A French firm enters into a two-year interest rate swap in euros on April 1, 2005. The swap is based on a principal of €80 million, and the firm will receive 7% fixed and pay six-month Euribor. Swap payments are semiannual. The 7% fixed rate is quoted as an annual rate using the European method, so the implied semiannual coupon is 3.44% [since (1.0344)2 = 1.07]. Two years later, the swap is finally settled, and the following Euribor rates have been observed: Apr. 1, 2005 Oct. 1, 2005 Apr. 1, 2006 Oct. 1, 2006 Apr. 1, 2007 5.5% 6.5% 7.5% 8% 6.5%
(a) What have the swap payments or receipts for the firm been on each swap payment date?
(b)The same French firm also entered another two-year interest rate swap in euros on April 1, 2005. The swap is based on a principal of €80 million, and the firm contracted to receive 7% fixed and pay six-month Euribor. On this swap, the payments are annual. Hence, the two successive six-month Euribor are compounded. Assuming that the Euribor rates given in the previous problem (5a) have been observed, what have the two annual swap payments been?
In: Finance
One of the primary advantages of a repeated-measures design, compared to an independent-measures design, is that it reduces the overall variability by removing variance caused by individual differences. The following data are from a research study comparing three treatment conditions.
|
treatment |
|||
|
A |
B |
C |
P |
|
6 |
9 |
12 |
27 |
|
8 |
8 |
8 |
24 |
|
5 |
7 |
9 |
21 |
|
0 |
4 |
8 |
12 |
|
2 |
3 |
4 |
9 |
|
3 |
5 |
7 |
15 |
N=18, G=108, SUM=108
Treatment A: -
M=4
T=24
SS=42
Treatment B:-
M=6
T=36
SS=28
Treatment c:-
M=8
T=48
SS=34
a) Assume that the data are from an independent-measures study using three separate samples, each with n = 6 participants. Ignore the column of P totals and use an independent-measures ANOVA with alpha = .05 to test the significance of the mean differences.
b) Now assume that the data are from a repeated-measures study using the same sample of n = 6 participants in all three treatment conditions. Use a repeated-measures ANOVA with alpha = .05 to test the significance of the mean differences.
c) Explain why the two analyses lead to different conclusions.
In: Statistics and Probability
Write a C program that asks the user to enter any two integer numbers, and each number consists of four-digits. Your program should check whether the numbers are four digits or not and in case they are not a four digit number, the program should print a message and exit, otherwise it should do the following:
Print a menu as follows:
Select what you want to do with the number 1-3:
1- Print Greatest Common Divisor (GCD) of the two numbers.
2- Print sum of odd digits of each number.
3- Print relation of odd sum of digits larger/smaller/equal.
The user should enter a value 1 to 3 which should be processed using a switch statement.
Your program should include at least two functions (you may use more):
1- Function find_GCD which takes a two integer numbers and returns the GCD number.
2- Function find_odd_sum which takes a four-digit number and returns the sum of its odd digits.
VERY IMPORTANT:
1. Turn in your assignment by replying to the course coordinator’s assignment on ITC and attaching your code file (main.c).
2. You must include your full name, student id number, and lab section number in a comment at the beginning of your main.c code file.
Example of a Sample Runs:
Sample run 1:
Enter any two four digit numbers
1348295643
134829 is not a four digit number, goodbye
Sample run 2:
Enter any two four digit numbers
12356743
Select what you want to do with the number 1-3:
1- Print the GCD.
2- Print sum of odd digits for the two numbers.
3- Print relation of odd sum of digits larger/smaller/equal
2
Sum of odd digits of 1235 is 9
Sum of odd digits of 6743 is 10
Sample run 3:
Enter any four digit number
18312145
Select what you want to do with the number 1-3:
1- Print the GCD.
2- Print sum of odd digits for the two numbers.
3- Print relation of odd sum of digits larger/smaller/equal
3
Sum of odd digits in 1831 = 5 is less than sum of odd digits in 2145 = 6
Sample run 4:
Enter any four-digit number
21323612
Select what you want to do with the number 1-3:
1- Print the GCD.
2- Print sum of odd digits for the two numbers.
3- Print relation of odd sum of digits larger/smaller/equal
3
Sum of odd digits in 2132 is equal to sum of odd digits in 3612 = 4
In: Computer Science
Maple Leafs Sports & Entertainment is considering purchasing one of the following two pieces of lighting equipment. Equipment A has a purchase price of $10 million and will cost, $240,000 pre-tax, to operate on an annual basis. This equipment will have to be replaced every 5 years and has a salvage value of $1 million. Equipment B on the other hand, has an initial cost of $14 million and costs $210,000 pre-tax, annually to operate. This equipment has a useful life of 7 years with a salvage value of $1.2 million. Both equipment sets are in an asset class with a CCA Rate of 30% and are otherwise identical. The income tax rate is 40 percent and the appropriate discount rate is 10%. Which equipment should the company purchase and why?
In: Finance
Maple Leafs Sports & Entertainment is considering purchasing
one of the following two pieces of lighting equipment.
Equipment A has a purchase price of $10 million and will cost,
$240,000 pre-tax, to operate on an annual basis. This equipment
will have to be replaced every 5 years and has a salvage value of
$1 million.
Equipment B on the other hand, has an initial cost of $14 million
and costs $210,000 pre-tax, annually to operate. This equipment has
a useful life of 7 years with a salvage value of $1.2
million.
Both equipment sets are in an asset class with a CCA Rate of 30%
and are otherwise identical. The income tax rate is 40 percent and
the appropriate discount rate is 10%.
Which equipment should the company purchase and why?
In: Accounting
Since you became an expert in Corporate Finance and CAPM, now you want to make some money by investing in stocks. Instead of buying one stock, you will make a diversified portfolio using several stocks. Suppose that there are only 3 stocks in the market, and expected return, standard deviation, and correlations are as follows
Stocks Expected Return Standard Deviation
Stock A 5% 5%
Stock B 7% 10%
Stock C 10% 20%
Correlations Stock A Stock B Stock C
Stock A 1 0.4 -0.3
Stock B 0.4 1 0.7
Stock C -0.3 0.7 1
*Calculate Expected Return and Standard Deviation of Each
Portfolio:
Portfolio 1: 30% in Stock A + 70% in Stock B
Portfolio 2: 60% in Stock B + 40% in Stock C
Portfolio 3: 50% in Stock A + 50% in Stock C
In: Finance
The current price of a non-dividend paying stock is $50. Use a two-step tree to value a American put option on the stock with a strike price of $50 that expires in 12 months. Each step is 6 months, the risk free rate is 5% per annum, and the volatility is 50%. What is the value of the option according to the two-step binomial model. Please enter your answer rounded to two decimal places (and no dollar sign).
In: Finance
The current price of a non-dividend paying stock is $50. Use a two-step tree to value a European put option on the stock with a strike price of $50 that expires in 12 months. Each step is 6 months, the risk free rate is 5% per annum, and the volatility is 50%. What is the value of the option according to the two-step binomial model. Please enter your answer rounded to two decimal places (and no dollar sign).
In: Finance
We often need to shuffle data in many applications. Consider a case of a game that plays cards for example or a system that does a draw for lottery. The purpose of this lab is to write functions that will help us shuffle elements of an array.
Create a function that takes an array of integers and its size as parameters and populates the array with the values: 0, 1, 2, ..., size-1, where size is the size of the array.
Create a function that takes an array of integers and two indices (integers) and swaps the two elements. For example if I pass the array and 3 and 7 then the array will swap the element at index 3 with the element at index 7.
Create a function that takes an array of integers and its size as parameters and shuffles the array. You can accomplish this by going through the elements and exchanging each one with a randomly selected element (hint: use the method you created in step 2.
Create a function that takes an array of integers, its size and a value as parameters and returns the index at which the value is stored. If the array doesn't contain the value then the function returns -1. For example if the array is 1 4 6 2 10 11 12 and the value is 11 then the function returns 5 because 11 is stored at index 5. If the value is 20 then the function returns -1 because 20 is not in the array.
Create a function that takes an array of integers and its size as parameters and prints the contents of the array.
In main write code to test your function. Namely, creates an array of 15 integers, populate it, print it, shuffle it, print it again and print the index of an element in the array and the index of an element not in array .
Here is sample output:
Elements before shuffle: 0 1 2 3 4 5 6 7 8 9 10 11 12 13 14 Elements after shuffle: 9 8 10 6 5 12 14 2 7 3 4 1 13 11 0 What value are you searching for? 7 Element 7 is stored at index 8 What value are you searching for? 30 Element 30 is stored at index -1
In: Computer Science
A production manager knows that 8.5% of components produced by a particular manufacturing process have some defect. Eight of these components, whose characteristics can be assumed to be independent of each other were examined. a. Write the distribution function in terms of ? and x. b. What is the probability that none of these components has a defect? c. What is the probability that two of the components have a defect? d. What is the probability that between two and seven components have a defect? e. What is the probability that at most three of the components have a defect? f. What is the probability that at least two of these components have a defect? g. What is the expected defective components and the coefficient of variation?
In: Statistics and Probability