Kuantan ATV, Inc. assembles five different models of all-terrain vehicles (ATVs) from various ready-made components to serve the Las Vegas, Nevada, market. The company uses the same engine for all its ATVs. The purchasing manager, Ms. Jane Kim, needs to choose a supplier for engines for the coming year. Due to the size of the warehouse and other administrative restrictions, she must order the engines in lot sizes of 1,000 each. The unique characteristics of the standardized engine require special tooling to be used during the manufacturing process. Kuantan ATV agrees to reimburse the supplier for the tooling. This is a critical purchase, since late delivery of engines would disrupt production and cause 50 percent lost sales and 50 percent back orders of the ATVs. Jane has obtained quotes from two reliable suppliers but needs to know which supplier is more cost-effective. The terms of sale are 5/10 net 30 for Supplier 1 and 3/10 net 30 for Supplier 2. The data related to the costs of ownership associated with two reliable suppliers has been collected in the Microsoft Excel Online file below. Open the spreadsheet and perform the required analysis to answer the questions below.

Questions

1. What is the total cost of ownership for each of the suppliers? Assume the buyer will take advantage of the largest discount. Do not round intermediate calculations. Round your answers to the nearest cent.

2. Which supplier is more cost-effective?

Last year Carson Industries issued a 10-year, 13% semiannual coupon bond at its par value of $1,000. Currently, the bond can be called in 6 years at a price of $1,065 and it sells for $1,200.

a. What is the bond's nominal yield to maturity? Do not round intermediate calculations. Round your answer to two decimal places.

b. What is the bond's nominal yield to call? Do not round intermediate calculations. Round your answer to two decimal places.

c. What is the current yield? (Hint: Refer to Footnote 7 for the definition of the current yield and to Table 7.1.) Round your answer to two decimal places.

d. What is the expected capital gains (or loss) yield for the coming year? Use amounts calculated in above requirements for calcuation, if reqired. Round your answer to two decimal places. Enter a loss percentage, if any, with a minus sign.

Two internet companies, Accelerate and Speedy, are the only two companies that provide internet service to households in the area.   The companies offer different internet speeds and hence it affects web page loading times.   

• The web page loading times for internet service provided by Accelerate are normally distributed with a mean of 15 seconds and a standard deviation of 3.5 seconds.  
• The web page loading times for internet service provided by Speedy are uniformly distributed from 18 seconds to 38 seconds.  

You are visiting a houshold in the area and you want to know who their internet provider is, Accelerate or Speedy, that is, to test the competing hypotheses:

H₀: The internet provider is Accelerate versus H_a: The internet provider is Speedy.

You plan to use the following Decision Rule:
If a web page loading time takes more than 23 seconds, you will decide the internet service provider is Speedy (H_a),
but if a web page loading time takes less than 23 seconds, you will decide the internet service provider is Accelerate (H₀).

Question 8 Subquestions

8.a

TBD points

Compute the level of significance of the hypothesis test, showing all relevant work.

              Size   

Saved

8.b

TBD points

Find the p-value for an observation of a web-page loading speed of 25 seconds, showing all relevant work.

8.c

TBD points

You observe a web page loading time of 25 seconds. Use the information given to:
1) Make a decision and conclusion about which internet provider, Accelerate or Speedy, you think this household uses, based on the Decision Rule and your observation of 25 seconds.

2) Using the significance level you found in part a and the p-value you found in part b, make a decision and conclusion and which internet provider, Accelate or Speedy, you think this household uses.

3) Do your decisions and conclusions in Steps 1 and 2 match?

8.d

TBD points

Find the power of this hypothesis test, showing all relevant work.

8.e

TBD points

Provide one recommendation that would increase the power of this hypothesis test.

Demand for stereo headphones and MP3 players for joggers has caused Nina Industries to grow almost 50 percent over the past year. The number of joggers continues to expand, so Nina expects demand for headsets to also expand, because, as yet, no safety laws have been passed to prevent joggers from wearing them. Demand for the players for last year was as follows t (Month) y (Demand) 1 4200 2 4300 3 4000 4 4400 5 5000 6 4700 7 5300 8 4900 9 5400 10 5700 11 6300 12 6000 Using linear regression analysis, what would you estimate demand to be for each month next year?

Consider the following table on labor hours needed to produce one unit of output for two different goods in two different countries:

a. The opportunity cost of a computer in France is __________.

b. The opportunity cost of a computer in the United States is __________.

c. The opportunity cost of one unit of wine in France is __________.

d. The opportunity cost of one unit of wine in the United States is __________.

e. France possesses comparative advantage in the production of __________.

f. The United States possesses comparative advantage in the production of __________.

Please answer with a minimum of 75 words

Exercise 17.9

The state of Glottamora has $200 million remaining in its budget for the current year. One alternative is to give Glottamorans a one-time tax rebate. Alternatively, two proposals have been made for state expenditures of these funds. The first proposed project is to invest in a new power plant, costing $200 million and having an expected useful life of 20 years. Projected benefits of the new power plant are as follows:

The second alternative is to undertake a job retraining program, also costing $100 million and generating the following benefits:

The state Power Department argues that a 5 percent discount factor should be used in evaluating the projects because that is the government’s borrowing rate. The Human Resources Department suggests using a 12 percent rate because that more nearly equals society’s true opportunity rate. The present value interest factor at the end of years from 0 - 20 for the two discount rates are given in the following table.

Evaluate the projects using both the 5 percent and the 12 percent rates.

If you agree with the Power Department that the government’s borrowing rate is the appropriate discount rate, which project will you choose?

Job retraining program

Power plant

ABLE #1 represents data for a perfectly competitive firm (assume labor drives the variable costs). Assume the product sells for

$75.00 (and filling out the table with the correct answers for 10 points):

a. On the same sheet of paper you are submitting to the Week Eight Big Problem PART TWO Dropbox containing your name and a completed TABLE #1, graph each of the average total cost, average variable cost, and marginal cost curves (13 points), and highlight this firm’s supply curve (2 points) and label the two points on the supply curve we know with absolute certainty (4 points). If the price of the output in TABLE #1 is $75.00 per unit, add this information to your graph (3 points). Make sure you label all relevant components.

Q: A computer consulting firm presently has bids out on three projects. Let A_i = {awarded project i}, for i = 1, 2, 3, and suppose that P(A₁) = 0.23, P(A₂) = 0.25, P(A₃) = 0.29, P(A₁ ∩ A₂) = 0.07, P(A₁ ∩ A₃) = 0.05, P(A₂ ∩ A₃) = 0.08, P(A₁ ∩ A₂ ∩ A₃) = 0.02. Use the probabilities given above to compute the following probabilities, and explain in words the meaning of each one. (Round your answers to four decimal places.)

(a)    P(A₂ | A₁) =

Explain this probability in words.

If the firm is awarded project 2, this is the chance they will also be awarded project 1. If the firm is awarded project 1, this is the chance they will also be awarded project 2.     This is the probability that the firm is awarded either project 1 or project 2. This is the probability that the firm is awarded both project 1 and project 2.

(b)    P(A₂ ∩ A₃ | A₁) =

Explain this probability in words.

This is the probability that the firm is awarded projects 1, 2, and 3. If the firm is awarded project 1, this is the chance they will also be awarded projects 2 and 3.     If the firm is awarded projects 2 and 3, this is the chance they will also be awarded project 1. This is the probability that the firm is awarded at least one of the projects.

(c)    P(A₂ ∪ A₃ | A₁) =

Explain this probability in words.

If the firm is awarded project 1, this is the chance they will also be awarded at least one of the other two projects. This is the probability that the firm is awarded at least one of the projects.     If the firm is awarded at least one of projects 2 and 3, this is the chance they will also be awarded project 1. This is the probability that the firm is awarded projects 1, 2, and 3.

(d)    P(A₁ ∩ A₂ ∩ A₃ | A₁ ∪ A₂ ∪ A₃) =

Explain this probability in words.

This is the probability that the firm is awarded at least one of the projects. This is the probability that the firm is awarded projects 1, 2, and 3.     If the firm is awarded at least two of the projects, this is the chance that they will be awarded all three projects. If the firm is awarded at least one of the projects, this is the chance that they will be awarded all three projects.

Q: Three couples and two single individuals have been invited to an investment seminar and have agreed to attend. Suppose the probability that any particular couple or individual arrives late is 0.38 (a couple will travel together in the same vehicle, so either both people will be on time or else both will arrive late). Assume that different couples and individuals are on time or late independently of one another. Let X = the number of people who arrive late for the seminar.

(a) Determine the probability mass function of X. [Hint: label the three couples #1, #2, and #3 and the two individuals #4 and #5.] (Round your answers to four decimal places.)

(b) Obtain the cumulative distribution function of X. (Round your answers to four decimal places.)

Use the cumulative distribution function of X to calculate

P(2 ≤ X ≤ 7).

(Round your answer to four decimal places.)

P(2 ≤ X ≤ 7) =

The MS Pony Entertainment Company is trying to determine its weighted average cost of capital for use in making several investment decisions. The firm's bonds were issued 6 years ago and have 14 years left until maturity. They carry an 8% coupon rate paid/compounded annually and are currently selling for $962.50. The firm's preferred stock carries a $4.60 dividend and is currently selling at $42.50 per share. Investment dealers have stated that floatation costs for new preferred will be 50 cents per share. The firm has significant retained earnings but will also need to sell new common stock to finance the projects it is now considering. MS is expected to pay a $2.50 per share dividend next year and is expected to maintain an 8% growth rate for the foreseeable future. The stock is currently priced at $50 per share, but new common stock will have flotation costs of 60 cents per share. Calculate the costs of the various components of MS. The firm's tax rate is 44%

Write a program called distance_square.c that reads an integer n from standard input, and prints an nxn pattern of integers. Each integer is the minimum number of steps required to reach the centre of the square. Steps can only be up, down, left or right (no diagonal movement). the question should be allowed to use only while loop

 4  3  2  3  4 
 3  2  1  2  3 
 2  1  0  1  2 
 3  2  1  2  3 
 4  3  2  3  4 

Observing the example above, each integer represents the minimum number of steps required to reach the centre of the square. For example, the top left corner contains the integer 4. The centre of the square can be reached in 4 steps (right, right, down, down).

You can assume n is odd and >= 3.

Make your program match the examples below exactly.

This exercise is designed to give you practice with while loops, if statements and some mathematical operators. Do not use arrays for this exercise!

Note: you are not permitted to use an array in this exercise. and you are suppose to use while loop only!!

./distance_square
Enter square size: 3
 2  1  2 
 1  0  1 
 2  1  2 

./distance_square
Enter square size: 9
 8  7  6  5  4  5  6  7  8 
 7  6  5  4  3  4  5  6  7 
 6  5  4  3  2  3  4  5  6 
 5  4  3  2  1  2  3  4  5 
 4  3  2  1  0  1  2  3  4 
 5  4  3  2  1  2  3  4  5 
 6  5  4  3  2  3  4  5  6 
 7  6  5  4  3  4  5  6  7 
 8  7  6  5  4  5  6  7  8 

./distance_square
Enter square size: 15
14 13 12 11 10  9  8  7  8  9 10 11 12 13 14 
13 12 11 10  9  8  7  6  7  8  9 10 11 12 13 
12 11 10  9  8  7  6  5  6  7  8  9 10 11 12 
11 10  9  8  7  6  5  4  5  6  7  8  9 10 11 
10  9  8  7  6  5  4  3  4  5  6  7  8  9 10 
 9  8  7  6  5  4  3  2  3  4  5  6  7  8  9 
 8  7  6  5  4  3  2  1  2  3  4  5  6  7  8 
 7  6  5  4  3  2  1  0  1  2  3  4  5  6  7 
 8  7  6  5  4  3  2  1  2  3  4  5  6  7  8 
 9  8  7  6  5  4  3  2  3  4  5  6  7  8  9 
10  9  8  7  6  5  4  3  4  5  6  7  8  9 10 
11 10  9  8  7  6  5  4  5  6  7  8  9 10 11 
12 11 10  9  8  7  6  5  6  7  8  9 10 11 12 
13 12 11 10  9  8  7  6  7  8  9 10 11 12 13 
14 13 12 11 10  9  8  7  8  9 10 11 12 13 14