Inventory by Three Methods

The units of an item available for sale during the year were as follows:

There are 45 units of the item in the physical inventory at December 31.

Determine the cost of ending inventory using (a) the first-in, first-out method, (b) the last-in, first-out method, and (c) the average cost method.

While investigating a group of defective solar arrays, taken from the Mohammed Bin Rashid Al Maktoum Solar Park in Dubai, you notice three main classifications of defects. 27% of defects are related to a cell’s semiconductor material bandgap, 51% are related to impact damage, and 22% are age-related in nature. Over the study period, 3 instances of material bandgap defects and 5 occurrences of age-related defects are recorded. What is the most probable number of recorded defects related to impact damage?

Note: This problem is related to discrete probability distribution ( I think multinomial distribution should be used)

An investor buys 1 share of ABC Ltd at the price of $32 on December 1, 2019. The firm is not expected to pay any dividends. Consider the following three possible scenarios for the share price on December 1, 2020: $50 with a probability of 20% $34 with a probability of 50% $27 with a probability of 15% $20 with a probability of 15% a) Calculate the expected return for holding the share for a year. b) Calculate the variance of return and standard deviation of return. c) Explain the concept of diversification. Explain the benefit of diversification and how it works. d) “The standard deviation of a portfolio's return can be reduced to zero by holding all the securities in the market.” True or false? Explain.

An investor buys 1 share of ABC Ltd at the price of $32 on December 1, 2019. The firm is not expected to pay any dividends. Consider the following three possible scenarios for the share price on December 1, 2020: $50 with a probability of 20% $34 with a probability of 50% $27 with a probability of 15% $20 with a probability of 15% a) Calculate the expected return for holding the share for a year. b) Calculate the variance of return and standard deviation of return. c) Explain the concept of diversification. Explain the benefit of diversification and how it works. d) “The standard deviation of a portfolio's return can be reduced to zero by holding all the securities in the market.” True or false? Explain.

An investor buys 1 share of ABC Ltd at the price of $32 on December 1, 2019. The firm is not expected to pay any dividends. Consider the following three possible scenarios for the share price on December 1, 2020:

$50 with a probability of 20%
$34 with a probability of 50%
$27 with a probability of 15%
$20 with a probability of 15%
a) Calculate the expected return for holding the share for a year.

b) Calculate the variance of return and standard deviation of return.

c) Explain the concept of diversification. Explain the benefit of diversification and how it works.

d) “The standard deviation of a portfolio's return can be reduced to zero by holding all the securities in the market.” True or false? Explain.

Dr. Mack Lemore, an expert in consumer behavior, wants to estimate the average amount of money that people spend in thrift shops. He takes a small sample of 8 individuals and asks them to report how much money they had in their pockets the last time they went shopping at a thrift store. Here are the data:


27, 22, 11, 19, 20, 19, 25, 21.

Find the upper bound of a 95% confidence interval for the true mean amount of money individuals carry with them to thrift stores, to two decimal places. Take all calculations toward the final answer to three decimal places.

QUESTION 4:

(a) The Workshop Manager must decide the sequence in which the four vehicles in the workshop must be serviced. He has developed these estimates based on the First-Come-First-Served sequence rule:

Rank the FCFS, SPT and CR sequencing rules on three evaluation criteria: average flow time, average number of jobs in the system, and average job lateness.

you manage a risky portfolio with an expected rate of return of 18% and a standard deviation of 36%. The T- Bill rate is 6%

your risky portfolio includes the following investments in the given proportions:

stock a 27%

stock b 35%

stock c 38%

suppose that your client decided to invest in your portfolio a proportion y of the total investment budget so that the overall portfolio will have an expected rate of return of 15%

A. what is the proportion of y?

B. What are your client's investment proportions in your three stocks and T- bill fund?

C. What is the standard deviation of the rate of return on your client's portfolio?

Proofs

For this assignment, know that:

An integer is any countable number. Examples are: -3, 0, 5, 1337, etc.

A rational number is any number that can be written in the form a/b, a and b are integers in lowest terms, and b cannot equal 0. Examples are 27, 22/7, -3921/2, etc.

A real number is any number that is not imaginary or infinity. Examples are 0, 4/3, square root of 2, pi, etc.

1. Prove by cases that for all real numbers | x + y | <= |x| + |y|
2. Prove by contradiction that the average of three real numbers is greater than or equal to at least one of the numbers