Hudson Corporation is considering three options for managing its data processing operation: continuing with its own staff, hiring an outside vendor to do the managing (referred to as outsourcing), or using a combination of its own staff and an outside vendor. The cost of the operation depends on future demand. The annual cost of each option (in thousands of dollars) depends on demand as follows:

1. If the demand probabilities are 0.35, 0.25, and 0.4, which decision alternative will minimize the expected cost of the data processing operation? (choices are: Own Staff, Outside Vendor, or Combination)

What is the expected annual cost associated with that recommendation? If rerequired, round your answer to the nearest dollar.

Expected annual cost = $   

b. Construct a risk profile for the optimal decision in part (a).

What is the probability of the cost exceeding $500,000? If required, round your answer to two decimal places.

Probability =

Assume that stock market returns have the market index as a common factor, and that all stocks in the economy have a beta of 1.2 on the market index. Firm-specific returns all have a standard deviation of 25%.

Suppose that an analyst studies 20 stocks and finds that one-half of them have an alpha of +1.6%, and the other half have an alpha of −1.6%. Suppose the analyst invests $1.0 million in an equally weighted portfolio of the positive alpha stocks, and shorts $1 million of an equally weighted portfolio of the negative alpha stocks.

a. What is the expected profit (in dollars) and standard deviation of the analyst’s profit? (Do not round intermediate calculations. Round your answers to the nearest whole dollar amount.)

Expected profit (in dollars) ______ ?

Standard Deviation ________ ?

b. How does your answer change if the analyst examines 50 stocks instead of 20 stocks? 100 stocks? (Do not round intermediate calculations. Round your answers to the nearest whole dollar amount.)

Standard deviation of 50 stocks = ______

Standard deviation of 100 stocks = _______

Which of the following is not a property of a binomial experiment?

Question 15 options:

Question 16

The probability distribution for the number of goals the Norse soccer team makes per game is given below;

Number of Goals Probability

0 0.05

1 0.15

2 0.35

3 0.30

4 0.15

Refer to the probabilities, what is the probability that in a given game the Norse will score 2 goals or more?

Question 16 options:

A uniform probability distribution is a continuous probability distribution where the probability that the random variable assumes a value in any interval of equal length is

Question 20 options:

On November 14, Thorogood Enterprises announced that the public and acrimonious battle with its current CEO had been resolved. Under the terms of the deal, the CEO would step down from his position immediately. In exchange, he was given a generous severance package. Given the information below, calculate the cumulative abnormal return (CAR) around this announcement. Date Market Return (%) Company Return (%) Nov 7 1.7 1.3 Nov 8 1.5 1.3 Nov 9 -1.4 -0.2 Nov 10 −0.6 −0.5 Nov 11 2.5 1.0 Nov 14 −1.3 3.0 Nov 15 0.1 0.1 Nov 16 0.9 1.9 Nov 17 1.4 0.8 Nov 18 −1.4 0.0 Nov 21 1.5 0.2 Assume the company has an expected return equal to the market return. (A negative value should be indicated by a minus sign. Leave no cells blank - be certain to enter "0" wherever required. ) What is the percentage cumulative abnormal return (CAR) on Day "-2", which is relative to the announcement date of the event?

Which of the following substances has the lowest boiling point? C12H16 CH2Br2 Br2 ICl

How much energy in kJ will it take to melt 5.0 g of frozen Ar at -190^o C?

T/F if methane was at -50^o C it cannot be made to liquify at any pressure.

If H₂O at -1.0^o C and 1.0 atm has enough pressure applied to it, what phase change, if any, can occur?

5. How many kJ of energy are required to change 1.00 m^3 of pure water by 1.0*C? Assume a perfect system. The specific heat of the water is 4.184 J/g*C. The density of water is 1.000 g/mL.

6. 2.500 grams of metal X (molar mass 65.39 g/mole) was reacted with 100.0 mL of a 1.500 M HCl solution in a coffee cup calorimeter. The temperature went from 12.50 *C to 40.50 *C. Determine the reaction enthalpy per mole of metal X. The specific heat of the solution is 4.184 J/ g*C. Assume a solution density of 1.00 g/mL and a perfect system.

7. 20.12 grams of butane, C4H10, was combusted with oxygen in a bomb calorimeter. The temperature of .500 kg of water went from 5.00 *C to 25.89 *C. The specific heat of the water is 4.184 J/g*C. Assume a solution density of 1.00 g/mL. Determine the heat (kJ) evolved per mole of butane. Assume a perfect bomb calorimeter.

Iconic memory is a type of memory that holds visual information for about half a second (0.5 seconds). To demonstrate this type of memory, participants were shown three rows of four letters for 50 milliseconds. They were then asked to recall as many letters as possible, with a 0-, 0.5-, or 1.0-second delay before responding. Researchers hypothesized that longer delays would result in poorer recall. The number of letters correctly recalled is given in the table.

(a) Complete the F-table. (Round your values for MS and F to two decimal places.)

(b) Compute Tukey's HSD post hoc test and interpret the results. (Assume alpha equal to 0.05. Round your answer to two decimal places.)

The critical value is  for each pairwise comparison.

Eyeglassomatic manufactures eyeglasses for different retailers. The number of days it takes to fix defects in an eyeglass and the probability that it will take that number of days are in the table. Table #5.1.8: Number of Days to Fix DefectsNumber of daysProbabilities

1 24.9%

2 10.8%

3 9.1%

4 12.3%

5 13.3%

6 11.4%

7 7.0%

8 4.6%

9 1.9%

10 1.3%

11 1.0%

12 0.8%

13 0.6%

14 0.4%

15 0.2%

16 0.2%

17 0.1%

18 0.1%

State the random variable.

b.)Draw a histogram of the number of days to fix defects

c.)Find the mean number of days to fix defects.

d.)Find the variance for the number of days to fix defects

. e.)Find the standard deviation for the number of days to fix defects.

f.)Find probability that a lens will take at least 16 days to make a fix the defect.

g.)Is it unusual for a lens to take 16 days to fix a defect?

h.)If it does take 16 days for eyeglasses to be repaired, what would you think?

1)

After hearing a knock at your front door, you are surprised to see the Prize Patrol from your state’s online lottery agency. Upon opening your door, you learn you have won the lottery of $14.5 million. You discover that you have three options: (1) you can receive $1.45 million per year for the next 10 years, (2) you can have $11.6 million today, or (3) you can have $4.4 million today and receive $1.20 million for each of the next 8 years. Your lawyer tells you that it is reasonable to expect to earn an annual return of 10% on investments. Required: 1. What is the present value of the above options? (FV of $1, PV of $1, FVA of $1, and PVA of $1) (Use the appropriate factor(s) from the tables provided. Enter your answers in whole dollar not in millions (i.e., 1,000,000 not 1.0), rounded to nearest whole dollar.)

You are the CFO of floor Covering America Inc. As part of the planning and budgeting process, each division head from the company's five divisions has submitted their capital request. the following are the facts and figures from each division：

The projects above are "All or Nothing" - meaning for example that division I requires an investment of $10M immediately, and cannot accept partial funding of its project. The Projects are NOT mutually exclusive. The cost of capital for each of the project is 10%.

(a) Suppose the company has unlimited capital and can invest in all of the projects if deemed optimal, which of the projects should be funded? Why?

(b) Because of challenging capital market conditions, the company can only raise $50M for investment in next year's projects. Which of the projects should be funded? why?