Difference equations with piecewise continuous nonlinearities and their singular perturbations, first order neutral type delay differential equations with small parameters, are considered. Solutions of the difference equations are shown to be asymptotically periodic with period-adding bifurcations and bifurcations determined by Farey's rule taking place for periods and types of solutions. Solutions of the singularly perturbed delay differential equations are considered and compared with solutions of the difference equations within finite time intervals. The comparison is based on a continuous dependence of solutions on the singular parameter.
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