In a month, I can sell 420 of my unlicensed Warriors T-shirts at a price of $12. At $18, I sell 180. The T-shirts cost me $8 each, and I bribe the local law enforcement $300 per month to use a corner near a BART station to sell my shirts.

1. Assume price-demand is linear

a. Find the slope of the price-demand function.

b. Find the vertical-intercept of the price-demand function.

c. Write a function to predict demand (in a month) given any price.

d. Predict the demand at a price of $10.

e. What price fetches a demand of 800 shirts?

2. Assume cost is linear.

a. Write a function to predict cost (in a month) given any price.

b. Predict the cost at a price of $10.

Purpose: The purpose of this lab is to study the behavior of static electric charges.

The answers to these questions can be found by watching the videos for PHY124 Lab # 7 Electric Charges. Read each of the statements below and type in the answers to the questions that follow.

When a charged rubber rod is brought near the top of an uncharged electroscope the leaves spread apart. When the rubber rod is removed from the location near the top of the electroscope the leaves fall back down. (Note: the rubber rod will have a net negative charge after being rubbed with the fur.)

1. This is caused by the movement of what electrically charged particle?

2.When rubber rod is brought near the electroscope, the electrically charged particles that moved (the ones that are the answer to question # 1 above) move from what to where?

3.Why do the leaves spread apart when the charged rubber rod is brought near the top of the uncharged electroscope?

4.When the charged rubber rod is removed from the location near the top of the electroscope, between what locations are the electrically charged particles moving as the leaves fall back down?

5. Why do the leaves fall back down after the charged rubber rod is removed from the location near the top of the electroscope?

When a charged glass rod is brought near the top of an uncharged electroscope the leaves spread apart. When the glass rod is removed from the location near the top of the electroscope the leaves fall back down. (Note: the glass rod will have a net positive charge after being rubbed with the silk.)

6. This is caused by the movement of what electrically charged particle?

7.When glass rod is brought near the electroscope, the electrically charged particles that moved (the ones that are the answer to question # 6 above) move from what to where?

8.Why do the leaves spread apart when the charged glass rod is brought near the top of the uncharged electroscope?

9.When the charged glass rod is removed from the location near the top of the electroscope, between what locations are the electrically charged particles moving as the leaves fall back down?

10.Why do the leaves fall back down after the charged glass rod is removed from the location near the top of the electroscope?

When a charged glass rod is carefully dragged across the ball at the top of an uncharged electroscope and then removed from the location of the electroscope the leaves spread apart and stay apart.

11. The electric charges that moved under these conditions have moved from what to where?

If after charging the electroscope with the glass rod, the glass rod is recharged and brought near the top of the electroscope, the leaves at the bottom of the electroscope try to spread apart even further.

12.Between what locations are the electric charges moving? (I am referring only to the electric charges that are actually moving when the recharged glass rod is brought near the top of the electroscope.)

If after charging the electroscope with the glass rod, the rubber rod is charged and brought near the top of the electroscope, the leaves at the bottom of the electroscope will fall down.

13. What is happening to cause the leaves to fall when the charged rubber rod is initially brought near the top of the electroscope? (This is done after the electroscope has been charged with the glass rod.)

If the charged rubber rod is brought close enough to the top of the electroscope (with the electroscope initially charged with the glass rod) the leaves can be made to spread apart again after they are made to fall.

14.What is happening to cause the leaves to spread apart again (after they fall)?

When the rubber rod is rubbed with the fur, the rubber rod develops a net negative charge and the fur develops a net positive charge. When the glass rod is rubbed with the silk, the glass rod develops a net positive charge and the silk a net negative charge. But if plastic rod is rubbed with either the fur or silk the plastic rod develops a net negative charge.

15. What determines which material gets what type of charge when two different insulators are rubbed together?

16. What do we mean when we say that a material is a good electrical conductor?

17. What do we mean when we say that a material is a good electrical insulator?

18. What determines whether a material is going to be a good electrical conductor or a good electrical insulator?

19. Coulomb’s Law tells us that objects with opposite electric charges will attract each other and objects with similar electric charges will repel by an amount that is directly proportional to the product of the charges on those objects and inversely proportional to the square of the distances between them. With that being the case, how is it that an electrically neutral object (like water) could be attracted to an object with a net electric charge?

Could you answer as many as possible?

Case – Recreational Park Project
The public has recognized the benefits of recreation and parks as essential to their health and quality of life. A recent survey conducted in 2016 found that the construction of more recreational facilities was a top priority among residents in Lazarette Town (in the Caribbean).
As such, the town council in Lazarette, with the help of other key stakeholders, has sourced and secured three (3) million dollars of grant funds from the Caribbean Wellness Community (CWC) for the development of a mini outdoor recreational park on three (3) acres of land donated by a benevolent resident of the town.   
The park will contain sporting facilities among other recreational facilities (e.g. walking trails, children playground, tennis court, basketball court, work out stations, benches, shower facilities, rest rooms etc.). All major key stakeholders and sponsors have unanimously agreed that that the facility should cater for residents of all ages. Additionally, a group of minority stakeholders has expressed their requirements of having an eco-friendly and climate resilient facility. The park should be completed and ready for use by 2022, i.e. the project duration should not exceed two years.
To ensure that the project is completed on time, within scope and on budget, the funding agency and the Lazarette Town Council require that a dedicated and knowledgeable project team is assigned to the project. CWC has expressed the need for the project deliverables to be of ‘high’ quality to guarantee stakeholders’ satisfaction and safety. The CWC requires that ‘tight’ procurement processes should be followed to ensure transparency, accountability and economy. It is anticipated that most of the goods, works and services for building the park will be procured from vendors, suppliers and contractors in the town. In addition, CWC has detailed the need for both positive and negative projects risk to be properly managed throughout the project.
In response to CWC implied and expressed requirements, the Lazarette Town Council has selected and appointed your team to provide project management services for the Recreational Park Project. As a proactive team, your team has decided to use ‘best practices’ in project management to plan project activities and get approval from key project stakeholders before constructing or building the facility. Give the type and nature of the project, the intention is to use a traditional/waterfall approach to project management activities instead of the largely popular and contemporary agile methodology used other industries.   
Your team understands the value of planning before doing, and the council’s concerns of not losing the grant funding from CWC. In addition, your team is keen on building a good reputation in the
town. With a can do attitude and the need to increase the chances of the project success, the project management team (your 5-member group) is determined to ensure that the team utilizes the ‘best practices’ for planning, executing and controlling this valuable community based project.

1.Develop a quality management plan to consist of quality management approach,quality requirements and standard,quality assurance,quality control and quality control measures.

Case – Recreational Park Project

The public has recognized the benefits of recreation and parks as essential to their health and quality of life. A recent survey conducted in 2016 found that the construction of more recreational facilities was a top priority among residents in Lazarette Town (in the Caribbean).

As such, the town council in Lazarette, with the help of other key stakeholders, has sourced and secured three (3) million dollars of grant funds from the Caribbean Wellness Community (CWC) for the development of a mini outdoor recreational park on three (3) acres of land donated by a benevolent resident of the town.

The park will contain sporting facilities among other recreational facilities (e.g. walking trails, children playground, tennis court, basketball court, work out stations, benches, shower facilities, rest rooms etc.). All major key stakeholders and sponsors have unanimously agreed that that the facility should cater for residents of all ages. Additionally, a group of minority stakeholders has expressed their requirements of having an eco-friendly and climate resilient facility. The park should be completed and ready for use by 2022, i.e. the project duration should not exceed two years.

To ensure that the project is completed on time, within scope and on budget, the funding agency and the Lazarette Town Council require that a dedicated and knowledgeable project team is assigned to the project. CWC has expressed the need for the project deliverables to be of ‘high’ quality to guarantee stakeholders’ satisfaction and safety. The CWC requires that ‘tight’ procurement processes should be followed to ensure transparency, accountability and economy. It is anticipated that most of the goods, works and services for building the park will be procured from vendors, suppliers and contractors in the town. In addition, CWC has detailed the need for both positive and negative projects risk to be properly managed throughout the project.

In response to CWC implied and expressed requirements, the Lazarette Town Council has selected and appointed your team to provide project management services for the Recreational Park Project. As a proactive team, your team has decided to use ‘best practices’ in project management to plan project activities and get approval from key project stakeholders before constructing or building the facility. Give the type and nature of the project, the intention is to use a traditional/waterfall approach to project management activities instead of the largely popular and contemporary agile methodology used other industries.

Your team understands the value of planning before doing, and the council’s concerns of not losing the grant funding from CWC. In addition, your team is keen on building a good reputation in the

town. With a can do attitude and the need to increase the chances of the project success, the project management team (your 5-member group) is determined to ensure that the team utilizes the ‘best practices’ for planning, executing and controlling this valuable community based project.

1. Justify the need to effectively manage quality for the project.

Case – Recreational Park Project

The public has recognized the benefits of recreation and parks as essential to their health and quality of life. A recent survey conducted in 2016 found that the construction of more recreational facilities was a top priority among residents in Lazarette Town (in the Caribbean).

As such, the town council in Lazarette, with the help of other key stakeholders, has sourced and secured three (3) million dollars of grant funds from the Caribbean Wellness Community (CWC) for the development of a mini outdoor recreational park on three (3) acres of land donated by a benevolent resident of the town.

The park will contain sporting facilities among other recreational facilities (e.g. walking trails, children playground, tennis court, basketball court, work out stations, benches, shower facilities, rest rooms etc.). All major key stakeholders and sponsors have unanimously agreed that that the facility should cater for residents of all ages. Additionally, a group of minority stakeholders has expressed their requirements of having an eco-friendly and climate resilient facility. The park should be completed and ready for use by 2022, i.e. the project duration should not exceed two years.

To ensure that the project is completed on time, within scope and on budget, the funding agency and the Lazarette Town Council require that a dedicated and knowledgeable project team is assigned to the project. CWC has expressed the need for the project deliverables to be of ‘high’ quality to guarantee stakeholders’ satisfaction and safety. The CWC requires that ‘tight’ procurement processes should be followed to ensure transparency, accountability and economy. It is anticipated that most of the goods, works and services for building the park will be procured from vendors, suppliers and contractors in the town. In addition, CWC has detailed the need for both positive and negative projects risk to be properly managed throughout the project.

In response to CWC implied and expressed requirements, the Lazarette Town Council has selected and appointed your team to provide project management services for the Recreational Park Project. As a proactive team, your team has decided to use ‘best practices’ in project management to plan project activities and get approval from key project stakeholders before constructing or building the facility. Give the type and nature of the project, the intention is to use a traditional/waterfall approach to project management activities instead of the largely popular and contemporary agile methodology used other industries.

Your team understands the value of planning before doing, and the council’s concerns of not losing the grant funding from CWC. In addition, your team is keen on building a good reputation in the

town. With a can do attitude and the need to increase the chances of the project success, the project management team (your 5-member group) is determined to ensure that the team utilizes the ‘best practices’ for planning, executing and controlling this valuable community based project.

1. Create an appropriate quality management plan for the project.

Recreational Park Project
The public has recognized the benefits of recreation and parks as essential to their health and quality of life. A recent survey conducted in 2016 found that the construction of more recreational facilities was a top priority among residents in Lazarette Town (in the Caribbean).
As such, the town council in Lazarette, with the help of other key stakeholders, has sourced and secured three (3) million dollars of grant funds from the Caribbean Wellness Community (CWC) for the development of a mini outdoor recreational park on three (3) acres of land donated by a benevolent resident of the town.   
The park will contain sporting facilities among other recreational facilities (e.g. walking trails, children playground, tennis court, basketball court, work out stations, benches, shower facilities, rest rooms etc.). All major key stakeholders and sponsors have unanimously agreed that that the facility should cater for residents of all ages. Additionally, a group of minority stakeholders has expressed their requirements of having an eco-friendly and climate resilient facility. The park should be completed and ready for use by 2022, i.e. the project duration should not exceed two years.
To ensure that the project is completed on time, within scope and on budget, the funding agency and the Lazarette Town Council require that a dedicated and knowledgeable project team is assigned to the project. CWC has expressed the need for the project deliverables to be of ‘high’ quality to guarantee stakeholders’ satisfaction and safety. The CWC requires that ‘tight’ procurement processes should be followed to ensure transparency, accountability and economy. It is anticipated that most of the goods, works and services for building the park will be procured from vendors, suppliers and contractors in the town. In addition, CWC has detailed the need for both positive and negative projects risk to be properly managed throughout the project.
In response to CWC implied and expressed requirements, the Lazarette Town Council has selected and appointed your team to provide project management services for the Recreational Park Project. As a proactive team, your team has decided to use ‘best practices’ in project management to plan project activities and get approval from key project stakeholders before constructing or building the facility. Give the type and nature of the project, the intention is to use a traditional/waterfall approach to project management activities instead of the largely popular and contemporary agile methodology used other industries.   
Your team understands the value of planning before doing, and the council’s concerns of not losing the grant funding from CWC. In addition, your team is keen on building a good reputation in the
town. With a can do attitude and the need to increase the chances of the project success, the project management team (your 5-member group) is determined to ensure that the team utilizes the ‘best practices’ for planning, executing and controlling this valuable community based project.

1. Create an appropriate quality management plan for the project.

2. Justify the need to effectively manage quality for the project.

US Hotelier and Chinese Insurer Contest Ownership of Starwood In March 2016, struggling US hotel group, Starwood Hotels and Resorts, owner of Weston and Sheraton Hotels, found itself in a bidding war. It had accepted an offer of $10.8bn (€8.1bn, £6.5bn) in cash and stock from US hotelier Marriott International the previous year. Whilst discussing the details of the acquisition, due to close in March 2016, Beijing-based Anbang Insurance Group made an unsolicited offer of $12.9bn. Marriott responded by increasing its offer to $13.6bn and Starwood investors eagerly awaited higher bids.

If Marriott succeeded it would create the world’s largest hotel company with 5500 owned or franchised hotels with 1.1 million rooms under 30 brands. Marriott believed it was a compelling bidder having demonstrated multi-year industry-leading growth, powerful brands and consistent return of capital to shareholders, with shares trading consistently above those of its peers. Having already conducted five months of extensive investigation and joint integration planning with Starwood, including careful analysis of the brand architecture, Marriott was confident it could make annual cost savings of $250m, generate greater long-term shareholder value from a larger global presence and offer wider choice of brands to consumers and improved economics to owners and franchisees.

Little known outside of China before 2013, Anbang Insurance Group originated as a small car insurer, before China’s move to give insurers greater freedom to invest their money. This allowed Anbang to sell investment products and other services, making them major players in real estate. A slowing Chinese economy and devaluing currency encouraged many domestic companies to invest overseas and Anbang then aggressively pursued overseas deals, largely fuelled by selling high yield investment products at home. Having spent $2bn on insurers in Belgium and South Korea, Anbang also made many large US acquisitions including the Waldorf Astoria for $1.95bn, the American insurer, Fidelity & Guaranty Life Insurance ($1.6bn) and the biggest-ever acquisition of American property assets by a mainland Chinese buyer, Strategic Hotels and Resorts ($6.5bn), owner of Four Seasons hotels, the Fairmont and Intercontinental hotels and the JW Marriott Essex House hotel. As a late bidder, Anbang had had little time for in-depth investigation of Starwoods but was making its bid in a consortium that included American private equity firm J.C. Flowers & Company. With close personal links to the Chinese Government, commentators believed Anbang could greatly increase Starwood’s cash reserves.

On 28 March, Anbang raised its bid to $14bn and analysts wondered whether Marriott would be able to raise its offer further as increasing the cash part of its offer could threaten its investment-grade rating and adding more stock would dilute its earnings per share. Marriott’s response was to say that its offer was not just about price. It also questioned whether Anbang had sufficient funds to close the deal and whether the Committee on Foreign Investment (Cfius), which reviews all deals for American companies that involve national security, would intervene as it had with the Waldorf sale, although this had been approved. Starwood properties could be deemed to be near government offices and military bases. This could delay the deal and possibly discourage Anbang’s bid. Commentators also wondered whether they had the skills to manage Starwood as the management team at its Belgian acquisition had left quickly amid complaints about Anbang’s management style.

Questions

1. How do the bidders’ acquisition motives differ?

2. What are the strategic and organisational fit implications of both bids?

Please answer questions 2 through 7

1. A deli raises the price of its deluxe cheeseburger from $9.50 to $10.50. The quantity sold falls from 125/day to 100/day. Calculate the arc price elasticity of demand.

2. Given your answer to (1), and given that the marginal cost of is $5, should the restaurant raise or lower its price of its deluxe cheeseburger to increase profits?

3. AutoClean does car detailing for $80 per car. Market research indicates that if the price was increased to $105 quantity demanded would fall to zero. Assuming that demand can be modeled with a linear demand curve, estimate the price elasticity of demand at $80.

4. The only thing that changes in Dullsville is the price of a stay at the Dullsville Inn. You've collected the following data on the rates charged (for a suite with 2 queen-sized beds and 'free' continental breakfast) and the number of rooms occupied. The Inn has 100 suites, and at no time were potential visitors turned away due to no vacancy. Use this data to estimate a 'constant elasticity' demand function. Estimate the price elasticity of demand.

Observation Rate per night Quantity (rooms rented)

1 $70 40

2 $65 50

3 $80 30

4 $52 62

5 $92 31

6 $64 41

7 $43 78

8 $74 35

9 $83 33

10 $54 52

11 $87 30

12 $84 28

13 $68 40

14 $43 69

15 $48 53

16 $78 34

17 $72 48

18 $58 53

19 $56 59

5 - 7. Next door to the Dullsville Inn is the Vagabond Hotel. Their rate for a single room is $50/night, with an average of 60 rooms occupied per night. Assume that the industry norm for the price elasticity of demand for hotels like the Vagabond Hotel is -1.6. Further assume that the demand function is reasonably approximated with a constant-price elasticity of demand functional form: Q = aP^b, where b is the price elasticity of demand.

5. Use the above information to calculate the value for 'a.'

6. Use the resulting demand function to estimate the number of rooms occupied if the price was increased to $60/night.

7. The marginal cost of providing a room at the Vagabond Hotel is $20. Use the markup rule for profit maximization to calculate the profit maximizing rate.