Question 1
A local government board hired you to recommend which of the two possible sites should be chosen for a new recycling facility. Location A is much closer to the city center, and thus the average hauling distance would only be 2 miles, while Location B being outside of the city would result in an average hauling distance of 5 miles. Public funds will have to be used to pay for the leasing cost of the site, which would be $50,000 a year for Location A and $10,000 a year for Location B, as well as for the hauling cost which is $200 per mile for each trip. Assuming 3,000 trips will be made per year, which location should be chosen based on the overall cost?
Question 2 :
Metal ABC produces sheets of metal. Its fixed cost in year 2019 is $1,000,000. The variable cost is $400 per sheet. a. Find the break-even quantity assuming the selling price is $500 per sheet. b. Find the price and quantity that will result in maximum profit, assuming the demand function is ? = $10,000 − 6?. How much profit will be made using the profit-maximizing price and quantity values?
In: Finance
JAVA please
Program 4: Is there a Prius version? Did you know that the average Boeing 747 airplane uses approximately 1 gallon of fuel per second? Given the speed of the airplane, that means it gets 5 gallons to the mile. No, not 5 miles to the gallon, 5 gallons to the mile. You may be questioning why such a horribly inefficient machine is allowed to exist, but you’ll be happy to find out that, because this airplane hold 568 people, it averages about 0.01 gallons per person – (100 miles per gallon per person). Your job is to design (pseudocode) and implement (source code) a program that asks the user for a distance the plane has to fly (i.e. the length of the trip) and also asks the cost of jet fuel (which is currently $1.80 per gallon). The program should then calculate the total fuel charges to make the trip. Next, ask the user how many people will fly, as well as the average cost of a ticket. Finally, print the total profit made (or lost) and the average gas mileage per person. Document your code and properly label the input prompts and the outputs as shown below.
In: Computer Science
5. You are preparing a project to lay fiber optic cable. The first task is to mobilize the team. You estimate this will take one week and cost $4000. The second task is to lay the cable. This will take three weeks and will cost $30,000. The total length of the cable is 15 miles. The last task, which will take one week, is to terminate and test the cable. You budget $6000 for this. At the end of the first week, you have completed mobilization, but it cost a total of $4500. At the end of the third week, you have completed five miles of cable at a total cost of $28,000 (installation only). It takes you a total of 10 weeks to complete the entire project, for a total cost of $75,000.
a. At the end of week 1: i. What is your SPI? ii. What is your CPI? iii. What is your EAC?
b. At the end of week 3: i. What is your SPI? ii. What is your CPI? iii. What is your EAC?
c. At the end of the project: i. What is your SPI? ii. What is your CPI? iii. What is your EAC?
Can someone show me how to do this on Excel?
Thanks
In: Operations Management
Full Limo Inc. offers high-end transportation services between the King of Prussia Mall (KPM) and Center City Philadelphia (22.5 miles). The invested capital is $800,000, corresponding to the investment in the 4 luxury vans it owns (you can ignore all other invested capital). Each van can carry 10 passengers. Each van makes 12 daily trips from Philadelphia to KPM and 12 from KPM to Philadelphia. The company charges $10 for each one-way ride. The current load factor is 40% (that is, each ride has 4 passengers on average). A significant source of operating costs is the fuel cost. The company vans have a fuel economy of each of 20 mpg (miles/gallon). Current fuel prices are 2.629 $/gallon. The staff costs and other costs of operating the service and running the business are $1M per year. The company operates 365 days a year.
a) Draw an ROIC (return on invested capital) tree for the company.
b) What is the ROIC?
c) Assume that the company can increase the fuel efficiency of the vans to 25mpg. What would be the new ROIC?
In: Finance
You are trying to estimate the enterprise value of Firm X. Since this firm is private, you cannot directly estimate the firm’s cost of equity using its stock data. Fortunately, there is a similar firm, Firm Y, which is in the same industry with comparable operating risk characteristics. Assume that the CAPM holds. The risk-free rate is 2% and the market risk premium is 5%.
QUESTION 1
Firm Y has a debt-to-equity ratio of 3 and it plans to keep this ratio fixed. Firm Y’s equity beta is 6.6 and debt beta is 0.2. What is Firm Y’s unlevered equity beta?
| A. |
8.6 |
|
| B. |
0.3 |
|
| C. |
0.1 |
|
| D. |
1.8 |
QUESTION 2
What is Firm X’s unlevered equity beta?
| A. |
1.8 |
|
| B. |
8.6 |
|
| C. |
0.1 |
|
| D. |
0.3 |
QUESTION 3
Assume that Firm X’s cost of debt is 2.5%. What is Firm X’s debt beta?
| A. |
1.8 |
|
| B. |
0.3 |
|
| C. |
0.1 |
|
| D. |
8.6 |
In: Finance
Green Goose Automation Company currently has no debt in its capital structure, but it is considering using some debt and reducing its outstanding equity. The firm’s unlevered beta is 1.15, and its cost of equity is 12.70%. Because the firm has no debt in its capital structure, its weighted average cost of capital (WACC) also equals 12.70%. The risk-free rate of interest (rRFrRF) is 3.5%, and the market risk premium (RP) is 8%. Green Goose’s marginal tax rate is 30%.
Green Goose is examining how different levels of debt will affect its costs of debt and equity, as well as its WACC. The firm has collected the financial information that follows to analyze its weighted average cost of capital (WACC). Complete the following table.
|
D/A Ratio |
E/A Ratio |
D/E Ratio |
Before-Tax |
Levered |
Cost of |
WACC |
|
|---|---|---|---|---|---|---|---|
|
Bond |
Cost of Debt |
Beta |
Equity |
||||
|
Rating |
(rdrd) |
(b) |
(rsrs) |
||||
| 0.0 | 1.0 | 0.00 | — | — | 1.15 | 12.70% | 12.70% |
| 0.2 | 0.8 | 0.25 | A | 8.4% | ? | 14.30% | 12.62% |
| 0.4 | 0.6 | 0.67 | BBB | 8.9% | 1.69 | 17.02% | ? |
| 0.6 | 0.4 | 1.50 | BB | 11.1% | 2.36 | ? | 13.61% |
| 0.8 | 0.2 | ? | C | 14.3% | 4.37 | 38.46% | ? |
In: Finance
Kodak Fails to Focus on the Big Picture
The closing case focuses on Kodak and their failure to innovate through the transition from analog to digital technology. It appears Kodak had the resources to innovate and they recognized the coming transition but incorrectly evaluated the needs and desires of the consumer. In addition, members of the company feared change and resisted change efforts. For these reasons, Kodak went from a top 20 Fortune 500 company to bankruptcy in 2012.
Management Update: There are signs Kodak may survive. During bankruptcy, Kodak put Eastman Park up for sale. Eastman Park is a giant industrial complex built in the early 1900s to meet demand for the company’s photographic and film products. In 2015, the company took the park off the market and turned it into a separate company division. With a focus on clean technology, over 60 companies have key operations on the site.
Case Question: Explain how – theoretically, anyway – making “change innovations” in each of the following Areas of Organizational Change might have helped Kodak ease the severity of the conditions that led it to bankruptcy and the challenges facing it now that it’s emerged from bankruptcy: changing organization structure and design, changing people and attitudes, and changing processes.
In: Operations Management
You are testing a treatment for a new virus. Effectiveness is judged by the percent reduction in symptoms after two weeks.It is known that if left untreated, symptoms will reduce on their own by 0.185 (18.5%) with a standard deviation of 0.123. Three trials were run simultaneously.Trial 1 involved giving the participants a sugar pill. Patients in Trial 2 were given Agent A. Patients in Trial 3 were given Agent B. Results showing the amount of symptom reduction for the various trials are summarized in the table to the left. Note that this is NOT a paired t-test.Patient 1 just means the first patient to be given the treatment in each trial. Patient 1 is a different person in each trial.
1) At the 80%, 90% and 95% confidence levels (alpha = 0.2, 0.1 and 0.05) compare Agent A, Agent B and the Sugar Pill results to the population symptom reduction. Use a one-tail hypothesis test.
| Percent Reduction in Symptoms after 2 weeks | ||||||
| Sugar Pill | Agent A | Agent B | ||||
| Person 1 | 0.15 | 0.8 | 0.25 | |||
| Person 2 | 0.18 | 0.02 | 0.31 | |||
| Person 3 | 0.05 | 0.18 | 0.44 | |||
| Person 4 | 0.35 | 0.9 | 0.6 | |||
| Person 5 | 0.22 | 0.12 | 0.08 | |||
| Person 6 | 0.22 | 0.11 | 0.12 | |||
| Person 7 | 0.2 | 0.33 | 0.33 | |||
| Person 8 | 0.15 | 1 | 0.5 | |||
| Person 9 | 0.45 | 0.07 | 0.31 | |||
| Person 10 | 0.1 | 0.15 | 0.18 | |||
| Person 11 | 0.29 | 0.08 | 0.2 | |||
| Person 12 | 0.08 | 0.02 | 0.33 | |||
| Person 13 | 0.3 | 0.16 | 0.02 | |||
| Person 14 | 0.21 | 0.09 | 0.17 | |||
| Person 15 | 0.13 | 0.77 | 0.38 | |||
| Person 16 | 0.4 | 0.85 | 0.46 | |||
| Person 17 | 0.31 | 0.03 | 0.23 | |||
| Person 18 | 0.02 | 0.06 | 0.31 | |||
| Person 19 | 0.09 | 0.18 | 0.28 | |||
| Person 20 | 0.17 | 0.22 | 0.09 | |||
| average | 0.204 | 0.307 | 0.280 | |||
| std dev | 0.117 | 0.340 | 0.150 | |||
| VAR | 0.0136 | 0.1159 | 0.0225 | |||
| Q1 | Ho: muX <= 0.185 (where X = Sugar Pill, Agent A or Agent B) | |||||||||
| Sugar Pill vs. Populatoin | Agent A vs Population | Agent B vs Population | ||||||||
| Alpha | Test stat | Critical value | Conclusion | Test stat | Critical value | Conclusion | Test stat | Critical value | Conclusion | |
| 0.2 | ||||||||||
| 0.1 | ||||||||||
| 0.05 | ||||||||||
In: Statistics and Probability
Suppose an electric-vehicle manufacturing company estimates that a driver who commutes 50 miles per day in a particular vehicle will require a nightly charge time of around 1 hour and 40 minutes (100 minutes) to recharge the vehicle's battery. Assume that the actual recharging time required is uniformly distributed between 80 and 120 minutes.
Give a mathematical expression for the probability density function of battery recharging time for this scenario.
In: Statistics and Probability
1.
Following is the R output when fitting regression model of X= miles run per week and Y= weight loss after a year.
Coefficients:
Estimate Std. Error t value Pr(>|t|)
(Intercept) 64.28 8.11 7.93 0.015 *
X 1.23 0.63 1.96 0.188
-----------------
Signif. codes: 0 ‘***’ 0.001 ‘**’ 0.01 ‘*’ 0.05 ‘.’ 0.1 ‘ ’
1
Residual standard error: 6.773 on 2 degrees of
freedom
Multiple R-squared: 0.6586, Adjusted R-squared:
0.4879
F-statistic: 3.858 on 1 and 2 DF, p-value: 0.1885
Find the Slope of the regression line.
2.
Following is the R output when fitting regression model of X= miles run per week and Y= weight loss after a year.
Coefficients:
Estimate Std. Error t value Pr(>|t|)
(Intercept) 64.28 8.11 7.93 0.015 *
X 1.23 0.63 1.96 0.188
-----------------
Signif. codes: 0 ‘***’ 0.001 ‘**’ 0.01 ‘*’ 0.05 ‘.’ 0.1 ‘ ’
1
Residual standard error: 6.773 on 2 degrees of
freedom
Multiple R-squared: 0.6586, Adjusted R-squared:
0.4879
F-statistic: 3.858 on 1 and 2 DF, p-value: 0.1885
Test the Hypothesis that Slope of the regression line is not zero. Use α=5%
3.
Which test we need to use in order to test hypotheses in multiple regression given below:
Model: Y= β0+ β1X1+ β2X2 +β3X3+β4X4 + ε β0+ β1X1+ β2X2 +β3X3+β4X4 + ε
Hypotheses
H0 : β1=β2=β3=β4=0H1 : βi≠0 for at least one βi
4.
Which test we need to use in order to test hypotheses in multiple regression given below:
Model: Y= β0+ β1X1+ β2X2 +β3X3+β4X4 + ε β0+ β1X1+ β2X2 +β3X3+β4X4 + ε
Hypotheses:
H0 : β2=0H1 : β2≠0
In: Statistics and Probability