 y 1
x 1 −x x 1−x 2 x 1− x 2 x 1− x 2
y 2−y y 1−y 2 y 1−y 2
(x2,y2) = ⇒ y=  x−x 2 y 2
x 2−x x 1− x 2 x 1− x 2

Slope m
y 1−y 2 y 2−y 1
m= =
x 1− x 2 x 2 − x 1
y =m  x −x 1 y 1 ⇒ y −y1=m x −x 1 
y =m  x −x 1 y 1 ⇒ y =mx−mx 1 y 1 =mxb

Point slope form: y −y1=m  x −x 1 

Slope-intercept form: y =mx b
General form: Ax By C =0
Special cases: Horizontal line y=a
Vertical line x=b (the slope is “infinite”)
1. Find the line which has slope 2 and passes through (-1,3).

2. What are the points where the line (1) crosses x and y axis?

3. Find where the line 3x+5y+4=7 crosses x and y axis.

4. Find the slope of the line (3).

5. Find the line which is normal to the line y=3 and goes through the point (2,2).
6. Find the line which is parallel to the line y=3 and goes through the point (5,4).

Two lines are parallel if they have the same slope.

1 Slope m2
Two lines are mutually normal if m1 =−
m2 Slope m1
Slope m=0, horizontal line (m=”infinite” vertical line)
Applications

Production level: A manufacturer needs 100lb of material to produce products A

and B, which require 4lb and 2lb of material per unit, respectively. If x and y denote
the number of units produced of A and B, respectively (x≥0, y≥0), then:
4x+2y=100
defines the relation between possible production of A and B products. We can also
represent it as
y=-2x+50
and find that the slope (-2) reflects the rate of change of the level of production of B
with the respect to the level of production of A. With the increase of x by 1, we
should reduce y by 2.
To find the maximal possible production of B, we set x = 0 and find that y=50
To find the maximal possible production of A, we set y = 0 and find that x=25
What if we have 200lb What if we have 110lb
of material ? of material ?
y 4x+2y=200 4x+2y=105
y 100
y=-2x+100 y=-2x+52.5
50 50 Maximal possible production
of B is 52 (2⋅52 = 104)
25 25 50 Maximal possible production
x x
of A is 26 (4⋅26 = 104)
 Applications
Demand and Supply Curves (Lines), Equilibrium:
Demand curve: The relation between the price level (p) and the quantity
p demanded by consumers (q). Lower price, the demand is higher. If the
Price/unit

price is higher, the demand decreases.

p
If the demand curve is linear (line) then

Price/unit
the slope of the line must be negative.
q
Quantity per unit of time

q
Quantity per unit of time

p Supply curve: The relation between the price level (p) and the quantity (q)
Price/unit

that producers are willing to supply. The higher the price, the higher the
supply. If the price is lower, the supply decreases.

If the supply curve is linear (line), then p

q

Price/unit
Quantity per unit of time
the slope of the line must be positive.

Equilibrium: The point at which demand and

supply curves intersect is called the equilibrium q
point. The price at that point is the equilibrium Quantity per unit of time
price and quantity is the equilibrium quantity
 Which of these two lines is the demand/supply curve?

p 1
p=− q12
Price/unit

180
1
p= q8
300
q What is the equilibrium point ?
Quantity per unit of time
180 p=−q12⋅180
1 1
− q12= q8
180 300 300 p=q8⋅300
q q 480 p=21602400
4= 
300 180
p=9.5
4=  1

300 180
1
q  300⋅9.5=q8⋅300

4=  3

900 900
5
q  2850=q8⋅300⇒ q=450

900 Equilibrium point: (450, 9.5)

4 =q Equilibrium quantity: q=450
8
450 Equilibrium price: p=9.5
q=450⇒ p= 8=1.58=9.5
300
Systems of Linear Equations
Elimination by substitution Elimination by substitution Elimination by addition
x 2y−8=0 x 2y−8=0 x 2y−8=0
3x4y4=0 2x4y4=0 3x4y4=0
x =−2y8 x =−2y8 −3x−6y24=0
3x4y4=0 2x4y4=0 3x4y4=0
x =−2y8 x =−2y8 −2y28=0⇔ y =14
3−2y84y4=0 2−2y84y4=0 x 2⋅14−8=0 ⇔ x =−20
x =−2y8 x =−2y8
−6y244y4=0 −4y164y4=0
x =−2y8 x =−2y8
−2y=−28 20=0
x =−2y8 There is no solution. Why ?
y =14 1
x 2y−8=0 ⇔ y =− x 8
x =−288=−20 2
1
y =14 2x4y4=0⇔ y =− x −2
2
The solution is x=-20, y=14
Lines have the same slope (they are
parallel); therefore, there is no point
that can belong to the both of them.
 Systems of Linear Equations
Infinitely many solutions Three variables
x 5y=2 2xy z=3
1 5 −x 2y2z=1
x y =1
2 2 x −y −3z=−6
x 5y=2 5y5z=5 From Eq.(1)+2Eq.(2)
x 5 y =2 y −z=−5 From Eq.(2)+Eq.(3)
The same equation. y z=1
x 5y=2 y −z=−5
y =r 2y=−4 ⇒ y =−2
⇒ z =3
x =−5r2
x −y −3z=−6
x −−2−9=−6⇒ x =7−6=1
Book page 154, solution by the
substitution method
In the case of three variables, we can have a solution, no solution, or infinitely many
solutions. In the case of infinitely many solutions, we may need one, or two free variables
x −2y−z=0 Eq.(1), Eq(2) and Eq(3) are equivalent to Eq(1).
2x−4y−2z=0 x −2y−z=0
−x 2yz=0 The solution is x = 2y+z, y=r, z=s ,i.e., x = 2r+s, y=r, z=s
 Quadratic function
A function f is quadratic if and only if f(x) can be written in the form
2
f  x =ax bx c , where a, b and c are constants and a≠0
Examples:
2
f  x =x −3x2
2
F t =−3t
2 2
f s =c s −as−b=c s −ab sab=cs −c ab scab if c≠0

2
f  x =ax bx c 2
Find points at which f  x =ax bx c =0

a0 In the figures, there are two points f(x)=0 and we can compute
them as
−b−  b −4ac 2
−b  b −4ac 2
x 1= ,x 2 =
2a 2a
2 b
If b −4ac=0 then x 1 =x 2=−
2a
2
If b −4ac0 then the quadratic function does not
cross x axis. i.e., there is no point f(x)=0
a0 b
In any case, the x position of the vertex is x v =−
x 1 x 2 2a
which is formally x v =
2 What is f x v  ?
Maximum Revenue
Total revenue r = pricequantity = pq
Using the demand function, we can express p as a function of q and
2
p=1000−2q⇒ r =pq=1000−2qq=−2q 1000q
In this case, the revenue is quadratic function of q, and it has a maximum.
The maximum of the quadratic function is at
1000
q v =− =250
2−2
For all other values of q , the revenue will be smaller. The revenue is:
2
r v =−2250 1000 250=250000−2⋅62500=250000−125000=125000

Equilibrium with nonlinear demand

q
p= 10 supply 8000 q
40 2
= 10⇒ q 400q−320000=0
q 40
8000 demand q 1=−800, q 2 =400
p= q cannot be negative
q
400
p= 10=20
40
Profit
Profit = total revenue – total costs = total revenue – (fixed costs+variable costs)

=y TR −y TC =y TR− y FC y VC =pq− y FC y VC 

Fixed costs, for example y FC=5000

22
22 y TC=y FC y VC =5000 q
Variable costs, for example y VC = q 9
9

Break-even point is the point at which the profit is zero, i.e.,the total revenue
balances the total costs.
=y TR −y TC =0
If the profit is negative 0 , the total costs are higher than the total revenue.
If the profit is positive 0 , the total costs are lower than the total revenue.

Example:
=y TR −y TC =100  q−2q1200
=y TR −y TC =100  q−2q1200=0⇒ 50  q=q600
2 2
2500 q=q600 ⇒ 0=q −1300q360000
Break-event points are at q 1=400, q 2 =900
The profit can be gained only if the production q is 400 < q < 900
In order to find the equilibrium, maximum revenue, break-even point,
and profit, we need to deal with the nonlinear demand, supply, variable
costs functions.

Solve:
2
x −2xy −7=0
3x−y 1=0 y =3x1
2
x −2x3x1−7=0
2
x x −6=0
−1±  124 −1±5
x 12 = = ⇒ x 1=2, x 2 =−3
2 2

Consequently, y has two solutions.

y 1=3x 1 1=7
y 2=3x 21=−8

There are two solutions (2,7) and (-3,-8)