The United States Centers for Disease Control and Prevention (CDC) found that 17.9%17.9% of women ages 1212–5959 test seropositive for HPV‑16. Suppose that Tara, an infectious disease specialist, assays blood serum from a random sample of n=1000n=1000 women in the United States aged 1212–59.59.

Apply the central limit theorem for the distribution of a sample proportion to find the probability that the proportion, ^p,p^, of women in Tara's sample who test positive for HPV‑16 is greater than 0.2010.201. Express the result as a decimal precise to three places.

P(^p>0.201)=P(p^>0.201)=

Apply the central limit theorem for the distribution of a sample proportion to find the probability that the proportion of women in Tara's sample who test positive for HPV‑16 is less than 0.1730.173. Express the result as a decimal precise to three places.

P(^p<0.173)=P(p^<0.173)=

In 1992, Association of Southeast Asian Nations Free Trade Area (AFTA) was applied by eliminating tariffs and non-tariff barriers between the member countries. The original members were Brunei, Indonesia, Malaysia, Philippines, Singapore and Thailand. knowing that:

• Brunei needs to import Cereal (Cereal is a homogenous good).
• The best exporter for Cereal that is United States (the price per ton is $8).
• Brunei can import Cereal from Indonesia (the price per ton is $12).
• Brunei imposed a specific tariff on its imports of Cereal accounts for $6 per ton.

Q1: Discuss the impacts of joining AFTA including Brunei and Indonesia on the foreign trade of both of Brunei, Indonesia and USA.

Q2: Will your answer be affected in the following cases?

1. If the price of Cereal in United States is $5 per ton instead of $8.

2. If Brunei is a small importer of cereal in one case and a large importer of cereal in another.

Assume that Walmart is considering opening a store in Argentina. Argentina is rate BB-, and its dollar-based bonds trade at a default spread of 3% over the US treasury bond rate of 6.5%. The Argentine equity market is 1.8 times more volatile than the Argentine long-term bond market. Walmart has a beta of 0.9 (already relevered to account for the Argentinian tax rate of 35% and Argentinian D/E ratio). The market risk premium in the United States is 5.5%. The firm intends to borrow in Argentina at a local rate of 12% (in pesos) and maintain a debt ratio of 25% for Argentine projects. You can assume that the inflation rate in the United States is 3% whereas it is 9% in Argentina.

(a)     Explain what we mean by “the inflation rate” in the above description.

(b)     Estimate the cost of equity and the cost of capital in dollar terms for the Argentine store.

3. Estimate the cost of equity and capital in peso terms of the Argentine store.

SECTION B – CASE STUDY

Read the scenario below and answer the questions that follow:

South Africa has a negative trade balance with the East (Asia). The value of imports from the East is more than the value of the goods that South Africa exports to Asia. This means that the trade balance or terms of trade is not in favour of South Africa. This is not a uniquely South African phenomenon. Part of the reason for the trade war between the United States and China is due to the fact that terms of trade tend to be skewed in favour of China.

Source: Examiner

4BQuestion 1

1.1 Use an appropriate diagram to illustrate and explain the effect of the scenario above on the foreign exchange market. (8)

1.2 Discuss the three (3) policy options available to South Africa to mitigate against the outcome in 1.1. (6)

1.3 Briefly discuss the effect of the trade wars between China and the United States on the South African current account. (6)

According to eMarketer, mobile ads will top 100 and it accounts for about 16.5 percent of total advertising spending in 2016. The top five spenders of mobile ads are the United States, China, the United Kingdom, Japan and Germany. This number is expected to increase as the worldwide adoption of smartphones continue to grow. In 2015, there were about 2.6 billion smartphone users. This number is expected to top 6.1 billion globally by 2020.

Businesses are increasingly using mobile ads. Location data from mobile devices is the key element for a successful mobile ad campaign. Facebook and Google are two biggest players that generate the highest revenue from mobile ads. PlaceIQ, a technology form headquartered in New York city collects billions of data points from mobile devices and other sources and is able tract potential customers as they move from one retail location to another retail location – such as from one car dealership to another. PlaceIQ is also able to help businesses find out if the ads can translate to an actual visit by a customer. In addition to its huge data set for business, PlaceIQ also offers location data and analytics tools to businesses and allows them to do their own advertising.

Audi is using the Place IQ data to measure how many potential customers will visit its dealerships before and after they have seen ads. They also want to target potential customers who are visiting their competitors’ showrooms. Stacom Media Group is using PlaceIQ in order to find out how mobile location data can be helpful and eventually attract more customers to a business.

Questions:

a)     By 2020 how many smartphones will be existing globally?

b)    Who are the two leading companies that generate the biggest revenue from mobile ads?

c)     How PlaceIQ impact businesses?

d)    Why is Audi using the services offered by PlaceIQ?

e)    Your overall observation and learning from the above case study.

According to eMarketer, mobile ads will top 100 and it accounts for about 16.5 percent of total advertising spending in 2016. The top five spenders of mobile ads are the United States, China, the United Kingdom, Japan and Germany. This number is expected to increase as the worldwide adoption of smartphones continue to grow. In 2015, there were about 2.6 billion smartphone users. This number is expected to top 6.1 billion globally by 2020.

Businesses are increasingly using mobile ads. Location data from mobile devices is the key element for a successful mobile ad campaign. Facebook and Google are two biggest players that generate the highest revenue from mobile ads. PlaceIQ, a technology form headquartered in New York city collects billions of data points from mobile devices and other sources and is able tract potential customers as they move from one retail location to another retail location – such as from one car dealership to another. PlaceIQ is also able to help businesses find out if the ads can translate to an actual visit by a customer. In addition to its huge data set for business, PlaceIQ also offers location data and analytics tools to businesses and allows them to do their own advertising.

Audi is using the Place IQ data to measure how many potential customers will visit its dealerships before and after they have seen ads. They also want to target potential customers who are visiting their competitors’ showrooms. Stacom Media Group is using PlaceIQ in order to find out how mobile location data can be helpful and eventually attract more customers to a business.

Questions:

a)     By 2020 how many smartphones will be existing globally?

b)    Who are the two leading companies that generate the biggest revenue from mobile ads?

c)     How PlaceIQ impact businesses?

d)    Why is Audi using the services offered by PlaceIQ?

e)    Your overall observation and learning from the above case study.

According to eMarketer, mobile ads will top 100 and it accounts for about 16.5 percent of total advertising spending in 2016. The top five spenders of mobile ads are the United States, China, the United Kingdom, Japan and Germany. This number is expected to increase as the worldwide adoption of smartphones continue to grow. In 2015, there were about 2.6 billion smartphone users. This number is expected to top 6.1 billion globally by 2020. Businesses are increasingly using mobile ads. Location data from mobile devices is the key element for a successful mobile ad campaign. Facebook and Google are two biggest players that generate the highest revenue from mobile ads. PlaceIQ, a technology form headquartered in New York city collects billions of data points from mobile devices and other sources and is able tract potential customers as they move from one retail location to another retail location – such as from one car dealership to another. PlaceIQ is also able to help businesses find out if the ads can translate to an actual visit by a customer. In addition to its huge data set for business, PlaceIQ also offers location data and analytics tools to businesses and allows them to do their own advertising. Audi is using the Place IQ data to measure how many potential customers will visit its dealerships before and after they have seen ads. They also want to target potential customers who are visiting their competitors’ showrooms. Stacom Media Group is using PlaceIQ in order to find out how mobile location data can be helpful and eventually attract more customers to a business. Questions: a) By 2020 how many smartphones will be existing globally? b) Who are the two leading companies that generate the biggest revenue from mobile ads? c) How PlaceIQ impact businesses? d) Why is Audi using the services offered by PlaceIQ? e) Your overall observation and learning from the above case study.

Case study – Mobile Ads

According to eMarketer, mobile ads will top 100 and it accounts for about 16.5 percent of total advertising spending in 2016. The top five spenders of mobile ads are the United States, China, the United Kingdom, Japan and Germany. This number is expected to increase as the worldwide adoption of smartphones continue to grow. In 2015, there were about 2.6 billion smartphone users. This number is expected to top 6.1 billion globally by 2020.

Businesses are increasingly using mobile ads. Location data from mobile devices is the key element for a successful mobile ad campaign. Facebook and Google are two biggest players that generate the highest revenue from mobile ads. PlaceIQ, a technology form headquartered in New York city collects billions of data points from mobile devices and other sources and is able tract potential customers as they move from one retail location to another retail location – such as from one car dealership to another. PlaceIQ is also able to help businesses find out if the ads can translate to an actual visit by a customer. In addition to its huge data set for business, PlaceIQ also offers location data and analytics tools to businesses and allows them to do their own advertising.

Audi is using the Place IQ data to measure how many potential customers will visit its dealerships before and after they have seen ads. They also want to target potential customers who are visiting their competitors’ showrooms. Stacom Media Group is using PlaceIQ in order to find out how mobile location data can be helpful and eventually attract more customers to a business.

Questions:

a)     By 2020 how many smartphones will be existing globally?

b)    Who are the two leading companies that generate the biggest revenue from mobile ads?

c)     How PlaceIQ impact businesses?

d)    Why is Audi using the services offered by PlaceIQ?

e)    Your overall observation and learning from the above case study.