Use the following information to answer question 1) A-F. Assume today is 12/27/2016. An assistant portfolio manager reviewed the prospectus of a General Electric Corporate (US) bond that will be issued on January 15 of 2017. The Offering Price is 104.50. The call schedule for this $200 million, 5.75% coupon 20-year issue specifies the following:

The Bonds will be redeemable at the option of the Company at any time in whole or in part, upon not fewer than 30 nor more than 60 days’ notice, at the following redemption prices (which are expressed in percentages of principal amount) in each case together with accrued interest to the date fixed for redemption:

If redeemed January 15,

Sinking Fund: The prospectus further specifies that:

The Company will provide for the retirement by redemption of $40 million of the principal amount of the Bonds each January 15th of the years 2032 to and including 2036 at the principal amount thereof (100%), together with accrued interest to the date of redemption.

The assistant portfolio manager made the following statement to a client after reviewing this bond issue. Comment on the statement. (When answering this question, remember that the assistant portfolio manager is responding to statements just before the bond is issued in 2017.)

Answer the following as of issue date: 1/15/2017.

2. What is the bond’s current yield?
3. What is the bond’s yield to maturity?
4. What is bond’s yield to first call?
5. What is bond’s yield to first sink?
6. What is yield to the 2031 call?

Consider the project described in the below Excel

a. Construct an Activity-on-Node network for the project.

b. Determine the critical path using the expected time for each activity (you can use Excel), and the expected project duration.

c. What is the probability that the project will be finished in 3 weeks? In 4 weeks?

1. Suppose you will go to graduate school for 4 years beginning in year 4. Tuition is $25,942 per year, due at the end of each school year. What is the Macaulay duration (in years) of your grad school tuitions? Assume a flat yield curve of 0.06. Assume annual compounding.

2. Suppose in the question above, the tuition obligations have a Macaulay duration of 3.93 in years, and that you wish to immunize against the tuition payments by buying a single issue of a zero coupon bond. What maturity zero coupon bond should you buy? Assume annual compounding.

3. Suppose in question 1, the tuition obligations have a Macaulay duration of 6.75 in years and a present value of 59,578. In order to immunize against the tuition payments by investing in some combination of two bonds with duration 2.99 and 8.49, what is the dollar amount that you should invest in the bond with duration 8.49? Assume annual compounding.

1) Imagine you roll a fair 4 sided dice 4 times.
what is the number of possible outcomes as a sum of successes?

2) What is the probability you will roll 3 successes, if the result of a 4 is considered a success?

3) what is the probability you will roll 3 or 4 successes, of the results of a 4 is considered a success?

4) what is the probability you will roll 3 or 4 successes. of the result of 3 or 4 is considered a success?

1 (a) Describe 4 benefits of Business Ethics for organizations? (4 marks – 200 words) (b) Provide a practical, real life example of how business ethics has proved advantageous for an organisation of your choice. (3 marks – 100 words)

Exercise 1-4. Information Age [LO 4]

The Wellington Hotel is a posh hotel in Manhattan that uses a customer relationship management (CRM) system to track customer preferences and purchases.

Provide two examples of specific information the CRM system might capture and how the hotel could use the information to enhance revenue and/or the customer experience.

Part 4: CLO 4

Question 1

What are the factors that project manager need to consider during the development a project communication plan?

Consider the following time series:

Delay Industry Quality Finished Public 62 0 3 1 0 45 0 3 3 1 54 0 2 2 0 71 0 1 2 1 91 0 1 1 0 62 0 4 4 0 61 0 3 2 0 69 0 5 2 1 80 0 1 1 0 52 0 5 3 0 47 0 3 2 0 65 0 2 3 1 60 0 1 3 0 81 1 1 2 0 73 1 2 2 0 89 1 2 1 0 71 1 5 4 0 76 1 2 2 0 68 1 1 2 0 68 1 5 2 0 86 1 2 2 0 76 1 3 1 1 67 1 2 3 0 57 1 4 2 0 55 1 3 2 1 54 1 5 2 0 69 1 3 3 0 82 1 5 1 0 94 1 1 1 0 74 1 5 2 1 75 1 4 3 1 69 1 2 2 0 71 1 4 4 0 79 1 5 2 0 80 1 1 4 0 91 1 4 1 0 92 1 1 4 0 46 1 4 3 1 72 1 5 2 0 85 1 5 1 0 Problem A (Modified from Textbook Ch7 #14) This problem is based on Ch4, #14 in your textbook. Please see this problem on p. 365 for the explanation of the data. But answer the questions below, not the ones in the textbook. Parts (a)(b)(c) here are similar to parts (a)(b)(c) in the textbook. So feel free to check your answers for those parts in the solution you have. a) To see if knowing whether a company is traded on an organized exchange or over-the-counter is helpful in predicting the audit delay, develop a simple regression model to predict audit delay by the dummy variable Public. b) At the 0.05 level of significance, is there a significant relationship between audit delay and Public? (Give your answer in a sentence including your interpretation of the F-test result.) c) Develop the estimated regression equation using all of the independent variables included in the data. d) How much of the variation in the sample values of delay does this estimated regression equation explain? e) At the 0.01 level of significance, is there a significant relationship between audit delay and the combined set of independent variables? (Carefully interpret the F-test result). f) Test the relationship between each independent variable and the dependent variable at the 0.05 level of significance. You will find one independent variable that is not significant. Which variable is this? g) Remove the nonsignificant variable and run a new regression. h) Give the resulting regression equation. Are all the independent variables significant now? Use the regression equation in (h) to answer the remaining questions. i) Predict the audit delay for a public, industrial company whose quality rating is 3 and the “finished” rating is 4. (Hint: Remember you can ignore the given value for a variable that is not included in your regression equation. For example, if the variable “finished” was not significant so was not included in the regression, then its given value 4 will not be used in our calculation.) Express the answer rounded to the first decimal digit. j) According to the regression from (e), is audit delay longer for an industrial company or a non-industrial company? By how many days? k) Suppose company A and B are both non-industrial and have the same “finished” rating, but A’s quality rating is 2 points higher than B’s. Is A’s audit delay longer or shorter than B? By how many days?