Five years ago a XYZ stock paid a $1.15 dividend. Since then it has split two for one once and three for two twice. XYZ current earnings per share are $1.15, and the plowback ratio is 50%. The dividends are expected to grow with their historical rate for the next three years. Beginning year four, XYZ return on equity is expected to be 9%. If the firm’s appropriate discount rate is 13.5% what the stock price should be? (40 points)
In: Finance
In: Civil Engineering
The SAT and the ACT are the two major standardized tests that colleges use to evaluate candidates. Most students take just one of these tests. However, some students take both. The data data478.dat gives the scores of 60 students who did this. How can we relate the two tests?
obs sat act 1 736 16 2 958 17 3 787 17 4 626 16 5 887 16 6 1152 20 7 888 23 8 862 23 9 1276 26 10 903 19 11 720 16 12 1108 25 13 723 14 14 933 20 15 1332 28 16 1070 23 17 878 21 18 832 20 19 624 17 20 757 16 21 727 14 22 751 14 23 1158 23 24 905 21 25 993 22 26 669 15 27 468 11 28 926 18 29 553 13 30 1006 21 31 805 13 32 801 15 33 1191 20 34 1230 29 35 1043 24 36 687 17 37 769 19 38 864 21 39 748 16 40 1036 20 41 991 21 42 1000 20 43 698 16 44 1032 26 45 723 22 46 647 8 47 1288 27 48 856 19 49 557 14 50 901 21 51 814 16 52 789 14 53 885 23 54 692 15 55 1059 25 56 1198 27 57 1047 23 58 815 19 59 1223 22 60 1110 28
(a) Plot the data with SAT on the x axis and ACT on the
y axis. Describe the overall pattern and any unusual
observations.
(b) Find the least-squares regression line and draw it on your
plot. Give the results of the significance test for the slope.
(Round your regression slope and intercept to three decimal places,
your test statistic to two decimal places, and your
P-value to four decimal places.)
| ACT = | + (SAT) |
| t = | |
| P = |
(c) What is the correlation between the two tests? (Round your
answer to three decimal places.)
In: Statistics and Probability
The SAT and the ACT are the two major standardized tests that colleges use to evaluate candidates. Most students take just one of these tests. However, some students take both. The data data297.dat gives the scores of 60 students who did this. How can we relate the two tests?
(a) Plot the data with SAT on the x axis and ACT on the
y axis. Describe the overall pattern and any unusual
observations.
(b) Find the least-squares regression line and draw it on your
plot. Give the results of the significance test for the slope.
(Round your regression slope and intercept to three decimal places,
your test statistic to two decimal places, and your
P-value to four decimal places.)
| ACT = | + (SAT) |
| t = | |
| P = |
(c) What is the correlation between the two tests? (Round your
answer to three decimal places.)
obs sat act 1 846 15 2 713 19 3 647 13 4 1092 23 5 798 18 6 623 14 7 896 19 8 828 21 9 641 13 10 1038 22 11 715 13 12 872 19 13 867 25 14 776 18 15 824 19 16 935 22 17 848 17 18 497 15 19 627 12 20 911 17 21 1024 23 22 699 15 23 1046 27 24 866 19 25 1114 29 26 1004 20 27 771 20 28 738 16 29 822 23 30 757 16 31 946 21 32 721 15 33 1066 21 34 1051 24 35 691 16 36 861 14 37 836 18 38 706 19 39 785 15 40 964 19 41 1080 25 42 893 22 43 1039 25 44 802 17 45 543 15 46 1135 22 47 963 24 48 538 10 49 770 19 50 994 22 51 1303 29 52 492 8 53 921 18 54 850 18 55 609 12 56 848 21 57 963 17 58 841 14 59 1068 24 60 1131 25
In: Statistics and Probability
On January 1, 2008, a company’s balance sheet showed the following:
Assets $100
Liabilities 40
Stockholders’ equity 60
During January, the company had the following transactions:
(a) purchased supplies on account, $10
the balance
The company’s January 31, 2008 Balance Sheet will show
Assets Liabilities Stockholders’ equity
a. $200 $130 $ 70
b. $185 $130 $ 55
c. $180 $130 $ 50
d. $145 $ 90 $ 55
e. none of the above
In: Accounting
In: Finance
In: Finance
Marianne Kramer, the owner of Handy Man Rentals, rents carpet cleaners to contractors and walk-in customers. She is interested in arriving at a forecast of rentals so that she can order the correct quantities of supplies that go with the cleaners. Data for the last 10 weeks are shown here.
Week 1 2 3
4 5 6 7
8 9 10
Rentals 21 14 29
26 29 11 26
26 12 19
a. Prepare a forecast for weeks 6 through 10 by using a 4-week moving average
. (Enter your responses rounded to two decimal places.)
|
Week |
Forecast |
|
6 |
|
7 |
|
8 |
|
9 |
|
10 |
What is the forecast for week 11?
rentals. (Enter your response rounded to two decimal places.)
b. The mean absolute deviation as of the end of week 10 is
rentals. (Enter your response rounded to two decimal places.)
In: Operations Management
A researcher wanted to know if a particular brand was preferred by different age groups. The researcher observed the data below. Is there a relationship between age and brand?
|
Brand A |
Brand B |
Brand C |
|
|
Under 30 |
120 |
130 |
110 |
|
30 – 50 |
77 |
127 |
140 |
|
50 and older |
84 |
100 |
98 |
Please use only Chi-Squared test
In: Statistics and Probability
Assume that you are working at a manufacturing company and trying to decide between the following two projects:
|
Year-End Cash Flows $ thousands) |
|||
|
Project |
0 |
1 |
2 |
|
A |
-27 |
16 |
21 |
|
B |
-77 |
40 |
50 |
Q1. If the cost of capital is 8%, use the incremental IRR rule to make the decision.
Q2. If the cost of capital is the same as the Q1, determine the NPV of each project.
In: Finance