Problem 15-31 (Algorithmic)

Mid-West Publishing Company publishes college textbooks. The company operates an 800 telephone number whereby potential adopters can ask questions about forthcoming texts, request examination copies of texts, and place orders. Currently, two extension lines are used, with two representatives handling the telephone inquiries. Calls occurring when both extension lines are being used receive a busy signal; no waiting is allowed. Each representative can accommodate an average of 9 calls per hour. The arrival rate is 17 calls per hour.

1. How many extension lines should be used if the company wants to handle 80% of the calls immediately?
   
   
   
2. What is the probability that a call will receive a busy signal if your recommendation in part (a) is used? If required, round your answer to four decimal places.
   
   
   
3. What number of calls, in decimal form, receive a busy signal for the current telephone system with two extension lines? If required, round your answer to four decimal places.
   

Recall that Benford's Law claims that numbers chosen from very large data files tend to have "1" as the first nonzero digit disproportionately often. In fact, research has shown that if you randomly draw a number from a very large data file, the probability of getting a number with "1" as the leading digit is about 0.301. Now suppose you are an auditor for a very large corporation. The revenue report involves millions of numbers in a large computer file. Let us say you took a random sample of n = 215 numerical entries from the file and r = 47 of the entries had a first nonzero digit of 1. Let p represent the population proportion of all numbers in the corporate file that have a first nonzero digit of 1.

(i) Test the claim that p is less than 0.301. Use α = 0.10.

(a) What is the level of significance?

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

Your company doesn't face any taxes and has $757 million in assets, currently financed entirely with equity. Equity is worth $50.70 per share, and book value of equity is equal to market value of equity. Also, let's assume that the firm's expected values for EBIT depend upon which state of the economy occurs this year, with the possible values of EBIT and their associated probabilities as shown below:

The firm is considering switching to a 25-percent debt capital structure, and has determined that they would have to pay a 8 percent yield on perpetual debt in either event. What will be the standard deviation in EPS if they switch to the proposed capital structure? (Round your intermediate calculations and final answer to 2 decimal places except calculation of number of shares which should be rounded to nearest whole number.)

Mid-West Publishing Company publishes college textbooks. The company operates an 800 telephone number whereby potential adopters can ask questions about forthcoming texts, request examination copies of texts, and place orders. Currently, two extension lines are used, with two representatives handling the telephone inquiries. Calls occurring when both extension lines are being used receive a busy signal; no waiting is allowed. Each representative can accommodate an average of 12 calls per hour. The arrival rate is 20 calls per hour.

1. How many extension lines should be used if the company wants to handle 90% of the calls immediately?
   
   
   
2. What is the probability that a call will receive a busy signal if your recommendation in part (a) is used? If required, round your answer to four decimal places.
   
   
   
3. What number of calls, in decimal form, receive a busy signal for the current telephone system with two extension lines? If required, round your answer to four decimal places.
   

Your company doesn't face any taxes and has $752 million in assets, currently financed entirely with equity. Equity is worth $50.20 per share, and book value of equity is equal to market value of equity. Also, let's assume that the firm's expected values for EBIT depend upon which state of the economy occurs this year, with the possible values of EBIT and their associated probabilities as shown below:

The firm is considering switching to a 15-percent debt capital structure, and has determined that they would have to pay a 11 percent yield on perpetual debt in either event. What will be the standard deviation in EPS if they switch to the proposed capital structure? (Round your intermediate calculations and final answer to 2 decimal places except calculation of number of shares which should be rounded to nearest whole number.)

Exercise 11-21 (LO11-2) A recent study focused on the number of times men and women who live alone buy take-out dinner in a month. Assume that the distributions follow the normal probability distribution and the population standard deviations are equal. The information is summarized below. Statistic Men Women Sample mean 24.26 22.45 Sample standard deviation 5.91 4.88 Sample size 35 39 At the 0.01 significance level, is there a difference in the mean number of times men and women order take-out dinners in a month? State the decision rule for 0.01 significance level: H0: μMen= μWomen H1: μMen ≠ μWomen. (Negative amounts should be indicated by a minus sign. Round your answers to 3 decimal places.) Compute the value of the test statistic. (Round your answer to 3 decimal places.) What is your decision regarding the null hypothesis? What is the p-value? (Round your answer to 3 decimal places.)

Mid-West Publishing Company publishes college textbooks. The company operates an 800 telephone number whereby potential adopters can ask questions about forthcoming texts, request examination copies of texts, and place orders. Currently, two extension lines are used, with two representatives handling the telephone inquiries. Calls occurring when both extension lines are being used receive a busy signal; no waiting is allowed. Each representative can accommodate an average of 11 calls per hour. The arrival rate is 22 calls per hour.

1. How many extension lines should be used if the company wants to handle 90% of the calls immediately?
   
   
   
2. What is the probability that a call will receive a busy signal if your recommendation in part (a) is used? If required, round your answer to four decimal places.
   
   
   
3. What number of calls, in decimal form, receive a busy signal for the current telephone system with two extension lines? If required, round your answer to four decimal places.
   

A ski gondola carries passengers to the top of a mountain. A plaque states that its maximum capacity is 12 people or 2019 lbs. Men’s weights are normally distributed with a mean of 179 lbs and a standard deviation of 30 lbs.

a)

What is the probability that 12 randomly-selected men will exceed the weight limit of the gondola?

b)

Suppose you are the engineer in charge of safety at the mountain. What is the maximum number of men you would allow to ride the gondola at a time in order to be confident they would not exceed the weight limit? Explain.

c)

Suppose the gondola carries the maximum number of men (as given in part b) on every trip. The gondola operates for eight hours a day, and each trip takes 15 minutes to complete. What is the expected amount of time before you lose your licence? Does this answer lead you to rethink your answer to part b)? If so, what would you do differently in part b) (you don’t have to redo part b)?

Which of the following statements about active exclusion of sodium are true?

Double fertilization refers to:

One important difference between the anatomy of roots and the anatomy of leaves is that _____.

Which of the following statements regarding ATP is true?

You consume a large meal rich in carbohydrates and protein. Cellular concentrations of acetyl-CoA and NADH increase significantly. What will happen as a result?  

You expose a plant that contains chlorophyll a, chlorophyll b, and carotenoids to different wavelengths of light, then measure the level of resonance-energy transfer. Which of the following results would you expect?

High levels of ATP will impact cellular respiration by:

When consumed, fatty acids provide more calories per gram than carbohydrates because:

You isolate an enzyme from the human stomach to test its activity. In order to measure optimal enzyme function, which of the following laboratory conditions should you use in the experimental reactions?

In glycolysis, glucose-6-phosphate (G-6-P) is converted to fructose-6-phosphate (F-6-P). Which of the following statements about this reaction is true?

You are conducting a plant growth experiment in a research laboratory. Prior to setting up your experiment, you notice that ~25% of the seed coats appear damaged. You plant them anyway, but notice that ~25% of your plants fail to germinate. All of the plants have been watered regularly, and have received adequate light. What is the most likely cause of the lack of germination?

In humans, fermentation results in the formation of ________, whereas fermentation in yeast results in the formation of _________. In humans, this pathway occurs when ________ is absent.

Which of the following statements regarding the Calvin Cycle are correct?

All of the following statements regarding structural polysaccharides are true, EXCEPT: