A group of 100 college students and 100 college graduates was asked to reply to the question, "In general, do you enjoy reading a college textbook?" The following are the frequency counts for their responses on the 3-option item.

The critical value that you would use for an alpha level of .10 in the problem comparing college students' and graduates' enjoyment of reading textbooks is?

A survey of 100 men and 100 women revealed that 15 of the men and 36 of the women were more than 20% overweight. Prepare a contingency table and test the hypothesis that the two gender groups are homogeneous with respect to being overweight. Please assume an α=.05

2. A sample of 100 is selected from a population with mean µ = 100 and σ = 20.0.

(a) Describe the sampling distribution of the sample mean X¯.

(b) Find P(X >¯ 105).

(c) Find P(100 < X <¯ 105).

(d) Find P(98 < X <¯ 104).

3. According to the U.S. Department of Energy, the average price of unleaded regular gasoline sold at service stations throughout the nation is $1.23 per gallon with a standard deviation of $0.16. A random sample of 45 stations is selected and the pump prices for unleaded gasoline are recorded. Find the probability that the sample mean price:

(a) exceeds $1.28 per gallon,

(b) is less than $1.19 per gallon,

(c) is between $1.20 and $1.27 per gallon,

4. Almost all medical schools in the U. S. require students to take the Medical College Admission Test (MCAT). Suppose that the test scores follow a normal distribution with mean 25.0 and standard deviation 6.5.

(a) One student is selected at random, what is the probability that the student’s score is between 20 and 30?

(b) A random sample of 36 students is selected, what is the probability that their mean score is between 20 and 30?

To see if a spinner that is divided into 100 equal sections labeled 1 to 100 is fair, a researcher spins the spinner 1000 times and records the result. Let X represent the outcome. The table below shows the probability distribution of the data. Find the mean and the standard deviation of the probability distribution using Excel. Round the mean and standard deviation to two decimal places.

1. Suppose demand takes the form P = 10 – 2Q and supply takes the form P = 2 + 2Q.
   1. Find the market equilibrium (2)

2. How much total revenue (i.e. P*Q) will the firm receive at this equilibrium? (2)

2. Suppose the government decides to impose a price floor on dairy products to prevent dairy farms from closing down. If the market for a case of milk takes the form of:

Demand: P = 100 – 10Q

Supply: P = 10Q

1. Find the original equilibrium (2)

2. Find the market equilibrium with a price floor of $60 per case. (2)

3. Illustrate this price floor on a graph (2)

A bond has four years to maturity, an 8% annual coupon and a par value of $100. The bond pays a continuously compounded interest of 5%.

a. What would the actual percentage change in the price of the bond be if the interest rate goes up from 5% to 6%?

b. What would be the percentage change in the price of the bond implied by the duration approximation?

c. What would be the percentage change in the price of the bond implied by the duration plus convexity approximation?

d. Why does adding the convexity term to the approximation improve it?

Please do not use excell tables or excell formulas. Our answers must handwritten. Thank you.

Part A: Suppose a random variable X have mean of µ and standard deviation σ. Let a and b be constants.

i) Derive the expected value of aX + b.

ii) Derive standard deviation of aX + b

Part B: Suppose that in country A, the price of certain good has a mean of $100 and a variance of 25, in A-dollars. Country B has a fixed exchange rate with A so that it takes 2 B-dollars to buy 1 A-dollar. What is the expected price of this good in B-dollars? What is its variance in B-dollars? What are the expected price and variance if the exchange rate were three-to-one?

In this question you need to complete the below calculations and find out the most and least profitable company out of 5 mentioned below. Bring an example and calculate the EBIDTA for the most profitable company.

a. How much is the margin (in number and %) if the sale price = $100 and cost = $12
b. How much is the mark up (in number and %) if the sale price = $80 and cost = $40
c. How much is the margin (in number and %) if the sale price = $75 and mark up 45%
d. How much shall the product be sold if the cost = $20 and margin = 49%
e. If you know that the cost = $15 and markup = $30, please find margin in %

The Liberty Corporation has 120,000 shares outstanding with a current market price of $8.10 per share. The company needs to raise an additional $36,000 to finance new expenditures, and has decided on a rights issue. The issue will allow current stockholders to purchase one additional share for 20 rights at a subscription price of $6 per share. Suppose that the company was also considering structuring the rights issue to allow for an additional share to be purchased for 10 rights at a subscription price of $3. Prove that a stockholder with 100 shares would be indifferent between purchasing a new share for 10 rights at $3 or purchasing a new share for 20 rights at $6.

Sal is at the County Fair with $100 dollars to spend on either rides (R) or junk food (F). The ticket price for a ride, PR, is $5 and the price of junk food, PF, is $10. At these prices, Sal plans to go on 8 rides and spend the rest of the money on food. Then, Sal notices that the ticket booth offers a special pass, for a price $50, which allows an unlimited amount of rides per day. Should Sal choose to purchase the unlimited pass or buy 8 tickets for $5 each? Sal wants to maximize his enjoyment at the Fair. Explain your answer using a consumer choice graph.