An insurance agent says the standard deviation of the total hospital charges for patients involved in a crash in which the vehicle struck a construction barricade is less than $4000. A random sample of 28 total hospital charges for patients involved in this type of crash has a standard deviation of $4900. At alpha equals 0.10α=0.10 can you support the agent's claim? Use the P-value method to test the claim.
In: Statistics and Probability
You run a construction firm. You have just won a contract to build a government office complex. Building it will require an investment of $10.4 million today and $5.3 million in one year. The government will pay you $20.3 million in one year upon the building's completion. Suppose the interest rate is 10.2%.
a. What is the NPV of this opportunity?
b. How can your firm turn this NPV into cash today?
In: Finance
Which alternatives are NOT acceptable.
A manager has up to $190,000 available to invest in new construction equipment for the company. The manager must purchase a new dump truck and does not have a need for a second dump truck. The dumping trailer can only be purchased along with a dump truck. From the list of possible equipment in Table 17-11, identify all of the mutually exclusive alternatives and identify which of the alternatives are not acceptable.

In: Accounting
The company paid $3,700 on January 1 of the current year to have advertisements placed in the local monthly neighborhood paper. The ads were to be run from January through June. The bookkeeper debited the full amount to Prepaid Advertising on January 1. 1.Record the adjusting entry for advertisements at March 31 of the current year. 2.Record the adjusting entry for the use of construction equipment during of the current year.
In: Accounting
You run a construction firm. You have just won a contract to build a government office complex. Building it will require an investment of $ 10.0 million today and $ 5.0 million in one year. The government will pay you $ 20.0 million in one year upon the? building's completion. Suppose the interest rate is 10.0 %.
a. What is the NPV of this? opportunity?
b. How can your firm turn this NPV into cash? today?
In: Finance
During 2020, Vaughn Manufacturing incurred weighted-average accumulated expenditures of $1730000 during construction of assets that qualified for capitalization of interest. The only debt outstanding during 2020 was a $2000000, 12%, 5-year note payable dated January 1, 2020.
What is the amount of interest that should be capitalized by Vaughn during 2020? Question 10 options: a) $240,000 b) $207,600 c) $0 d) $32,400
In: Accounting
What would you expect to be the effect of a set of regulations limiting hospital revenues to an increase of 1 percent a year on the following?
Number of nurses hired
Number of doctors
Quality of care
Advertising budgets
Emergency room staffing
New construction
Depreciation
Would there be a difference if the regulation applied to just one hospital rather than to all hospitals? Would there be a difference between short-run and long-run effects?
In: Economics
Environmental Economics Question:
A city is thinking about building a new expressway that will go through downtown. Construction occurs in periods 0, 1 and 2. The costs for each of these periods is $100. The benefits accrue in periods 2, 3 and 4, and equal $150. The discount rate is equal to 50%.
Calculate the present value of net benefits. Should the city build the freeway? And recommend a policy given the numerical value.
In: Economics
In: Civil Engineering
You run a construction firm. You have just won a contract to build a government office complex. Building it will require an investment of $ 9.9 million today and $ 5.1 million in one year. The government will pay you $ 20.9 million in one year upon the building's completion. Suppose the interest rate is 10.1 %. a. What is the NPV of this opportunity? b. How can your firm turn this NPV into cash today?
In: Finance