Questions
It is known that 1 year old dogs have a mean gain in weight of 1.0...

It is known that 1 year old dogs have a mean gain in weight of 1.0 pound per month with a standard deviation of 0.40 pound. A special diet supplement, Helthpup, is given to a rando sample of 36, 1-year-old dogs for a month; their mean gain in weight is 2.15 pounds. At the 0.01 level of significance, does helthpup affect weight gain in 1-year-old dogs? (a) What is the research problem? (b) State null and alternative hypothesis (c) Is this one or two tail test? why? (d) what is the critical value? (e) what is the decision rule? (f) calculate the statistic (g) what is your decision regarding null hypothesis and why? (h)interpretation of the results?

In: Math

A professional football team is preparing its budget for the next year. One component of the...

A professional football team is preparing its budget for the next year. One component of the budget is the revenue that they can expect from ticket sales. The home venue, Dylan Stadium, has five different seating zones with different prices. Key information is given below. The demands are all assumed to be normally distributed. Seating Zone Seats Available Ticket Price Mean Demand Standard Deviation First Level Sideline 15,000 $1000.00 14,500 750 Second Level 5,000 $90.00 4,750 500 First Level End Zone 10,000 $80.00 9,000 1,250 Third Level Sideline 21,000 $70.00 17,000 2,500 Third Level End Zone 14,000 $60.00 8,000 3,000 Determine the distribution of total revenue under these assumptions using 250 trials. Summarize the statistical results. The question is from following book and from Chapter 12 question 17 Textbook: James Evans, Business Analytics, 3nd edition, 2019, Pearson Education, Pearson. ISBN: 13:978-0-13-523167-8

In: Math

Minden Company introduced a new product last year for which it is trying to find an...

Minden Company introduced a new product last year for which it is trying to find an optimal selling price. Marketing studies suggest that the company can increase sales by 5,000 units for each $2 reduction in the selling price. The company’s present selling price is $93 per unit, and variable expenses are $63 per unit. Fixed expenses are $838,200 per year. The present annual sales volume (at the $93 selling price) is 25,300 units.

Assuming that the marketing studies are correct, what is the maximum annual profit that the company can earn? At how many units and at what selling price per unit would the company generate this profit?

Max profit=

Number of units=

Selling price=

What would be the break-even point in unit sales and in dollar sales using the selling price you determined in (3) above (e.g., the selling price at the level of maximum profits)?

Break even point in units=

Break even point in sales=

In: Accounting

You've identified a project that would require an initial investment this year of $1500, and would...

You've identified a project that would require an initial investment this year of $1500, and would generate cash flows of either $2400 or $1200 depending on the economy, with either being equally likely. We're going to use our 'perfect world' approach and assume no taxes and no transaction costs. You demand an 8% market risk premium and the risk-free rate is 4%. What is the value of this project today and the expected return to equity holders? (company has no debt) You are considering borrowing $300 to help finance the project, and can borrow 6%. In this case, what should the price be for the equity portion of the company and what is the expected return to equity holders? You are interested in boosting your risk to earn a higher return, and you are considering borrowing $1200. In this case, what should the price be for the equity portion of the company and what is the expected return to equity holders?

In: Finance

The following information is available from the accounting records of Manahan Co. for the year ended...

The following information is available from the accounting records of Manahan Co. for the year ended December 31, 2016:

Net cash provided by financing activities $ 118,000
Dividends paid 18,400
Loss from discontinued operations, net of tax savings of $41,367 124,100
Income tax expense 27,355
Other selling expenses 12,000
Net sales 649,200
Advertising expense 46,500
Accounts receivable 57,000
Cost of goods sold 370,044

General and administrative expenses

142,500

a. Calculate the operating income for Manahan Co. for the year ended December 31, 2016

MANAHAN CO.
Operating Income Statement
For the year ended December 31, 2016
$0
Expenses:
0
$0

B)

Calculate the company's net income for 2016.

In: Accounting

We consider a population of cars from a given model year. A sample of 24 such...

We consider a population of cars from a given model year. A sample of 24 such cars

has been recently sold. The sale price as a function of the age of the car is in the Excel

file S4.XLSX (Car) in the Excel directory.

a. Try a linear regression and an exponential (non-linear) regression with Excel to

fit these data. Comment your results.

b. Which regression model seems to fit the data better and why?

c. Run the LINEST function in Excel. Provide the result table.

Car sale price
Age (year) Price ($)
1 119400
3 73200
5 51000
2 91800
8 36600
2 102000
3 73800
1 120600
6 42600
7 39600
4 61800
8 31200
5 48600
1 126000
5 52800
3 70200
6 43200
6 53400
7 40800
4 63400
7 36000
8 33000
4 64800
2 93000

In: Math

Premium Amortization On the first day of the fiscal year, a company issues an $3,800,000, 12%,...

Premium Amortization
On the first day of the fiscal year, a company issues an $3,800,000, 12%, 5-year bond that pays semiannual interest of $228,000 ($3,800,000 × 12% × ½), receiving cash of $4,093,425.
Journalize the first interest payment and the amortization of the related bond premium. Round to the nearest dollar. If an amount box does not require an entry, leave it blank.
Interest Expense
Premium on Bonds Payable
Cash


Redemption of Bonds Payable
A $930,000 bond issue on which there is an unamortized premium of $80,000 is redeemed for $766,000.
Journalize the redemption of the bonds. If an amount box does not require an entry, leave it blank.
Bonds Payable
Premium on Bonds Payable
Gain on Redemption of Bonds
Cash


Entries for Issuing Bonds
Thomson Co. produces and distributes semiconductors for use by computer manufacturers. Thomson Co. issued $390,000 of 20-year, 11% bonds on May 1 of the current year at face value,, with interest payable on May 1 and November 1. The fiscal year of the company is the calendar year.
May 1 Issued the bonds for cash at their face amount.
Nov. 1 Paid the interest on the bonds.
Dec. 31 Recorded accrued interest for two months.

Journalize the entries to record the above selected transactions for the current year.
May 1
Cash
Bonds Payable

Nov. 1
Interest Expense
Cash

Dec. 31
Interest Expense
Interest Payable

In: Accounting

A project is expected to create operating cash flows of $37,600 a year for 3 years....

A project is expected to create operating cash flows of $37,600 a year for 3 years. The initial cost of the fixed assets is $98,000. These assets will be worthless at the end of the project. Also, $3,200 of net working capital will be required throughout the life of the project. What is the project's net present value if the required rate of retum is 14 percent?

In: Finance

Consider a project with free cash flows in one year of ​$143,429 or ​$190,456​, with each...

Consider a project with free cash flows in one year of ​$143,429 or ​$190,456​, with each outcome being equally likely. The initial investment required for the project is ​$106,859​, and the​ project's cost of capital is 23 %. The​ risk-free interest rate is 6 %.

a. What is the NPV of this​ project?

b. Suppose that to raise the funds for the initial​ investment, the project is sold to investors as an​ all-equity firm. The equity holders will receive the cash flows of the project in one year. How much money can be raised in this way - that ​is, what is the initial market value of the unlevered​ equity?  

c. Suppose the initial ​$106,859 is instead raised by borrowing at the​ risk-free interest rate. What are the cash flows of the levered​ equity, what is its initial value and what is the initial equity according to​ MM?

*****please show work*****

In: Finance

Machine A was purchased last year for $10,000 and had an estimated market value of $1,100...

Machine A was purchased last year for $10,000 and had an estimated market value of $1,100 at the end of its 6-year life. Annual operating costs are $1,050. The machine will perform satisfactorily for the next five years. A salesman for another company is offering Machine B for $51,000 with an market value of $5,100 after 5 years. Annual operating costs will be $650. Machine A could be sold now for $8,000, and MARR is 13% per year. Using the outsider viewpoint, what is the difference in the equivalent uniform annual cost (EUAC) of buying Machine B compared to continuing to use Machine A; i.e., EUAC(Machine B) – EUAC(Machine A)

In: Economics