Use the following items to determine the total assets, total liabilities, net worth, total cash inflows, and total cash outflows.

Exercise 2:

Create a spreadsheet to calculate your projected total costs, total revenues, and total profits

for giving a seminar on cost estimating. Make the following assumptions:

• You will charge $600 per person for a two-day class.
• You estimate that 30 people will attend the class, but you want to change this input.
• Your fixed costs include $500 total to rent a room for both days, setup fees of $400 for

registration, and $300 for designing a postcard for advertising.

• You will not include your labor costs for this estimate, but you estimate that you will spend at least 150 hours developing materials, managing the project, and giving the actual class. You would like to know what your time is worth given different scenarios.
• You will order 5,000 postcards, mail 4,000, and distribute the rest to friends and colleagues.
• Your variable costs include the following:

1. $5 per person for registration plus four percent of the class fee per person to handle

credit card processing; assume that everyone pays by credit card

2. $0.40 per postcard for printing if you order 5,000 or more
3. $0.25 per postcard for mailing and postage
4. $25 per person for beverages and lunch
5. $30 per person for class handouts

Be sure to have input cells for any variables that might change, such as the cost of postage

and handouts. Calculate your profits based on each of the following numbers of people who

might attend: 10, 20, 30, 40, 50, and 60. In addition, calculate what your time would be worth

per hour based on the number of students. Try to use the Excel data table feature to show

the profits based on the number of students. If you are unfamiliar with data tables, just repeat

the calculations for each possibility of 10, 20, 30, 40, 50, and 60 students. Print your results

on one page, highlighting the profits for each scenario and what your time is worth.

1.Consider a firm that operates in a perfectly competitive market. The firm is producing at its profit maximizing output level.  If this is true, then

2.In order to make the shut-down decision, a perfectly competitive firm compares

3.In exiting decisions, a perfectly competitive firm compares the

4.Total cost = Average Total Cost x Quantity

a.True

b.False

5. A restaurant, which operates in a perfectly competitive market, is evaluating whether it should serve breakfast on a daily basis.  It would choose to do this when its revenues cover its variable costs.

a. True

b. False

Q1) Five critical path activities are candidates for crashing on a CPM network. Activity details are in the table below.

1. What is the crash cost per unit time for each of the activities?

2. Which activity should be crashed first to cut one day from the project's duration; calculate the added cost and total cost of project?

3. Which activity should be the next activity crashed to cut a second day from the project's duration; calculate the added cost and total cost of project.

4. If we want to minimize project duration by 6 days, what should we do? (calculate the added cost and total cost of project)

5. How much can this project be shortened? (Calculate the added cost and total cost of project)

The Metropolitan Book Company purchases paper from the Atlantic Paper Company. Metropolitan produces magazines and paperbacks that require 1,215,000 pounds of paper per year. The cost per order for the company is $1,200; the cost of holding 1 pound of paper in inventory is $0.08 per year. Determine the following: a) The economic order quantity b) The minimum total annual cost c) The optimal number of orders per year d) The optimal time between orders.

Discussion Question - There is an ongoing debate about the roles of quantitative and qualitative inputs in demand estimation and forecasting. Those in the qualitative camp argue that statistical analysis can only go so far. Demand estimates can be further improved by incorporating purely qualitative factors. Quantitative advocates insist that qualitative, intuitive, holistic approaches only serve to introduce errors, biases, and extraneous factors into the estimation task.

Suppose the executive for the theater chain is convinced that any number of bits of qualitative information (the identity of the director, the film’s terrific script and rock-music sound track, the Hollywood “buzz” about the film during production, even the easing of his ulcer) influence the film’s ultimate box-office revenue.

How might one test which approach—purely qualitative or statistical— provides better demand or revenue estimates? Are there ways to combine the two approaches? Provide concrete suggestions.

A person with a cough is a persona non grata on airplanes, elevators, or at the theater. In theaters especially, the irritation level rises with each muffled explosion. According to Dr. Brian Carlin, a Pittsburgh pulmonologist, in any large audience you'll hear about 8 coughs per minute.

(a) Let r = number of coughs in a given time interval. Explain why the Poisson distribution would be a good choice for the probability distribution of r.

Coughs are a common occurrence. It is reasonable to assume the events are dependent.Coughs are a common occurrence. It is reasonable to assume the events are independent.    Coughs are a rare occurrence. It is reasonable to assume the events are dependent.Coughs are a rare occurrence. It is reasonable to assume the events are independent.

(b) Find the probability of six or fewer coughs (in a large auditorium) in a 1-minute period. (Use 4 decimal places.)


(c) Find the probability of at least eight coughs (in a large auditorium) in a 24-second period. (Use 4 decimal places.)

Suppose that the sitting​ back-to-knee length for a group of adults has a normal distribution with a mean of mu equals 22.7 in. and a standard deviation of sigma equals 1.2 in. These data are often used in the design of different​ seats, including aircraft​ seats, train​ seats, theater​ seats, and classroom seats. Instead of using 0.05 for identifying significant​ values, use the criteria that a value x is significantly high if​ P(x or ​greater)less than or equals0.01 and a value is significantly low if​ P(x or ​less)less than or equals0.01. Find the​ back-to-knee lengths separating significant values from those that are not significant. Using these​ criteria, is a​ back-to-knee length of 24.9 in. significantly​ high? Find the​ back-to-knee lengths separating significant values from those that are not significant. ​Back-to-knee lengths greater than nothing in. and less than nothing in. are not​ significant, and values outside that range are considered significant. ​(Round to one decimal place as​ needed.).

6.2.19-E Suppose that the sitting​ back-to-knee length for a group of adults has a normal distribution with a mean of mu equals 24.1 in. and a standard deviation of sigma equals 1.1 in. These data are often used in the design of different​ seats, including aircraft​ seats, train​ seats, theater​ seats, and classroom seats. Instead of using 0.05 for identifying significant​ values, use the criteria that a value x is significantly high if​ P(x or ​greater)less than or equals0.01 and a value is significantly low if​ P(x or ​less)less than or equals0.01. Find the​ back-to-knee lengths separating significant values from those that are not significant. Using these​ criteria, is a​ back-to-knee length of 26.2 in. significantly​ high? Find the​ back-to-knee lengths separating significant values from those that are not significant. ​Back-to-knee lengths greater than nothing in. and less than nothing in. are not​ significant, and values outside that range are considered significant.