Consider the following.

a. What is the duration of a four-year Treasury bond with a 10.5 percent semiannual coupon selling at par?
b. What is the duration of a three-year Treasury bond with a 10.5 percent semiannual coupon selling at par?
c. What is the duration of a two-year Treasury bond with a 10.5 percent semiannual coupon selling at par?
  
(For all requirements, do not round intermediate calculations. Round your answers to 2 decimal places. (e.g., 32.16))

a. Duration of the bond _______ years
b. Duration of the bond _______ years
c. Duration of the bond _______ years

After tallying the receipts for their first year of operation, the owners of the Taco Barn are encouraged. Sales of their artisnal tacos, made from such exotic ingredients as ground beef, cheese, and beans, have been strong and seem to give hope to the coming year. Taco sales by month are shown in the table.



Armed only with his fingers, the owner decides that the safest forecasting approach is a linear trend line. Generate a forecast for the year using this technique and then calculate forecast errors using MSE. What is the mean squared error for this forecasting approach?

1217

1033

1148

1282

1. In a study of police gunfire reports during a recent year, it was found that among 540 shots fired by New York City police, 182 hit their targets; and among 283 shots fired by Los Angeles police, 77 hit their targets.

a. Use a 0.05 significance level to tes t the claim that New York City police and Los Angeles

police have different proportion of hits.

b. Construct a 90 % confidence interval to estimate the difference between the two

proportions of hits.

The balance sheet for Garcon Inc. at the end of the current fiscal year indicated the following:

Income before income tax was $237,600, and income taxes were $34,800 for the current year. Cash dividends paid on common stock during the current year totaled $42,328. The common stock was selling for $44 per share at the end of the year.

Determine each of the following. Round answers to one decimal place, except for dollar amounts which should be rounded to the nearest whole cent. Use the rounded answers for subsequent requirements, if required.

The table contains the Sales estimates for the next year. The Purchases are 22% of Sales. Purchases are paid in the following month. The administrative expenses of $5,777 are paid each month Tax expenses of $70,307 are paid in March, June, September, and December each year. Rent expenses of $20,971 are paid in June and December. What is the cash outflow for December? Enter your answer rounded off to two decimal points. Do not enter $ or comma in the answer box.

Jan- 47,538

Feb- 47, 859

Mar- 53, 620

Apr- 51, 519

May- 47,538

June- 47,859

July- 51,519

Aug- 53, 620

Sep- 47,538

Oct- 53,620

Nov- 47, 859

Dec- 51, 519

create a python program that ask for a name and birth year separated by a comma. the program should keep prompting until the user inputs 'quit'.

print the dictionary containing the key value pair name:year in the same order they were inputted.

print the name and birth year on a single line for each of the entries.

finally print the dictionary with the key value paris swapped and sorted by birth year. from youngest to oldeest.

Straight-Line Depreciation

A building acquired at the beginning of the year at a cost of $85,300 has an estimated residual value of $3,300 and an estimated useful life of 10 years. Determine the following:

Strong Metals Inc. purchased a new stamping machine at the beginning of the year at a cost of $1,330,000. The estimated residual value was $70,000. Assume that the estimated useful life was five years and the estimated productive life of the machine was 300,000 units. Actual annual production was as follows:

Required:

1. Complete a separate depreciation schedule for each of the alternative methods.

a. Straight-line.

b. Units-of-production.

c. Double-declining-balance.

At the beginning of the school year, Priscilla Wescott decided to prepare a cash budget for the months of September, October, November, and December. The budget must plan for enough cash on December 31 to pay the spring semester tuition, which is the same as the fall tuition. The following information relates to the budget:

a. Prepare a cash budget for September, October, November, and December. Enter all amounts as positive values except cash decrease which should be indicated with a minus sign.

Feedback

b. Are the four monthly budgets that are presented prepared as static budgets or flexible budgets?

Static

c. What are the budget implications for Priscilla Wescott?

Priscilla can see that her present plan will not provide  sufficient cash. If Priscilla did not budget but went ahead with the original plan, she would be $ short  at the end of December, with no time left to adjust.

Heller is introducing a new product with sales of $10,000,000 per year and a Cost of Goods Sold (COGS) of $7,500,000 per year. They expect sale to grow at 5% per year for four years, then shrink at 30% per year for two years (7 years total), and then sales will stop. The 75% Cost of sales assumptions is expected to remain constant. The Heller Corporation has the following net operating working capital investment expectations for the beginning of each year of the project. At the end of the project the Net Operating Working Capital Investment will no longer be required.

Receivables: 46 days Next Year’s Sales

Inventory: 98 days COGS

Payables: 35 days COGS

(Net Operating Working Capital Analysis)

8. Calculate the annual cash flow required for the resulting Net Operating Working Capital investment. I recommend you complete this analysis in Excel.

9. If the Opportunity Cost of Capital is 9% what is the impact of the required Net Operating Working Capital Investment on the NPV of the project?

10. How much value (measured by the impact on NPV) could they create by reducing the Inventory they hold to 60 days assuming that sales are unchanged.