Suppose that in a certain community, there will be M(r) thousand new houses built when the 30-year

Question:

Suppose that in a certain community, there will be M(r) thousand new houses built when the 30-year fixed mortgage rate is r%, where

a. Find M'(r) and M"(r).

b. Sketch the graph of the construction function M(r).

c. At what rate of interest r is the rate of construction of new houses minimized?

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Related Book For answer-question

Calculus For Business, Economics And The Social And Life Sciences

ISBN: 9780073532387

11th Brief Edition

Authors: Laurence Hoffmann, Gerald Bradley, David Sobecki, Michael Price

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Question Posted: Jun 01, 2023 07:14 AM

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Suppose that in a certain community, there will be M(r) thousand new houses built when the 30-year

Question:

M(r) 1 + 0.02r 1 + 0.009/²

Step by Step Answer:

a b c To find the rate of interest at which the rate of construction of new houses is ...View the full answer

Calculus For Business, Economics And The Social And Life Sciences

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