Construct the indicated confidence interval for the difference between population proportions p1 - p2. Assume that the samples are independent and that they have been randomly selected.
4) x1 = 44, n1 = 64 and x2 = 50, n2 = 73; Construct a 95% confidence interval for the difference 4) between population proportions p1 - p2.
In: Statistics and Probability
Assume you have completed a capital budgeting analysis of building a new plant on land you own, and the project's NPV is $100 million. You now realize that instead of building the plant, you could build a parking garage, and would generate a pre tax revenue of $15 million. The project would last 3 years, the corporate tax rate is 40%, and the WACC is 7%. What is the new NPV of the project, after incorporating the effect of the opportunity cost?
In: Finance
PLEASE FILL IN BLANK WITH CORRECT ANSWERS. THANK YOU!
CHAPTER 19: CHI-SQUARE TEST FOR QUALITATIVE DATA
Key Terms
One-way test – Evaluates whether observed frequencies for a single qualitative variable are adequately described by hypothesized or expected frequencies.
Expected frequency – The hypothesized frequency for each category, given that the null hypothesis is true.
Observed frequency – The obtained frequency for each category.
Two-way test – Evaluates whether observed frequencies reflect the independence or two qualitative variables.
Squared Cramer’s phi coefficient – Very rough estimate of the population of predictability between two qualitative variables
Text Review
You may recall from Chapter 1, that when observations are classified into categories, the data are (1)_____________________. The hypothesis test for qualitative data is known as chi-square. When the variables are classified along a single variable, the test is a one-way chi-square. The one-way chi-square test makes a statement about two or more population (2)_______________ that are reflected by expected frequencies.
If the null hypothesis is true, then except for the effects of chance, the hypothesized proportions should be reflected in the sample. The number of observations hypothesized is referred to as (3)___________ and is calculated by multiplying the expected proportion by the total sample size. If the discrepancies between the observed and expected frequencies are small enough to be attributed to chance, then the null hypothesis would be retained. But if the discrepancies between the observed and expected frequencies are large enough to qualify as a rare outcome, the null hypothesis would be (4)_________.
The value of chi-square can never be (5)______________________________ because of the squaring of each difference between observed and expected frequencies.
For the one-way chi-square test, the degrees of freedom always equal the number of (6)____________ minus one.
The chi-square test is non-directional because the squaring of the discrepancies always produces a (7)__________________ value. However, for the same reason, only the upper tail of the sampling distribution contains the rejection region.
It is possible to cross-classify observation along two qualitative variables. This is referred to as a (8)_________________________ chi-square test. For the two-way test, the null hypothesis makes a statement about the lack of relationship between the two qualitative variables. In the two-way test, words are usually used instead of symbols in the null hypothesis, and as in the one-way test, the research hypothesis simply states that the null hypothesis is false.
In the two-way test, expected frequencies are calculated by multiplying the column total times the row total and dividing by the overall total. The chi-square critical value may be found in Table D of Appendix D only if degrees of freedom are known. For the two-way test, degrees of freedom equals number of categories for the column variable minus one, times the number of categories for the row variable minus one [df = (C – 1) (R-1)].
Some precautions are necessary in using the chi-square tests. One restriction is that the chi-square test requires that observations be (9)________________________. In this case, independence means that one observation should have no influence on another. One obvious violation of independence occurs when a single subject contributes more than one pair of observations. One way to check that this requirement is not being violated is to remember that the total for all observed frequencies must never exceed the total number of subjects. Using chi-square appropriately also requires that expected frequencies not be too small. Generally, any expected frequency of less than (10)______________ is too small. Small sample sizes should also be avoided, as should unduly large sample size. A sample size that is too large produces a test that detects differences of no practical importance.
When the null hypothesis has been rejected, the researcher should consider using squared (11)______ phi coefficient to determine whether the strength of the relationship is small, medium, or large.
In: Statistics and Probability
A.) A firm is deciding between two different sewing machines. Technology A has fixed costs of $500 and average variable costs of $50 whereas Technology B has fixed costs of $250 and marginal costs of $100.
The quantity of output at which the firm is indifferent between the two technologies is ______
B.) A firm is deciding between two different sewing machines. Technology A has fixed costs of $500 and average variable costs of $50 whereas Technology B has fixed costs of $250 and marginal costs of $100.
What is the cost of production at the number of units where the company is indifferent between the two technologies?
a. $750
b. $850
c. $950
d. $1050
In: Economics
Consider a call option with a premium of $8 for which the exercise price is $50. What is the profit for a holder if the underlying stock price at expiration is $60.00? What is the profit for the seller?
In: Finance
ALei Industries has credit sales of $151 million a year. ALei's management reviewed its credit policy and decided that it wants to maintain an average collection period of 40 days.
a. What is the maximum level of accounts receivable that ALei can carry and have 40-day average collection period?
b. If ALei's current accounts receivable collection period is 50 days, how much would it have to reduce its level of accounts receivable in order to achieve its goal of 40 days?
Round to one decimal place.
In: Finance
So, I'm trying to get revolutions/second from a given binary data.
for example, the input binary data is:
V=[0 1 0 0 1 0 0 0 1 0 1 1 0 0 0 0 0 1 0 ]
let's say the distance between each value is arbitrary (for this example, you can use 0.1). Each 1 represents a full rotation of a bike pedal, and I'm trying to calculate the pedal rate from a given binary dataset in Matlab. How would I do so?
EDIT for clarification:
So, I'll be receiving data from a bike as a binary vector (0s and 1s). Each 0 or 1 represent a measurement. I think each number represents like a certain time. So the vector [0 1 0 0 1 ] would mean two rotations and just a guess at the time between each value is .1 seconds. So the cadence would be 1 rev/.3s.
I'm trying to figure out how to write a program to read the given vector and output a cadence.
In: Computer Science
PLEASE ONLY DO THE LAST PORTION " Final Questions." I already did all the other ones.
Your friend, another accountant, has bet you that with your knowledge of accounting and just the computations for common analytical measures, you can figure out many aspects of a company's financial statements. You take the bet!
Match each computation to one of the liquidity and solvency measures in the table. (Hint: Begin by looking for simple computations and identifying the amounts in those computations. Look for other measures that use those amounts.)
| Liquidity and Solvency Measures | Computations |
| Times interest earned | ($970,500 + $127,000) ÷ $127,000 |
| Working capital | $3,095,000 – $840,000 |
| Number of days' sales in receivables | [($1,072,000 + $1,100,000) ÷ 2] ÷ ($4,100,000 ÷ 365) |
| Quick ratio | $1,866,000 ÷ $840,000 |
| Current ratio | $3,095,000 ÷ $840,000 |
| Ratio of liabilities to stockholders' equity | $2,530,000 ÷ $4,079,000 |
| Number of days' sales in inventory | [($714,000 + $740,000) ÷ 2] ÷ ($8,250,000 ÷ 365) |
| Accounts receivable turnover | $8,250,000 ÷ [($714,000 + $740,000) ÷ 2] |
| Inventory turnover | $4,100,000 ÷ [($1,072,000 + $1,100,000) ÷ 2] |
| Ratio of fixed assets to long-term liabilities | $2,690,000 ÷ $1,690,000 |
Use the following balance sheet form to enter amounts you identify from the computations on the Liquidity and Solvency Measures panel. You will identify other amounts for the balance sheet on the Profitability Measures panel. If you have a choice of two amounts, assume the first amount in the ratio is for the end of the year. Compute any missing amounts.
|
Balance Sheet |
|
December 31, 20Y6 |
|
1 |
Assets |
|
|
2 |
Current assets: |
|
|
3 |
Cash |
$823,000.00 |
|
4 |
Marketable securities |
|
|
5 |
Accounts receivable (net) |
|
|
6 |
Inventory |
|
|
7 |
Prepaid expenses |
|
|
8 |
Total current assets |
|
|
9 |
Long-term investments |
|
|
10 |
Property, plant, and equipment (net) |
|
|
11 |
Total assets |
|
|
12 |
Liabilities |
|
|
13 |
Current liabilities |
|
|
14 |
Long-term liabilities |
|
|
15 |
Total liabilities |
|
|
16 |
Stockholders’ Equity |
|
|
17 |
Preferred stock, $10 par |
|
|
18 |
Common stock, $5 par |
|
|
19 |
Retained earnings |
|
|
20 |
Total stockholders’ equity |
|
|
21 |
Total liabilities and stockholders’ equity |
Match each computation to one of the profitability measures in the table.
| Profitability Measures | Computations |
| Asset turnover | $8,250,000 ÷ [($6,609,000 + $6,419,000) ÷ 2] |
| Return on total assets | ($786,300 + $127,000) ÷ [($6,609,000 + $6,419,000) ÷ 2] |
| Return on stockholders’ equity | $786,300 ÷ [($4,079,000 + $3,875,050) ÷ 2] |
| Return on common stockholders’ equity | ($786,300 – $65,000) ÷ [($3,591,500 + $3,447,840) ÷ 2] |
| Earnings per share on common stock | ($786,300 – $65,000) ÷ 250,000 shares |
| Price-earnings ratio | $35 ÷ $3.05 |
| Dividends per share | $175,000 ÷ 250,000 shares |
| Dividend yield | $0.70 ÷ $35 |
Use the following comparative income statement form to enter amounts you identify from the computations on the Liquidity and Solvency Measures panel and on the Profitability Measures panel. Compute any missing amounts and complete the horizontal analysis columns. Enter percentages as decimal amounts, rounded to one decimal place. When rounding, look only at the figure to the right of one decimal place. If < 5, round down and if ? 5, round up. For example, for 32.048% enter 32.0%. For 32.058% enter 32.1%.
|
Comparative Income Statement |
|
For the Years Ended December 31, 20Y6 and 20Y5 |
|
1 |
20Y6 |
20Y5 |
Amount Increase (Decrease) |
Percentage Increase (Decrease) |
|
|
2 |
Sales |
$7,257,000.00 |
|||
|
3 |
Cost of goods sold |
3,444,000.00 |
|||
|
4 |
Gross profit |
$3,813,000.00 |
|||
|
5 |
Selling expenses |
$1,451,000.00 |
|||
|
6 |
Administrative expenses |
1,237,500.00 |
1,101,500.00 |
||
|
7 |
Total operating expenses |
$2,552,500.00 |
|||
|
8 |
Income from operations |
$1,260,500.00 |
|||
|
9 |
Interest expense |
120,600.00 |
|||
|
10 |
Income before income tax |
$1,139,900.00 |
|||
|
11 |
Income tax expense |
178,200.00 |
|||
|
12 |
Net income |
$961,700.00 |
Your accountant friend reveals that the company whose information you have been working on is actually a company he is thinking of investing in. What advice and insight do you have for your friend?
Using only the information from your horizontal analysis of the comparative income statement, complete the following sentences.
has decreased significantly from 20Y5 to 20Y6, even though has increased. However, has also , which slowed the increase in . In addition, has increased at a faster rate. The company appears .
Based on these observations, do you recommend that your friend invest in this company’s stock?
In: Accounting
Measuring the height of a particular species of tree is very difficult because these trees grow to tremendous heights. People familiar with these trees understand that the height of a tree of this species is related to other characteristics of the tree, including the diameter of the tree at the breast height of a person. The accompanying data represent the height (in feet) and diameter (in inches) at the breast height of a person for a sample of 21 trees of this species.
Height Diameter at breast height
121.6 21
194.7 38
167.1 19
81.7 11
133.2 20
155.9 28
172.8 54
80.4 10
147.9 26
112.4 12
84.1 12
163.6 40
202.4 55
174.6 32
158.7 23
206.5 44
223.8 47
193.4 54
230.8 41
189.5 36
100.1 8
A. Assuming a linear relationship, use the least-squares method to compute the regression coefficients b0 and b1. State the regression equation that predicts the height of a tree based on the tree's diameter at breast height of a person.
B. Predict the mean height for a tree that has a breast-height diameter of 35 inches.
C. Interpret the meaning of the coefficient of determination in this problem. The value is?
D. Determine whether there is a significant relationship between the height of trees of this species and thebreast-height diameter at the 0.05 level of significance.
- Identify the t Stat value for Diameter at Breast Height, rounding to two decimal places.
E. Construct a 95% confidence interval estimate of the population slope between the height of the trees andbreast-height diameter.
In: Statistics and Probability
The Wind Mountain excavation site in New Mexico is an important archaeological location of the ancient Native American Anasazi culture. The following data represent depths (in cm) below surface grade at which significant artifacts were discovered at this site (Reference: A.I. Woosley and A.J. McIntyre, Mimbres Mogollon Archaeology, University of New Mexico Press).
| 85 | 45 | 75 | 60 | 90 | 90 | 115 | 30 | 55 | 58 |
| 78 | 120 | 80 | 65 | 65 | 140 | 65 | 50 | 30 | 125 |
| 75 | 137 | 80 | 120 | 15 | 45 | 70 | 65 | 50 | 45 |
| 95 | 70 | 70 | 28 | 40 | 125 | 105 | 75 | 80 | 70 |
| 90 | 68 | 73 | 75 | 55 | 70 | 95 | 65 | 200 | 75 |
| 15 | 90 | 46 | 33 | 100 | 65 | 60 | 55 | 85 | 50 |
| 10 | 68 | 99 | 145 | 45 | 75 | 45 | 95 | 85 | 65 |
| 65 | 52 | 82 |
For this problem, use seven classes.
(a) Find the class width.
(b) Make a frequency table showing class limits, class boundaries,
midpoints, frequencies, relative frequencies, and cumulative
frequencies. (Give relative frequencies to 4 decimal places.) Show
Your Work!!
| Class Limits | Class Boundaries | Midpoint | Frequency | Relative Frequency |
Cumulative Frequency |
| − − − − − − − |
− − − − − − − |
|
|
In: Statistics and Probability