The sales of a company (in million dollars) for each year are shown in the table below. Is there evidence of a linear relationship between the two variables, and are they positively correlated?
|
x (years since 2010) |
5 |
6 |
7 |
8 |
9 |
|
y (sales in millions) |
12 |
19 |
29 |
37 |
45 |
a. Assign variables and sketch the scatter gram
b. State the Null and Alternative Hypotheses as if a complete hypothesis test had been conducted.
c. Find the linear correlation coefficient.
d. At what level is there evidence of linear correlation?
e. State the least squares equation and sketch it on the scatter gram.
f. Estimate the income in the year 2021
In: Statistics and Probability
assume that a dam cost 17 million to build in a year and that beginning in the next year, the dam yields net benefits of 2 million per year for 10 years. If the discount rate is equal to 7 percent, what is the net present value of the dam? should it be built or not? What happens if the chosen discount rate is 2%? should the dam built, now?
In: Economics
At the end of the year, a company offered to buy 4,580 units of a product from X Company for $11.00 each instead of the company's regular price of $19.00 each. The following income statement is for the 60,000 units of the product that X Company has already made and sold to its regular customers:
| Sales | $1,140,000 | |
| Cost of goods sold | 491,400 | |
| Gross margin | $648,600 | |
| Selling and administrative costs | 150,000 | |
| Profit | $498,600 | |
For the year, fixed cost of goods sold were $128,400, and fixed
selling and administrative costs were $62,400. The special order
product has some unique features that will require additional
material costs of $0.77 per unit and the rental of special
equipment for $3,000.
4. Profit on the special order would be
| A: $6,555 | B: $7,407 | C: $8,370 | D: $9,458 | E: $10,687 | F: $12,076 |
| Tries 0/99 |
5. The marketing manager thinks that if X Company accepts the
special order, regular customers will be lost unless the selling
price for them is reduced by $0.14. The effect of reducing the
selling price will be to decrease firm profits by
| A: $6,720 | B: $8,400 | C: $10,500 | D: $13,125 | E: $16,406 | F: $20,508 |
In: Accounting
A man gets a job with a salary of $38,900 a year.
He is promised a $2,430 raise each subsequent year
During a 9-year period his total earnings are________
In: Math
. The Rostinaja Company is incorporated at the beginning of Year One. For convenience, assume that the company earns a reported net income of $130,000 each year and pays an annual cash dividend of
$50,000. The company is authorized to issue 200,000 shares of $3 par value common stock. At the start of Year One, the company issues 40,000 shares of this common stock for $8 per share. At the end of Year
Two, the company buys back 5,000 shares of its own stock for $12 per share. The cost method is used to
record these shares. At the start of Year Three, the company reissues 1,000 of these shares for $14 per
share. At the start of Year Four, the company reissues the remainder of the treasury stock for $9 per share.
a. Prepare the stockholders equity section of this company’s balance sheet as of December 31, Year
One.
b. Prepare the stockholders’ equity section of this company’s balance sheet as of December 31, Year
Two.
c. Prepare the stockholders’ equity section of this company’s balance sheet as of December 31, Year
Three.
d. Prepare the stockholders’ equity section of this company’s balance sheet as of December 31, Year
Four.
In: Accounting
You are considering investing in a project in Mexico. The
project will be a 2 year project, has an initial cost of 100K USD,
and expected after tax profit of 1 million MXP per year. You expect
the MXP to be valued at 0.12 USD/MXP.
There are two major risks that you think have the potential to
significantly affect project performance, which you assume are
independent:
* You think with probability of 0.16 that the MXP will depreciate
to 0.1 USD/MXP.
* You also think that with probability of 0.24 the Mexican economy
will weaken substantially, in which case the project's after tax
annual cash flow will be only 600K MXP.
Your required return on the project is 18%. What is the expected
value of the NPV of this project, as measured in USD?
In: Finance
Total doubtful accounts at the end of the year are estimated to be $12,500 based on an aging of accounts receivable. If the balance in the Allowance for Doubtful Accounts is a $3,500 debit before adjustment, what is current year's Bad Debt Expense?
In: Accounting
a. You will receive an annuity payment of $1,200 at the end of each year for 6 years. What will be the total value of this stream of income invested at 7% by the time you receive the last payment?
b. How many years of investing $1,200 annually at 9% will it take to reach the goal of $12,000?
c. If you plan to invest $1,200 annually for 9 years, what rate of return is needed to reach your goal of $15,000?
In: Finance
If a company reports positive net income for the year, is it possible for that company to show a net cash "outflow" from operating activities? Explain your answer. Consider the difference between the income statement and the cash flow statement.
In: Accounting
What is the regression model for the data? Is this a good model?
Year 2006 = 8,860 Students
2007 = 9,056
2008 = 9,050
2009 = 9,429
2010 = 9,407
2011 = 9,352
2012 = 9,608
2013 = 10,107
2014 = 10,382
2015 = 10,340
2016 = 10,805
2017 = 11,034
2018 = 11,639
In: Statistics and Probability