1.a. A public company is planning to raise 3.2 million dollars by using financial instruments for a seven-month project. Assume you work as a financial advisor, which instrument you would suggest the company to issue or purchase? Is the instrument you suggest a money market instrument or capital market instrument? Explain the reason(s).

b. Discuss at least two reasons (differences) why the instrument you suggested in part (a) may trade at a different yield to a 10-year treasury bond

2.What is the yield curve of interest rate? Briefly discuss two theories that explain the shape of the yield curve.

An office building in your community has fifty offices, each with an average of four desks. Each desk has a desk lamp that can use either a 60 watt incandescent bulb or a 13 watt fluorescent unit. The average use of a lamp is seven hours per day. How much power is required for the building per year for each of the two options? Given your local energy cost, what is the annual cost of each of the two options? If the price of an incandescent bulb is 88 cents and that of a fluorescent unit is 12 dollars, how long will it take to justify the purchase of fluorescent units, assuming everything is newly purchased?

If the annual demand for a specific product is 14,000, the annual holding costs is 0.50 per unit, and the ordering cost per order is is 50, what is the Economic Order Quantity? Round to the nearest whole number (e.g. 234.3845 would be "234").

BONUS: In addition to answering below (for IW credit) on a sheet of graph paper NEATLY graph Ordering Costs, Carrying Costs, and Total Costs for the following problem. Turn in your hand-written graph at the beginning of the first class period of week 14 for a 25% bonus on the week 14 quiz. HINTS: 1) each of your curves should go well above the EOQ; 2) start your axis labels by putting the EOQ in the middle of the x-axis to make your graph fit best. Carrying Costs are linear, so it only takes two points to make that line; OC and TC lines are non-linear, so you'll need to plot several points for each and then draw a "smoothed" line neatly by hand. Show values on the axes that match the problem above.

Your Answer:

FastTrack​ Bikes, Inc. is thinking of developing a new composite road bike. Development will take six years and the cost is $202,800 per year. Once in​ production, the bike is expected to make $291,075 per year for 10 years. The cash inflows begin at the end of year 7.

For parts​ a-c, assume the cost of capital is 10.9%.

For parts​ d-f, assume the cost of capital is 14.1%.

a. Calculate the NPV of this investment opportunity.

If the cost of capital is 10.9%​, the NPV is $ ___ . (Round to the nearest​ dollar.)

Should the company make this​ investment?  ​(Select the best choice​ below.)

A. Accept the investment because the NPV is equal to or less than zero​ ($0).

B. Reject the investment because the NPV is less than zero ($0).

C. Accept the investment because the NPV is equal to or greater than zero ($0).

D. Reject the investment because the NPV is equal to or greater than zero​ ($0).

b. Calculate the IRR and use it to determine the maximum deviation allowable in the cost of capital estimate to leave the decision unchanged.

The IRR is ___ ​%. (Round to two decimal​ places.)

If the cost of capital is 10.9%​, the maximum deviation is ___ ​%. (Round to two decimal​ places.)

c. How long must development last to change the​ decision?

For the decision to​ change, development must last ___ years, or longer. ​ (Round to two decimal​ places.)

d. Calculate the NPV of this investment opportunity. Should the company make the​ investment?

If the cost of capital is 14.1%​, the NPV is $ ___ . (Round to the nearest​ dollar.)

Should the company make the​ investment?  ​(Select the best choice​ below.)

A. Accept the investment because the NPV is equal to or greater than zero ($0)

B. Accept the investment because the NPV is equal to or less than zero​ ($0).

C. Reject the investment because the NPV is less than zero ($0).

D. Reject the investment because the NPV is equal to or greater than zero​ ($0).

e. How much must this cost of capital estimate deviate to change the​ decision?

The maximum deviation is __ ​%. (Round to two decimal​ places.)

f. How long must development last to change the​ decision?

For the decision to​ change, development must last no longer than __ years

As preparation for the final research paper, you formulated a theory about the correlation between measurable independent variables (causes) and one measurable dependent variable (the effect). Be sure to have at least two independent variables for proposed research paper. This rough draft should include the following four items which serve as the foundation for the final research paper after instructor feedback is given.

Submit this Word File in this Canvas section for your Term Project Rough Draft, with Data.

The dependent variable for this study Major League Baseball’s (MLB) Player Salary is determined by independent variables such as player’s batting average (AVG), on-base plus slugging (OPS), and runs batted in (RBI). The most important independent variable in this relationship is OPS because if the player has a high rate of reaching base it contributes to the player’s AVG and RBI.

I plan to utilize the model below:

Player’s annual salary: b0+b1AVG+b2OPS+b3RBI

Modern medical practice tells us not to encourage babies to become too fat. Is there a positive correlation between the weight x of a 1-year old baby and the weight y of the mature adult (30 years old)? A random sample of medical files produced the following information for 14 females.

In this setting we have Σx = 302, Σy = 1771, Σx² = 6690, Σy² = 225,153, and Σxy = 38,391.

What percentage of variation in y is explained by the least-squares model? (Round your answer to one decimal place.)
%

Find or estimate the P-value of the test statistic.

P-value > 0.2500.125 < P-value < 0.250    0.100 < P-value < 0.1250.075 < P-value < 0.1000.050 < P-value < 0.0750.025 < P-value < 0.0500.010 < P-value < 0.0250.005 < P-value < 0.0100.0005 < P-value < 0.005P-value < 0.0005

Conclusion

Reject the null hypothesis. There is sufficient evidence that ρ > 0.Reject the null hypothesis. There is insufficient evidence that ρ > 0.    Fail to reject the null hypothesis. There is sufficient evidence that ρ > 0.Fail to reject the null hypothesis. There is insufficient evidence that ρ > 0.

(e) If a female baby weighs 16 pounds at 1 year, what do you predict she will weigh at 30 years of age? (Round your answer to two decimal places.)
lb

(f) Find S_e. (Round your answer to two decimal places.)
S_e =

(g) Find a 95% confidence interval for weight at age 30 of a female who weighed 16 pounds at 1 year of age. (Round your answers to two decimal places.)

(h) Test the claim that the slope β of the population least-squares line is positive at the 1% level of significance. (Round your test statistic to three decimal places.)

t =

Find or estimate the P-value of the test statistic.

P-value > 0.2500.125 < P-value < 0.250    0.100 < P-value < 0.1250.075 < P-value < 0.1000.050 < P-value < 0.0750.025 < P-value < 0.0500.010 < P-value < 0.0250.005 < P-value < 0.0100.0005 < P-value < 0.005P-value < 0.0005

Conclusion

Reject the null hypothesis. There is sufficient evidence that β > 0.Reject the null hypothesis. There is insufficient evidence that β > 0.    Fail to reject the null hypothesis. There is sufficient evidence that β > 0.Fail to reject the null hypothesis. There is insufficient evidence that β > 0.

(i) Find an 80% confidence interval for β and interpret its meaning. (Round your answers to three decimal places.)

Interpretation

For each pound less a female infant weighs at 1 year, the adult weight increases by an amount that falls outside the confidence interval.For each pound less a female infant weighs at 1 year, the adult weight increases by an amount that falls within the confidence interval.    For each pound more a female infant weighs at 1 year, the adult weight increases by an amount that falls within the confidence interval.For each pound more a female infant weighs at 1 year, the adult weight increases by an amount that falls outside the confidence interval.

USE VISUAL STUDIO/VB

In this assignment, you will create an array of ten elements, one for name, one for hours worked,and the last for hourly rate. The arrays will receive the information from inputs from the screen.For example, you will ask the following three questions:

a) Employee name:

b) Hours worked:

c) Hourly rate:

After you have received all ten records and have inserted them into the array, you will then calculate the hourly rate times the hours worked to get gross pay. You will need to calculate overtime if they work more than 40 hours that week. Overtime will be 1.5 per hour over. These calculations should be done in a subroutine. After each calculation, you will print the employee’s name, the hours worked, the rate per hour and the total pay for the week.

Hints: You will need to create three arrays:

a) Dim name() as Char

b) Dim hoursworked() as Double

c) Dim rate() as Double

You will also need for loops to read the information into the array and to write the information to the screen. For example:

a) For I = 0 To 9

console.write(“Enter employee name: ”)

name(I) = console.readln()

next

You will also use a for loop to write the information in the array back out to the screen.

You will also need to create a subroutine to calculate pay. In order to do this, you will need to pass the arrays through the subroutine call. For example you will have two subroutines. One for employees who work 40 hours or less and one for employees who work more than forty hours:

a) Subroutine1 is called regularpay(ByVal array1() as double, ByVal array2() as double,ByVal I as integer)

* Calculation used for this subroutine is as follows: Total = array1 (I) * array2 (I)

b) Subroutine2 is called overtimepay(ByVal array1() as double, ByVal array2() as double,ByVal I as integer)

* Calculation used for this subroutine is a bit more complex, but is as follows: Total= (40 * array2(I)) + ((array1(I) -40)*array2(I)*1.5)

* Return value back to main program.

The USA has been invaded by a ship of 6 aliens -- well, sort of, they actually just flew here from planet YB54D (known to them simply as "Home") as a part of their search for extraterrestrial life. Our military contained them immediately and we are holding them captive for further study (from this sample of 6 aliens we hope to be able to predict what the rest of their kind -- i.e., their entire population -- will be like). One of the first things we want to assess is their hostility; thus, we send in a psychologist who administers the Buss-Perry Aggression Questionnaire (BPAQ), which rates hostility on a scale of 8 to 40, with higher ratings indicating higher hostility. Their scores are as follows:

Alien 1: 20   Alien 4: 9

Alien 2: 17 Alien 5: 13  

Alien 3: 31 Alien 4: 38  

What would the BPAQ score be of an alien who is 1.5 standard deviations below the mean (round to two decimal places)?

What would the BPAQ score be of an alien who is 1 standard deviation above the mean (round to two decimals)?

1. Embryonic stem cells:

a. Are undifferentiated  

b. Can divide indefinitely  

c. all of the above are true of embryonic stem cells

________________________________________________________________________________

1. Which of the following is not a transgenic organism?  

a. Mice that appear fluorescent green because they produce the gfp protein

b. Plants expressing a new gene to give their fruit a longer shelf life

c. Plants that were bred to have red flower(flowers are naturally red or white)

________________________________________________________________________________

1.Recombinant dna therapy produce a ___product that used by the patient

a. Protein

b. Rna

c. Stem cell

________________________________________________________________________________

1. Embryonic stem cell:

a. Are called hematopoietic stem cells

b. Can become any type of cell in the organism

c. Are unable to divide indefintely  

___________________________________________________________________________________________________________________

1. Gene therapy involves giving a patient _____ to produce protein that the patient makes abnormally:

a. RNA

b. Cells

c. Genes

___________________________________________________________________________________________________________________________

1. Therapeutic cloning involves giving a patient _____to repair damaged tissue:

a. Cells

b. Rna

c. Genes

_________________________________________________________________________________________________

3. Which of the following are uses of recombinant DNA?

a. Produce proteins to be used as drugs

b. Production of transgenic animals

c. cloning a gene

d. Giving plants new physical characteristics

e. All above

_________________________________________________________________

1. List two benefits and two problems or concerns with genetically modified crops

__________________________________________________________________________________________

44. List two types of genetically modified organisms (GMOs)

a.What new characteristic does each GMO have?

b. How does this new characteristic benefit us?

__________________________________________________________

*Match the following techniques to their use:  

1. A patient is given a replacement protein for a protein he or she does not normally produce.  

2. A blood sample is found at a crime scene and the suspects need to be identified

3. A patient is given a normal gene that will be expressed to produce protein he or she does not normally produce.

4. A patient is given genetically identical embryonic stem cells to replace damaged tissue

*For example if number 1 goes with letter A than thats the answer*

a. Gene therapy

b. Therapeutic cloning

c. Recombinant dna technology

d. Pharming

e. Dna profiling using pcr

Examine the financial statements below. Use this information to answer questions 1-7. Note: All figures are in millions of dollars.

The XXX Corporation: Balance Sheet, 2018

Cash & marketable securities                $200                Accounts payable                        100

Accounts receivable                              150                Notes payable                         100

Inventories                                           250                Total current liabilities               $200

    Total current assets                              $600              Long-term debt                           400

                                                                                    Total liabilities                          $600

Fixed assets                                          900

                                                                                    Common stock                       50

                                                                                    Retained earnings                     850

                                                                                        Total equity                          $900

Total assets                                            $1,500 Total liabilities and equity                     $1,500

The XXX Corporation: Income Statement, 2018

Sales revenue                                       $1,200

Cost of goods sold                                     700

Selling expenses                                        200

Depreciation                                            150

Earnings before interest and taxes             $150

Interest paid                                               50

Taxable income                                       $100

Taxes (40%)                                                40

Net income                                                  $60

1. The quick ratio is:

0.57     B. 1.75     C. 3.0    D. 1.25     E. 0.80

2. The equity multiplier is:

1.67    B. 0.60     C. 0.40     D. 1.50     E. 0.67

3. The net profit margin is:

A. 0.05     B. 0.15     C. 0.60     D. 0.50     E. 0.12

4. The operating cash flow for 2018 was ____ million.

A. +$60     B. -$60     C. +$260     D. +$160     E. +$100

5. The current market price of XXX is $30 per share.   The price earnings ratio is 25. The number of shares outstanding is _______ million.

1. 10     B. 20     C. 30     D. 40     E. 50

6. The total asset turnover ratio is:

1. 0.8     B. 1.25     C. 2.0     D. 4.0     E. 6.0

7. If XXX were to acquire $50 million in inventory with a $50 million increase in accounts payable (other things equal), the current ratio would _____, and the quick ratio would _____.

A. increase, increase

B. not change, decrease

C. not change, not change    

D. decrease, increase

E.   decrease, decrease