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:

1. The number of beneficiaries will be four in number
2. The total cost of purchasing apartments will be Rs.1 crore
3. PNBHFL offers an 18 year term @ 9.00% interest and HDFC offers 15 years term @ 8% interest.
4. The company will pay the housing finance company on an installment basis.
5. A Down payment of 5% of the cost of the apartment has to be made and recoverable from the employee in 24 installments. The upfront payment will be made by the company.
6. In case of availing the loan from HDFC, 50% of the installment will be recovered from the employee on a monthly basis and in case of availing the loan from PNBHFL 45% will be recovered from the employee. The option of choosing the service rests with the company only.
7. Assume that employee deductions happen on the first day of the month and housing loan payments made by the company happens on the last day of the year.
8. The housing loan is offered on a fixed interest basis and EMI will not change.
9. Assume the individual apartments are of equal value.

You are called upon to do the following:

1. Calculate the two EMI options and choose the best one.

1. You are offered the opportunity to develop a 400,000 sf warehouse facility for General Foods in suburban Philadelphia. Attracted by your expertise as a local warehouse developer, General Foods has offered to sign a triple net lease for seven years at a rent for $2 million per year. They also insist that at the end of the lease term they have the option to purchase the property at $22 million. Their final major condition is that the project be completed and ready for occupancy in 11 months. If it is not complete by that time the deal is void.

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.

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

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?

38. 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.

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?

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%.

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.)

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.

Question: 1) Which project do you think is more risky? How do you think you should incorporate differences in risk into your analysis?

Question: 2) Based on the calculated payback period, net present value (NPV), and internal rate of return (IRR) for each project, which project looks better for New Balance sharehold-ers? Why?

Question: 3) Should Rodriguez be more or less critical of cash flow forecasts for Persistence than of cash flow forecasts for Sneaker 2013? Why?

Question: 4) What is your final recommendation to Rodriguez? Please explain your answer.

Project 1, Sneaker 2013:

1. The life of the Sneaker 2013 project was expected to be six years. Assume the analysis took place at the end of 2012.

2. The suggested retail price of the shoe was $190. Gross margins for high-end athletic footwear averaged about 40% at the retail level, meaning each pair sold would net New Balance $115.

3. The global athletic footwear market in 2011 totaled approximately $74.5 billion and was expected to grow at a CAGR of 1.8% from 2011 to 2018, reaching $84.4 billion by 2018.3 Based on market research and analysis of other recent athlete endorsements, the New Balance marketing division estimated the following sales volumes for Sneaker 2013: The 2016 number assumed Kirani James participated in the 2016 games in Rio de Janeiro, Brazil, and won at least one medal.4

4. For the first two years, the introduction of Sneaker 2013 would reduce sales of existing New Balance shoes as follows: Lost sales: 2013: $35 million 2014: $15 million Assume the lost revenue had the same margins as Sneaker 2013.

5. In order to produce the shoe, the firm needed to build a factory in Vietnam. This required an immediate outlay of $150 million, to be depreciated on a 39-year MACRS5 basis. Depreciation percentages for the first six years respectively were: 2.6%, 5%, 4.7%, 4.5%, 4.3%, and 4.0%. The firm’s analysts estimated the building would be sold for $102 million at project termination. This “salvage value” has not been taken into consideration when computing annual depreciation charges.6

6. The company must immediately purchase equipment costing $15 million. Freight and installation of the equipment would cost $5 million. The cost of equipment and freight/installation was to be depreciated on a five-year MACRS basis. Depreciation percentages for the six years respectively were: 20%, 32%, 19%, 12%, 11%, and 6%. It was believed the equipment could be sold for $3 million upon project termination.

7. In order to manufacture Sneaker 2013, two of the firm’s working capital accounts were expected to increase immediately. Approximately $15 million of inventory would be needed quickly to fill the supply chain, and accounts payable were expected to increase by $5 million. By the end of 2013, the accounts receivable balance would be 8% of project revenue; the inventory balance would be 25% of the project’s variable costs; and accounts payable would be 20% of the project’s variable costs. All working capital would be recovered at the end of the project by the end of the sixth year.

8. Variable costs were expected to be 55% of revenue.

9. Selling, general, and administrative expenses were expected to be $7 million per year.

10. Kirani James would be paid $2 million per year for his endorsement of Sneaker 2013, with an additional $1 million Olympic bonus in 2016.

11. Other advertising and promotion costs were estimated as follows:

12. New Balance had already spent $2 million in research and development on Sneaker 2013.

13. The Sneaker 2013 project was to be financed using a combination of equity and debt. The interest costs on the debt were expected to be approximately $1.2 million per year. The New Balance discount rate for new projects such as this was 11%.

14. New Balance’s effective tax rate was 40%.

Project 2, Persistence:

1. The life of the Persistence project would be only three years, given the steep technological learning curve for this new product line.

2. The wholesale price of Persistence (net to New Balance) would be $90.00.

3. The hiking segment of the athletic shoe market was projected to reach $350 million during 2013, and it was growing at a rate of 15% per year. New Balance’s market share projections for Persistence were: 2013, 15%; 2014, 18%; and 2015, 20%.

4. The firm would be able to use an idle section of one of its factories to produce the hiking shoe. A cost accountant estimated that, according to the square footage in the factory, this section’s overhead allocation would amount to $1.8 million per year. The firm would still incur these costs if the product were not undertaken. In addition, this section would remain idle for the life of the project if the Persistence project were not undertaken.

5. The firm must purchase manufacturing equipment costing $8 million. The equipment fell into the five-year MACRS depreciation category. Depreciation percentages for the first three years respectively were: 20%, 32%, and 19%. The cash outlay would be at Time 0, and depreciation would start in 2013. Analysts estimated the equipment could be sold for book value at the end of the project’s life.

6. Inventory and accounts receivable would increase by $25 million at Time 0 and would be recovered at the end of the project (2015). The accounts payable balance was projected to increase by $10 million at Time 0 and would also be recovered at the end of the project.

7. Because the firm had not yet entered the hiking shoe market, introduction of this product was not expected to impact sales of the firm’s other shoe lines.

8. Variable costs of producing the shoe were expected to be 38% of the shoe's sales.

9. General and administrative expenses for Persistence would be 12% of revenue in 2013. This would drop to 10% in 2014 and 8% in 2015.

10. The product would not have a celebrity endorser. Advertising and promotion costs would initially be $3 million in 2013, then $2 million in both 2014 and 2015.

11. The company's federal plus state marginal tax rate was 40%.

12. In order to begin immediate production of Persistence, the design technology and the manufacturing specifications for a new hiking shoe would be purchased from an outside source for $50 million. This outlay was to take place immediately and be expensed immediately for tax purposes.

13. Annual interest costs on the debt for this project would be $600,000. In addition, Rodriguez estimated the cost of capital for the hiking shoe would be 14%.

To earn full credit, program must be free of syntax, run-time, and logic errors; include program comments; use reasonable readable variable names and prompts.

To include variables in the input prompt, you must use concatenation character (+). For example: assume you already asked for input of employee's first name and last name (they are stored into variables FirstName and LastName, then use this prompt to ask for employee's weekly hours which includes the employee's full name in the input statement.

Hours = float(input("Enter " + FirstName + ' ' + LastName + '\'s Weekly Hours: '))

The company which uses this program has TWO employees.

Write a Python application that will allow the user (payroll clerk) to enter payroll data for two hourly employees. Input Data includes:

• Employee ID (string text such as AF101)
• Employee Last Name (string text)
• Employee First Name (string text)
• Weekly Hours
• Hourly pay rate per hour
• Income tax rate

Repeat the above prompt for two employees

Must use if statements to check if the employee requires an overtime pay.

Up to 40 hours on employee’s hourly rate; any hours over 40 must be pay at a time and a half (1.5 of rate). Using , and 2 decimal places for all currency in the output

Display the followings for each employee:

• Display Employee Data (ID, First and Last Name)
• Display Weekly Hours and Hourly pay rate
• Display the Gross Pay (includes overtime if any)
• Taxes Withheld (Gross Pay x Tax Rate)
• Net Pay (Gross Pay – Taxes Withheld)

Then finally output payroll info for the entire company (total amount for both employees)

• Display Company payroll expense (sum of both employees’ Gross Pay)
• Display Total Cash amount to Employees (sum of both employees’ Net Pay)

Sample input/output (user input is in bold italic)

Enter Employee’s ID (i.e. AF101): AS111

Enter Employee’s Last Name: Wong

Enter Employee’s First Name: Wanda

Enter Wanda Wong’s Weekly Hours: 36.5

Enter Wanda Wong’s Hourly pay rate per hour:  50

Enter Wanda Wong’s Income tax rate: 0.25

Enter Employee’s ID (i.e. AF101): AS256

Enter Employee’s Last Name: Johnson

Enter Employee’s First Name: Betty

Enter Betty Johnson’s Weekly Hours: 52

Enter Betty Johnson’s Hourly pay rate per hour:  30

Enter Betty Johnson’s Income tax rate: 0.20

Weekly Pay stub for AS111                       Wanda Wong

36.5 Hours Worked @ $50.00

Gross pay of                                                      $1,825.00

Less Taxes Withheld @ 25.0%                     $456.25

Net Pay                                                                  $1,368.75

Weekly Pay stub for AS256                       Betty Johnson

52 Hours Worked @ $30.00

Gross pay of                                                       $1,740.00

Less Taxes Withheld @ 20.0%                      $348.00

Net Pay                                                                   $1,392.00

Total Company payroll expense for the week: $3,565.00

Total Cash payments to Employees: $2,760.75