Both Bond Bill and Bond Ted have 12.4 percent coupons, make semiannual payments, and are priced at par value. Bond Bill has 5 years to maturity, whereas Bond Ted has 22 years to maturity. Both bonds have a par value of 1,000.

If interest rates suddenly rise by 3 percent, what is the percentage change in the price of these bonds? (A negative answer should be indicated by a minus sign. Do not round intermediate calculations and enter your answers as a percent rounded to 2 decimal places, e.g., 32.16.)

If rates were to suddenly fall by 3 percent instead, what would be the percentage change in the price of these bonds? (Do not round intermediate calculations and enter your answers as a percent rounded to 2 decimal places, e.g., 32.16.)

The doorway of a specific style house is 71 inches. Men’s heights are normally distributed with a μ of 68.4 inches and σ of 1.9 inches. Women’s heights are normally distributed with a μ of 64.8 inches and a σ of 2.6 inches.

For the following use the same data for heights from above (no pun intended). To get into the police academy there are height requirements. A person needs to be at least five feet tall and no taller than 6.5 feet tall.

i. Determine the percentage of men that are too tall.

ii. Determine the percentage of men that are too short.

iii. Determine the percentage of women that are too tall.

iv. Determine the percentage of women that are too short.

v. Determine the probability that the μ of a sample of 100 men will be above greater than 70 inches.

vi. Determine the probability that the μ of a sample of women will be below 67 inches.

vii. Determine the 25th and 75th percentile for men.

viii. Determine the values of the heights of the middle 99% of women.

1. Banks earn a profit by

   		charging an interest rate on their depositors' accounts.
   		keeping as many reserves on hand as possible.
   		making loans at a lower interest rate than the rate that they offer on their deposits.
   		making loans at a higher interest rate than the rates that they offer on their deposits.

2 points   

QUESTION 23

1. Required reserve ratios are the minimum amount of

   		reserves any one bank must hold as a percentage of its loans.
   		reserves any one bank must hold as a percentage of its deposits.
   		reserves any one bank must hold as a percentage of its total assets.
   		deposits any one bank must hold as a percentage of its reserves.

2 points   

QUESTION 24

1. The Fed is a central bank and as such

   		is where the Federal Government turns when it needs to borrow.
   		provides banking services to banks but not individuals.
   		does business only with the federal government.
   		provides banking services to individuals and firms.

a.) In families of 4 offspring, what is the probability of finding the oldest and youngest offspring to both be female?

(As you calculate your response, keep variable rounded at 4 decimal places, provide your answer as a percentage with 2 decimal places, no percentage sign needed(%) i.e., 45.21)

b.) Chestnut, Palomino, and Cremello coat coloring is horses is determined by a partial or incomplete dominant mode of inheritance. Chestnut (CC) and cremello (C^CrC^Cr)

animals have a homozygous genotype, and palomino coat coloring is a result from a heterozygous genotype (CC^Cr)

Two palomino horses have created 3 offspring. What is the chance that these 3 offspring result in 1 of each color (1 chestnut, 1 cremello, and 1 palomino) colts?

(As you calculate your response, keep variable rounded at 4 decimal places, provide your answer as a percentage with 2 decimal places, no percentage sign needed(%)i.e., 45.21)

1) In Drosophila, body colour is controlled by a gene on the X chromosome called yellow. It acts in a recessive manner. It causes the body to appear yellow rather than the normal brown of wildtypes. In a mating between a brown male fruit fly and a brown heterozygous female, what percentage of the male offspring is expected to be brown? Explain how you determined the percentage, specifying the genotypes of the parents and all potential offspring. For this question, use B to designate the dominant wildtype allele and b to designate the recessive mutant allele.

2) in a mating between a brown male fruit fly and a yellow female fruit fly, what percentage of the female offspring will be yellow?  Explain how you determined the percentage, specifying the genotypes of the parents and all potential offspring. Use B to designate the dominant wildtype allele and b to designate the recessive mutant allele.

For this and the following questions, use the forms X^AX^a , X^AY, etc, replacing "A" with the letter specified in each question.

Montross Inc. needs to raise $300,000 for a nine-month term. Montross’s bank has offered to lend Montross the money at a 12.00% simple interest rate. Montross will receive the $300,000 upon approval of the loan and will pay back the principal and interest at maturity.

Calculate the interest payment, the amount of cash received, the annual percentage rate (APR), and the effective annual rate (EAR) of this loan.

Suppose the terms of the loan require that Montross maintain a compensating balance equal to 20% of the loan balance, and Montross will have to borrow the compensating balance from the bank.

Calculate the interest payment, the amount of cash received, the annual percentage rate (APR), and the effective annual rate (EAR) of the loan considering the compensating balance requirement.

In the last quarter of​ 2007, a group of 64 mutual funds had a mean return of 2.1​% with a standard deviation of 6.5​%. If a normal model can be used to model​ them, what percent of the funds would you expect to be in each​ region? Use the​ 68-95-99.7 rule to approximate the probabilities rather than using technology to find the values more precisely. Be sure to draw a picture first. ​a) Returns of negative 4.4​% or less ​b) Returns of 2.1​% or less ​c) Returns between negative 10.9​% and 15.1​% ​d) Returns of more than 21.6​% ​a) The expected percentage of returns that are negative 4.4​% or less is nothing​ %. ​(Type an integer or a​ decimal.) ​b) The expected percentage of returns that are 2.1​% or less is nothing​ %. ​(Type an integer or a​ decimal.) ​c) The expected percentage of returns that are between negative 10.9​% and 15.1​% is nothing​ %. ​(Type an integer or a​ decimal.) ​d) The expected percentage of returns that are 21.6​% or more is nothing​ %. ​(Type an integer or a​ decimal.)

Men's heights are normally distributed with mean 68.9 in and standard deviation of 2.8 in. ​Women's heights are normally distributed with mean 63.6 in and standard deviation of 2.5 in. The standard doorway height is 80 in. a. What percentage of men are too tall to fit through a standard doorway without​ bending, and what percentage of women are too tall to fit through a standard doorway without​ bending? b. If a statistician designs a house so that all of the doorways have heights that are sufficient for all men except the tallest​ 5%, what doorway height would be​ used?

A. The percentage of men who are too tall to fit through a standard door without bending is _____ %. (Round two decimal places)

B. The percentage of women who are too tall to fit through a standard door without bending is ______ %. (ROund two decimals)

C. The statistician would design a house with doorway height ____ in. (round to nearest 10th).