Project for Chapters 8 & 9

Confidence Interval & Hypothesis Testing for a Single Population

Dominick Aldo owns and operates Carolina’s which is an Italian restaurant in New York. The file Single Population.xlsx is shown below and contains the amount of time that 90 tables were seated.

1. Develop a 90% confidence interval for this random sample and interpret the results.
2. Test the hypothesis that the average table time exceeds 98 minutes using α=.05.
3. What is the p-value? Interpret the results.

Be sure that your project shows the following steps

1. Null and alternative hypothesis
2. Determine which distribution to use for the test statistic.
3. Using data provided, calculate necessary sample statistics.
4. Draw a conclusion and interpret the decision.

Times for a Table

CASE STUDY

ANNUAL WORTH ANALYSIS—THEN AND NOW

Background and Information

Harry, owner of an automobile battery distributorship in Atlanta, Georgia, performed an economic analysis 3 years ago when he decided to place surge protectors in-line for all his major pieces of testing equipment. The estimates used and the annual worth analysis at MARR = 15% are summarized below. Two different manufacturers’ protectors were compared.

The spreadsheet in below sheet is the one Harry used to make the decision. Lloyd’s was the clear choice due to its substantially larger AW value. The Lloyd’s protectors were installed.

During a quick review this last year (year 3 of operation), it was obvious that the maintenance costs and repair savings have not followed (and will not follow) the estimates made 3 years ago. In fact, the maintenance contract cost (which includes quarterly inspection) is going from $300 to $1200 per year next year and will then increase 7% per year for the next 10 years. Also, the repair savings for the last 3 years were $28,482, $31,506, and $32,429, as best as Harry can determine. He believes savings will decrease by $1,577 per year hereafter. Finally, these 3-year-old protectors are worth nothing on the market now, so the salvage in 7 years is zero, not $3000.

Case Study Exercises

• Q1- Plot a graph of the newly estimated maintenance costs and repair savings projections, assuming the protectors last for seven more years.
• Q2- With these new estimates, what is the recalculated AW for the Lloyd’s protectors? Use the old first cost and maintenance cost estimates for the first 3 years. type your answer in the answer box
• Q3- If these estimates had been made 3 years ago, would Lloyd’s still have been the economic choice
• Q4- How has the capital recovery amount changed for the Lloyd’s protectors with these new estimates?

Submission details:

1-Each student must submit an excel file with the required solution (graphs and tables).  answers of Q1 & Q2 above.

2- Each Student to submit one file of a hand written verification solution using the factors/tables to calculate the AW value of the revised LIoyds scenario. To be uploaded as image or PDF.verification of Q2, answers Q3 &Q4 above.

please answer clearly Q1,Q2,Q3,Q4

5. There are two kinds of third-party payers; private insurers or public insurers. Describe the two and give examples of each.

7. Understand the similarities and differences between different reimbursement methods, such as fee-for-service reimbursement and capitation.

8. Explain the difference between cash accounting and accrual accounting. How are the revenue recognition and matching principles related?

9. What is the difference between operating and net income?

Calculating the cost of Full-Time and Part-Time Employment

In your role as a compensation analyst, you have been assigned to calculate and compare the estimated costs of hiring full-time and part-time employees in anticipation of staffing a project. It will take 100,000 work hours to complete the project, and the project must be completed within a 5-workweek period. The workweek runs Monday through Friday, within the daily hours of 8 am to 4 pm. Full-time workers provide 40 hours of weekly service. Part-time workers provide 20 hours of weekly service. Assume that the hourly wage rate for full-time workers is $20, and the rage is $12 for part-time workers. Both categories of workers perform the same sets of tasks. also , assume that costs of benefits equal the amounts displayed in Table 12-2.

Questions:

12-9. Based exclusively on employing full time workers, (a) How many are needed to complete the project? (b) What is the estimated total cost of wages and benefits?

12-10. Based exclusively on employing part-time workers, (a) How many are needed to complete the project? (b) What is the estimated total cost of wages and benefits?

12-11. Assume that your company has asked you to calculate the cost of staffing the project with a combination of full- and part-time workers? You’ve already hired 15 full-time workers. (a) How many part-time workers should you hire? (b) What is the total cost of wages and benefits based on employing this mix of full- and part-time workers?

Sandra Stein, 36, has Type 1 diabetes. She's had the flu for the last 4 days and hasn't eaten or taken her insulin. Her husband brings her to the ED; she's confused and lethargic. During your admission assessment, you note that she's breathing rapidly and that her breath has a fruity odor. Her ABG values on 40% oxygen by face mask and her glucose levels are as follows:

pH, 7.15

PaCO2, 30 mm Hg

PaO2, 130 mm Hg

HCO3-, 10 mEq/liter

SaO2, 94%

Serum glucose, 690 mg/dl.

1. Determine the acid-base disorder using the methods outlined above.

2. Determine the cause (s) of the acid-base disorder.

3. Suggest treatments

1. You are planning to retire in 40-years. You plan on putting aside $300 each month and increase that saving by 0.5% each month. Suppose your investments earn 1% per month, what will you accumulate after 40 years if you start saving one month from and stop after a last installment in 40 years.

The managers of a brokerage firm are interested in finding out if the number of new clients a broker brings into the firm affects the sales generated by the broker. They sample 12 brokers and determine the number of new clients they have enrolled in the last year and their sales amounts in thousands of dollars. These data are presented in the table that follows.

Broker        Clients       Sales

      1            48             72

      2            11             37

      3            42             64

      4            33             55

      5            15             29

      6            15             34

      7            25             58

      8            36             59

      9            28             44

      10          30             48

      11          17             31

      12          22             38

1. Suppose the managers of the brokerage firm want to obtain a 95% confidence interval estimate for the mean sales made by brokers who have brought into the firm 24 new clients. What is the confidence interval estimate?

2. Suppose the managers of the brokerage firm want to obtain a 95% prediction interval for the sales made by a broker who has brought into the firm 18 new clients, what is the prediction estimate?

A researcher surveyed 12 men who lost their fathers earlier in their lives.  His survey included the age of the subjects when their fathers died and their confidence that they would someday be happily married themselves (100 point scale – higher score = more confidence).  The results are shown below.

Mx=15 My =60

SSx=348 SSy=5198

SPxy=933

Write a short interpretation of the effect size.

Write the equation for the regression line.

State, in words, the meaning of the regression equation.

Can you estimate a confidence rating for a man who lost his father at 30 years old? Why or why not?