An article suggested that yield strength (ksi) for A36 grade steel is normally distributed with μ = 44 and σ = 5.0.
(a) What is the probability that yield strength is at most 40? Greater than 64? (Round your answers to four decimal places.)
| at most 40 | ||
| greater than 64 |
(b) What yield strength value separates the strongest 75% from the
others? (Round your answer to three decimal places.)
____________ ksi
In: Statistics and Probability
Currently, Forever Flowers Inc. has a capital structure consisting of 30% debt and 70% equity. Forever's debt currently has an 8% yield to maturity. The risk-free rate (rRF) is 3%, and the market risk premium (rM - rRF) is 4%. Using the CAPM, Forever estimates that its cost of equity is currently 14.5%. The company has a 40% tax rate. The data has been collected in the Microsoft Excel Online file below. Open the spreadsheet and perform the required analysis to answer the questions below. Do not round intermediate calculations.
What is Forever's current WACC? Round your answer to two decimal places.
%
What is the current beta on Forever's common stock? Round your answer to two decimal places
What would Forever's beta be if the company had no debt in its capital structure? (That is, what is Forever's unlevered beta, bU?) Round your answer to two decimal places.
Forever's financial staff is considering changing its capital structure to 40% debt and 60% equity. If the company went ahead with the proposed change, the yield to maturity on the company's bonds would rise to 10%. The proposed change will have no effect on the company's tax rate.
What would be the company's new cost of equity if it adopted the proposed change in capital structure? Round your answer to two decimal places.
%
What would be the company's new WACC if it adopted the proposed change in capital structure? Round your answer to two decimal places.
In: Finance
If exogenous investment falls by USD 40 billion and the MPC is 8/11 and there is a multiplier effect, then:
a. short-run equilibrium output falls by 11/8 x USD40 billion.
b. None of the other 4 choices.
c. short-run equilibrium output falls by 11/3 x USD40 billion.
d. short-run equilibrium output by 3 x USD40 billion.
e. short-run equilibrium output by 8/3 x USD40 billion.
In: Economics
Directions:
1. The Table of Data below contains the blood pressure (BP) readings for ten college students. All systolic and diastolic readings are in units of mmHg.
2. Enter these data into a table in an Excel spread sheet with the following columns: Subject
Systolic P (mmHg)
Diastolic P (mmHg)
Pulse P (mmHg)
Clearly label the table with a title and the column headings, including units.
3. Using Excel, provide a histogram for each of the following data:
a. Systolic BP
b. Diastolic BP
c. Pulse Pressure (PP) Note: PP = (Systolic Pressure) – (Diastolic Pressure)
4. Using Excel, for the Systolic BP and the Diastolic BP and the Pulse Pressure, calculate the following:
a. range
b. mean
c. standard deviation
d. variance
e. maximum
f. minimum
Table of Data
Subject Blood Pressure (BP)
1 120/60
2 126/60
3 120/70
4 110/70
5 116/72
6 110/68
7 130/90
8 128/86
9 126/80
10 130/82
In: Statistics and Probability
Suppose that Intel currently is selling at $50 per share. The rate on margin loan is 8%. Investor A purchased 100 shares using 60% margin. Investor B sold 100 shares using 60% margin. The maintenance margin is 40%. 1. Calculate the margin call price for Investor A 2. Calculate the margin call price for Investor B
In: Finance
Suppose that Intel currently is selling at $50 per share. The rate on margin loan is 8%. Investor A purchased 100 shares using 60% margin. Investor B sold 100 shares using 60% margin. The maintenance margin is 40%.
1. Calculate the margin call price for Investor A
2. Calculate the margin call price for Investor B
In: Finance
ACCOUNTING COLLEGE LEVEL 1 question
Melissa Young had always been encouraged by her accounting professor to apply her accounting skills as much as possible. When her uncle asked her to prepare his accounting records for a company he owns, called Bob's Repairs Ltd., she readily agreed.
The company has two employees who repair and service all computers used by four large companies in the area.
Following are dated August 31, 2018
1.When the corporation was formed on September 1, 2017, common shares were sold to the sole shareholder, Uncle Bob, for $10,000 cash.
2.Uncle Bob added up all of the invoices the company issued to its customers and the total came to $229,400. All of these were issued on credit.
3.The company received $190,000 cash from customers when they paid their invoices.
4.The company rents a small repair shop for $3,500 per month. The shop was rented for the full year and all rent was paid in cash. In addition, the landlord required the company to pay one month's rent in advance.
5.Salaries to employees totalled $120,000 for the year and were paid in cash.
6.Uncle Bob determined from a review of numerous invoices that the office expenses for the year were $36,400. Of these, all were paid except $4,000 that was still owing.
7.In late August, a new customer approached the company and signed a contract for service to be done to its computers starting in October 2018. The customer paid the company $2,000 in advance to secure the service.
8.Uncle Bob estimated that, given the net income earned by the company this year, income tax
expense should be $6,200 but this would not have to be paid for another two months.
9.The company declared and paid $1,000 of dividends to shareholders at the end of the year.
a) There were seven transactions that affected cash. Which of these related to operating activities? What was their total effect? What would Uncle Bob think about the operating cash flow? Which cash flows would be considered financing activities? Did the company need these cash flows? (7 points)
b) The company could not borrow any money from a bank to help start operations. Why do you think this happened? (3 points)
In: Accounting
A personal computer manufacturer is interested in comparing assembly times for two keyboard assembly processes. Assembly times can vary considerably from worker to worker, and the company decides to eliminate this effect by selecting a random sample of 10 workers and timing each worker on each assembly process. Half of the workers are chosen at random to use Process 1 first, and the rest use Process 2 first. For each worker and each process, the assembly time (in minutes) is recorded, as shown in Table 1.
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Table 1 |
Based on these data, can the company conclude, at the 0.10 level of significance, that the mean assembly times for the two processes differ? Answer this question by performing a hypothesis test regarding μd (which is μ with a letter "d" subscript), the population mean difference in assembly times for the two processes. Assume that this population of differences (Process 1 minus Process 2) is normally distributed.
Perform a two-tailed test. Then fill in the table below. Carry your intermediate computations to at least three decimal places and round your answers as specified in the table. (If necessary, consult a list of formulas.)
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In: Statistics and Probability
1. According to “New Study on Collaborative Execution Finds Supply Chain Collaboration Can Improve Operational Metrics by 50 Percent or More” (Bloomberg, 2012)
By a ratio of nearly two to one, supply chain professionals agreed that one of the biggest barriers to successful collaboration is a slow issue resolution process. This was identified as a systemic problem related to quality of information flow, in terms of both the granularity (level of detail) and timeliness of data shared.
And 92 percent of respondents agreed that rapid problem resolution was part of good collaboration. True collaboration can be defined in terms of speed, both in problem solving and in organizational learning. More than half of the responses indicated that speed of response in truly collaborative relationships was twice as fast or faster, with learning curve improvements more than 50 percent greater than in non-collaborative trading partner relationships.
a. Discuss why supply chain partners may not be able to resolve issues quickly. Consider information flows in your discussion.
b. What impacts might slow problem (issue) resolution have on the supply chain?
c. Based on your answer to (a), discuss which enterprise systems could speed up problem resolution.
d. What is meant by learning curve improvements?
2. In your opinion, what might limit the growth of 3D printing?
3. Distinguish between ERP and SCM software. In what ways do they complement each other? Why should they be integrated?
4. State the business value of enterprise systems and how they can be used to manage the supply chain more effectively.
5. What problems are encountered in implementing ERP systems?
6. Find examples of how two of the following organizations improve their supply chains: manufacturing, hospitals, retailing, education, construction, agribusiness, and shipping. Discuss the benefits to the organizations.
7. It is claimed that supply chains are essentially “a series of linked suppliers and customers; every customer is in turn a supplier to the next downstream organization, until the ultimate end-user.” Explain. Use a diagram.
8. Discuss why it is difficult to justify CRM.
9. A supply chain is much more powerful in the Internet marketplace. Discuss how Internet technologies can be used to manage the supply chain.
In: Accounting
PROJECT 3 INSTRUCTIONS Based on Brase & Brase: sections 6.1-6.3 Visit the NASDAQ historical prices weblink. First, set the date range to be for exactly 1 year ending on the Monday that this course started. For example, if the current term started on January 13, 2019, then use January 13, 2019 – January 12, 2020. (Do NOT use these dates. Use the dates that match up with the current term.) Do this by clicking on the blue dates after “Time Period”. Next, click the “Apply” button. Next, click the link on the right side of the page that says “Download Data” to save the file to your computer. NOTE I'M TO USE THESE DATES JAN. 13, 2019- JAN 12, 2020. PLEASE USE THESE DATES TO HELP ME ANSWER THESE QUESTIONS. I'M HAVING A DIFFICULT TIME!! This project will only use the Close values. Assume that the closing prices of the stock form a normally distributed data set. This means that you need to use Excel to find the mean and standard deviation. Then, use those numbers and the methods you learned in sections 6.1-6.3 of the course textbook for normal distributions to answer the questions. Do NOT count the number of data points. Complete this portion of the assignment within a single Excel file. Show your work or explain how you obtained each of your answers. Answers with no work and no explanation will receive no credit. 1. a) Submit a copy of your dataset along with a file that contains your answers to all of the following questions. b) What the mean and Standard Deviation (SD) of the Close column in your data set? c) If a person bought 1 share of Google stock within the last year, what is the probability that the stock on that day closed at less than the mean for that year? Hint: You do not want to calculate the mean to answer this one. The probability would be the same for any normal distribution. (5 points) 2. If a person bought 1 share of Google stock within the last year, what is the probability that the stock on that day closed at more than $1150? (5 points) 3. If a person bought 1 share of Google stock within the last year, what is the probability that the stock on that day closed within $50 of the mean for that year? (between 50 below and 50 above the mean) (5 points) 4. If a person bought 1 share of Google stock within the last year, what is the probability that the stock on that day closed at less than $950 per share. Would this be considered unusal? Use the definition of unusual from the course textbook that is measured as a number of standard deviations (5 points) 5. At what prices would Google have to close in order for it to be considered statistically unusual? You will have a low and high value. Use the definition of unusual from the course textbook that is measured as a number of standard deviations. (5 points) 6. What are Quartile 1, Quartile 2, and Quartile 3 in this data set? Use Excel to find these values. This is the only question that you must answer without using anything about the normal distribution. (5 points) 7. Is the normality assumption that was made at the beginning valid? Why or why not? Hint: Does this distribution have the properties of a normal distribution as described in the course textbook? Real data sets are never perfect, however, it should be close. One option would be to construct a histogram like you did in Project 1 to see if it has the right shape. Something in the range of 10 to 12 classes is a good number. (5 points) There are also 5 points for miscellaneous items like correct date range, correct mean, correct SD, etc. Project 3 is due by 11:59 p.m. (ET) on Monday of Module/Week 5.
In: Statistics and Probability