A mutual fund is currently valued at $80 per share and its value per share is increasing at a rate of $0.40 a day. Let V=f(t) be the value of the share t days from now.

Express the information given about the mutual fund in terms of f ' (derivitive of f)

Question

A mutual fund is currently valued at $80 per share and its value per share is increasing at a rate of $0.40 a day. Let V=f(t)  be the value of the share t  days from now.

Express the information given about the mutual fund in terms of f ' (derivitive of f)

whpalmer4 · Answer

The fund value is a linear equation, with a constant increase per day added to the initial value.  

The derivative of a function is the instantaneous slope at a point.  With a linear equation, by definition, the slope is uniform.  

With that in mind, how would you write V(t) in terms of f'(t) and the initial valuation of the fund?