Suppose you manage a local grocery store, and you learn that a very popular national grocery chain is about to open a store just a few miles away. Use the model of monopolistic competition to analyze the impact of this new store on the quantity of output your store should produce (Q) and the price your store should charge (P). What will happen to your profits? Explain your reasoning in detail. How and why do profits change? What could you do to defend your market share against the new store?

Listed below are times(in minutes and seconds) while an athlete rode his bicycle through each mile of a 3 mile loop. Use a 0.05 significance level to test the claim that it takes the same time to ride each of the miles.

Determine the number of lanes required according to Highway Capacity Manual 2010 methodology to achieve a target Level of Service (LOS) of C for a section of a freeway. The section characteristics are the following: rolling terrain, 15% trucks, 2% RVs, PHF = 0.90, AADT = 30,000 veh/day, 50% traffic in the design direction, 12 ft wide lanes, 5 ft right shoulder clearance, 4 ramps in 6 miles. Use 30^th highest hourly volume for design hour volume assuming that the value will be exceeded in 15% of similar locations.

Suppose a sample of 16 light trucks is randomly selected off the assembly line. The trucks are driven 1000 miles and the fuel mileage (MPG) of each truck is recorded. It is found that the mean MPG is 22 with a SD equal to 3. The previous model of the light truck got 20 MPG.

Questions:

a) State the null hypothesis for the problem above

b) Conduct a test of the null hypothesis at p = .05. BE SURE TO PROPERLY STATE YOUR STATISTICAL CONCLUSION.

c) Provide an interpretation of your statistical conclusion using the variables from the description given

What might a slow absorption rate for newly constructed apartment buildings indicate?

An alternative to defining the market area by traditional boundaries is to “draw a circle” around the property at some given distance (say 2 miles). Which of the following factors influence the viability of this alternative?

Do heavier cars really use more gasoline? suppose a car is chosen at random. Let x be the weight of the car (in hundreds of pounds) and let y be the miles per gallon (mpg). The following information is based on data taken from consumer reports (Vol. 62, No.4). What percentage of the variation in y can be explained by the corresponding variation in x and the least-squares line?

Suppose country A has a GDP of $10 billion and country B has a GDP of $2 billion. If we assume that there are only two countries A and B in the world and that the coefficient of B can be approximated by the inverse of the world GDP, approximately what volume of trade is predicted to occur between the two countries if they are both 500 miles apart and our uncertainty parameter is given by 1.5. Suppose instead that country B had a GDP of $12 billion. What volume of trade is predicted to occur between the two countries? Provide a plausible reason for this difference.

A trail crew is constructing a 500-ft electric fence. Fence posts are placed every 5 feet. The location is 8 miles from the parking lot, so they must hike in everything to the site. They want to have enough posts but not too many since they will have to carry them back out, Leave No Trace. What is the minimum number of posts they will need to hike in? What other consideration might the crew want to consider? Additionally, between each post a plastic marker will be placed warning that the fence is electrified. What is the minimum number of these they should pack in?

Three different brands of tires were compared for wear characteristics. From each brand of tire, six (6) tires were randomly selected and subjected to standard wear-testing procedures. The average mileage obtained for each brand of tire and sample variances (both in 1,000 miles) are shown below.

            At 95% confidence, using both critical value and P-value to test to see if there is a significant difference in the average mileage of the three brands.

You have been called to testify as an expert witness in a trial involving a head-on collision. Car A weighs 1515 lb and was traveling eastward. Car B weighs 1125 lb and was traveling westward at 41.0 mph. The cars locked bumpers and slid eastward with their wheels locked for 18.5 ft before stopping. You have measured the coefficient of kinetic friction between the tires and the pavement to be 0.750 . How fast (in miles per hour) was car A traveling just before the collision? (This problem uses English units because they would be used in a U.S. legal proceeding.)