You are the construction manager of a company that build standard shopping centres across the world. You meet a supplier who promises you material that allows builders to build significantly quicker than what the existing material allows, without compromising the quality, safety etc of the structures. The CEo asks you to assess during the year and give a report at the end of the year with a recommendation of whether to buy the new material or not. You take a sample of projects from around the world and use new materials from some and old materials from others. This is the information gathered:

Use the p value method to determine if the suppliers claim is valid to decide whether to continue using the existing material or adopt the new method post the 1 year of experimentation.

1) Decision criteria

Ho

H1

You need to perform a _____ tailed test

2) Assumption:

3) Degrees of freedom

4) Choice of distribution and motivation

5) Test statistic (show formula and all workings)

6) P-value (all workings and analysis of p-value)

7) Decision

8) Interpretation and conclusion

9) what would your decison be if

p-value < x

p-value > x

A construction company is purchasing a new Tractor for over the road use. The IRS classifies this as 3-year property. The truck costs $347000.
a) Determine the depreciation allowance for each year using SLN method.

b) Determine the depreciation allowance for each year using DDB method.

c) Determine the depreciation allowance for each year using MACRS.

d) Using a 10% MARR calculate the present worth of the depreciation for each of the 3 methods above.

​(Security market​ line)  You are considering the construction of a portfolio comprised of equal investments in each of four different stocks. The betas for each stock are found​ below:

a.  What is the portfolio beta for your proposed investment​ portfolio?

b.  How would a 25 percent increase in the expected return on the market impact the expected return of your​ portfolio?

c.  How would a 25 percent decrease in the expected return on the market impact the expected return on each​ asset?

d.  If you are interested in decreasing the beta of your portfolio by changing your portfolio allocation in two​ stocks, which stock would you decrease and which would you​ increase? ​ Why?

a.  The portfolio beta for your proposed investment portfolio is

nothing.

​(Round to three decimal​ places.)b.  A​ 25% increase in the expected return on the market will cause the expected return of your portfolio to

▼

increase

decrease

by

nothing​%.

​(Select from the​ drop-down menu and round the answer to two decimal​ places.)

c.  A​ 25% decrease in the expected return on the market will have the following impact on the expected return on each​ asset:

Asset A would

▼

by

nothing​%.

​(Select from the​ drop-down menu and round the answer to two decimal​ places.)Asset B would

▼

increase

decrease

by

nothing​%.

​(Select from the​ drop-down menu and round the answer to two decimal​ places.)Asset C would

▼

decrease

increase

by

nothing​%.

​(Select from the​ drop-down menu and round the answer to two decimal​ places.)Asset D would

▼

increase

decrease

by

nothing​%.

​(Select from the​ drop-down menu and round the answer to two decimal​ places.)

d.  If you are interested in decreasing the beta of your portfolio by changing your portfolio allocation in two​ stocks, which stock would you decrease and which would you​ increase? ​ Why?  ​(Select the best choice​ below.)

A.

You should increase asset A and decrease asset D because asset​ D's beta is negative and asset A has the highest beta.

B.

You should increase asset D and decrease asset A because asset​ D's beta is negative and asset A has the highest beta.

C.

You should increase asset B and decrease asset C because asset​ B' beta is close to 1 and asset​ C's beta is the closest to zero.

D.

You should decrease asset D and increase asset A because asset​ D's beta is negative and asset A has the highest beta.

Click to select your answer(s).

A construction company is purchasing a new Tractor for over the road use. The IRS classifies this as 3-year property. The truck costs $297000.
a) Determine the depreciation allowance for each year using SLN method.
Year 1 $  
Year 2 $  
Year 3 $  
Year 4 $  

b) Determine the depreciation allowance for each year using DDB method.
Year 1 $  
Year 2 $  
Year 3 $  
Year 4 $  

c) Determine the depreciation allowance for each year using MACRS.
Year 1 $  
Year 2 $  
Year 3 $  
Year 4 $  

d) Using a 10% MARR calculate the present worth of the depreciation for each of the 3 methods above.
PW_a = $  
PW_b = $  
PW_c = $

This week, your Mechanical and Electrical Systems in Architecture, Engineering, and Construction textbook refers to the National Electrical Code (NEC), or NFPA 70, the set of specifications and standards for installing electrical wiring and equipment in the United States. Similarly, the Canadian Electrical Code (CEC), or CE Code, defines the requirements for electrical installation in Canada.

For this week’s Discussion, you will focus on the inspection requirements for electrical systems used in commercial buildings in your community. Begin by researching the electrical inspection requirements for commercial buildings in your locale.

In your response, describe the regulations that inspection agencies in your community have put in place for commercial buildings. How do these regulations differ across various electrical systems?

From a survey of construction labor, the work duration (in number of hours) per day and the average productivity (percent efficiency) were recorded as follows:

SHOW ALL WORK

A. Determine the marginal probability distribution function (PDF) for X, the distribution of work duration and plot graphically on p_x (x) versus x for y = 6, 8, 10 and 12. Present p_x (x) in terms of relative frequencies of the observations.

B. Similarly, determine the marginal PDF for Y, representing the distribution of productivity.

C. If the work duration per day is 10 hr, what is the probability that the average productivity will be 85%?

A construction company in Naples, Florida, is struggling to sell condominiums. In order to attract buyers, the company has made numerous price reductions and better financing offers. Although condominiums were once listed for $300,000, the company believes that it will be able to get an average sale price of $207,000. Let the price of these condominiums in the next quarter be normally distributed with a standard deviation of $13,000.

a. What is the probability that the condominium will sell at a price (i) below $182,000?(ii) above $228,000? (Round final answers to 4 decimal places.)

b. The company is also trying to sell an artist’s condo. Potential buyers will find the unusual features of this condo either pleasing or objectionable. The manager expects the average sale price of this condo to be the same as others at $207,000, but with a higher standard deviation of $17,000. What is the probability that this condo will sell at a price (i) Below $182,000?, (ii) Above $228,000? (Round your answers to 4 decimal places.)

CAT Construction has been awarded a contract with the City of Newberg to replace and repair all of the sidewalks in the older residential areas. Based on experience with previous​ projects, CAT feels the project completion time follows a normal distribution with a mean of 60 days and a standard deviation of 10 days.

CAT anticipates the net profit for completing the project is​ $100,000.

If the company completes the project is less than 40​ days, it will receive an additional​ $25,000 bonus.

If the company takes longer than 75 days to complete the​ project, the City will penalize CAT​ $20,000.

Use the 4 decimal probabilities when using the​ z-tables.

​CAT's expected profit on the project​ is:

A.​$100,000

B.​$101,214

C.​$99,234

D.​$90,274

3. The market for construction workers is as follows. Labor demand = 400 – 2W Labor supply = 10 + 4W W = wage rate in dollars Marginal expense of labor MEL = 2 + L/2 Marginal value product of Labor MVPL = 200 – L/2

3a. If a monoposony is now the only firm in the city hiring workers, how many workers are hired and what is their wage rate?

3b. If the city charges the monopsony $0.50 extra for each worker hires, how many workers are hired and what is the wage rate (use all the original equations). Compare and explain how your answer differs compared to part a.