In: Economics
Key definition:
the four types of agglomeration economics
Resources Vs Market oriented firms
central park theory
labor pooling
urban utility curve
In: Economics
In: Economics
Key definition:
the four types of agglomeration economics
Resources Vs Market oriented firms
central park theory
labor pooling
urban utility curve
In: Economics
In: Civil Engineering
How can a hotel sales representative identify who is responsible for purchasing meeting space, banquets, and rooms for corporate travelers in the corporate headquarters of an insurance company?
In: Accounting
1. There are 9 members on a board of directors. If they must form a subcommittee of 6 members, how many different subcommittees are possible?
60,480
720
84
531,441
2. A card is drawn at random from a well-shuffled deck of 52 cards. What is the probability of drawing a face card or a 5?
16
3. A pitching machine throws 70% strikes and 30% balls.
Five pitches will be thrown by the machine.
What is the probability the machine will throw one ball and four
strikes?
0.3 × 0.74
0.3 + 4 × 0.7
5 × 0.3 × 0.74
none of these
4. Suppose that A, B are two independent events, with
P(A) = 0.1 and P(B) = 0.2.
Find P(A or B).
0.15
0.02
0.30
0.28
In: Statistics and Probability
4. you are trying to develop a strategy for investing in two different stocks. The anticipated annual return for a $1,000 investment in each stock under four different economic conditions has the following probability distribution:
| Probability | Economic Condition | Return Stock X | Return Stock Y |
| 0.1 | Recession | −100 | 50 |
| 0.3 | Slow growth | 0 | 150 |
| 0.3 | Moderate growth | 80 | -20 |
| 0.3 | Fast growth | 150 | -100 |
a. Expected return for stock X and for stock Y.
b. Standard deviation for stock X and for stock Y.
c. Covariance of stock X and stock Y.
d. Would you invest in stock X or stock Y? Explain
In: Economics
Suppose the installation time in hours for a software on a laptop has probability density function f(x) = (4/3) (1 − x3 ), 0 ≤ x ≤ 1.
(a) Find the probability that the software takes between 0.3 and 0.5 hours to be installed on your laptop.
(b) Let X1, . . . , X30 be the installation times of the software on 30 different laptops. Assume the installation times are independent. Find the probability that the average installation time is between 0.3 and 0.5 hours. Cite the theorem you use.
(c) Instead of taking a sample of 30 laptops as in the previous question, you take a sample of 60 laptops. Find the probability that the average installation time is between 0.3 and 0.5 hours. Cite the theorem you use.
In: Math
Review Question
1. What is sales revenue forecasting?
2. What types of data are needed to forecast sales or revenues?
3. What is cost estimation?
4. What is the first step managers need to complete when estimating costs?
20. How does technology affect costs?
22. Identify three environmental factors that affect business decisions related to costs.
25. How does technological innovation generally affect a firm' s costs?
27. What is meant by the learning curve?
28. What are controllable costs?
Exercise and Problems
6. Mega Profits Company estimated its annual total cost function to be: Y = $150,000 + $.57 x Assuming that Y represents total cost and x equals the number of units sold, use this equation to answer the following questions:
a. What is the firm' s total fixed cost?
b. What is the firm' s variable cost per unit?
c. Compute total costs if the firm sells 100,000 units.
d. Compute total costs if the firm sells 200,000 units.
e. If the firm' s product sells for $1.00, how many units does the firm need to sell to break even?
f. If the firm' s product sells for $1.50, how many units does the firm need to sell to break even?
7. Morrison Hotel uses its banquet room to host parties, dinner dances, and business meetings. The hotel serves meals and provides a variety of services for each event. A local consultant analyzed recent cost data and estimated the total cost function per event to be as follows: Y = $1,000 + $9.00 x Assuming that Y represents total cost and x equals the number of guests, use this equation to answer the following questions:
a. What is the firm' s total fixed cost per event?
b. What is the firm' s variable cost per guest?
c. Compute total costs if 50 guests attend the event.
d. Compute total costs if 100 guests attend an event.
e. If the hotel charges $25.00 per guest, how many guests must attend for the hotel to break even at each event?
f. If the hotel charges $28.00 per guest, how many guests must attend for the hotel to break even at each event?
g. If the hotel charges $28.00 per guest, would you advise this hotel to host events for 50 or fewer guests? Why or why not?
3. Durango Mountain Bike Company wants to open a bicycle repair shop in a suburb of a major metropolitan area. The industry association estimates that 20 percent of bicycles are repaired by similar service companies and that the average owner spends $100 per bicycle on maintenance each year. The census and local chamber of commerce data indicate that there are 10,000 bicycles in the county. Three other competitors exist within a twenty-five-mile radius of the proposed business location. Based on a consumer survey, the owners believe that they can capture 30 percent of the market in the first year of operation. Based on these data, address the following requirements:
a. What is the potential number of bicycles likely to be commercially repaired?
b. What is the total potential bicycle repair revenue available in the market?
c. How much revenue can Durango Mountain Bike expect to generate?
In: Accounting