1. Answer the following questions for each of the three situations outlined below:
   1. What is the good or service being consumed? Does its consumption create externalities? If so, what they are and are they positive or negative?
   2. If the example involves externalities, identify who creates the externality and who benefits or suffers from it.

#1--Antibiotics are becoming less effective as bacteria evolve, a process accelerated by overuse of antibiotics by doctors. Nevertheless, a “survey of physicians showed they were most likely to choose the broadest spectrum [antibiotic] to treat pneumonia, despite guidelines to the contrary; contributing to resistance rated lowest among seven determinants of their choices. (The Milken Institute Review, Third Quarter 2012)”

#2--An AP article (Yabba Dabba Don’t, AP, April 7, 2019) reported on a house built by a rich retiree in Hillsborough, a posh suburb of San Francisco. The house is “…an elaborate homage to “The Flintstones” family…The bold, bulbous house is surrounded by Stone Age sculptures inspired by the 1960s cartoon, along with aliens and other oddities...” The town says the property is “an eyesore.” The resulting controversy “has sparked…an online petition signed by thousands to preserve the attention-grabbing property, visible from a nearby highway….”

#3--Avocados have become increasingly popular in China, Japan, and Canada, and some avocadoes that used to be exported to the United States are now sent to these other countries.   Prices for avocadoes in the US have increased dramatically as a result, causing some restaurants to add a surcharge on orders of guacamole.

****PLEASE ANSWER ALL QUESTIONS****

Question 1 (1 point)

164 employees of your firm were asked about their job satisfaction. Out of the 164, 47 said they were unsatisfied. What is the estimate of the population proportion? What is the standard error of this estimate?

Question 1 options:

Question 2 (1 point)

Suppose the nationwide high school dropout rate for 2014 was around 14.62%. If you checked the records of 472 students in high school in 2014, what is the probability that greater than 14.97% of them ended up dropping out?

Question 2 options:

Question 3 (1 point)

An airline records flight delays in and out of Chicago O'Hare airport for a year. The average delay for these flights is 9.64 minutes with a standard deviation of 3.51 minutes. For a sample of 49 flights, 94% of flights will have an average delay less than how many minutes?

Question 3 options:

Question 4 (1 point)

A U.S. census bureau pollster noted that in 411 random households surveyed, 252 occupants owned their own home. For a 95% confidence interval for the proportion of home owners, what is the margin of error?

Question 4 options:

Question 5 (1 point)

The Student Recreation Center wanted to determine what sort of physical activity was preferred by students. In a survey of 64 students, 39 indicated that they preferred outdoor exercise over exercising in a gym. They estimated the proportion of students at the university who prefer outdoor exercise as ( 0.452 , 0.7667 ), with 99% confidence. Which of the following is an appropriate interpretation of this confidence interval?

Question 5 options:

Question 6 (1 point)

The owner of a local phone store wanted to determine how much customers are willing to spend on the purchase of a new phone. In a random sample of 13 phones purchased that day, the sample mean was $493.254 and the standard deviation was $21.6007. Calculate a 90% confidence interval to estimate the average price customers are willing to pay per phone.

Question 6 options:

Ann is a recent engineering graduate with two years experience in her current role and is currently looking at getting a Masters degree.

She is currently paid $60,000 per year, which she expects to increase at a 4 percent rate until she finally retires. Ann is currently 25 and expects to work for 40 more years. Her current employer offers a benefits package that includes health insurance. Ann has saved enough money to pay for a possible tuition expense and is currently taxed at 23 percent.

Ann was accepted at two of the programs she was applying to and is debating whether she should enroll in one of those programs. The details for each of the programs are as follows:

Program A is a two-year full time program with an annual tuition of $50,000 due at the beginning of each academic year. According to the program's website, books and other required supplies are estimated to cost about $3,000 per year. The school offers a health plan for $5,000 per year.

Program B is a one-year full time program with a tuition of $70,000 due at the beginning of the program. Although the supplies were not listed specifically on their information packet, Ann estimates a total cost for supplies and books of around $7,000. The school offers a health plan for $6,000 per year.

Both Programs offer on-campus housing which, according to Ann's estimates, should save her about $5,000 per year. Since both programs are full-time, she will need to leave her current employer if she decides to accept any of the offers.

Ann is anticipating that she will be able to secure a job offer for about $85,000 per year after graduating from program A, with a $7,000 signing bonus. The salary at this job will probably increase at 5 percent per year. Since the pay is much higher than her current income, Ann expects her average tax rate will increase to 30 percent.

For program B, Ann thinks that she will most likely be able to get an offer of $75,000 per year upon graduation, with an $6,000 signing bonus. The salary at this job will increase at 4.75 percent per year and, due to the increased level of income, her average tax rate will be 28 percent.

Given the risk of starting a new degree, Ann feels that the appropriate discount rate is 6 percent.

Does Ann's age have any impact on her decision to get a Masters degree?

Are there other factors that could impact Ann's decision? If so, what are those?

What is the best option from a strictly financial standpoint? For simplicity, assume all salaries are paid in full at the end of each year.

Ann was discussing her analysis with a friend, who mentioned she should calculate the future value of each of the scenarios. How would you evaluate this statement?

Although Ann believes she'll be able to get jobs paying the amount stated above for each of the programs, she is trying to understand better how much the initial salary estimate is impacting her decision. Assuming all else equal, what much would the initial salaries be for each of the programs so that Ann is financially indifferent between attending that specific program or staying in her current position?

1. The cost of owning a dog. Calculate the costs from a Fall Term when you arrive on campus, till the end of Spring term when you are leaving to go home. Feel free to be creative!

Scenario: You have just arrived in Pullman to start college at WSU and it is your first time away from home! On impulse to celebrate your freedom, you bought an 8-week old purebred puppy from a local breeder back home for a cost of $600.00 (with your school loan money ☹). The puppy is pet quality and will not be used breeding, thus will need to be neutered or spayed – how much does that cost? It does not have any of its shots, obviously not had obedience training or a health check – what do they cost? The mature weight of the animal will be approximately 95 pounds. The apartment you had made arrangements to live in does not allow pets so you have to find a new place. At the end of the school year in May, you will need to fly the animal home as your car broke down and you cannot afford to fix it (check the Internet for airline prices). Calculate the cost for the time at WSU to purchase and care for this animal – a name for “it” would be nice. The only care items you have for it yet are a puppy leash, water and food dish (puppy size) and a bag of puppy food given to you by the breeder (you are using one of your sweat shirts for “it” to sleep on and it now has your favorite gym shoes as a chew toy).

Items that you must consider in your calculations are:

   Damage Deposit for Housing

   Vet Care – check up, vaccinations, neuter or spay

   Puppy Class for basic obedience

Food – allowing that it will eat more as it grows – use recommendations on dog

food bags for estimation of food intake

You bring it to campus and tie it to a tree outside the building – someone calls it

in and it is picked up by the Humane Society – not the “tether” law may make this illegal.

   It runs away when your roommate leaves the back door open and is picked up by

the Humane Society and you have to pay to get it out of “jail”.

   Your puppy has a barking problem and the Humane Society “calls” at your house

multiple times and you are ticketed twice.

   While you are in class, your puppy eats the carpet before you have a chance to buy a

carrier to crate train it – you lose your damage deposit.

   You have to board the animal three weeks while you are away for Christmas.

   Right before the end of the semester, you notice your puppy/dog limping and find out that

it needs surgery on its hip – it is a larger dog, remember? Find out potential costs for the various surgeries dealing with a dysplastic hip. You may want to decide till you get home to your folks?

   Any toys, leashes, and care items you “care” to purchase – list them.

What other items can you think of that will be a cost to consider?

Below is a case study of a fictional family named Berman. They represent a typical family in the wealth building stage of their financial life; two income earners saving for their future and education for their two children at the same time. The case study will allow you to practice analyzing a situation, using financial calculations and writing suitable recommendations. Begin by reading their background and start making note of the Berman’s goals and concerns.

Background:

Names:

Carl Berman (46), law school professor Matthew (14), son Naomi Berman (43), private junior high school principal Sarah (11), daughter

Financial situation:

Carl and Naomi have spent the majority of their working years focusing on being fiscally responsible with the healthy income they earn. They consider themselves “do it yourselfers” and have managed their money at local banks, Charles Schwab online and through their 401k’s at work. Their only financial relationship is with their State Farm insurance agent who is also their neighbor.

Carl is a professor at the law school at the local university. Naomi is the principal of a private junior high school. They have two children, Matthew (14) and Sarah (11) and they hope to pay for their full college experience out of the savings they have been tucking away for the last ten years.

When they were first married, Carl and Naomi enjoyed a great deal of travel and leisure. Since their children were born they have made saving for the future their primary focus. Now, as they are entering their mid-forties with stable income, very good health and a net worth of over a half a million dollars, they are beginning to ask themselves if they are on track. They have found themselves wondering if fully financing their children’s education is truly possible.

They currently own a home in Harrisonburg, VA valued at $450,000 and dream of one day owning a home in the historic district of the city. They would also love to own a small cabin in the Blue Ridge Mountains of Virginia where they could enjoy the outdoors during retirement. To this point, they have saved money for these accumulation goals into various accounts without any direction from a financial advisor. They are uncertain how much of their savings and future income must be allocated to each of these goals to make them attainable.

A co-worker of Carl’s recently passed away leaving his family with very little life insurance. They do not want to fall victim to the same fate should something happen to one of them. They also have a very good understanding of the time value of money and agree that a loss of income, even temporary, could have a dramatic impact on the progress toward attaining their goals. They would like an advisor’s recommendations on whether their current life and disability insurance coverage is adequate.If Carl was to pass away he wants Naomi to still be able to fund all of their goals. If Naomi passes, Carl wants the kid’s education covered but would not purchase the cabin. In the event of a disability, they agreed that a reduction of current lifestyle would be priority, but would like to have the income replacement to remain on track with their goals. The Berman’s were also embarrassed to admit that they have not yet drafted the appropriate estate documents.

Carl and Naomi were introduced to you by a friend of theirs, a current client of yours, who invited them to your retirement seminar that you hosted. After agreeing to a face-to-face meeting at your office, they prepared the following summary of their financial data and returned it to you.

The written plan should include the following:

• Assess the clients’ current financial condition.
• Identify the major Strengths, Weaknesses, Opportunities, and Threats.(SWOT)
• Identify and disclose specific assumptions used in analyzing each goal andneed.
• Discuss the resolution of any conflicts between the clients’ goals and needs, and the ability to satisfy them due to financial or otherconstraints.
• Identify the extent to which other professionals are required to implement anyrecommendations.
• Identify the recommendations you would make to the clients and how to implement them

Rebecca and Walter Bunge have been married for 5 years. They live at 883 Scrub Brush Street, Apt. 52B, Las Vegas, NV 89125. Rebecca is a homemaker and Walt is a high school teacher. Rebecca's Social Security number is 222-43-7690 and Walt's is 700-01-0002. Walt's earnings from teaching are:

The Bunges incurred the following expenses during their move from Maine to Nevada in January of 2016:

The school district reimbursed Walter $500 for moving expenses. These are reflected on his W-2. Walter’s previous job, as a high school teacher in Maine, was only 5 miles from his home. Rebecca was unemployed prior to the move.

The Bunges own a ski condo located at 123 Buncombe Lane, Brian Head, UT 84719. The condo was rented for 185 days during 2016 and used by the Bunges for 15 days. Pertinent information about the condo rental is as follows:

The above amounts do not reflect any allocation between rental and personal use of the condo. The Bunges are active managers of the condo.

Click here to access the tax table to use for this problem.

Required:

Complete the Bunge's federal tax return for 2016. Use Form 1040, Schedule E, Form 3903, and Form 8582 to complete their tax return.

If an amount box does not require an entry or the answer is zero, enter "0". Do not round any percentages. If required, round your answers to the nearest dollar. If required, enter a "loss" as a negative number on the tax form. Do not enter deductions as negative numbers.

Note: Special instructions for Form 8582 - If required, use the minus sign to enter a "loss" as a negative number on the lines 1d, 4 and 16. However, per the instructions on the tax return, enter all numbers in Part II as positive amounts.

PROGRAM DESCRIPTION:
In this assignment, you are provided with working code that does the following:
1. You input a sentence (containing no more than 50 characters).
2. The program will read the sentence and put it into an array of characters.
3. Then, it creates one thread for each character in the sentence.
4. The goal of the program is to capitalize on each letter that has an odd index.
The given program actually does this but lacks the synchronization of the threads, so
the output is not correct. You will need to provide the synchronization using mutex
locks. Specifically, you are to (1) declare the mutex lock, (2) initialize the mutex lock, (3)
lock and unlock the mutex lock at an appropriate location that results in the code
working as expected, and (4) destroy the mutex lock. Be sure to place the mutex locks
so that your program works correctly every time. Do not remove code or functions – you
are to add the synchronization pieces only.
When compiling using the GNU C compiler, be sure to include the –lpthread flag
option.
SAMPLE OUTPUT (user input shown in bold green):
$ ./a.out
Please enter a phrase (less than 50 characters): when all else
fails, read the instructions
The original sentence is: when all else fails, read the instructions
The new sentence is [0]: w
The new sentence is [0]: w
The new sentence is [0]: w
The new sentence is [0]: w
The new sentence is [0]: w
The new sentence is [0]: w
The new sentence is [3]: N
The new sentence is [0]: w
The new sentence is [0]: w
The new sentence is [0]: w
The new sentence is [0]: w
The new sentence is [0]: w
The new sentence is [9]: E
The new sentence is [12]: e
The new sentence is [14]: f
The new sentence is [15]: A
The new sentence is [16]: i
2
The new sentence is [17]: L
The new sentence is [17]: L
The new sentence is [19]: ,
The new sentence is [20]:
The new sentence is [21]: R
The new sentence is [22]: e
The new sentence is [23]: A
The new sentence is [23]: A
The new sentence is [25]:
The new sentence is [26]: t
The new sentence is [27]: H
The new sentence is [27]: H
The new sentence is [27]: H
The new sentence is [29]:
The new sentence is [31]: N
The new sentence is [30]: i
The new sentence is [31]: N
The new sentence is [32]: s
The new sentence is [35]: U
The new sentence is [34]: r
The new sentence is [35]: U
The new sentence is [36]: c
The new sentence is [37]: T
The new sentence is [39]: O
The new sentence is [41]: S
The new sentence is [41]: S
The problem is that the output should look something like:
$ ./a.out
Please enter a phrase (less than 50 characters): when all else
fails, read the instructions
The original sentence is: when all else fails, read the instructions
The new sentence is [0]: w
The new sentence is [1]: H
The new sentence is [2]: e
The new sentence is [3]: N
The new sentence is [4]:
The new sentence is [5]: A
The new sentence is [6]: l
The new sentence is [7]: L
The new sentence is [8]:
The new sentence is [9]: E
The new sentence is [10]: l
The new sentence is [11]: S
The new sentence is [12]: e
The new sentence is [13]:
The new sentence is [14]: f
The new sentence is [15]: A
The new sentence is [16]: i
The new sentence is [17]: L
3
The new sentence is [18]: s
The new sentence is [19]: ,
The new sentence is [20]:
The new sentence is [21]: R
The new sentence is [22]: e
The new sentence is [23]: A
The new sentence is [24]: d
The new sentence is [25]:
The new sentence is [26]: t
The new sentence is [27]: H
The new sentence is [28]: e
The new sentence is [29]:
The new sentence is [30]: i
The new sentence is [31]: N
The new sentence is [32]: s
The new sentence is [33]: T
The new sentence is [34]: r
The new sentence is [35]: U
The new sentence is [36]: c
The new sentence is [37]: T
The new sentence is [38]: i
The new sentence is [39]: O
The new sentence is [40]: n
The new sentence is [41]: S
The new sentence is [42]:
REQUIREMENTS:
• No comments are required for this recitation assignment, except for your name at
the top of each program.
• Your program should be named “rec07.c”, without the quotes.
• Your program will be graded based largely on whether it works correctly on the
CSE machines (e.g., cse01, cse02, …, cse06), so you should make sure that
your program compiles and runs on a CSE machine.
• Although this assignment is to be submitted individually (i.e., each student will
submit his/her own source code), you may receive assistance from your TA and
even other classmates. Please remember that you are ultimately responsible for
learning and comprehending this material as the recitation assignments are given
in preparation for the minor assignments, which must be completed individually.
• Please do not share this assignment or your work with other students to allow
them the opportunity to benefit from this exercise and learn this material.
SUBMISSION:
• You will electronically submit your program to the Recitation 7 dropbox in
Canvas by the due date and time. No late recitation assignments will be
accepted.

CODE

#include <stdio.h>
#include <string.h>
#include <pthread.h>

#define SIZE 50

char sentence[2000];
int ind = 0;

char convertUppercase(char lower)
{
//Converts lowercase un uppercase
if ((lower > 96) && (lower < 123))
{
return (lower - 32);
}
else
{
return lower;
}
}

void printChar()
{
//prints the converted sentence
printf("The new sentence is [%d]: \t%c\n", ind, sentence[ind]);
ind++;
}

void *convertMessage(void *ptr)
{
// Function that each threads initiates its execution
if (ind % 2)
{
sentence[ind] = convertUppercase(sentence[ind]);
}
  
printChar();

return 0;
}

int main()
{
int i;
char buffer[SIZE];
char *p;
pthread_t ts[SIZE]; // define up to 50 threads

printf("Please enter a phrase (less than 50 characters): ");

if (fgets(buffer, sizeof(buffer), stdin) != NULL)
{
if ((p = strchr(buffer, '\n')) != NULL)
{
*p = '\0';
}
}

strcpy(sentence, buffer); // copy string to char array
  
printf("The original sentence is: \t %s\n", sentence);

// create one thread for each character on the input word
for (i = 0; i < strlen(buffer) + 1; ++i)
{
pthread_create(&ts[i], NULL, convertMessage, NULL);
}
  
// we wait until all threads finish execution
for (i = 0; i < strlen(buffer); i++)
{
pthread_join(ts[i], NULL);
}
  
printf("\n");
  
return 0;
}

Patient Portal

Kaiser Permanente is an integrated health delivery system that serves more than eight million members in nine states and the District of Columbia. In the late 1990s, Kaiser Permanente introduced an Internet patient portal, Kaiser Permanente Online (also known as KP Online). Members can use KP Online to request appointments, request prescription refills, obtain health care service information, seek clinical advice, and participate in patient forums.

Information Systems Challenge

In August, there was a serious breach in the security of the KP Online pharmacy refill application. Programmers wrote a flawed script that actually concatenated over eight hundred individual e-mail messages containing individually identifiable patient information, instead of separating them as intended. As a result, nineteen members received e-mail messages with private information about multiple other members. Kaiser became aware of the problem when two members notified the organization that they had received the concatenated e-mail messages. Kaiser leadership considered this incident a significant breach of confidentiality and security. The organization immediately took steps to investigate and to offer apologies to those affected.

On the same day the first member notified Kaiser about receiving the problem e-mail, a crisis team was formed. The crisis team began a root cause analysis and a mitigation assessment process. Three days later Kaiser began notifying its members and issued a press release.

The investigation of the cause of the breach uncovered issues at the technical, individual, group, and organizational levels. At the technical level, Kaiser was using new web-based tools, applications, and processes. The pharmacy module had been evaluated in a test environment that was not equivalent to the production environment. At the individual level, two programmers, one from the e-mail group and one from the development group, working together for the first time in a new environment and working under intense pressure to quickly fix a serious problem, failed to adequately test code they produced as a patch for the pharmacy application. Three groups within Kaiser had responsibilities for KP Online: operations, e-mail, and development. Traditionally these groups worked independently and had distinct missions and organizational cultures. The breach revealed the differences in the way groups approached priorities. For example, the development group often let meeting deadlines dictate priorities. At the organizational level, Kaiser IT had a very complex organizational structure, leading to what Collmann and Cooper (2007, p. 239) call “compartmentalized sensemaking.” Each IT group “developed highly localized definitions of a situation, which created the possibility for failure when integrated into a common infrastructure.”

Discussion Prompt Answer the following questions in 2-4 sentences

1. How serious was this e-mail security breach? Why did the Kaiser Permanente leadership react so quickly to mitigate the possible damage done by the breach?
2. Assume that you were appointed as the administrative member of the crisis team created the day the breach was uncovered. After the initial apologies, what recommendations would you make for investigating the root cause(s) of the breach? Outline your suggested investigative steps.
3. How likely do you think future security breaches would be if Kaiser Permanente did not take steps to resolve the underlying group and organizational issues? Why?
4. What role should the administrative leadership of Kaiser Permanente take in ensuring that KP Online is secure? Apart from security and HIPAA training for all personnel, what steps can be taken at the organizational level to improve the security of KP Online?