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How do we use calculus to find the maximum or minimum value of a real-world quantity?

Optimisation problems use the first derivative to locate the maximum or minimum value of a quantity subject to a constraint.

A step-by-step method for solving optimisation problems: build the function, use a constraint to reduce to one variable, differentiate, solve for stationary points, and justify the maximum or minimum.

Reviewed by: AI editorial process; not yet individually human-reviewed

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Jump to a section
  1. What this dot point is asking
  2. The standard method
  3. Reducing to one variable
  4. Justifying the nature of the stationary point
  5. A volume problem with a chain of variables
  6. Common errors
  7. Why it matters

What this dot point is asking

An optimisation problem asks for the largest or smallest possible value of some quantity - maximum volume, minimum cost, shortest distance, greatest area. Calculus solves these because a smooth maximum or minimum occurs where the gradient is zero, i.e. at a stationary point where f(x)=0f'(x)=0.

The standard method

Almost every optimisation problem follows the same five steps:

  1. Define variables and write the quantity to optimise as a formula. This is the objective function.
  2. Use the constraint to express the objective in terms of a single variable.
  3. Differentiate and set the derivative equal to zero.
  4. Solve for the stationary point(s).
  5. Justify that you have the required maximum or minimum (second-derivative test or sign of ff'), and state the domain so you can also check endpoints.

Reducing to one variable

The step students find hardest is using the constraint. Suppose a rectangle has perimeter 4040 m, so 2x+2y=402x+2y=40, giving y=20xy=20-x. The area A=xyA=xy then becomes a function of xx alone:

A(x)=x(20x)=20xx2.A(x)=x(20-x)=20x-x^2.

Now there is only one variable to differentiate with respect to.

Justifying the nature of the stationary point

You must show why your answer is a maximum (or minimum) - marks are lost for finding xx but not justifying it.

  • Second-derivative test: if f(x)<0f''(x)<0 at the stationary point it is a local maximum; if f(x)>0f''(x)>0 it is a local minimum.
  • Sign test: check the sign of f(x)f'(x) just before and just after the stationary point. A change from ++ to - is a maximum; - to ++ is a minimum.

A volume problem with a chain of variables

Common errors

Why it matters

Optimisation is the headline application of differentiation in Stage 2 and a reliable source of extended-response marks in both the Skills and Applications Tasks and the external exam. The same five-step structure - model, constrain, differentiate, solve, justify - recurs in your Mathematical Investigation, where you may optimise a quantity in a modelling context of your own choosing.

Exam-style practice questions

Practice questions written in the style of SACE Board exam questions on this dot point, with worked answer explainers. The year tag is the paper they imitate, not the source.

SACE 20224 marksCalculator-assumed. For f(x)=xexf(x) = x\,e^{-x} with x0x \ge 0, the tangent to the graph at the point where x=ax = a has yy-intercept Y(a)=a2eaY(a) = a^2 e^{-a}. Determine the value of aa that maximises the yy-intercept of the tangent, and justify that it is a maximum.
Show worked answer →

Optimise Y(a)=a2eaY(a) = a^2 e^{-a} over a0a \ge 0 using calculus.

Differentiate with the product rule. Let u=a2u = a^2 and v=eav = e^{-a}, so u=2au' = 2a and v=eav' = -e^{-a}:

Y(a)=2aea+a2(ea)=ea(2aa2)=aea(2a).Y'(a) = 2a\,e^{-a} + a^2(-e^{-a}) = e^{-a}(2a - a^2) = a\,e^{-a}(2 - a).

Set Y(a)=0Y'(a) = 0. Since ea>0e^{-a} > 0 always, the stationary points are a=0a = 0 and a=2a = 2.

Justify: for 0<a<20 < a < 2, (2a)>0(2 - a) > 0 so Y(a)>0Y'(a) > 0 (increasing); for a>2a > 2, (2a)<0(2 - a) < 0 so Y(a)<0Y'(a) < 0 (decreasing). The gradient changes from positive to negative at a=2a = 2, confirming a local maximum.

So the yy-intercept is maximised at a=2a = 2. Marks: one for differentiating, one for Y(a)=0Y'(a) = 0, one for the stationary points, and one for the sign-test justification.

SACE 20215 marksCalculator-assumed. A closed cylindrical can has volume 500 cm3500\text{ cm}^3. Its surface area is S=2πr2+1000rS = 2\pi r^2 + \dfrac{1000}{r}, where rr is the base radius in cm. Find the value of rr that minimises the surface area, and the minimum surface area, giving answers to one decimal place.
Show worked answer →

Differentiate S=2πr2+1000r1S = 2\pi r^2 + 1000 r^{-1}:

dSdr=4πr1000r2.\frac{dS}{dr} = 4\pi r - \frac{1000}{r^2}.

Set dSdr=0\dfrac{dS}{dr} = 0: 4πr=1000r24\pi r = \dfrac{1000}{r^2}, so 4πr3=10004\pi r^3 = 1000 and r3=10004π=250πr^3 = \dfrac{1000}{4\pi} = \dfrac{250}{\pi}. Thus r=250π34.3 cmr = \sqrt[3]{\dfrac{250}{\pi}} \approx 4.3\text{ cm}.

Confirm a minimum: d2Sdr2=4π+2000r3>0\dfrac{d^2S}{dr^2} = 4\pi + \dfrac{2000}{r^3} > 0 for all r>0r > 0, so it is a minimum.

Minimum area: S2π(4.3)2+10004.3116.2+232.6348.7 cm2S \approx 2\pi(4.3)^2 + \dfrac{1000}{4.3} \approx 116.2 + 232.6 \approx 348.7\text{ cm}^2.

Marks: one for dSdr\dfrac{dS}{dr}, one for solving to find rr, one for the second-derivative justification, and two for the numerical rr and SS to one decimal place.

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