In problems 25 and 26 , use a graphing utility to graph each function over the indicated interval. Approximate any local maximum values and local minimum values. Determine where the function is increasing and where it is decreasing. f ( x ) = 2 x 4 − 5 x 3 + 2 x + 1 ( − 2 , 3 )
In problems 25 and 26 , use a graphing utility to graph each function over the indicated interval. Approximate any local maximum values and local minimum values. Determine where the function is increasing and where it is decreasing. f ( x ) = 2 x 4 − 5 x 3 + 2 x + 1 ( − 2 , 3 )
Solution Summary: The author explains how to determine the graph of the function f(x)=2x45, which has local maximum and minimum values, and determine where it is increasing and decreasing.
In problems
25
and
26
,
use a graphing utility to graph each function over the indicated interval. Approximate any local maximum values and local minimum values. Determine where the function is increasing and where it is decreasing.
f
(
x
)
=
2
x
4
−
5
x
3
+
2
x
+
1
(
−
2
,
3
)
Formula Formula A function f(x) attains a local maximum at x=a , if there exists a neighborhood (a−δ,a+δ) of a such that, f(x)<f(a), ∀ x∈(a−δ,a+δ),x≠a f(x)−f(a)<0, ∀ x∈(a−δ,a+δ),x≠a In such case, f(a) attains a local maximum value f(x) at x=a .
The OU process studied in the previous problem is a common model for interest rates.
Another common model is the CIR model, which solves the SDE:
dX₁ = (a = X₁) dt + σ √X+dWt,
-
under the condition Xoxo. We cannot solve this SDE explicitly.
=
(a) Use the Brownian trajectory simulated in part (a) of Problem 1, and the Euler
scheme to simulate a trajectory of the CIR process. On a graph, represent both the
trajectory of the OU process and the trajectory of the CIR process for the same
Brownian path.
(b) Repeat the simulation of the CIR process above M times (M large), for a large
value of T, and use the result to estimate the long-term expectation and variance
of the CIR process. How do they compare to the ones of the OU process?
Numerical application: T = 10, N = 500, a = 0.04, x0 = 0.05, σ = 0.01, M = 1000.
1
(c) If you use larger values than above for the parameters, such as the ones in Problem
1, you may encounter errors when implementing the Euler scheme for CIR. Explain
why.
#8 (a) Find the equation of the tangent line to y = √x+3 at x=6
(b) Find the differential dy at y = √x +3 and evaluate it for x=6 and dx = 0.3
Q.2 Q.4 Determine ffx dA where R is upper half of the circle shown below.
x²+y2=1
(1,0)
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