57) The advantages of solar or wind energy are (as opposed to fossil fuels):

A)they are non polluting   B)the source of the energy is free

C)they are found in nearly every country to some degree   D)localized production is possible

E)all of the above

58) The Endangered Species Act of 1973 authorized the United States Federal Government to protect organisms listed as endangered (in danger of extinction) as well as protecting the habitats of those listed organisms.

A)True             B)False

59)The idea that one's lifestyle has an impact that is “measurable” and that that impact may be larger or smaller (as compared to other people in the world) due to one's reliance on fossil fuels is termed:

A)ecological footprint    B)ecological services  C)ecotourism  D)eutrophication

E)external costs/economic externalities

60)The doubling time of a population refers to what (for example the doubling time for Sweden is ~ 210 years, the doubling time for Nicaragua in Central America is ~25 years)?

A)the time it takes for the entire population of  a nation to double in size

B)the time it takes for the female portion(the ones that produce the offspring) of the population to double in size

C)the time it takes for the segment of the population that is able to reproduce (male and female both at reproductive age) to double in size

D)none of the above, doubling time is not able to be determined for individual countries only globally

Costa Cruise Lines (CCL) (a U.S. company based in Miami, FL) purchased a ship from Komatsu Heavy Equipment for ¥700 million – payable in 1 year.  The current spot rate is ¥110/$ and the one-year forward rate is ¥108/$.  

For borrowing (or depositing), the annual interest rate in Japan is 6%.  In the United States, the rate is 2%.

Yen call and put options, with a 1-year expiration date and an exercise price of $.009 are available. The price (premium) of the call option is $.002 per yen.  The price (premium) of the put option is $.001 per yen.

* Assume that one year from today, the spot rate for yen is either ¥130/$ or ¥105/$.  If CCL decides to hedge with options, should they use a call or a put?  If CCL follows the appropriate options hedging strategy, what is CCL’s net cost (in $US) to purchase the ship if the spot rate is ¥130/$?  What is the net cost if the spot rate is ¥105/$?  (Be sure to include the cost of buying the option in your answer.)

Recommended strategy (check one box):  Call options….□                   Put options….□

Net Cost if ¥130/$ = $____________________    Net cost if ¥105/$  = $____________________

* If CCL decides to hedge with a forward contract, what will the ship cost (in $US)?

* If CCL decides to use a money market hedge, what will the ship cost (in $US)?

Question 4 (1 point)

Historically, 85.25% of packages delivered by UPS are on time. Suppose 136 deliveries are randomly selected for quality control. What is the probability that between 79.65% and 85.29% of the deliveries were on time?

Question 4 options:

Question 5 (1 point)

Approximately 41.7% of all businesses are owned by women. If you take a sample of 167 businesses in Michigan, what is the probability that less than 38.81% of them would be owned by women?

Question 5 options:

Question 6 (1 point)

The rainfall in Aberdeen Reservoir, Washington (the wettest place in the contiguous United States) averages 130.78 inches per year with a standard deviation of 6.568 inches. A random sample of 37 is taken from the population. What is the distribution of the sample mean?

Question 6 options:

11. You are the auditor of Crestview Co and have commenced planning for the2019 audit engagement. as part of your planning activities, you have asked the CEO about important events during the year that might have an impact on the audit. In response, he has asked you to 'take it easy' on the Chief Financial Officer because his son is seriously ill. Apparently, the child must travel regularly to the United States for expensive medical treatments.

What fraud risk factors are present in this situation?

Select one:

1. Incentive and opportunity
2. Incentive, opportunity and rationalisation
3. Incentive and rationalisation
4. Opportunity and rationalisation

12. An auditor leaves an audit firm and takes the role of the CFO of an audit client two months after completing the audit. This would involve some of the following threats. Select which three options are correct.

Select one or more:

1. Familiarity
2. Self-review
3. Self-interest
4. Intimidation

14. Which of the following actions would be considered as self-interest threats?

Select which two options are correct?

Select one or more:

1. An auditor has potential employment with an assurance client.
2. An auditor acts as an advocate on behalf of an assurance client.
3. A member of the assurance team is a director of the client.
4. One client provides a high percentage of total audit fees.

Dell Computers would like to borrow pounds, and Virgin Airlines wants to borrow dollars. Because Dell is better known in the United States, it can borrow on its own dollars at 7 percent and pounds at 9 percent, whereas Virgin can on its own borrow dollars at 8 percent and pounds at 8.5%

a. Suppose Dell wants to borrow £10 million for two years, Virgin wants to borrow $16 million for two years, and the current ($/£) exchange rate is $1.60. What swap transaction would accomplish this objective? Assume the counterparties would exchange principal and interest payments with no rate adjustments.

b. What savings are realized by Dell and Virgin?

c. Suppose, in fact, that Dell can borrow dollars at 7 percent and pounds at 9 percent, whereas Virgin can borrow dollars at 8.75 percent and pounds at 9.5 percent. What range of interest rates would make this swap attractive to both parties?

d. Based on the scenario in part (c), suppose Dell borrows dollars at 7 percent and Virgin borrows pounds at 9.5 percent. If the parties swap their current proceeds, with Dell paying 8.75 percent to Virgin for pounds and Virgin paying 7.75 percent to Dell for dollars, what are the cost savings to each party?

Week 4 Project

Instructions

Before beginning work on this assignment, please review the expanded grading rubric for specific instructions relating to content and formatting. Long-Term Care Reimbursement The federal and state governments are the largest payers of health care services in the United States. The largest federal programs are the Medicare and Medicaid services.

Using the information from the textbooks, lectures, and Internet resources, provide a brief summary of Medicare and Medicaid services in a Microsoft Word document.

To get up-to-date information on the programs, review the information shared on the following websites:

The Centers for Medicare and Medicaid Services

The Social Security Administration In your summary, include the following points:

- An overview of the different Medicare and Medicaid services

- The population covered under Medicare and Medicaid services

- The services of long-term care covered under Medicare and Medicaid,

- including the restrictions placed on them

To support your work, use your course and textbook readings and also use the South University Online Library.

As in all assignments, cite your sources in your work and provide references for the citations in APA format. Submission Details: Your assignment should be addressed in a 2- to 3-page document.

Submit your document to the Submissions Area by the due date assigned.

Due Date Jun 6, 2018 11:59 PM

1. Dell Computers would like to borrow pounds, and Virgin Airlines wants to borrow dollars. Because Dell is better known in the United States, it can borrow on its own dollars at 7 percent and pounds at 9 percent, whereas Virgin can on its own borrow dollars at 8 percent and pounds at 8.5%

a. Suppose Dell wants to borrow £10 million for two years, Virgin wants to borrow $16 million for two years, and the current ($/£) exchange rate is $1.60. What swap transaction would accomplish this objective? Assume the counterparties would exchange principal and interest payments with no rate adjustments.

b. What savings are realized by Dell and Virgin?

c. Suppose, in fact, that Dell can borrow dollars at 7 percent and pounds at 9 percent, whereas Virgin can borrow dollars at 8.75 percent and pounds at 9.5 percent. What range of interest rates would make this swap attractive to both parties?

d. Based on the scenario in part (c), suppose Dell borrows dollars at 7 percent and Virgin borrows pounds at 9.5 percent. If the parties swap their current proceeds, with Dell paying 8.75 percent to Virgin for pounds and Virgin paying 7.75 percent to Dell for dollars, what are the cost savings to each party?

Q41H. Which of the following is not true about the Federal Reserve System?

a. The Federal Reserve System consists of 12 regional Federal Reserve Banks.

b. The Fed System is a department in the Executive Branch of the U.S. government and the Fed chairman reports directly to the President.

c. The Federal Reserve conducts U.S. monetary policy, supervises and regulates banking in the United States, maintains stability in the U.S. financial system, and provides financial services to the government and public.

d. All the above.

Q41I. The Federal Open Market Committee:

a. includes the seven Federal Reserve governors.

b. includes all the presidents of the regional Federal Reserve banks, but only 5 presidents vote at any one time.

c. includes Congressmen members of the Budget and Management committee

d. both a and b.

e. B and C

f. None of the above

Q41J. Which of the following is not an objective of the Federal Reserve?

a. economic growth

b. low unemployment

c. price stability

d. high long-term interest rates

Q41K. Which of the following instruments of Fed monetary policy involves the buying or selling of U.S. government securities in the open market to influence the level of bank reserves?

a. open-market operations

b. discount-rate policy

c. reserve-requirements policy

d. none of the above

"You play, we pay?" A Matter of Personal Choice

Utah and Nevada, which lie side by side in the west, are similar in climate, levels of income, level of health care delivery, and many other aspects. Yet Utah residents are reported to be among the healthiest in the United States and Nevada residents among the least healthy. At least on the surface, this difference appears to result as a function of a lifestyle choice. Utah is inhabited primarily by the Mormons, who, by religious doctrine, avoid alcohol, Cigarette, and illicit drug use and often live in large, stable families. Alcohol and cigarette consumption are higher in Nevada, and family structure there appears less stable.

Questions

1. In regard to health care benefits, should individuals be made responsible for lifestyle choices? For example, would you favor a risk analysis component for health insurance deductibles? A person who is a heavy smoker or drinker or a divorced adult would pay higher premiums or deductibles in the same way that those with poor driving records pay higher auto insurance rates.
2. What prohibitions would you consider putting in place to curb alcohol, cigarettes, and drug use?
3. What incentives might be considered to promote stable families, as this seems to have a positive impact on health care costs?

The index of industrial production ( t IP ) is a monthly time series that measures the quantity of industrial commodities produced in a given month. Suppose that an analyst has data on this index for the United States. The analyst begins by computing Y subscript t = 1200 X ln IP subscript t / IP subscript t-1 , which gives the monthly percentage change in IP measured in percentage points at an annual rate. The analyst estimates an AR(4) model for industrial production growth and then augments that model with four lagged values of ?Rt , where Rt is the interest rate on three-month U.S. Treasury bills (measured in percentage points at an annual rate). All regressions are estimated over the sample period 1960:1 through 2000:12 (that is, January 1960 through December 2000). (a) The Granger causality F statistic on the four lags of ?Rt is 2.35. Do interest rates help to predict IP growth? Explain your answer. 2 (b) The analyst also regresses ?Rt on a constant, four lags of ?Rt , and four lags of IP growth. The resulting Granger causality F statistic on the four lags of IP growth is 2.87. Does IP growth help to predict interest rates? Explain your answer.