Social Security system is a pay as you go retirement plan. Money taken from workers checks is
transferred to retirees. At one time there were 42 workers per retiree; today the ratio is now under 3 to 1.
By 2030, the ratio is expected to fall to 2 to 1. The only way to keep the current system solvent is to raise
taxes on those currently working or cut benefits to those already retired. Neither of these options is
particularly pleasant. Another option is now being debated, privatization. Under this plan, the government
would still deduct money from our checks, but it would be put into personal retirement accounts under our
own individual (but limited) control.
Carefully read the information below, and then do three things with the data. (1) Make two columns (one
for costs and the other for benefits) and place each piece of information in the correct column. (2) Prioritize
each list, from most important to least important. (3) Write a three-paragraph analysis. Paragraphs one
and two should explain why you feel the top two costs and top two benefits are the most important. Finally,
paragraph three is your analysis, based on your interpretation of all the facts listed below, explain whether
you believe we should privatize Social Security or not. The paper should be word-processed and no
more than one page in length.
1. The stock market has averaged a 7% return on peoples’ investments over the last
50 years, which is significantly higher than the 1-2% or less most will receive
under the current Social Security plan.
2. Many people close to retirement could be harmed by a sudden drop in the market,
reducing the value of their retirement accounts just when they need it the most.
3. Any privatization plan would have much higher administrative costs than our
current transfer program, reducing the potential returns.
4. Disabled workers and widows of workers who die young would see a reduction in
benefits.
5. Under privatization, people would be more in control of their own retirement.
6. Social Security is indexed to protect against inflation (there is a COLA tied to the
CPI), private retirement accounts would not be able to guarantee this protection.
7. If we try to privatize, the only way to continue to pay for today’s retiree’s benefits
and put money into separate accounts for each individual would be to raise taxes
or cut benefits or both (at least in the short run).
8. Instead of the government simply paying out the collected money in transfer
payments, this money could now be funneled into investments across the country
leading to more economic growth.
9. Privatization may lead to a loss of “community”, the idea that we are all in the
same retirement plan together.
10. Under privatization, even the poor would have a chance to invest in the stock and
bond markets normally only available to the wealthy.
11. Some people are concerned that many people are totally unprepared to choose the
investment strategy best suited to their individual needs. This could lead to
people making bad choices and having less retirement income.
12. If you die before retirement age the money in the account would pass to your
heirs, not the government.

QUESTION 15 VFIC Industries has come up with a new mountain bike prototype and is ready to go ahead with pilot production and test marketing. The pilot production and test marketing phase will cost $500,000 and last for one year. The management team believes that there is a 50% chance that the test marketing will be successful and that there will be sufficient demand for the new mountain bike. If the test-marketing phase is successful, then VFIC will invest $3 million to build a plant immediately that will generate expected annual after-tax cash flows of $400,000 in perpetuity starting in year two. If the test marketing is not successful, VFIC can still go ahead and build the new plant, but the expected annual after-tax cash flows would be only $200,000 in perpetuity starting in year two. VFIC's cost of capital is 10%. Suppose that VFIC has the option to sell the prototype mountain bike at the end of the first year for $300,000. The NPV of the VFIC Mountain Bike Project is around:

A. $90,909 B. $204,545 C. $455,000 D. -$45,455 E. None of the above

QUESTION 15 VFIC Industries has come up with a new mountain bike prototype and is ready to go ahead with pilot production and test marketing. The pilot production and test marketing phase will cost $500,000 and last for one year. The management team believes that there is a 50% chance that the test marketing will be successful and that there will be sufficient demand for the new mountain bike. If the test-marketing phase is successful, then VFIC will invest $3 million to build a plant immediately that will generate expected annual after-tax cash flows of $400,000 in perpetuity starting in year two. If the test marketing is not successful, VFIC can still go ahead and build the new plant, but the expected annual after-tax cash flows would be only $200,000 in perpetuity starting in year two. VFIC's cost of capital is 10%. Suppose that VFIC has the option to sell the prototype mountain bike at the end of the first year for $300,000. The NPV of the VFIC Mountain Bike Project is around: A. $90,909 B. $204,545 C. $455,000 D. -$45,455 E. None of the above

Consider the following items in the Knapsack Problem:

Item                weight             value            Knapsack capacity W = 9.

1                      3                   $6

2 4 $12

3                      2                  $10

4                      5                  $20

Determine the maximum value in the knapsack if we allow repetitions; i.e., if there are an unlimited number of each item so that more than one such item can be chosen.

Find the missing value in the following linear array. P(w) is the maximum profit obtainable for a knapsack of capacity w.

w-->

            0       1      2       3       4       5       6       7       8       9

P(w):    0 0 10 10     20     20     30    30 40 ?  

P(9) =

Select one:

a. $38

b. $43

c. $32

d. $40

A clinic manager conducted an 8-week training on new regulations affecting the practice. Each employee took a pre-assessment and a post-assessment to determine their level of knowledge on the content of the training. The data are as follow:

A) Conduct the appropriate t-test and indicate your evidence at α = 0.05 that the training was effective.

B) Write a one-sentence journal entry for the results.

C) Is this a two-tailed or one-tailed test? Explain your choice.

6.Suppose that you had savings deposited in an account at an interest rate of 5 percent and your father told you that he earned 10 percent interest 20 years ago.

Which of you was getting the better return?

How would your answer change if you were told that the inflation rate in the United States was 12 percent 20 years ago and is 3 percent now?

7.Suppose you have $1,000, which you can put in two different types of accounts at a bank. One account pays interest of 8 percent per year; the other pays interest of 2 percent per year plus the rate of inflation.

Calculate the real return you will receive after one year if the inflation rate is 5 percent.

Which account will you choose if you expect the rate of inflation to be 8 percent? Why?

Transcribing Anonymous SEC Tips

Java or Python

   * The function is expected to return a STRING_ARRAY.

     * The function accepts following parameters:

     *  1. STRING_ARRAY inputNames

     *  2. STRING_ARRAY secRecords

     */

Problem Statement

Introduction

Imagine you are helping the Security Exchange Commission (SEC) respond to anonymous tips. One of the biggest problems the team faces is handling the transcription of the companies reported by the callers. You've noticed that sometimes the company name is misheard by the person taking the call, sometimes it is simply mistyped, and sometimes both. These problems make it more difficult to search the SEC records to identify the company.

You have access to the list of transcribed company names and the database of SEC records. We need a way to effectively translate company names based on their transcriptions so we can narrow our search results to the one company we are interested in.

Input

You will receive a string array representing the list of transcribed company names.

Each string in the array takes the following form:

• The string will contain a company name comprising a set of words separated by spaces.
• You can assume company names will only use alphabetic characters -- no numbers, no punctuation.

You will also receive a string array representing the database of SEC records.

• Each string will be of the form ; (company name string and company EIN string separated by a semicolon). An EIN is a federal tax identification number used to uniquely identify each company.
• As above, the company name half of the string will contain a set of words separated by spaces.
• The EIN half of the string comprises 2 integers, a dash, and 7 more integers, in that order. Example, "12-3456789".
• There will be no semicolons anywhere in the company name or EIN strings.

You may also make the following assumptions about the structure:

• There will be at most 1000 companies in the SEC database.
• There will be at most 50 company names in the input.
• No company names or EINs will be repeated in either the input or the database.

Output

For each transcribed company name in the input string array, you want to match that to a company name (first part of a string) in the SEC database. The second part of the string in the SEC database will represent the company's EIN. Your output should also be a string array, this time representing the EINs mapped to the names in the input string array. You may assume that every input name will match a name in the SEC records.

Responding to Calls

The Basics

Let's start with the first step: making sure that if the name is transcribed perfectly, we match that company's record in the database right away. This will give you an idea of how to match company names in our system and what the output array should be. This will also show you how the input is structured if you desire to make your own custom inputs. The input comes in the form of two string arrays, where the first line represents the length of the array. An example is below.

Input

3

Pear Computers

Construct An Ursus

Planetary Technologies

3

Pear Computers;54-1264938

Construct An Ursus;58-1481332

Planetary Technologies;19-3563561

Output

["54-1264938", "58-1481332", "19-3563561"]

Your code should pass test cases 0, 1, and 2 after solving this step.

Misspellings

The second thing we want to look for are basic misspellings due to the transcriber hearing the company name correctly but missing a keystroke or pressing the wrong key instead. Think "Harveys Steakhouse" turns into "Harfeys Sreakhouse" or "Sugar and Sugar" turns into "Sugra and Sugar". In the first example, the transcriber missed the "v" key and hit "f" instead, and missed "t" and hit "r" instead. In the second, the transcriber accidentally typed "r" before "a". You should pass test cases 3 through 8 after solving this problem. Hint: looking up the phrase "string edit distance" in a search engine should be of some help to you here.

Input

3

Pewar Computers

Consuct A Ursuus

Planteray Techniligies

3

Pear Computers;54-1264938

Construct An Ursus;58-1481332

Planetary Technologies;19-3563561

Output

["54-1264938", "58-1481332", "19-3563561"]

Metaphones

The last and trickiest instance of transcription comes in the form of arbitrary misspellings resulting from the transcriber either hearing the name correctly and using a different spelling than the one in our database, or mishearing the name in some form. Think "Ashley Antiques" vs. "Ashlee Antiques" vs. "Ashleigh Antiques" or "Rate My Reading" turns into "Great My Treating". This is a purposefully very open-ended and tricky problem, and you are not expected to get all cases. One example is viewable and most are purposefully hidden - try to be creative with your solution, as there are multiple ways you could solve this piece! Test cases 9 through 16 are the ones that relate to this part of the problem; as before, an example is below.

Input

3

Pare Computers

Conduct An Ersis

Palintary Technawlogies

3

Pear Computers;54-1264938

Construct An Ursus;58-1481332

Planetary Technologies;19-3563561

Output

["54-1264938", "58-1481332", "19-3563561"]

8.       Mr. Toriop owns 5000 shares of stock in Yummy Corporation. The company has announced that it will pay a dividend of $5 per share in one year and then a liquidating dividend of $50 per share in two years. The required return on ABC stock is 10%.      

a. What is the current share price of your stock?                                (1 mark)

b. What will be the company’s share price in one year?                         (1 mark)

c. Mr. Toriop wishes to have equal amount of dividend income for the next two years. How can he use homemade leverage on Yummy Corporation’s dividends to achieve this goal? Check that the present value of the cash flows will be the same as they are before the homemade leverage. (Hint: Dividends will be in the form of an annuity.)      

d. Suppose Mr. Toriop is thinking about buying a house for $220,000 in one year. How can he use homemade leverage on Yummy Corporation’s dividends to achieve this goal? Check that the present value of the cash flows will be the same as they are before the homemade leverage.                                                        

e. Suppose Mr. Toriop is thinking about postponing the house purchase for two years, by which time the price of the house will have increased by $35,000. How can he use homemade leverage on Yummy Corporation’s dividends to achieve this goal? Check that the present value of the cash flows will be the same as they are before the homemade leverage.