1.a. In a survey carried out at a famous water park, 28 children out of a random sample of 80 said that they used the water slide regularly. Find a 95 % confidence interval for the true proportion of all children at the water park who uses the water slide regularly. [4]

b. The owner of the water park found that 45 children out of a random sample of 100 said that they used the pool regularly. Find a 98% confidence interval for the true proportion of all children in the water park who uses the pool. [4]

1. Let us assume that there are two visitors, A and B, in an amusement park. The demand curve for the visitors facing the amusement park are as follows.

P_A= 5 – 2Q_A

P_B= 2.5 – 0.5Q_B

Marginal cost (MC) to serve each visitor is equal to $1.

a. If the amusement park decides to set the price using two-part tariff, given the demand curve

P=6 – 2.5Q and MC =$1, how much is the equilibrium P and Q

b. Calculate the maximum upfront fee the park could charge each visitor

In Avocado Park, 38% of the population is made up of immigrants. Consider a random sample of 78 residents of Avocado Park.

a.How many individuals must reside in Avocado Park to consider the selection of these individuals to be independent?

b.What is the probability that more than 30 of the residents in the sample are immigrants?

c. How many immigrants should be EXPECTED to be in the sample?

d.Peacoat Fashions currently employs 78 Avocado Park residents. If there are fewer than 20 employees that are immigrants, does that suggest that immigrants are less likely to be hired at Peacoat Fashions?

What levels of pay and benefits should you offer?

An important element of the human resource function is the determination and administration of pay and benefits. Pay includes employees' base salaries, pay raises, and bonuses, and is determined by a number of factors such as characteristics of the organization, the nature of the job, and levels of performance. Employee benefits are based on membership in an organization (and not necessarily on the particular job held) and include sick days, vacation days, and medical and life insurance. It is important to link pay to behaviors or results that contribute to organizational effectiveness.

Read the case concerning one of the leading hotel chains in the world, The Four Seasons Hotels and Resorts. The Four Seasons has an excellent reputation for customer service and also for employee satisfaction. Afterwards, analyze the reasons behind this reputation.

In 2015, Four Seasons Hotels and Resorts was one of only 12 companies to be ranked one of the "100 Best Companies to Work For" every year since Fortune magazine started this annual list. The Four Seasons often receives other awards and recognition such as being named the "Best Hotel Group Worldwide" by Gallivanter's Guide and dominating Travel & Leisure's World's Best Awards Readers' Poll and Condé Nast Traveler's Readers' Choice Awards based on customers' responses. In an industry in which annual turnover rates are over 35%, the Four Seasons' is around 13%. Evidently, employees and customers alike are satisfied with how they are treated at the Four Seasons. Understanding that the two are causally linked is perhaps the key to the Four Seasons' success. As the Four Seasons' founder, Isadore Sharp said, "How you treat your employees is how you expect them to treat the customer."

The Four Seasons was founded by Sharp in 1961 when he opened his first hotel. It was called the Four Seasons Motor Hotel, located in a less-than-desirable area outside downtown Toronto. Whereas his first hotel had 125 inexpensively priced rooms appealing to the individual traveler, his fourth hotel was built to appeal to business travelers and conventions. It had 1,600 rooms, conference facilities, several restaurants and banquet halls, and an arcade of shops. Both styles of hotels were successful, but Sharp decided he could provide customers with a different kind of hotel experience by combining the best features of both kinds of hotel experiences—the sense of closeness and personal attention that a small hotel brings with the amenities of a big hotel to suit the needs of business travelers.

Sharp sought to provide the kind of personal service that would really help business travelers on the road—giving them the amenities they have at home and in the office, amenities they miss when traveling on business. The Four Seasons was the first hotel chain to provide bathrobes, shampoo, around-the-clock room service, laundry and dry cleaning services, large desks in every room, two-line phones, and around-the-clock secretarial assistance. While these are relatively concrete ways of personalizing the hotel experience, Sharp realized that how employees treat customers is just as, or perhaps even more, important. When employees view each customer as a unique individual with his or her own needs and desires, and empathetically try to meet these needs and desires and help customers overcome any problems or challenges they face and truly enjoy their hotel experience, a hotel can indeed serve the purpose of a home away from home (and an office away from office), and customers are likely to be loyal and highly-satisfied.

Sharp realized that for employees to treat customers well, the Four Seasons needed to treat its employees well. Salaries are relatively high at the Four Seasons by industry standards. Employees participate in a profit sharing plan, and the company contributes to their 401(k) plans. Four Seasons provides medical and dental insurance. All employees get free meals in the hotel cafeteria, have access to staff showers and a locker room, and receive an additional highly attractive benefit—once a new employee has worked for the Four Seasons for six months, he or she can stay for three nights free at any Four Seasons hotel or resort in the world. After a year of employment, this benefit increases to six free nights, and it continues to grow as tenure with the company increases. Employees like waitress Michelle De Rochemont love this benefit. As she said, "You're never treated like just an employee. You're a guest . . . You come back from those trips on fire. You want to do so much for the guest." The Four Seasons also tends to promote from within. For example, while recent college graduates may start out as assistant managers, those who do well and have high aspirations could potentially become general managers in fewer than 15 years. This promotion system helps to ensure that managers have empathy and respect for those in lower-level positions as well as the ingrained ethos of treating others (employees, subordinates, coworkers, and customers) as they would like to be treated. All in all, treating employees well leads to satisfied customers at the Four Seasons.

1.The Four Seasons Hotel and Resorts can causally link its ____________ to its customers’ satisfaction and the many awards it has received including being one of the “100 Best Companies to Work For.”

A.use of programmed decision making

B.high turnover rate

C.high levels of pay and benefits

D.use of strict supervision over its employees

E.cost cutting measures

2.The Four Seasons uses ________ to motivate superior customer service.

A.high levels of pay and benefits

B.high pay levels with low levels of benefits

C.average pay levels with average benefits

D.average pay levels with high levels of benefits

E.high pay combined with average benefits

3.Which of the following does the Four Seasons have to offer by law?

A.matching contributions to 401(k) plans

B.high salaries

C.profit sharing plans

D.free meals in the cafeteria

E.Social Security insurance

4.Why does the Four Seasons continue to offer such extremely expensive benefits to its employees?

A.The Four Seasons focuses only on long-term costs, and these are short-term costs.

B.The workers’ union negotiated them.

C.The benefits offered by the Four Seasons are actually normal in the luxury hotel market.

D.It can write them off on the corporation’s income taxes.

E. The value gained in worker motivation outweighs the cost of the benefits in the long run.

5.The Four Seasons pays high salaries and provides expensive benefits. This suggests they are not following a(n) ______ strategy.

A.cafeteria plan

B.low-cost

C.employee satisfaction

D.high-performance

E.customer service focused

6.The Four seasons provides some unusual benefits. As described in the case, which of the following is NOT one of the benefits that sets the Four Seasons apart from other hotel chains?

A.high levels of health and dental insurance

B.free vacations at company-owned resorts

C.accrued vacation and sick leave days

D.free meals in the hotel cafeteria

E.access to staff showers and locker rooms

7.The Four Seasons offers _____ to its employees. Employees say this benefit lets them know what the guests feel like and makes them want to do even more for guests.

A.locker rooms and employee showers

B.free stays as guests at any of the company’s properties

C.high pay levels

D.matching 401(k) programs

E.company products such as robes and shampoos

A global equity manager is assigned to select stocks from a universe of large stocks throughout the world. The manager will be evaluated by comparing her returns to the return on the MSCI World Market Portfolio, but she is free to hold stocks from various countries in whatever proportions she finds desirable. Results for a given month are contained in the following table:

a. Calculate the total value added of all the manager’s decisions this period. (Do not round intermediate calculations. Round your answer to 2 decimal places. Negative amount should be indicated by a minus sign.)

b. Calculate the value added (or subtracted) by her country allocation decisions. (Do not round intermediate calculations. Round your answer to 2 decimal places. Negative amount should be indicated by a minus sign.)

c. Calculate the value added from her stock selection ability within countries. (Do not round intermediate calculations. Round your answer to 2 decimal places. Negative amount should be indicated by a minus sign.)

Swannamotosis is a variant of Neurofibromatosis-type 2. It is an autosomal dominant condition that shows both incomplete penetrance and variable expressivity. Sixty percent of individuals with at least one mutant allele will show the condition in the phenotype. Of those showing the phenotype, 20% have a severe version, 50% have a moderate version, and 30% have a mild version. If two heterozygous parents have a child, what is the chance that is will show the most severe form of the disorder? To calculate this we'll have to multiply _______ X ________ X ________ X _______. If a child of two heterozygous parents, does not have the condition, what is their chance that they do NOT have the allele? ________

Blank 1 Options: 1/2, 1/4, 2/3, 3/4, 1

Blank 2 Options: 0.4, 0.6, I dont need either of these values

Blank 3 Options: 0.2, 0.3, 0.5, I dont need any of these values

Blank 4 Options: 1/4, 1/2, 2/3, 3/4, I dont need any of these values

Blank 5 Options: 1/4 x 0.4 x 0.2, 2/3 x 0.4, 1/4 x 0.4(3.4), (1/4)/(0.4 x (3/4)), (1/4)/((1/4) + 0.4(3.4))

Apple is considering marketing one of two new smartphones for the coming holiday season: iPhone 8 and iPhone X. Estimated profits in total USD under high, medium, and low demand are as follows:

There is concern that profitability will be affected by a Google's introduction of the Pixel 2 smartphone viewed as similar to the iPhone 8. Estimated profits in total USD with and without competition are as follows:

a. Develop a decision tree for the Apple problem.

b. For planning, Apple believes there is a 0.99 probability that its competitor will produce a new smartphone similar to the iPhone 8. Given this probability of competition, the director of planning in Cupertino recommends spending the ad dollars and heavily marketing the iPhone X smartphone. Using expected value, what is your recommended decision?

c. Show a risk profile for your recommendation.

d. Use sensitivity analysis to determine what the probability of competition for iPhone 8 would have to be for you to change your recommended decision alternative.

The management of Brinkley Corporation is interested in using simulation to estimate the profit per unit for a new product. The selling price for the product will be $50 per unit. Probability distributions for the purchase cost, the labor cost, and the transportation cost are estimated as follows:

1. Compute profit per unit for the base-case, worst-case, and best-case.
   
   Profit per unit for the base-case: $  
   
   Profit per unit for the worst-case: $  
   
   Profit per unit for the best-case: $  
   
2. Construct a simulation model to estimate the mean profit per unit. If required, round your answer to the nearest cent.
   
   Mean profit per unit = $  
   
3. Why is the simulation approach to risk analysis preferable to generating a variety of what-if scenarios?
   
   The input in the box below will not be graded, but may be reviewed and considered by your instructor.
   
   
   
4. Management believes the project may not be sustainable if the profit per unit is less than $9. Use simulation to estimate the probability the profit per unit will be less than $9. If required, round your answer to one decimal place.
   
   %

1. A bank randomly selected 242 checking account customers and found that 113 of them also had savings accounts at this same bank. Construct a 90% confidence interval for the true proportion of checking account customers who also have savings accounts. (Give your answers correct to three decimal places.)

2. In a sample of 62 randomly selected students, 29 favored the amount being budgeted for next year's intramural and interscholastic sports. Construct a 90% confidence interval for the proportion of all students who support the proposed budget amount. (Give your answers correct to three decimal places.)

3. Find n for a 99% confidence interval for p with E = 0.037 using an estimate of p = 0.4. (Round up to the nearest whole number.)

4. Consider the following. (Give your answers correct to two decimal places.)

(a) Calculate the test statistic z used in testing H_o: p = 0.70, H_a: p > 0.70; with the sample n = 283 and x = 253.


(b) Calculate the test statistic z used in testing H_o: p = 0.50, H_a: p < 0.50; with the sample n = 469 and x = 210.


(c) Calculate the test statistic z used in testing H_o: p = 0.35, H_a: p ≠ 0.35; with the sample n = 282 and x = 82.


(d) Calculate the test statistic z used in testing H_o: p = 0.90, H_a: p > 0.90; with the sample n = 534 and x = 516.

5. Consider the following hypothesis-testing situations. (Give your answers correct to four decimal places.)

(a) Determine the p-value for H_o: p = 0.5, H_a: p ≠ 0.5, z = 1.4.


(b) Determine the p-value for H_o: p = 0.7, H_a: p ≠ 0.7, z = -2.31.


(c) Determine the p-value for H_o: p = 0.4, H_a: p > 0.4, z = 1.03.


(d) Determine the p-value for H_o: p = 0.2, H_a: p < 0.2, z = -1.67.

New York City is the most expensive city in the United States for lodging. The mean hotel room rate is $205 per night (USA Today, April 30, 2012). Assume that room rates are normally distributed with a standard deviation of $55. Use Table 1 in Appendix B. a. What is the probability that a hotel room costs $225 or more per night (to 4 decimals)? b. What is the probability that a hotel room costs less than $143 per night (to 4 decimals)? c. What is the probability that a hotel room costs between $201 and $301 per night (to 4 decimals)? d. What is the cost of the 20% most expensive hotel rooms in New York City? Round up to the next dollar.