You are considering purchasing a savings bond that will pay you $100 per year. The market interest rate currently is 5% per year.

(a) If this savings bond is a perpetuity (paying the same amount forever), what its price (or present value)?

(b) Suppose instead that the bond pays $100 per year for 20 years. What is its price in this case?

(c) The interest rate goes up, to 8% per year. What will happen to the price of the 20-year savings bond from part (b)? Explain how you reached your conclusion.

Hello:

I am working on some homework problems for decision modeling. Here is the question: The weekly deman for a slow moving product has the following probability mass function:

Demand, x Probability f(x)

0 0.2

1 0.4

2 0.3

3 0.1

4 or more 0

Use VLOOKUP to generate 25 random variates from this distribution. I know i have to use RAND and VLOOKUP I just cannot get it to give me 25 random numbers. Thank you for any help you can give me.

10. Suppose that X, Y and Z are normally distributed where X ≈ N(100,100), Y ≈ N(400, 400) and

Z ≈ N(64,64). Let W = X + Y + Z.

a) Describe the distribution of W, give a name and parameters E(W) and Var(W).

b) Use Excel or R to generate 200 random values for X, Y and Z. Add these to obtain 200 values for W. Create a histogram for W. In Excel use the NORMINV(rand(),mean, sd) function.

c) Estimate E(W) and Var(W) using the random numbers.

1. As the CEO of Gelta Airlines, your compensation is tied to the performance of firm. You know that fuel price has a significant impact on the performance of the firm. To avoid operating losses from high fuel prices, you are considering 100 call contracts (1 contract = 100 call options) with exercise price of $30/barrel. Its price is either $25 or $50 at the end of the year. The risk-free rate is 10% and the current market price of the stock is $28.
   1. What is the replicating portfolio strategy? Specify the investments.
   2. What is the no arbitrage condition?
   3. What is the value of these call contracts?
   4. If the exercise price is $20, then what are the answers for parts a, b, and c?
   5. Considering a frictionless market, how do shareholders react on the disclosure of such contracts?

**** Only Need answers for questions g and h****

Suppose that, in the absence of insurance, the daily demand for visits to a clinic is given by Qd = 200 – 0.5P, where c is the coinsurance rate and P is the price charged by the clinic.

a) Calculate the quantity demanded when P is $100.

b) Calculate daily revenues when P is $100.

Now assume that customers pay a coinsurance rate, c. You will need to modify the demand function to account for the coinsurance.

c) Calculate the quantity demanded when P is $100 and the coinsurance rate is 0.4.

d) Calculate the daily revenue for the values given in (c).

e) Calculate the quantity demanded when P is $100 and the coinsurance rate is 0.8.

f) Calculate the daily revenue for the values given in (e).

Assume the clinic’s daily capacity is 100 customers.

g) Calculate the price the clinic should set to exactly use its entire capacity when there is no coinsurance (i.e., the co-coverage rate is 1).

h) Calculate the price the clinic should set to exactly use its entire capacity when there is a coinsurance rate of 0.8

Answers:

1. 150
2. 15000
3. 110
4. 11000
5. 70
6. 7000

Massmart, the second largest retailer in Africa, is a subsidiary of Wal-Mart Inc., a U.S. company. Massmart reports its accounts in its local currency, the rand (R). Wal-Mart’s fiscal year ends January 31. On February 1, 2018, Massmart reports facilities with original cost of R500 million and accumulated depreciation of R280 million in its noncurrent assets, as follows:

• Buildings acquired at a cost of R175 million when the exchange rate was $0.15/R, with accumulated depreciation of R100 million. The buildings are being depreciated on a straight-line basis over 25 years.

• Equipment acquired at a cost of R325 million when the exchange rate was $0.12/R, with accumulated depreciation of R180 million. The equipment is being depreciated on a straight-line basis over 10 years.

Additional exchange rates:

Massmart still holds these facilities at January 31, 2019.

Required

a. Assume that Massmart’s functional currency is the rand. Calculate Massmart’s translated facilities, at cost, and related accumulated depreciation, at January 31, 2019, and its translated depreciation expense for fiscal 2019.

b. Now assume that Massmart’s functional currency is the U.S. dollar. Calculate Massmart’s remeasured facilities, at cost, and related accumulated depreciation, at January 31, 2019, and its remeasured depreciation expense for fiscal 2019.

Enter answers using all zeros (do not abbreviate to millions or thousands).

I am able to figure the facilities at cost but having problems with the rest

QUESTION 3

NOTE: Where present value tables are required, use tables with 4 decimal places.

REQUIRED
Study the information given below and answer the following questions without the use of a financial
calculator:
3.1 Calculate the Payback Period of Project B. (Answer must be expressed in years,
months and days.)


3.2 Calculate the Average Rate of Return of Project B. (Express your answer to two
decimal places.)
3.3 Calculate the Net Present Value of both projects. (Round off amounts to the
nearest Rand.)
3.4 Refer to your answers in question 3.3 and state which project should be chosen.
Give a reason for your answer. (1 mark)
3.5 Calculate the Internal Rate of Return of Project A, if the net cash inflow is
R200 000 per year for 5 years. (Express your answer to two decimal places.)
INFORMATION
Two projects are being evaluated for possible investment by Rand Limited. Forecasts relating to the
two projects are as follows:
Project A Project B
Initial investment R750 000 R750 000
Expected useful life 5 years 5 years
Estimated salvage value 0 0
Average annual profit R100 000 R144 000
Annual net cash flows: R R
Year 1 250 000 150 000
Year 2 250 000 170 000
Year 3 250 000 250 000
Year 4 250 000 400 000
Year 5 250 000 500 000

The cost of capital is 15%.

1. Given below are a set of foreign exchange quotes for several currencies against the Australian dollar as of August 5, 2020.

Australian Dollar Exchange Rates

(a) A friend of yours is totally confused by these rates. She is planning to visit Thailand next month and wishes to purchase 10,000,000 Baht. How many Australian dollars does she require, assuming she is able to use the above quotes?

(b) What are the direct quotes for the following currencies with respect to the Australian dollar?

(i) UK pound

(ii) Chinese Renminbi

(iii) Indian rupee

(iv) Malaysian ringgit

(v) South African rand

(c) Create a table showing the bid and ask quotes of each of the following currency pairs:

(i) GBP/CHF

(ii) PHP/THB

(iii) HKD/MYR

(iv) JPY/INR

(v) RMB/ZAR

(d) On August 5, 2020, you received 100,000 ZAR. Using the rates in the above chart how many AUD will you receive upon selling this?

Please, Answer all parts( a,b,c,d) in Question 1 and step by step. Also, by word document or by keyboard

1. Given below are a set of foreign exchange quotes for several currencies against the Australian dollar as of August 5, 2020.

Australian Dollar Exchange Rates

(a) A friend of yours is totally confused by these rates. She is planning to visit Thailand next month and wishes to purchase 10,000,000 Baht. How many Australian dollars does she require, assuming she is able to use the above quotes?

(b) What are the direct quotes for the following currencies with respect to the Australian dollar?

(i) UK pound

(ii) Chinese Renminbi

(iii) Indian rupee

(iv) Malaysian ringgit

(v) South African rand

(c) Create a table showing the bid and ask quotes of each of the following currency pairs:

(i) GBP/CHF

(ii) PHP/THB

(iii) HKD/MYR

(iv) JPY/INR

(v) RMB/ZAR

(d) On August 5, 2020, you received 100,000 ZAR. Using the rates in the above chart how many AUD will you receive upon selling this?

Write a C program that asks the user to guess a number between 1 and 15(1 and 15 are included). The user is given three trials.

This is what I have so far.

/*
Nick Chioma
COP 3223 - HW_2
*/

#include <iostream>
#include <time.h> // needed for time function
#include <stdlib.h> // needed for srand, rand functions

int main () {
  
   int numbertoguess, num, correct, attempts;
  
   srand(time(NULL)); //this initializes the random seed, making a new one every time
   numbertoguess = rand() % 15 + 1; //generates a number between 1 and 15
  
   //Guessing game begins
   printf("Welcome to the guess-a-number game!\n");
   printf("I'm thinking of a number between 1 and 15. What is it? : ");
  
   correct = 0;
   attempts = 0;
  
   while (attempts <= 3) {
       scanf("%d", &num);
  
   if (num > numbertoguess) {
       attempts++;
       printf("No, try something lower : ");
   }
   else if (num < numbertoguess); {
       attempts++;
       printf("No, try something higer: ");
   }
   if (attempts == 3); {
       printf("Sorry, you failed!");
   }
   if (num == numbertoguess) {
       printf("That was %d!", numbertoguess);
       correct = 1;
   }
  

}
  
   return 0;
  
}

My problem is:

1) The program does not actually end after 3 tries

2) If you do guess the correct answer the program does not stop looping and I am not sure why.

3) I also have been getting a weird "[Error] Id returned 1 exit status

If anyone could give me some insight that would be amazing, thank you.