Problem 10-07 (Algorithmic)

Aggie Power Generation supplies electrical power to residential customers for many U.S. cities. Its main power generation plants are located in Los Angeles, Tulsa, and Seattle. The following table shows Aggie Power Generation's major residential markets, the annual demand in each market (in megawatts or MWs), and the cost to supply electricity to each market from each power generation plant (prices are in $/MW).

1. If there are no restrictions on the amount of power that can be supplied by any of the power plants, what is the optimal solution to this problem? Which cities should be supplied by which power plants? What is the total annual power distribution cost for this solution? If required, round your answers to two decimal places.
   
   The optimal solution is to produce  MWs in Los Angeles,  MWs in Tulsa, and  MWs in Seattle. The total distribution cost of this solution is $  .
   
2. If at most 3800 MWs of power can be supplied by any one of the power plants, what is the optimal solution? What is the annual increase in power distribution cost that results from adding these constraints to the original formulation? If required, round your answers to two decimal places.
   
   What is the optimal solution to produce ____ MWs in Los Angeles?
3. What is the optimal solution to produce ____ MWs in Tulsa?
4. What is the optimal solution to produce ____ MWs in Seattle?
5. What is the total distribution cost of this solution?
6. What is the increase in cost associated with the additional constraints?

42. Besides just offering low prices, how can could a firm make their product or service more inelastic?

A. Offering WOW customer service and studying new ways to generate repeat business
   B. Improving the quality of the product or service
   C. Offering loyal customers some type of reward like free air and hotel travel to Las Vegas   
   D. All of the above

43. Which item below represents a non-price marketing strategy?   

Sending thank you cards to your customers thanking them for their loyalty
B. Improving the customer service
C. Offering a one-year money back guarantee   
D. All of the above

44. Why do local governments like to tax inelastic goods such as liquor and cigarettes?

A. Inelastic goods tend to be price insensitive.
B. Consumers can’t easily stop using inelastic goods
C. The government has an easier time collecting more tax revenue
D. A, B and C are all correct responses.

45. A product or service will become more elastic over time because:

A. This is a false statement. Over time products become more inelastic
B. With more time consumers can look for substitute goods or services
C. The inflection point of the demand curve will point up
D. All of the statement above are false
46. When Coca-Cola put real cocaine in their drink in the early 1900s, then what did they create?

A. A more inelastic demand curve
B. A more elastic demand curve
C. A new equilibrium point on the total revenue curve
D. A new equilibrium point on the Production Possibilities Curve
49. The source of all economic problems comes from what?

   A. Greedy people
   B. Scarcity
   C. The fact that people don’t have enough money to buy what they need
   D. The fact that government charges too much in taxes

1. Types of groups and teams (Connect, Perform)

Use your knowledge of groups and teams to answer the following questions.

Please select the answer that best completes the sentence.

In business organizations, most employees work in --------------- .

For each example presented in the following table, identify the concept being illustrated.

Match each description with the corresponding job design term that best describes it.

For this activity, I want you to GO OUTSIDE. You don't have to go far. Find a city park. Find a patch of grass. Find your backyard. Find your local playground. But find somewhere where maybe there is some vegetation and some nonhuman animals.

Step 1. Look around you. Make careful observations. What do you see? What kinds of phenomena define the landscape that you see before you? What kinds of organisms travel along with it? How does water move through it (think precipitation, how does water get into the ground? Where is the closest water body where a drop of water might end up?) What kinds of things can't you see that you might be curious about? Don't limit yourself or your thinking. Stretch your mind. Include the land, the sky, the soil, etc. Observe the big picture as well as the tiny picture.

Below, briefly describe the environment around you. Remember the environment includes the atmosphere, biosphere, lithosphere (the ground) and the hydrosphere (lakes, oceans, rain):

Step 2. Now write your observations in the form of scientific questions. Scientific questions are those that can be addressed using observation and hypothesis testing. Write at least ten scientific questions. Think big, think small, and everywhere in between.

Step 3. Pick the question that you think would be the easiest to address using the scientific method and try to form two different possible answers. Frame them in the form of scientific hypotheses: your best guess given your current knowledge of the natural world.

Question picked:

Hypothesis 1:

Hypothesis 2:

Step 4. Now, as best you can, write a paragraph describing an experiment or study you could run to address your question. In your study, tell me what the independent and dependent variables are. What sort of things should be controlled for?

Jenny Jinglebell has always wished to own her own French macaroons shop. Ever since she tried

her first macaroon, she thought it would be a brilliant idea to have her own shop where she can

sell a multitude of flavors and colors of French macaroons. She purchased a premium site for

the macaroons shop, right across the street from Campus Martius Park in Downtown Detroit.

After extensive research, Jenny decided that it is best for her to open a franchise at first. The

franchise that best fit Jenny’s criteria is François Patisserie. A François Patisserie franchise costs

$30,000, an amount that is amortized over 15 years. As a franchisee, Jenny needs to adhere to

the company’s building specifications. The building would cost an estimated $450,000 and

would result in a $50,000 salvage value at the end of its 15-year life. The equipment needed is

sold as a package by the corporate office at a cost of $200,000, will have a salvage value of

$10,000 at the end of its 5-year life, equipment and must be replaced every 5 years.

Jenny estimates the annual revenue from a François Patisserie franchise at $950,000. Food

costs typically run 36% of revenue. Annual operating expenses, not including depreciation, total

$425,000. For financial reporting purposes, Jenny will use straight-line depreciation and

amortization. Based on past experience, she uses a 16% discount rate.

*Please no handwriting*

Required:

a.

Calculate the shop’s net present value over the franchise’s 15-year life.

b.

Calculate the restaurant’s payback period.

c.

Calculate the restaurant’s simple rate of return.

d.

Should Jenny open a

François Patisserie? Why or why not? Note: for comparison

purposes, you should know that

using Excel or a similar spreadsheet application Jenny

calculates her IRR to be 22.64%.

e.

What potential shortcomings do you see in Jenny’s estimates? How do you recommend she

adjusts her analysis to address those shortcomings?

Operating Section of Statement of Cash Flows (Indirect Method)
Assume following are the income statement and balance sheet for Nike for the year ended May 31, 2012, and a forecasted income statement and balance sheet for 2013.

* Gross property, plant and equipment and accumulated depreciation are inserted in the balance sheet; both are taken from footnotes to the financial statements.

Prepare the net cash flows from operating activities section of a forecasted statement of cash flows for 2013 using the indirect method. Treat current and noncurrent deferred tax assets and liabilities as operating. Operating expenses (such as Cost of sales and Selling and administrative expense) for 2013 include estimated depreciation expense of $339 million and amortization expense of $39 million. Estimated 2013 retained earnings includes dividends of $467 million.

Enter answers using one decimal place as shown in the above financial statements.

Use negative signs with answers to show a decrease in cash.

Question 11

A particular fruit's weights are normally distributed, with a mean of 701 grams and a standard deviation of 7 grams.
If you pick one fruit at random, what is the probability that it will weigh between 705 grams and 714 grams.

Question 12

A particular fruit's weights are normally distributed, with a mean of 626 grams and a standard deviation of 20 grams.
The heaviest 15% of fruits weigh more than how many grams?
Give your answer to the nearest gram.

Question 13

A variable xx is normally distributed with mean 20 and standard deviation 8.
Round your answers to the nearest hundredth as needed.

a) Determine the zz-score for x=25x=25.

z=

b) Determine the zz-score for x=15x=15.

z=

c) What value of xx has a zz-score of 0.880.88?

x=

d) What value of xx has a zz-score of −0.3-0.3?

x=

e) What value of xx has a zz-score of 00?

x=

Question 14

The annual rainfall in a certain region is approximately normally distributed with mean 42.7 inches and standard deviation 5.5 inches. Round answers to the nearest tenth of a percent.

a) What percentage of years will have an annual rainfall of less than 44 inches? %
b) What percentage of years will have an annual rainfall of more than 39 inches? %
c) What percentage of years will have an annual rainfall of between 37 inches and 43 inches? %

Question 15

A variable is normally distributed with mean 17 and standard deviation 3. Use your graphing calculator to find each of the following areas. Write your answers in decimal form. Round to the nearest thousandth as needed.

a) Find the area to the left of 19.
b) Find the area to the left of 11.
c) Find the area to the right of 16.
d) Find the area to the right of 20.
e) Find the area between 11 and 27.

Question 16

z = 3 is what percentile?

percentile =

State your answer to the nearest tenth of a percent.

Question 17

Noelle and Ashley began arguing about who did better on their tests, but they couldn't decide who did better given that they took different tests. Noelle took a test in Science and earned a 79.4, and Ashley took a test in English and earned a 67.5. Use the fact that all the students' test grades in the Science class had a mean of 75.1 and a standard deviation of 11.5, and all the students' test grades in English had a mean of 66.9 and a standard deviation of 10.6 to answer the following questions.

a) Calculate the z-score for Noelle's test grade.
z=


b) Calculate the z-score for Ashley's test grade.
z=


c) Which person did relatively better?

• Noelle
• Ashley
• They did equally well.

Question 18

A population of values has an unknown distribution with μ=93.3μ=93.3 and σ=65.8σ=65.8. You intend to draw a random sample of size n=39n=39.

What is the mean of the distribution of sample means?
μx=(Please enter an exact answer.)

What is the standard deviation of the distribution of sample means?
σx=(Please report your answer accurate to 2 decimal places.)

Question 19

A population of values has a normal distribution with μ=271.8μ=271.8 and σ=4.6σ=4.6. You intend to draw a random sample of size n=10n=10.
Round zz to two (2) decimal places and final answer to 4 decimal places.

Find the probability that a single randomly selected value is less than 275.
P(x<275)=P(x<275)=

Find the probability that a sample of size n=10n=10 is randomly selected with a mean less than 275.
P(¯x<275)=P(x¯<275)=

Create a Matlab program to load in the attached file File_Q5_Use.csv. You will first need to click on the link to open it, then save it as a .csv file in the directory you are using in your Matlab programs before you can load it in to Matlab.

It has 2 columns, the first column is the x values, the second column is the y values. Set Figure (1). Plot the points using red stars and a blue line with a title of 'Original Points' and get a general idea of what the degree of the polynomial is. It might be easier to split the matrix into 2 vectors x_vec and y_vec.

From the graph - where approximately are the real zeros of this polynomial? Does this polynomial appear to be ODD or EVEN. ? Answer the questions in the %RESULTS.  

After this plot, set Figure (2) to get a different Figure window open but so that the old figure window does not close.

Next, use POLYFIT to find the polynomial that fits the data [Hint: it is less than degree 8 and more than degree 1]. Use a FOR loop to cycle through the from n = 2:1:7 and do the following on each loop:

a. Find using POLYFIT, the polynomial for each degree of n. Do NOT suppress the values of the coefficients returned by each pass through the FOR loop.  

b. Using SUBPLOT where n is the location, plot on the same graph, the original points using red stars and the polynomial created by POLYFIT using a range of [-3:0.1:3] using a blue line. Make a title for each subgraph showing the degree of the polynomial fitted.  

Based upon the 6 graphs, which do you think is the correct degree of the polynomial? Answer in %RESULTS.

The basis for this polynomial was: 2x^5 - 3x^4 + 2x^3 -3x^2 - 144x + 216 = 0. Create a Figure 3 which plots the original points in red stars and points from this polynomial in a blue line for a range of [-3 : 0.1 : 3 ].  

Looking at the graphs, how many data points appear to be outliers, i.e. they probably should not be used in the graph? Answer in %RESULTS.

Looking at the graphs, the plots for degree 5, 6, 7 all appear to be almost the same. Switch to full screen to examine Figure 2. Remembering that the line of best fit passes through as many points as possible and minimizes the distances between the line and the points, can you determine by eye which degree of 5, 6, or 7 would be best?

Save as LastName_FirstName_Quiz_5_6_Q5

File to open. Hint: Make sure this file is in the same directory where you are saving LastName_FirstName_Quiz_5_6_Q5.

File_Q5_Use.csv

this is the file content

Is the percentage average room rate increase from May to August affected by the number of stars of a hotel? In order to answer this question you are asked to use one way analysis of variance. 1.1 Compute the percentage Average Room Rate Increase from May to August for each hotel in the sample, rounding up to the second decimal. Call this variable PCT_ARR_INCREASE. 1.2 State the null and alternative hypotheses.

We have 3 columns ARR_MAY(AVERAGE ROOM RATE MAY) ,ARR_AUG(AVERAGE ROOM RATE AUG) AND STARS

STARS   ARR_MAY   ARR_AUG
5   95   160
5   94   173
5   81   174
5   131   225
5   90   195
5   71   136
5   85   114
4   70   159
4   64   109
4   68   148
4   64   132
4   59   128
4   25   63
3   76   130
3   40   60
3   60   70
3   51   65
3   65   90
2   45   55
1   35   90
4   22   51
4   70   100
3   60   120
3   40   60
3   48   55
2   52   60
2   53   104
2   80   110
2   40   50
1   59   128
4   90   105
3   94   104
2   29   53
2   26   44
1   42   54
1   30   35
2   47   50
1   31   49
1   35   45
1   40   55
1   40   55
1   35   40
3   40   55
4   57   97
2   35   40
5   113   235
5   61   132
5   112   240
5   100   130
4   87   152
4   112   211
4   95   160
4   47   102
4   77   178
4   48   91
3   60   104
3   25   33
5   68   140
4   55   75
3   38   75
3   45   70
3   45   90
5   100   180
4   180   250
3   38   84
3   99   218
3   45   95
2   28   40
2   30   55
1   16   35
3   40   70
2   60   100
1   16   20
2   22   41
2   55   100
1   40   100
1   80   120
1   80   120
1   18   35
3   80   100
2   30   45
1   40   65
1   30   50
1   25   70
1   30   35
4   215   265
4   133   218
2   35   95
2   100   150
2   70   100
5   60   90
5   119   211
5   93   162
5   81   138
5   44   128
5   100   187
5   98   183
5   100   150
5   102   211
5   103   160
4   40   56
4   69   123
4   112   213
4   80   124
3   53   91
4   73   134
4   94   120
4   70   100
3   40   75
3   50   90
3   70   120
3   80   95
3   85   120
3   50   80
3   30   68
3   30   100
2   32   55
2   50   90
2   70   120
2   30   73
2   94   120
4   100   180
2   70   120
2   19   45
2   35   70
2   50   80
1   25   45
1   30   50
2   55   80
3   95   120
1   25   31
1   16   40
1   16   40
1   19   23
1   30   40

PLEASE ANSWER QUESTION 1.1 AND 1.2 THANKS IN ADVANCE

Research the different nursing care facilities in your community. Discuss the pros and cons of the facility in terms of what they offer. Provide a brief report with the following questions:

• What is the basic rate for room, board, and services (it’s a good idea to get this information in writing)?
• What services are covered by this rate?
• Are there other services available and how much do they cost?
• What are the payment policies?
• What is the refund policy if someone leaves before the end of a month?
• What is the policy for rate increases?
• How long has the current administration been in place?
• Is there enough staff available to meet my needs?
• Is there frequent staff turnover?
• Is some level of nursing care provided (RN, LPN, Nursing
• Assistant)? How often is it available?
• Who will help me with medications if I need it (e.g. reminding me to take them, opening the bottle)?
• Can someone administer medications to me if I can’t take them myself (e.g. applying medication to my skin, putting a pill in my mouth)?
• Can someone help me if I need special care (e.g. caring for a wound)?
• What happens if I have an emergency? Can I get help right away?
• Are staffs suitably dressed, personable, and outgoing?
• Do the staff members treat residents with respect and dignity?
• Do staff members treat each other in a professional manner?
• What language does most of the staff speak?
• What type of help with personal care is available (e.g. bathing, dressing)?
• How flexible is the schedule for receiving help with personal care?
• What, if any, transportation services are available? (e.g. medical appointments, shopping, religious services).
• Will staff arrange for activities (e.g. hair appointment, concert)?
• How does the home support and accommodate personal hobbies?
• Are there regularly planned activities that I will enjoy?
• Will I be able to attend religious services of my choice?
• Can I bring my pet with me when I move?
• When can I have visitors?
• Are there shops, a library, a park, or other amenities within walking distance?
• Is the home close to activities I enjoy?
• Is the home on a bus line?
• Is there an outside area to sit, walk, or garden?
• Are there shops, a library, a park, or other amenities within walking distance?
• Is the home close to activities I enjoy?
• Is the home on a bus line?
• Is there an outside area to sit, walk, or garden?
• Is the floor plan easy to follow?
• Are doorways, hallways, and rooms accommodating to wheelchairs and walkers?
• Are there hand rails to help with walking and in the bathroom?
• Are cupboards and shelves easy to reach?
• Are there nonskid floors and firm carpets to assist walking?
• Does the home have good natural and artificial lighting?
• Is the home clean, free of odors, and well heated and cooled?
• Does the home meet my standards of cleanliness?
• Is the home free from obvious environmental hazards?
• Are the home’s rooms clean, safe, and adequate for my needs?
• Will I have free use of common areas, such as the kitchen, activity rooms, toilet facilities, dining room, or grounds?
• Can I smoke in my room or in common areas?
• What furniture is provided?
• Can I bring along some of my furniture or other personal items?
• Can I adjust the temperature of my room?
• Is there a sit-down shower?
• Can I have my own personal phone line or internet connection?
• Are emergency procedures clearly posted?
• Am I able to lock my room and/or are there locked areas in each room for personal valuables?
• Is the food pleasing, nutritious, adequate, and attractively served?
• What if I don’t like what is being served?
• Can I cook in my room?
• Are snacks available?
• Are there specific meal times or are they flexible?
• Is there a refrigerator available to store my personal food?
• Will the home meet my dietary or cultural food preferences?
• Can I request special foods?
• Do other residents socialize with each other and appear happy and comfortable?
• Do residents speak favorably of the facility?
• Do the residents look like people I want to live with?
• How are room changes and roommate concerns addressed?
• Is there a resident group that meets?
• Do any of the other residents have a history of violent or other problem behaviors? How are these situations handled by staff?