Application of Calculus in Commerce and Economics

ISC Previous Years Board Questions with Answers

from
2005 to 2020

1. A company is selling a certain product. The demand function of the product is linear. The company can sell
2000 units when the price is ₹ 8 per unit and 3000 units when the price is ₹ 4 per unit. Determine :
(i) the demand function,
(ii) the total revenue function. [ISC 2005]

2. Given the total cost function for units of a commodity as ( ) Find :

(i) the marginal cost function,
(ii) the average cost function,
(iii) the slope of average cost function. [ISCBM 2005]

3. A firm has the following total cost and demand functions :

( ) .
Find the profit maximizing output. [ISCBM 2005]

4. A television manufacture finds that the total cost for the production and marketing of number of television
sets is ( ) . Each product is sold for ₹ 8400. Determine the break even points.
[ISC 2006]
5. The fixed cost of a new product is ₹ 18,000 and the variable cost is ₹ 550 per unit. If the demand function
( ) find the break-even points. [ISC 2007]

6. The average cost function associated with producing and marketing units of an item is given by
Find :
(i) the total cost function and the marginal cost function.
(ii) the range of values of output for which is decreasing. [ISC 2008]

7. The cost of manufacturing of certain items consists of ₹ 1600 as overheads, ₹ 30 per item as the cost of the
material and the labour cost ₹ for items produced. How many items must be produced to have a
minimum average cost ? [ISC 2009]

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8. The average cost function for a commodity is given by in terms of output Find the
(i) total cost and the marginal cost as the function of
(ii) output for which increases. [ISC 2010]

9. Given that the total cost function for units of a commodity is : ( )

(i) Find the marginal cost (MC ).
(ii) Find the average cost (AC ).
( ) ( )
(iii) Prove that : ( ) [ISC 2011]

10. If total cost function is given by is the quantity of output show that :
( ) ( ) where ( ) is the marginal cost and ( ) is the average cost. [ISC 2012]

11. A company produces a commodity with ₹ 24,000 fixed cost. The variable cost is estimated to be 25% of the
total revenue recovered on selling the product at a rate of ₹ 8 per unit. Find the following:
(i) cost function,
(ii) revenue function,
(iii) break-even Point. [ISC 2013]

12. A firm has the cost function and demand function –

(i) Write down the total revenue function in terms of
(ii) Formulate the total profit function P in terms of
(iii) Find the profit maximizing level of output [ISC 2014]

13. The average cost function , for a commodity is given by in terms of output Find :
(i) The total cost and marginal cost as a function of
(ii) The outputs for which increases. [ISC 2015]

14. The demand function is where is the number of units demanded and is the price per unit.
Find:
(i) the revenue function in terms of
(ii) the price and the number of units demanded for which the revenue is maximum. [ISC 2016]

15. The demand for a certain product is represented by the equation in rupees where is
the number of units and is the price per unit . Find :
(i) marginal revenue function,
(ii) the marginal revenue when 10 units are sold . [ISC 2017]

16. Given the total cost function for units of a commodity as :

( ) . tapatisclasses.in
 Find :
(i) marginal cost function.
(ii) average cost function. [ISC 2018]

17. The average cost function associated with producing and marketing units of an item is given by
Find the range of values of the output for which is increasing.
[ISC 2018]

18. A product can be manufactured at a total cost ( ) where is the number of units
produced. The price at which each unit can be sold is given by ( ). Determine the
production level at which the profit is maximum. What is the price per unit and total profit at the level
of production? (ISC 2018]

19. A manufacturer’s marginal cost function is . Find the cost involved to increase production from 100
√
units to 300 units. [ISC 2018]

20. A company produces a commodity with ₹ 24,000 as fixed cost. The variable cost estimated to be 25% of the total
revenue received on selling the product, is at the rate of ₹ 8 per unit. Find the break- even point.
[ISC 2019]

21. The total cost function for a production is given by ( )

Find the number of units produced for which
( Marginal Cost and Average cost) [ISC 2019]

22. The cost function of a product is given by ( ) where is the number of units
produced. How many units should be produced to minimize the marginal cost? [ISC 2019]

23. The marginal cost function of units of a product is given by The cost of producing
one unit is ₹ 7. Find the total cost function and average cost function. [ISC 2019]

24. The selling price of a commodity is fixed at ₹ 60 and its cost function is ( )
(i) Determine the profit function.
(ii) Find the break even points. (ISC 2020)

25. The revenue function is given by ( ) Find

(i) The demand function.
(ii) Marginal revenue function. (ISC 2020)

26. The marginal cost of the production of the commodity is , it is known that fixed costs are ₹ 200, find
(i) The total cost.
(ii) The cost of increasing output from 100 to 200 units. (ISC 2020)
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27. The total cost function of a firm is given by ( ) where the selling price per unit is
given as ₹ 6. Find for what value of will the profit be maximum? (ISC 2020)

Answer : [1] ( ) ( ) ( ) [ ]( )

( ) ( )
( ) ( )

[3] The profit is maximum for units. [4] 5, 9 units [5] 15, 8 units

[6] (i) ( ) ( )

[7] 400 items [8] (i) (ii)

[9] ( ) ( )

[11] (i) ( ) ( ) (ii) ( ) (iii) 4000

[12] (i) ( ) (ii) ( ) (iii)

[13] (i) ( ) ( )

[14] (i) ( ) (ii) price per unit is ₹ 6 and no of units = 4

[15] (i) ( ) (ii) ₹ 900

[16] (i) (ii) [17]

[18] Profit is maximum when units, price per unit = ₹ 190 and total profit is ₹ 1,99,960.

[19] [20] 4000 [21] 6 units [22] 45 units

[23] ( )

[24] (i) ( ) (ii)

[25] (i) ( ) (ii)

[26] (i) ( ) ( ) (ii) ₹ 33000 [27]

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