1. A firm with a current value (cost) of $800 and will return $1,000 next year. The firm also has a potential project that costs $500 and will return $550 next year, but the firm does not have the money to invest and must raise it from outside investors. However, outside investors mistakenly believe the firm will be worth $820 in one year without the project and $13,030 with the project. For simplicity, assume a zero discount rate. Does the project have a positive NPV? Acting on behalf of existing shareholders, should you take the project?

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.

Day of week

Write a program that asks the user for a date (year, then month, then day, each entered as a number on a separate line), then calculates the day of the week that date falls on (according to the Gregorian calendar) and displays the day name.

You may not use any date functions built into Python or its standard library, or any other functions that do this work for you.

Hint: Reverend Zeller may be useful, but his years start in a weird spot.

Give credit to your sources by including an exact, working URL in a comment at the top of your program.

LAB

In a recent year, according to the Bureau of Labor Statistics, the median number of years that wage and salary workers had been with their current employer (called employee tenure) was 3.5 years. Information on employee tenure has been gathered since the early 1950's using the Current Population Survey (CPS), a monthly survey of 50,000 households that provides information on employment, unemployment, earnings, demographics, and other characteristics of the U. S. population. With respect to employee tenure, the questions measure how long workers had been with their current employer, not how long they plan to stary with their employer.

Employee Tenure of 20 workers

4.1, 2.3, 3.5, 4.6, 3.1, 1.2, 3.9, 2.1, 1.0, 4.5, 3.2, 3.4, 4.1, 3.1, 2.8, 1.4, 3.4, 4.9, 5.7, 2.6

A) A congressional representative claims that the median tenure for workers from the representative's district is less than the national median tenure of 3.5 years. Thae claim is based on the representative's data shown above. Assume that the employees were randomly selected.

1) How would you test the representative's claim?

2) Can you use a parametric test, or do you need a nonparametric test? Why?

3) State the null and alternative hypothesis.

4) Test the claim using alpha = 0.05. What can you conclude? Show your work, the process that you used, and the result.

Employee tenure for a sample of male workers

3.3, 3.9, 4.1, 3.3, 4.4, 3.3, 3.1, 4.1, 2.7, 4.9, 0.9, 4.6

Employee tenure for a sample of female workers

3.7, 4.2, 2.7, 3.6, 3.3, 1.1, 4.4, 4.4, 2.6, 1.5, 4.5, 2.0

B) A congressional representative claims that the median tenure for male workers is greater that the median tenure for female workers. The claim is based on the data shown above.

5) How would you est the representative's claim?

6) Can you use a parametric test, or do you need to use a nonparametric test?

7) State the null hypothesis and the alternative hypothesis.

8) Test the claim using alpha = 0.05. What can you conclude. Show your work, the process that you used, and the result.

Calculate the value of a stock with the following expectations for dividend payments: $1.75 in Year 1, $2.00 in Year 2, and then annual dividend growth of 1.5% per year indefinitely. Assume a discount rate of 9%. Solve the problem two different ways: first by using the algebraic formula for the Gordon Growth Model combined with PV of uneven dividend payments, then by using Excel to calculate and sum the dividends and their respective present values for the next 150 years. hint: Use the Uneven, then Const. Growth Dividend

2.   The following data are taken from the sheet at the end of the current year:

Cash                                                                         543,000

Short-term Investments                                   826,000

Notes Payable, long-term                                235,000

Prepaid Insurance                                                 70,000

Accounts Payable                                               902,000

Accrued Liabilities                                               526,000

Inventory                                                          1,625,000

Accounts Receivable                                          117,000

Salaries Payable                                                  165,000

Intangible Assets                                                 500,000

Property, Plant and Equipment                1,800,000             

                                                          Computation          Interpretation—what does the result mean?

Compute:     a. Working capital:    ___________________   __________________________________

b. Current ratio:       ___________________   __________________________________

         c. Quick ratio:           ___________________   __________________________________

Consider the following.

a. What is the duration of a two-year bond that pays an annual coupon of 9 percent and whose current yield to maturity is 14 percent? Use $1,000 as the face value. (Do not round intermediate calculations. Round your answer to 3 decimal places. (e.g., 32.161))
b. What is the expected change in the price of the bond if interest rates are expected to decrease by 0.2 percent? (Negative amount should be indicated by a minus sign. Do not round intermediate calculations. Round your answer to 2 decimal places. (e.g., 32.16))

Consider the following.

a. What is the duration of a two-year bond that pays an annual coupon of 9 percent and whose current yield to maturity is 14 percent? Use $1,000 as the face value. (Do not round intermediate calculations. Round your answer to 3 decimal places. (e.g., 32.161))
b. What is the expected change in the price of the bond if interest rates are expected to decrease by 0.2 percent? (Negative amount should be indicated by a minus sign. Do not round intermediate calculations. Round your answer to 2 decimal places. (e.g., 32.16))

a. duration of bond

b. expected change in the price

There is a bond that pays $100 per year interest, with a $1,000 par value. It matures in 15 years. The market required yield to maturity on a comparable bond is 12%.

1. What is the value of the bond?
2. How does the value change if the yield to maturity on a comparable bond increase to 15%? What if it decreases to 8%.
3. Explain the above questions (part b) with the concepts of interest rate risk, premium bonds and discount bonds.
4. Recalculate the answer in b, with the assumption that the bond matures in 5 years (instead of 15 years).
5. Explain the above questions (part d) with the concepts of interest rate risk, premium bonds and discount bonds.

$10,000 is borrowed at 10% a year interest for five years. At the end of each year, the borrower pays interest plus 20% of the initial principal. Solve for the yearly payment and the remaining principle at the end of each year. Also, determine the total payment made over the 5 years.