Using the following dataset, conduct a one-way ANOVA and post-hoc comparisons if necessary. A real estate developer is considering investing in a shopping mall on the outskirts of Atlanta, GA. Three parcels of land are being evaluated. Of particular importance is the income in the area surrounding the proposed mall. A random sample of four families is selected near each proposed mall. The following are the sample results. At the 0.05 significance level, can the developer conclude there is a difference in the mean income?
|
Southwyck Area (in $1,000’s) (Group 1) |
Franklin Park (in $1,000’s) (Group 2) |
Old Orchard (in $1,000’s) (Group 3) |
|
64 |
74 |
75 |
|
68 |
71 |
80 |
|
70 |
69 |
76 |
|
60 |
70 |
78 |
1. (2 points) What is the F-value for the one-way ANOVA test:
a. 18.14
b. 14.18
c. 138.25
d. None of the above
2. (2 points) What is the p-value:
a. 0.0071
b. 14.18
c. 0.0017
d. None of the above
3. (2 points) What is the mean for Group 1:
a. 65.5
b. 71.0
c. 77.3
d. None of the above
4. (2 points) What is the mean for Group 2:
a. 65.5
b. 71.0
c. 77.3
d. None of the above
5. (2 points) What is the mean for Group 3:
a. 65.5
b. 71.0
c. 77.3
d. None of the above
6. (2 points) Is there a difference mean income between at least two of the areas?
a) TRUE b) FALSE
7. (2 points) Using the results of the Tukey test (alpha = 0.05), is Group 1 significantly different from Group 2?
a) TRUE b) FALSE
8. (2 points) Using the results of the Tukey test (alpha = 0.05), is Group 2 significantly different from Group 3?
a) TRUE b) FALSE
9. (2 points) Using the results of the Tukey test (alpha = 0.05), is Group 1 significantly different from Group 3?
a) TRUE b) FALSE
Using the following dataset, conduct a one-way ANOVA and post-hoc comparisons if necessary. The following is sample information. Test the hypothesis that all treatment means are equal at the 0.05 significance level.
|
Treatment 1 (Group 1) |
Treatment 2 (Group 2) |
Treatment 3 (Group 3) |
|
8 |
3 |
3 |
|
6 |
2 |
4 |
|
10 |
4 |
5 |
|
9 |
3 |
4 |
10. (2 points) What is the F-value for the one-way ANOVA test:
a. 21.94
b. 14.18
c. 31.083
d. None of the above
11. (2 points) What is the p-value:
a. 0.01
b. 0.05
c. 0.03
d. None of the above
12. (2 points) What is the mean for Group 1:
a. 3.0
b. 4.0
c. 5.1
d. None of the above
13. (2 points) What is the mean for Group 2:
a. 3.0
b. 4.0
c. 5.1
d. None of the above
14. (2 points) What is the mean for Group 3:
a. 3.0
b. 4.0
c. 5.1
d. None of the above
15. (2 points) Is there a difference mean income between at least two of the treatment groups?
a) TRUE b) FALSE
16. (2 points) Using the results of the Tukey test (alpha = 0.05), is Group 1 significantly different from Group 2?
a) TRUE b) FALSE
17. (2 points) Using the results of the Tukey test (alpha = 0.05), is Group 2 significantly different from Group 3?
a) TRUE b) FALSE
18. (2 points) Using the results of the Tukey test (alpha = 0.05), is Group 1 significantly different from Group 3?
a) TRUE b) FALSE
Use the following dataset for the next four questions:
X: 5 3 6 3 4 4 6 8
Y: 13 15 7 12 13 11 9 5
19. (3 points) What is the Pearson correlation value r(x,y)? r = _________
a. -0.98
b. -0.89
c. 0.89
d. None of the above
20. (3 points) Is the “r” signifcant at alpha = 0.05?
a) TRUE
b) FALSE
21. (4 points) Identify the regression equation below
a. Y = 19.12 + 1.74(X)
b. Y = 19.12 – 1.74(X)
c. Y = -4.802 – 1.74(X)
d. None of the above
22. (3 points) Calculate the value of Y when X is 7:
a. 9.64
b. 4.96
c. 6.94
d. None of the above
Mr. James McWhinney, president of Daniel-James Financial Services, believes there is a relationship between the number of client contacts and the dollar amount of sales. To document this assertion, Mr. McWhinney gathered the following sample information. The X column indicates the number of client contacts last month, and the Y column shows the value of sales (in thousands $) last month for each client sampled.
|
Number of Contacts (X) |
Sales (in thousands $) Y |
|
14 |
24 |
|
12 |
14 |
|
20 |
28 |
|
16 |
30 |
|
46 |
80 |
|
23 |
30 |
|
48 |
90 |
|
50 |
85 |
|
55 |
120 |
|
50 |
110 |
a. Sales = -12.2 + 2.19(Contacts)
b. Sales = 2.19 – 12.2(Contacts)
c. Sales = 6.56 + 0.176(Contacts)
d. None of the above
24. (3 points) Calculate the estimated sales if 40 contacts are made:
a. Approximately 57
b. Approximately 75
c. Approximately 85
d. Approximately 105
In: Statistics and Probability
|
You are trying to develop a strategy for investing in two different stocks. The anticipated annual return for a $1,000 investment in each stock under four different economic conditions has the probability distribution shown to the right. Complete parts (a) through (c) below. RETURNS PROBABILITY ECONOMIC CONDITION STOCK X STOCK Y 0.1 Recession -50 -170 0.3 Slow Growth 30 40 0.4 Moderate Growth 90 150 0.2 Fast Growth 160 200 (1) Compute the expected return for stock X and for stock Y. (2) Compute the standard deviation for stock X and for stock Y. (3) If the correlation between X and Y is 0.98, compute the mean and the standard deviation of a simple portfolio with 50% of the initial investment in Stock X and 50% of the initial investment in Stock Y. |
In: Statistics and Probability
A Pharma company has recently recruited 4 scientists at an average age of 27 and is looking to develop quite a few pharmacological formulations. With a view to retain them the company proposes to offer a housing scheme to them on the following terms and conditions:
You are called upon to do the following:
In: Finance
You estimate that the property will cost $20 million to complete (including all costs) and that you should be able to complete it within ten months if you commence construction immediately. You believe that you can obtain a construction cost guarantee that should guarantee costs will not exceed $20.5 million. You believe that you will be able to obtain a $14 million to $15 million, seven-year, 25-year amortization loan, at a fixed interest rate of 8%, and a 50 basis point fee. You believe that you can close this loan in six to eight weeks from now.
You believe that your company can access approximately $8 million in equity, assuming that you can successfully tap into appreciated equity positions in three existing properties without triggering capital gains taxes on these positions. Your company will receive a development fee of roughly 3% of project costs (this cost is included in your $20 million cost estimate).
Finally, vacancy rates in the market are approximately 4%, gross rents in the market run $7-9 psf, with operating expenses and taxes running $2-$4 psf. Negotiations are over and it is time to make a decision.
Should you agree to develop the property? Give your reasons.
In: Finance
Ruff Motors needs to select an assembly line for producing their new SUV. They have two options:
Option A is a highly automated assembly line that has a large up-front cost but low maintenance cost over the years. This option will cost $9 million today with a yearly operating cost of $2 million. The
assembly line will last for 5 years and be sold for $5 million in 5 years.
Option B is a cheaper alternative with less technology, a longer life, but higher operating costs. This
option will cost $5 million today with an annual operating cost of $2.5 million. This assembly line will last for 8 years and be sold for $1 million in 8 years.
The firm’s cost of capital is 12%. Assume a tax rate of zero percent. The equivalent annual cost (EAC) of better option should be $_______ million.
In: Finance
1. Describe who is covered/protected by the Homeowners Policy.
2. Describe the four coverages found in Section One (Property Coverage) of the Homeowners Policy. Give an example of a loss covered by each section.
3. Describe the two coverages found in Section Two (Personal Liability) of the Homeowner’s Policy. Give an example of a loss covered by each section.
4. What is the difference between a “named perils” policy and an “open perils” policy?
5. List and briefly explain the exclusions under the Homeowner’s Liability coverage?
6. List and briefly explain the exclusions under the Homeowner’s Five – Comprehensive form property coverage?
7. List the insured named perils as found in the Homeowner’s Three – Special form property coverage
8. List and briefly describe three commonly used policy endorsements to the Homeowner’s Insurance policy
In: Finance
Answer these questions about the study described here: A group of second graders are being studied to find out the effects of various exercises on their health. Subjects in the study are divided into control and experimental groups. One group is instructed to partake in frequent and intense exercise activities for two weeks. The second group is instructed to maintain their normal routine. Health screenings are performed on the subjects after the two-week period to identify differences. 1. Is this an observational or experimental study? 2. Define the control group. 3. Define the experimental group. 4. What is (are) the independent variable(s)? 5. Suggest a way of measuring the independent variable(s). 6. What is (are) the dependent variable(s)? 7. Suggest a way of measuring the dependent variable(s). 8. List three confounding variables. 9. How could the study on the second graders be designed in order to control for the confounding variables you listed?
In: Statistics and Probability
Kelli Blakely is a portfolio manager for the Miranda Fund, a core large-cap equity fund. The market proxy and benchmark for performance measurement purposes is the S&P 500. Although the Miranda portfolio generally mirrors the asset class and sector weightings of the S&P, Blakely is allowed a significant amount of leeway in managing the fund. However, her portfolio holds only stocks found in the S&P 500 and cash.
Blakely was able to produce exceptional returns last year (as outlined in the table below) through her market timing and security selection skills. At the outset of the year, she became extremely concerned that the combination of a weak economy and geopolitical uncertainties would negatively impact the market. Taking a bold step, she changed her market allocation. For the entire year her asset class exposures averaged 50% in stocks and 50% in cash. The S&P’s allocation between stocks and cash during the period was a constant 97% and 3%, respectively. The risk-free rate of return was 2%.
| One-Year Trailing Returns | |||||||||||
| Miranda Fund | S&P 500 | ||||||||||
| Return | 10.2 | % | - | 22.5 | % | ||||||
| Standard deviation | 37 | % | 44 | % | |||||||
| Beta | 1.10 | 1.00 | |||||||||
c. What is the Treynor measure for the Miranda Fund and the S&P 500? (Do not round intermediate calculations. Round your answer to 4 decimal places.)
In: Finance
This is the third time im submitting this question as no one will answer the 4th question. Part 4) this has not been answered on chegg yet. the response you gave to this was also not to part 4. please answer the very last question in relation to portfolio construction A newly issued bond has the following characteristics: Par value = $1000 Coupon rate = 8% Yield to Maturity = 8% Time to maturity = 15 years Duration = 10 years Calculate modified duration using the information above. If the yield to maturity increases to 8.5%, what will be the change (in dollar amount) in bond price? Identify the direction of change in modified duration if: i. the coupon of the bond is 4%, not 8%. ii. the maturity of the bond is 7 years, not 15 years. How can you construct a portfolio with a duration of 8 years using this bond and a 5 year zero coupon bond?
In: Finance
Seasonal affective disorder (SAD) is a type of depression during seasons with less daylight (e.g., winter months). One therapy for SAD is phototherapy, which is increased exposure to light used to improve mood. A researcher tests this therapy by exposing a sample of SAD patients to different intensities of light (low, medium, high) in a light box, either in the morning or at night (these are the times thought to be most effective for light therapy). All participants rated their mood following this therapy on a scale from 1 (poor mood) to 9 (improved mood). The hypothetical results are given in the following table. Light Intensity Low Medium High Time of Day Morning 5 5 7 6 6 8 4 4 6 6 7 9 5 9 5 6 8 8 Night 5 6 9 8 8 6 6 7 6 7 5 8 3 9 7 3 8 6 (a) Complete the F-table and make a decision to retain or reject the null hypothesis for each hypothesis test. (Round your answers to two decimal places. Assume experimentwise alpha equal to 0.05.) Source of Variation SS df MS F Time of day Intensity Time of day × Intensity Error Total State the decision for the main effect of the time of day. Retain the null hypothesis. Reject the null hypothesis. State the decision for the main effect of intensity. Retain the null hypothesis. Reject the null hypothesis. State the decision for the interaction effect. Retain the null hypothesis. Reject the null hypothesis. (b) Compute Tukey's HSD to analyze the significant main effect. The critical value is for each pairwise comparison. Summarize the results for this test using APA format.
In: Statistics and Probability