ABC Company reported the following account balances at December 31, 2019: Accounts receivable ......... $33,000 Equipment ................... $47,000 Notes payable ............... $15,000 Utilities expense ........... $23,000 Dividends ................... $18,000 Trademark ................... $16,000 Retained earnings ........... $58,000 (at January 1, 2019) Rental revenue .............. $19,000 Land ........................ ? Cost of goods sold .......... $36,000 Supplies .................... $21,000 Accumulated depreciation .... $11,000 Income tax expense .......... $12,000 Common stock ................ $94,000 Copyright ................... ? Utilities payable ........... $13,000 Sales revenue ............... $90,000 Cash ........................ $19,000 Mortgage payable ............ $17,000 Advertising expense ......... $10,000 Inventory ................... ? Accounts payable ............ $47,000 The following additional information is available: 1. The total P-P-E at December 31, 2019 was equal to 140% of the total current liabilities at December 31, 2019. 2. Total current assets at December 31, 2019 amounted to $111,000. 3. The note payable was a 3-year loan taken out on March 1, 2017. 4. The mortgage payable was a 15-year loan taken out on May 1, 2010. Calculate the balance in the copyright account at December 31, 2019.
In: Accounting
|
Administrative |
Medical |
total |
|
|
Full time |
8 |
3 |
11 |
|
Part time |
4 |
12 |
16 |
|
total |
12 |
15 |
27 |
What is the probability that a randomly selected employee works part-time or as a medical employee?
What is the probability that a randomly selected employee works on a full-time basis given that they are an administrative employee? report to 3 decimal places.
In: Statistics and Probability
Suppose a survey was done this year to find out what percentage of all Americans own a bread machine. Out of their random sample of 1,000 Americans, 300 own a bread machine. The margin of error of 95% confidence interval for this survey was plus or minus 3%.
95% confidence interval will be
|
0 to 6% |
||
|
3% to 6% |
||
|
27% to 33% |
||
|
None of the above |
In: Math
The success of an airline depends heavily on its ability to provide a pleasant customer experience. One dimension of customer service on which airlines compete is on-time arrival. The tables below contains a sample of data from delayed flights showing the number of minutes each delayed flight was late for two different airlines, Company A and Company B.
| 34 | 59 | 43 | 30 | 3 |
| 32 | 42 | 85 | 30 | 48 |
| 110 | 50 | 10 | 26 | 70 |
| 52 | 83 | 78 | 27 | 70 |
| 27 | 90 | 38 | 52 | 76 |
| 45 | 63 | 42 | 32 | 67 |
| 105 | 46 | 28 | 39 | 86 |
| 75 | 45 | 33 | 50 | 62 |
| 42 | 34 | 33 | 65 | 65 |
(a)
Formulate the hypotheses that can be used to test for a difference between the population mean minutes late for delayed flights by these two airlines. (Let μ1 = population mean minutes late for delayed Company A flights and μ2 = population mean minutes late for delayed Company B flights.)
H0: μ1 − μ2 ≤ 0
Ha: μ1 − μ2 > 0
H0: μ1 − μ2 < 0
Ha: μ1 − μ2 = 0
H0: μ1 − μ2 ≠ 0
Ha: μ1 − μ2 = 0
H0: μ1 − μ2 ≥ 0
Ha: μ1 − μ2 < 0
H0: μ1 − μ2 = 0
Ha: μ1 − μ2 ≠ 0
(b)
What is the sample mean number of minutes late for delayed flights for each of these two airlines?
Company A min
Company B min
(c)
Calculate the test statistic. (Round your answer to three decimal places.)
What is the p-value? (Round your answer to four decimal places.)
p-value =
Using a 0.05 level of significance, what is your conclusion?
Reject H0. There is no statistical evidence that one airline does better than the other in terms of their population mean delay time.
Do not reject H0. There is no statistical evidence that one airline does better than the other in terms of their population mean delay time.
Reject H0. There is statistical evidence that one airline does better than the other in terms of their population mean delay time.
Do not Reject H0. There is statistical evidence that one airline does better than the other in terms of their population mean delay time.
In: Statistics and Probability
[The following information applies to the questions displayed
below.]
Gabi Gram started The Gram Co., a new business that began
operations on May 1. The Gram Co. completed the following
transactions during its first month of operations.
| May | 1 | G. Gram invested $43,500 cash in the company. | ||
| 1 | The company rented a furnished office and paid $2,100 cash for May’s rent. | |||
| 3 | The company purchased $1,910 of office equipment on credit. | |||
| 5 | The company paid $770 cash for this month’s cleaning services. | |||
| 8 | The company provided consulting services for a client and immediately collected $5,100 cash. | |||
| 12 | The company provided $2,600 of consulting services for a client on credit. | |||
| 15 | The company paid $730 cash for an assistant’s salary for the first half of this month. | |||
| 20 | The company received $2,600 cash payment for the services provided on May 12. | |||
| 22 | The company provided $3,900 of consulting services on credit. | |||
| 25 | The company received $3,900 cash payment for the services provided on May 22. | |||
| 26 | The company paid $1,910 cash for the office equipment purchased on May 3. | |||
| 27 | The company purchased $80 of advertising in this month’s (May) local paper on credit; cash payment is due June 1. | |||
| 28 | The company paid $730 cash for an assistant’s salary for the second half of this month. | |||
| 30 | The company paid $350 cash for this month’s telephone bill. | |||
| 30 | The company paid $280 cash for this month’s utilities. | |||
| 31 | G. Gram withdrew $1,500 cash from the company for personal use. |
2.1. Prepare income statement for May.
The Gram CO.
Income Statement
For Month Ended May 31
Revenues: ___
___ ___
___ ___
___ ___
Expenses
___ ____ ____
Total expenses
____ ____
2.2. Prepare statement of owner's equity for May.
The Gram Co.
Statement of Owner's Equity
For Month Ended May 31
G. Gram, Capital, May 1 $0
___ ___
___ ___
___ ___
G. Gram, Capital, May 31 ____
2.3. Prepare Balance Sheet for May 31.
The Gram CO.
Balance Sheet
May 31
Assets Liabilities
3. Prepare statement of cash flows for May.
(Cash outflows should be indicated with a minus
sign.)
The Gram Co
Statement of Cash Flows
For Month Ended May 31
Cash flows from operating activites
In: Accounting
Your company has earnings per share of $5. It has 11million shares outstanding, each of which has a price of $40. You are thinking of buying TargetCo, which has earnings of $3 per share,11million shares outstanding, and a price per share of $27. You will pay for TargetCo by issuing new shares. There are no expected synergies from the transaction. Suppose you offered an exchange ratio such that, at current pre-announcement share prices for both firms, the offer represents a 20% premium to buy TargetCo. However, the actual premium that your company will pay for TargetCo when it completes the transaction will not be 20%, because on the announcement the target price will go up and your price will go down to reflect the fact that you are willing to pay a premium for TargetCo without any synergies. Assume that the takeover will occur with certainty and all market participants know this on the announcement of the takeover (ignore time value of money).
a. What is the price per share of the combined corporation immediately after the merger is completed?
b. What is the price of your company immediately after the announcement?
c. What is the price of TargetCo immediately after the announcement?
d. What is the actual premium your company will pay?
In: Finance
Neurofibromatosis Type 1 (NF1) is a human genetic disorder. As well as physical symptoms, affected children often suffer from impaired cognition and learning. A cognitive task that involves solving a puzzle is administered to a group of children. For each child the time taken (in seconds) to solve the task is recorded.
It is not known whether there is any suitable parametric model for the times so we will investigate non-parametric methods.
1. Calculate appropriate summary statistics and thus give the
parameters for a normal distribution that may be applicable to
these data.
2. Using the observed data, calculate the empirical distribution function. Plot the empirical distribution function and the CDF of the normal distribution described in (a) on a single graph.
3. Do you think the normal distribution is an appropriate model for the data? Justify your answer.
It is known that the mean time to solve the puzzle in healthy control children is 60 seconds.
The data for the observed times ?? taken by 57 children with NF1 are:
| ID | yi |
| 1 | 51 |
| 2 | 60 |
| 3 | 75 |
| 4 | 43 |
| 5 | 92 |
| 6 | 72 |
| 7 | 49 |
| 8 | 39 |
| 9 | 62 |
| 10 | 127 |
| 11 | 51 |
| 12 | 75 |
| 13 | 69 |
| 14 | 59 |
| 15 | 25 |
| 16 | 58 |
| 17 | 95 |
| 18 | 63 |
| 19 | 91 |
| 20 | 63 |
| 21 | 32 |
| 22 | 50 |
| 23 | 108 |
| 24 | 41 |
| 25 | 93 |
| 26 | 43 |
| 27 | 74 |
| 28 | 50 |
| 29 | 55 |
| 30 | 60 |
| 31 | 62 |
| 32 | 91 |
| 33 | 79 |
| 34 | 71 |
| 35 | 85 |
| 36 | 86 |
| 37 | 78 |
| 38 | 100 |
| 39 | 146 |
| 40 | 62 |
| 41 | 134 |
| 42 | 41 |
| 43 | 40 |
| 44 | 51 |
| 45 | 68 |
| 46 | 59 |
| 47 | 59 |
| 48 | 38 |
| 49 | 66 |
| 50 | 79 |
| 51 | 111 |
| 52 | 69 |
| 53 | 68 |
| 54 | 110 |
| 55 | 69 |
| 56 | 62 |
| 57 | 91 |
In: Statistics and Probability
Exhibit L.1 reports the multivariate odds ratios comparing each category to women who never had an induced abortion and had at least one pregnancy. Researchers were able to interview 845 out of 1,011 (83.5 percent) of the eligible cases and 961 out of 1,239 (78 per- cent) of the eligible controls. Of the cases, only 689 (81.5 percent) had complete information on abortion history, compared to 781 (81.3 per- cent) of the eligible controls.
|
Abortion History |
Cases |
Controls |
Crude OR2 |
Multivariate OR (95% CI)3 |
|
Ever had abortion |
210 |
201 |
1.5 (1.2–1.9) |
|
|
1 abortion only |
150 |
142 |
1.5 (1.1–2.0) |
|
|
2+ abortions |
60 |
59 |
1.6 (1.0–2.4) |
|
|
Age at first abortion |
||||
|
<18 |
20 |
15 |
2.5 (1.1–5.7) |
|
|
18–19 |
34 |
36 |
1.7 (1.0–3.0) |
|
|
20–29 |
115 |
123 |
1.3 (1.0–1.7) |
|
|
30+ |
41 |
27 |
2.1 (1.2–3.5) |
|
|
Timing of first abortion |
||||
|
Before 1st birth |
69 |
76 |
1.4 (1.0–2.0) |
|
|
After 1st birth |
74 |
63 |
1.5 (1.0–2.2) |
|
|
Never gave birth |
67 |
62 |
1.7 (1.2–2.6) |
|
|
Never had abortion |
479 |
580 |
–– |
|
|
Never had an abortion and at least one pregnancy1 |
466 |
564 |
–– |
Note: 1. Estimated from the data. 2. Multivariate OR adjusts for age, family history of breast cancer, religion, age at first pregnancy. 3. Both crude and multivariate odds ratio estimates risk relative to women with a least one pregnancy who never had an induced abortion. Source: Daling et al. (1994).
Calculate the crude odds ratios for each of the abortion history strata in Exhibit L.1. What is the overall increased risk of abortion after adjusting for several covariates?
In: Advanced Math
On September 10, 2009, U.S. Treasury Bonds futures for Dec 2009 delivery was traded at 116-20 at CBOT. On September 13, the futures was traded at 114-29. You opened your position by taking 10 long positions on the T-bond futures on Sept 10. As of Sept 10, the initial margin is $4,995 per contract and the maintenance margin is $3,700.
i) Calculate your gains (losses) on your position as of September 13.
ii) What is the highest price at which you will be required to deposit funds to your margin account (a margin call)?
iii) Would you have faced a margin call on September 13? If so, what is the amount to deposit?
| Dec 2009 T-Bond Futures Price | |
| 9/10/2009 | 116-20 |
| 9/13/2009 | 114-29 |
| Initial margin | $ 4,995 |
| Maintenance margin | $ 3,700 |
| No of contracts | 10 |
In: Finance
A small, private firm has approached you for advice on its capital structure decision. It is in the specialty retailing business, and it had earnings before interest and taxes last year of $ 500,000.
a) Estimate the current cost of capital for this firm.
b) Assume now that this firm doubles it debt from $1million to $2million, and that the interest rate at which it can borrow increases to 9%. Estimate the new cost of capital, and the effect on firm value.
In: Finance