Seong Hotels is interested in developing a new hotel is Seoul. The initial investment of the project is $20 million, but cashflows could differ if the government imposes a hotel tax. There is a 60% chance a hotel tax will be imposed and cash flows would be $2 million per year for 20 years. However, there is a 40% chance there will not be a tax imposed so cash flows would be $4 million per year for 20 years. They will not know if the tax will be imposed until next year. What is the project's expected NPV if they wait and implement the project one year from now? Cost of capital is 10%.
In: Finance
Use the following convention table for R-square.
| From 0.0 to 0.2 | Poor |
| From 0.2 to 0.4 | Decent |
| From 0.4 to 0.6 | Good |
| From 0.6 to 0.85 | Very Good |
| From 0.85 to 1.0 | Excellent |
Upload the ManBody data. Create a scattered plot chart with X representing the Knee size and Y representing the Ankle size (both in centimeters); plot the line and compute the R-square. Answer the questions:
I) If a person has knee size equal to 40 cm, according to the chart and the analysis, what is his predicted ankle size? (Round to two decimal places) (11.11 points)
II) If a person A has knee size equal to 30 cm and a person B has knee size equal to 32 cm, according to the chart and the analysis, which of the following can be concluded? (Round to two decimal place) (11.11 points)
III) How strong is the relationship between the Knee size and Ankle size? (11.11 points)
link to data set: https://www.limes.one/Content/DataFiles/Man_body.txt
In: Statistics and Probability
Ebling Inc. finances with 0.2 fraction debt, 0.2 fraction preferred and the remaining common stock. Ebeling's before tax cost of debt is 0.07, it cost of preferred stock is 0.13, and its cost of common stock is 0.20. If Ebeling is subject to a 0.2 fraction corporate income tax, what is the company's Weighted Average Cost of Capital?
In: Finance
A 100.0-mL sample of 0.2 M (CH3)3N (Kb = 5.28 × 10–5) is titrated with 0.2 M HCl. What is the pH at the equivalence point?
In: Chemistry
Consider the following information:
Portfolio Expected Return Beta
Risk free. 12% 0
Market 12.6% 1
A 10.6% 0.7
a) calculate the expected return of Portfolio A with a beta of 0.7
b) what is the alpha of portfolio A?
In: Finance
In: Economics
An amusement park wants to assess how much money its patrons intend to spend at the park today (aside from the price of admission). You will use convenience sampling.
1. Explain how you would select the sample.
2. Explain how you would gather the data.
In: Statistics and Probability
The Royal Hotel is being sold. The underwriter requests the pro forma statements showing future projected cash flows from the hotel owner. If the underwriter only uses this information, (a) which approach to valuation are they using? Please also (b) name and (c) briefly describe the other two approaches.
In: Finance
What differences if any do you think exist in the way that a professional hotelier would manager an American owned hotel in the United States or a European or Asian owned hotel in the United States?
What are differences in the way governments in other countries affect the management and operation of hotels in those countries?
In: Operations Management
A hotel runs several advertisements in the student newspaper of a local university, promoting its Sunday brunch menu. The ads increase the number of people visiting its restaurant, but only slightly. Is the campaign necessarily a failure? What other goals might the hotel have for this advertising campaign? (Answer thoroughly.)
In: Operations Management