Al-Imam Muhammad Ibn Saud Islamic University

College of Economics and Administration Sciences

Department of Finance and Investment
Financial Mathematics Course
FIN 118 Unit course
6 Number Unit
Applications of Matrices Unit Subject
Dr. Lotfi Ben Jedidia
Dr. Imed Medhioub
we will see in this unit
Determinant of matrices
Some Properties of Determinants
Some applications of determinant of
matrices

2
Learning Outcomes
3
At the end of this chapter, you should be able to:
1. Identify square matrices and its regularity.
2. Find the determinant and the inverse of
matrices
3.Solve the system of linear equations by Cramers
Rule.



In Mathematics, square matrices play prominent role in the
application of matrix algebra to real-world problems.

A square matrix is a matrix with the same number of rows
and columns. An n-by-n matrix is known as a square matrix
of order n. Any two square matrices of the same order can
be added and multiplied.

Example1:







Square Matrices
4
( )
(
(
(

=
1 1 5
2 0 4
3 1 2
3 , 3
A
3 Columns
3




R
o
w
s




Definition:
5
Example of Square Matrix
Food shopping online: people go online to shop
three items and have them delivered to their
homes.
Cartons of eggs, bread, bags of rice were
ordered online and the people left their address
for delivery.
A selection of orders may look like this:



Order

Address
Carton of
eggs
Bread Rice
Al Wuroud
2 1 3
Al Falah
4 0 2
Al Izdihar
5 1 1
6
Remember a Square Matrix notation
A square matrix is defined by its order which is
always number of rows by number of columns.






A horizontal set of elements is called a row
A vertical set is called a column
First subscript refers to the row number
Second subscript refers to column number


( )
(
(
(
(

=
nn n n n
n
n
n n
a a a a
a a a a
a a a a
A
...
. . . .
...
...
3 2 1
2 23 22 21
1 13 12 11
,
7
Determinant of matrices
The determinant of square matrix A, denoted det(A),
or , is a number that is evaluated by all elements of
A.
Determinant of order 2
The determinant of a 2x2 matrix is the difference
between the product of the major diagonal elements
and the product of the minor diagonal elements .




A
( )
12 21 22 11
22 21
12 11
det a a a a
a a
a a
A = =
Definition 1:
8
More Examples
Evaluate the determinant of each matrix:
1/

2/

3/

4/


(

=
4 2
2 1
A
(

=
4 2
4 2
B
(

=
7 6
5 1
C
(

=
5 2
1 2
D
9
Determinant of order 3:
To find the determinant of a 3 x 3 matrix, first
recopy the first two columns. Then we obtain 3
major diagonal elements and 3 minor diagonal
elements (Rule of Sarrus).
The determinant of a 3x3 matrix is the
difference between the sum of the products of the
major diagonal elements and the sum of the
products of the minor diagonal elements .





( )
12 21 33 11 23 32 13 22 31 32 21 13 31 23 12 33 22 11
32
22
12
31
21
11
33 32 31
23 22 21
13 12 11
det a a a a a a a a a a a a a a a a a a
a
a
a
a
a
a
a a a
a a a
a a a
A + + = =
Determinant of matrices
Find the determinant of the following matrix











10
( ) 5000 3000 0 8000 0 12000 4000
0
20
30
40
10
20
10 0 40
10 20 10
10 30 20
det = + + = = M
(
(
(

=
10 0 40
10 20 10
10 30 20
M
Example:
Determinant of matrices
Evaluate the determinant of theses matrices:










11
0 1 0 1300
10 20 990
10 30 1460
1
= P
0 1 1300 40
10 990 10
10 1460 20
2
= P
1300 0 40
990 20 10
1460 30 20
3
= P
Examples:
Determinant of matrices
12
Determinant of order 3:
An alternative method involves finding the
determinant in terms of three 2x2 matrices. This
alternative method will work for all sizes, not just a
special case for a 33 matrix (Expansion by Minors ).









( )
( ) ( ) ( )
13 22 23 12 31 13 32 33 12 21 23 32 33 22 11
12 21 33 11 23 32 13 22 31 32 21 13 31 23 12 33 22 11
33 32 31
23 22 21
13 12 11

det
a a a a a a a a a a a a a a a
a a a a a a a a a a a a a a a a a a
a a a
a a a
a a a
A
+ =
+ + = =
( )
33 32 31
23 22 21
13 12 11
31
33 32 31
23 22 21
13 12 11
21
33 32 31
23 22 21
13 12 11
11
33 32 31
23 22 21
13 12 11
det
a a a
a a a
a a a
a
a a a
a a a
a a a
a
a a a
a a a
a a a
a
a a a
a a a
a a a
A + = =
Determinant of matrices
13
Evaluate the determinant of theses matrices with
expansion by minors:









0 1 0 1300
10 20 990
10 30 1460
1
= P
0 1 1300 40
10 990 10
10 1460 20
2
= P
1300 0 40
990 20 10
1460 30 20
3
= P
Examples:
Determinant of matrices
18
Some Properties of Determinants
P1: det (A) = det (A
T
)
P2: If all entries of any row or column is zero, then
det (A) = 0
P3: If two rows or two columns are identical, or
linearly dependent then det (A) = 0
P4: If A is a diagonal matrix or upper triangular or
lower triangular matrix, then det(A) is equal to
the product of all diagonal elements.

P5: if , then A is regular and invertible
ii
n
i
a A
1 =
= t
0 = A
26
Some applications of determinant of matrices
Mr. Cramer tells us that we can use determinants
to solve a linear system. (No elimination;No
substitution!)

Cramers Rule on a System of Two Equations
Let A be the coefficient matrix for the system:



If det(A) = 0, then the system has one solution,
and

= +
= +
2 2 22 1 21
1 2 12 1 11
b x a x a
b x a x a
(

=
22 21
12 11
a a
a a
A
A
a b
a b
x
22 2
12 1
1
=
A
b a
b a
x
2 21
1 11
2
=
Gabriel
Cramer
(1750ish)
S = {(x
1
, x
2
)}
27
Example
Solve the system using Cramers Rule.



Step1:
The coefficient matrix for the system and its
determinant are:



Step2:

S = {(-11, 9)}

= +
= +
12 5 3
5 3 2
2 1
2 1
x x
x x
(

= A
= =
1
x
= = A
= =
2
x
Cramers Rule on a System of Two Equations
28
Let A be the coefficient matrix for the system:




If det(A) = 0, then the system has one solution, and







A
a a b
a a b
a a b
x
33 32 3
23 22 2
13 12 1
1
=
(
(
(

=
33 32 31
23 22 21
13 12 11
a a a
a a a
a a a
A

= + +
= + +
= + +
3 3 33 2 32 1 31
2 3 23 2 22 1 21
1 3 13 2 12 1 11
b x a x a x a
b x a x a x a
b x a x a x a
A
a b a
a b a
a b a
x
33 3 31
23 2 21
13 1 11
2
=
A
b a a
b a a
b a a
x
3 32 31
2 22 21
1 12 11
3
=
Cramers Rule on a System of Three Equations
S = {(x
1
, x
2
, x
3
)}
29
Example:
Solve the system using Cramers Rule.




Step1:
The coefficient matrix for the system and its
determinant are:

= +
= + +
= + +
130 4
99 2
146 3 2
3 1
3 2 1
3 2 1
x x
x x x
x x x
(

= A
= = A
Cramers Rule on a System of Three Equations
30
Step2:





















= =
1
x
= =
2
x
= =
3
x
Cramers Rule on a System of Three Equations
S = {( 25, 22, 30)}
Time to Review !

Matrices are used to transcript
information in a system of equations

The determinants of Matrices can be
used to solve a linear system. (No
elimination; No substitution ! Cramer rule)






36
we will see in the next unit
The arithmetic sequences and
arithmetic series.
The Geometric sequences and
Geometric series.
Solve some questions for real world
situations in order to solve problems,
especially economic and financial.



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