Motivation is different for each of us. Leaders struggle to keep individuals motivated. Research indicates that a motivated individual is a more productive worker. Additionally, keeping an individual motivated can be challenging. For this unit’s journal entry, share a list of the top five things that motivate you, and explain how a leader could use these motivators to help you advance in your career.

The prevalence of a disease is the fraction of individuals who are afflicted, i.e., the ratio of the number of cases to the whole population. The incidence of a disease is the fraction of individuals who become infected in one time period, usually one year. This terminology is usually reserved for chronic diseases such as diabetes or AIDS or cardiovascular disease, not for seasonal flu or coronavirus. The prevalence is equal to the incidence times the mean survival time. Thus a disease that is immediately and always fatal has zero prevalence. '

A biochemical test designed to detect a specific genetic mutation has a sensitivity of 95% and a specificity of 90%. A sensitivity of 95% means that an individual who has the defect (a carrier) will test positive with probability 0.95, and negative with probability 0.05. A specificity of 90% means that a non-carrier will test negative with probability 0.90, and positive with probability 0.10. The prevalence of the defect in the population is 1%.

Part a: Ten thousand individuals randomly selected from this population are tested. Calculate the expected number of individuals in each cell of the following table.

xxxxxx Carrier xxxx  Non-carrier xxxxx Total

Test +

Test −

Total xxxxxxxxxxxxxxxxxxxxxx 10000

Part b: An individual from this population tests positive. What is the probability that he/she is a carrier?

Part c: An individual from this population tests negative. What is the probability that he/she is a non-carrier?

Passage of the 16th amendment to the Constitution was actually the third major attempt to impose an income tax (individual or corporate) in the US. What were the first two, and what caused their failure?

Steven Pinker is a 48-year-old bank manager. His wife Carol, 43 years old, works part-time at a daycare. They have three children, 19-year-old Sam, 16-year-old Sarah and 14-year-old Michael. All three children live with them. Steven's only income during the year was $115,000 from employment, Carol earned $12,000 from the daycare, Sam earned $10,000 from his job at Starbucks and Sarah earned $4,000 working part-time at McDonald's. Carol's 72-year-old mother, Ethel, also lives with the family. Ethel had an income of $18,000 during the year, entirely from CPP and OAS. Ethel had one of her legs amputated due to complications from diabetes during the year. It is the opinion of her doctor that she now qualifies for the disability tax credit. During the year Steven spent $13,000 on installing a wheelchair ramp at the back door and a walk-in bathtub in Ethel's bathroom. During the year Steven donated $4,000 to various registered charities. Steven also contributed $1,000 to the Green Party of Canada. Steven paid $10,400 intuition during the year for Sam to attend University full time. During the year, Steven spent the following amounts on medical costs for each family member: Steven $620 Carol 450 Sam 960 Sarah 1,750 Michael 920 Ethel 2,680 Calculate the maximum federal tax credits available to Steven Pinker. Show all calculations.

Women athletes at the a certain university have a long-term graduation rate of 67%. Over the past several years, a random sample of 36 women athletes at the school showed that 21 eventually graduated. Does this indicate that the population proportion of women athletes who graduate from the university is now less than 67%? Use a 10% level of significance.

(a) What is the level of significance?

(b) State the null and alternate hypotheses.

(c) What is the value of the sample test statistic? (Round your answer to two decimal places.)

(d) Find the P-value of the test statistic. (Round your answer to four decimal places.)

If you take this sample and break into 2 samples, one for graduate degrees (MBA and MSE) and one for undergraduate degrees (BA and BSE), would you believe the populations have different GPAs?

1. What test would you perform?
   1. Z-test of a mean
   2. T-test of a mean
   3. T-test of 2 sample means
   4. Chi-square test
2. What is the value of the test statistic?
   1. 2.02
   2. 2.68
   3. 3.06
   4. 3.11
3. What is the p-value?
   1. 0.0074
   2. 0.0280
   3. 0.0373
   4. 0.0746
4. Based on a significance level of 0.05, would you reject or fail to reject and why?
   1. Reject because p < alpha
   2. Reject because p > alpha
   3. Fail to reject because p < alpha
   4. Fail to reject because p > alpha

Mary, the plant manager of Southern Oregon Injection Molding, Inc. (SOIM), is pondering an interesting offer made by the president and majority shareholder, Kenny. Kenny recently turned sixty and is planning a gradual retirement. None of his children are interested in taking over the business and are currently pursuing careers unrelated to the plastics industry, so Kenny has decided to offer his controlling share to Mary.

SOIM began by manufacturing plastic lawn ornaments, including a colorful tropical bird that became a major fad in the 1980s. Pleased and amused by the success of his fanciful product, Kenny added rabbits, skunks, trolls, angels, and garden fairies to the product line. Under Mary’s leadership, SOIM has also become an important secondary supplier of plastic housings for speakers, cell phones, calculators, and similar products.

Marry started working at SOIM as a color technician shortly after graduating from Southern Oregon University with a degree in chemical engineering. Within five years, she became the plant manager, a position she has held for the last eight years. Along the way, she has earned an MBA through the evening program at Southern Oregon University.

Because SOIM stock is publicly traded, we can confidently assign a value of $10,000,000 to Kenny’s shares. Kenny has stated that he is open to any reasonable plan to finance the purchase.

Questions

1. Mary could probably borrow the money to purchase the shares outright because the shares would serve as collateral and dividends would cover a good part of the loan payments. The interest rate is 7%, and the lender will amortize the loan with a series of equal payments. What are the annual payments if the bank amortizes the loan over five, ten, or twenty years?

2. Repeat Question 1, but assume that Mary makes payments at the beginning of each year.

3. Complete the following amortization schedule for a $10,000,000 loan at 7% with five equal end-ofyear payments.

4. Kenny has offered to finance the purchase with a ten-year, interest-only loan. How much is Mary’s annual payment? Describe the pattern of payments over the ten years.

5. Assume that Kenny accepts Mary’s offer to finance the purchase with a ten-year, interest-only loan. If Kenny can reinvest the interest payments at a rate of 7% per year, how much money will he have at the end of the tenth year?

Conch Republic Electronics, Part 1

Conch Republic Electronics is a midsized electronics manufacturer located in Key West, Florida. The company president is Shelley Couts, who inherited the company. When it was founded over 70 years ago, the company originally repaired radios and other household appliances. Over the years, the company expanded into manufacturing and is now a reputable manufacturer of various electronic items. Jay McCanless, a recent MBA graduate, has been hired by the company’s finance department.

One of the major revenue-producing items manufactured by Conch Republic is a smartphone. Conch Republic currently has one smartphone model on the market, and sales have been excellent. The smartphone is a unique item in that it comes in a variety of tropical colors and is preprogrammed to play Jimmy Buffett music. However, as with any electronic item, technology changes rapidly, and the current smartphone has limited features in comparison with newer models. Conch Republic spent $750,000 to develop a prototype for a new smartphone that has all the features of the existing smartphone but adds new features such as WiFi tethering. The company has spent a further $200,000 for a marketing study to determine the expected sales figures for the new smartphone.

Conch Republic can manufacture the new smartphones for $220 each in variable costs. Fixed costs for the operation are estimated to run $6.4 million per year. The estimated sales volume is 155,000, 165,000, 125,000, 95,000, and 75,000 per year for the next five years, respectively. The unit price of the new smartphone will be $535. The necessary equipment can be purchased for $43.5 million and will be depreciated on a seven-year MACRS schedule. It is believed the value of the equipment in five years will be $6.5 million.

As previously stated, Conch Republic currently manufactures a smartphone. Production of the existing model is expected to be terminated in two years. If Conch Republic does not introduce the new smartphone, sales will be 95,000 units and 65,000 units for the next two years, respectively. The price of the existing smartphone is $385 per unit, with variable costs of $145 each and fixed costs of $4.3 million per year. If Conch Republic does introduce the new smartphone, sales of the existing smartphone will fall by 30,000 units per year, and the price of the existing units will have to be lowered to $215 each. Net working capital for the smartphones will be 20 percent of sales and will occur with the timing of the cash flows for the year; for example, there is no initial outlay for NWC, but changes in NWC will first occur in Year 1 with the first year’s sales. Conch Republic has a 21 percent corporate tax rate and a required return of 12 percent.