7.

4 Higher-Order Derivatives

We know that the derivative of a function y = f(x) is

itself a function, f ′(x) . If we differentiate f ′(x) , the
resulting function is called the second derivative of f at x.
It is denoted f ′′(x) , which is read “ f double prime of x”.
Similarly, the derivative of the second derivative is called
the third derivative, written f ′′′( x).
Continuing in this way, we get higher-order derivatives.
Some notations for higher-order derivatives are given in
table below:

Table: Notation of higher order derivative

dy d Dx y
First derivative/First y′ , f ′(x ) , dx , dx
[ f ( x )] ,
order
y ′′ f ′′(x) d2y d2 Dx 2 y
Second dx 2 dx 2
[ f ( x )]

derivative/Second
order
yf ′′′(x )′
′
′
d3y d3 D 3y
Third derivative/ dx 3 dx 3
[ f ( x )] x

Third order
d4y d4 Dx 4 y
( 4)
y ( 4)
Fourth derivative/ f ( x)
dx 4 dx 4
[ f ( x )]

Fourth order
Example 2:

a) Find the indicated derivatives.

i) f ( x) = x 9 + x 3 + 5 x 2 + 1, f ′′( x)

26
 d3y
ii) 2x
y=e ,
dx3
iii) f ( x) = x 2 ln x, f ′′( x)

b) If f(x) = x4 – x2 + 4, find f ′(1) and f ′′(−2)

7.5 Critical Point

Criteria to find the critical point

a) Find first derivative of f , f ′(x)

b) Setting answer of f prime equal zero, f ′(x) = 0.
Hence, solve this to find values of x.
c) Use values of x from step b), to find y. Therefore,
the critical point is (x, y)

Example 3:

In problem below, find all critical points.

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a) f ( x) = x 2 − 4 x + 3
2
b) y = x – 5x + 6
c) y = 12 + 6x – 2x2
d) y = - 4x2 + 2x – 8
e) y = x3 – 27x + 1
f) y = x3 – 12x + 1
g) y = 1 + 3x2 – x3
h) y = x4 – 2x2 + 4

7.6 Test/procedure to Determine the Critical Point:

is Minimum/ Maximum

SECOND DERIVATIVE TEST

i) f ′′( x ) > 0( positive)

at x = k (k is critical value), then the
critical point is⇒ ( MINIMUM )

ii) f ′′( x ) < 0(negative ) at x=k (k is critical value), then the

critical point is⇒ ( MAXIMUM )

Example 4:

Use example 3, find the critical point and determine

whether this critical point is maximum or minimum.

7.7 Inflection Point

Inflection point must satisfy two conditions:

1) f ′′(a ) = 0 or f ′′(a ) = ∞ at critical value

28
 x = a.

2) f ′′( x) > 0( positive ) for x < a and f ′′( x) < 0(negative ) for x > a
or
f ′′( x) > 0( positive ) for x > a and f ′′( x) < 0(negative ) for x < a

Example 5:

Given
f ( x) = x 3 − 3 x 2 +1

Find the critical point and determine whether this critical

point is maximum or minimum or inflection point.

Solution:
7.8 Application of Differentiation in Economy and
Business

Remember that:
• Total cost function, TC
• Total revenue function, TR and

• Profit function, ∏

The functions above will be used again in this chapter.

Besides that, several new functions will be introduced
such as:

a) If TC is a total cost function, then

i) Total cost function,
TC =VCx + FC
@ VCq + FC

29
 TC TC
ii) Average cost function, C =
x
@
q

dC dC
iii) Marginal average cost function, C ′ = dx @
dq

′ = d ( TC ) @ d ( TC )
iv) Marginal cost function, ( TC ) dx dq

Example 6:

Given total cost function, TC = 0.2 x 2 − 60 x + 20000 where x is

quantity unit been produced. Find,

i) Average cost function, C

ii) Marginal average cost function, C′

iii) Marginal cost function, (TC )′

iv) Quantity that will minimized the total cost function.

v) What is the minimum value for this total cost

function?

vi) Verify the answer in (d) and (e) by using the vertex
formula.

b) If TR is the total revenue fuction, then

i) Total revenue function, TR = px @ pq where p
=demand function (price)

30
 TR TR
ii) Average revenue function, R =
x
@
q

iii) Marginal average revenue function,

dR dR
R′ = @
dx dq

′ = d ( TR ) @ d ( TR )
iv) Marginal revenue function, ( TR ) dx dq

Example 7:

Assuming the demand function of a product given by,

p = 200 − 2q
where q is the number of unit of the product. Find,

i) Total revenue function, TR

ii) Quantity that will maximized the total revenue

function.

iii) What is the maximum value for this total revenue

function?

iv) Price that will maximized the total revenue.

c) If ∏ is the profit function, then

i) Profit function, ∏ = TR − TC

31
 ∏ ∏
ii) Average profit function, ∏ = @
x q

d∏ d∏
iii) Marginal average profit function, ∏ ′ = @
dx dq
d∏ d∏
iv) Marginal profit function, ∏ ′ = @
dx dq

Example 8:

The demand equation for the company of AXL is

80
p = 42 − 4q and the average cost function given by C = 2 + .
q
Find,
i) Total revenue function, TR

ii) Total cost function, TC

iii) Total profit function, ∏

iv) Quantity that will maximized the profit.

v) What is the maximum value for this total profit

function?

vi) Price that will maximized the profit?

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