Suppose that we sample 180 diabetic patients between the ages of 50-60 in the United States. 50 of them report being diagnosed with diabetic neuropathy. Nationally, 1 out of 3 diabetics within this age group report neuropathy. What is the appropriate hypothesis test to use if we are interested in determining whether the proportion of diabetics in the sample with neuropathy is significantly different from the proportion of diabetics with neuropathy in the entire population?

Epsilon Airlines services predominately the eastern and southeastern United States. The vast majority of Epsilon’s customers make reservations through Epsilon’s website, but a small percentage of customers make reservations via phone. Epsilon employs call-center personnel to handle these reservations along with any problems with the website reservation system and for the rebooking of flights for customers if their plans change or their travel is disrupted. Staffing the call center appropriately is a challenge for Epsilon’s management team. Having too many employees on hand is a waste of money, but having too few results in very poor customer service and the potential loss of customers.

Epsilon analysts have estimated the minimum number of call-center employees needed by day of week for the upcoming vacation season (June, July, and the first two weeks of August). These estimates are as follows:

Minimum Number of

DayEmployees Needed

Monday55

Tuesday80

Wednesday50

Thursday75

Friday45

Saturday60

Sunday50

The call-center employees work five consecutive days and then have two consecutive days off. An employee may start work any day of the week. Each call-center employee receives the same salary. Assume that the schedule cycles and ignore start-up and stopping of the schedule. Develop a model that will minimize the total number of call-center employees needed to meet the minimum requirements. Find the optimal solution and determine the total number of call-center employees under the optimal solution. Use Excel Solver.

Let Xi = the number of call center employees who start work on day i (i = 1 = Monday, i = 2 = Tuesday…)

MinX1+X2+X3+X4+X5+X6+X7

s.t.

X1+X4+X5+X6+X7

X1+X2+X5+X6+X7

X1+X2+X3+X6+X7

X1+X2+X3+X4+X7

X1+X2+X3+X4+X5

X2+X3+X4+X5+X6

X3+X4+X5+X6+X7

X1, X2, X3, X4, X5, X6, X7 ≥ 0

Total Number of Employees Unde

Background: Accounting scandals and fraud, both in the United States and internationally, have re-ignited the debate over the current laws, regulation and accounting principles. The relative merits of GAAP, which takes a “rules-based” approach to accounting, versus IFRS, which takes a “principles-based” approach have been under scrutiny. In the last couple of years, the FASB announced that it intends to introduce more principles-based standards to improve general accounting principles and practices.

Organizations have internal control measures to detect fraud. In additions, organizations are subjected to required reporting of financial information to external entities. With that in mind, answer the following items in your initial discussion response:

1. Define fraud and discuss the three factors identified in our textbook that contribute to fraudulent activity.
2. What are some strategies in health care to prevent financial fraud? Provide some details.
3. Identify an example of an organization that has committed fraud. What happened and what were the legal ramifications?

Make sure your initial response contains 175- to 265-words.

APA Formatting: Use citations where appropriate and list references.

Air pollution is one critical issue that the United States economy has been struggling to deal with. A vehicle creates a lot of pollution that has negative externality effects in our economy. The Corporate Average Fuel Economy (CAFÉ) was designed to reduce American dependence on foreign oil by producing more fuel-efficient vehicles to help curb emissions. Should the government force car manufacturers to increase fuel efficiency standards, or should the government increase fuel taxes? When evaluating this question, discuss the different costs and benefits that are associated with the options listed and which one you think would be the most efficient way to reduce emissions.

Motorola Mobility LLC is a company that develops mobile devices. Headquartered in Chicago, Illinois, United States, the company was formed on January 4, 2011 by the split of Motorola Inc. into two separate companies; Motorola Mobility took on the company's consumer-oriented product lines, including its mobile phone business and its cable modems and set-top boxes for digital cable and satellite television services, while Motorola Solutions retained the company's enterprise-oriented product lines. Early 2012, Google decided to purchase Motorola mobility LLC for $12.5b. Google had a plan to keep Motorola mobility for 5 years. Google financial analysis team made the following forecasts:

And that the average book value of asset is $8b and Google’s required rate of return is its WACC.

Calculate payback period. If you know that google accepts projects with 4 years payback period. Would you accept that project? (Using excel, formulas viewable)

Delta Airlines provides scheduled air transportation for passengers and cargo throughout the United States and globally a fleet of more than 900 aircraft. Information for its 2015 annual report follows.

December 31,

($ in millions)   2015 2014

Asset

            Flight and ground equipment under capital leases                  $1,112             $1,141

                        Less accumulated amortization                                        782                  767

                                                                                                            $   330             $   374

Total Assets                                                                                       $53,134          $54,005

Liabilities

            Current Liabilities                                                                  

                        Current obligation under capital leases                       $    148            $   107

Obligations under capital leases, less current obligations                   $    235            $    291

Total liabilities                                                                                    $42,284          $45,192

NOTE 7. LEASE OBLIGATIONS

We lease aircraft, airport terminals, maintenance facilities, ticket offices and other property and equipment from third parties. Rental expense for operation leases, which is recorded on a straight-line basis over the life of the lease term, totaled $1.2 billion for the years ended December 31, 2015 and 2014 and $1.1 billion for the year ended December 31, 2013. Amounts due under capital leases are recorded as liabilities, while assets acquired under capital leases are recorded as property and equipment. Amortization of assets recorded under capital leases is included in depreciation and amortization expense. Our airport terminal leases include contingent rents, which vary based upon facility usage, enplanements, aircraft weight and other factors. Many of our aircraft, facility, and equipment leases include rental escalation clauses and/or renewal options. Our leases do not include residual value guarantees and we are not the primary beneficiary in or have other forms of variable interest with the lessor of the leased assets. As a result, we have not consolidated any of the entities that lease to us.

            The following tables summarize our minimum rental commitments under capital leases and noncancelable operating leases (including certain aircraft flown by regional carriers) with initial or remaining terms in excess of one year for the years succeeding December 31, 2015 (in millions):

Year Ending December 31 Capital Leases Operating Leases

2016                                                                            $183                $1,583

2017                                                                            114                1,440

2018                                                                               56                 1,307

2019                                                                               41                 1,158

2020                                                                               29                 1,053

Thereafter                                                                      39                 6,220

                                                                                       A                 $12,761

Less amount representing interest                                  C

Present value of net minimum lease payments              B

Required:

All questions relate to 2015 unless stated otherwise.

1. Solve for the unknowns (A, B, and C)

2. What is the net amount of capital lease assets on the balance sheet?

3. Why is the net amount of capital lease assets on the balance sheet different from the total amount of liabilities recorded on the balance sheet?

4. Compute Delta’s Total debt to Total assets.

5. What entry would Delta make in 2016 to record the effects of capital leases existing at December 31, 2015? You may omit the depreciation entry.

6. What is the amount of operating lease obligation on the balance sheet?

7. What is the present value of operating lease payments? Assume an 11% discount rate.

8. What entry would be made to convert the operating leases to ASU 2016-02 (ASC 842)? Do not make an entry to reclassify long-term liabilities to current liabilities.

9. Recompute the Total debt to Total assets ratio after making the entry in requirement 8. What is the percentage change from the ratio computed in requirement 4?

Your client, a 32-year-old mother of three who has immigrated to the United States (in the last 6 months) from Tegucigalpa, Honduras, is confused as to her next steps in the treatment of her 11-year-old son’s arm, which he injured while skateboarding. Her husband, a chemical engineer at a local business, gave her $20 to pay for the needed x-ray, and she doesn’t understand why that is not enough to pay for the radiological studies. (Learning Objectives: 1, 2)
a.    How would you assess your client’s knowledge base?
b.    What teaching topics would you expect to address with your client?
c.    Which information would be pivotal in determining potential funding sources?
d.    Which potential strategies, related to each potential funding source, would connect your client to the most cost-effective funding source for the needed medical care?

4. QT has a network of 150 gasoline outlets throughout the central United States. At any ne time, the company has 1.125 million gallons of gasoline inventory. Derek Larkin has suggested that QT hedge the risk of its gasoline inventories.

a) Derek estimates the following relationship between spot (St) and futures (Ft) prices using the nearby 42000-gallon unleaded regular gasoline contract: Δ St = α + β Δ Ft + єt. If estimate of α = 0.5231 and β = 0.9217 and R2=0.88, what should QT do to hedge its inventory price risk?

b) Derek also estimated the same relationship using the nearby 42000-gallon No. 2 heating oil futures contract with the following results: α = 0.7261 and β = 0.6378 and R2=0.55. Compare the results from the two regressions and cheese the contract that would be the most appropriate.