Use the probability distribution to find probabilities in parts​ (a) through​ (c).

The probability distribution of number of dogs per household in a small town

​(a) Find the probability of randomly selecting a household that has fewer than two dogs.

0.8740.874  

​(Round to three decimal places as​ needed.)

​(b) Find the probability of randomly selecting a household that has at least one dog.

0.3270.327

​ (Round to three decimal places as​ needed.)

​(c) Find the probability of randomly selecting a household that has between one and three​ dogs, inclusive.

nothing

​ (Round to three decimal places as​ needed.)

Currently, the term structure is as follows: One-year bonds yield 9.50%, two-year zero-coupon bonds yield 10.50%, three-year and longer maturity zero-coupon bonds all yield 11.50%. You are choosing between one, two, and three-year maturity bonds all paying annual coupons of 10.50%. You strongly believe that at year-end the yield curve will be flat at 11.50%.

a. Calculate the one year total rate of return for the three bonds. (Do not round intermediate calculations. Round your answers to 2 decimal places.)

b. Which bond you would buy?

• One-year bond

• Two-year bond

• Three-year bond

Currently, the term structure is as follows: One-year bonds yield 9.50%, two-year zero-coupon bonds yield 10.50%, three-year and longer maturity zero-coupon bonds all yield 11.50%. You are choosing between one, two, and three-year maturity bonds all paying annual coupons of 10.50%. You strongly believe that at year-end the yield curve will be flat at 11.50%.

a. Calculate the one year total rate of return for the three bonds. (Do not round intermediate calculations. Round your answers to 2 decimal places.)

b. Which bond you would buy?

• One-year bond

• Two-year bond

• Three-year bond

Question 4:

AB-25 is a top-selling electronic product. The company divides its customers into two groups: new customers and upgrade customers. Although the same physical product is provided to each customer group, sizeable differences exist in selling prices and variable marketing costs:

The fixed costs of AB-25 are $16,000,000. The planned sales mix in units is 80% new customers and 20% upgrade customers.

Required:

1. What is the break-even point in units for AB-25, assuming that the planned 80%/20% sales mix is attained?
2. If the sales mix is attained, what is the profit when 150 000 units are sold?
3. Show how the break-even point in units changes with the following customer mixes (a and b):

a. new 30%/upgrade 70%                                                                               

b.    new 60%/upgrade 40%

c.    Comparing the break-even points in requirements a and b, is it always better for a company to choose the sales mix that yields the lower break-even point? Explain.

1. Suppose that a random sample of size 64 is to be selected from a population with mean 40 and standard deviation 5.

a. What is the mean of the ¯xx¯ sampling distribution?

b. What is the standard deviation of the ¯xx¯ sampling distribution?

c. What is the approximate probability that ¯xx¯ will be within 0.5 of the population mean μμ?

d. What is the approximate probability that ¯xx¯ will differ from μμ by more than 0.7?

2. A Food Marketing Institute found that 45% of households spend more than $125 a week on groceries. Assume the population proportion is 0.45 and a simple random sample of 190 households is selected from the population. What is the probability that the sample proportion of households spending more than $125 a week is between 0.23 and 0.49?

Answer =  (Enter your answer as a number accurate to 4 decimal places.)

3. Based on historical data, your manager believes that 29% of the company's orders come from first-time customers. A random sample of 193 orders will be used to estimate the proportion of first-time-customers. What is the probability that the sample proportion is less than 0.31?

Answer =  (Enter your answer as a number accurate to 4 decimal places.)

Always is a local restaurant that’s really famous in the Bekaa. It offers pizzas, burgers, salads, platters and sandwiches. Customers are offered a choice between dine-in experiences or take away services. Staff is really friendly, food preparation is highly systematic and the kitchen is well arranged and super clean. The business has been operating for almost 15 years and it has been really successful, even when it got surrounded by local and global competitors (Mcdo, KFC, and others). Customers rarely find an empty seat at peak lunch and dinner times. Mr. Moutran, Always’ owner, hired your team as business analysts. During the first meeting, he informed you that he was wishing to expand overseas, preferably in other Arab regions, but that he was open to any other suggestions. He made it clear that he had no experience abroad and that it was your duty to devise a plan covering every single detail of the expansion.

what are all the Brand and product decisions to be taken, concerning the packaging, labeling, global product strategy (important), the Product/Brand Matrix, naming, brand image and equity. i chose to open the place in Egypt.

What's your favorite ice cream flavor? For people who buy ice cream, the all-time favorite is still vanilla. About 30% of ice cream sales are vanilla. Chocolate accounts for only 13% of ice cream sales. Suppose that 174 customers go to a grocery store in Cheyenne, Wyoming, today to buy ice cream. (Round your answers to four decimal places.)

(a) What is the probability that 50 or more will buy vanilla?

(b) What is the probability that 12 or more will buy chocolate?

(c) A customer who buys ice cream is not limited to one container or one flavor. What is the probability that someone who is buying ice cream will buy chocolate or vanilla? Hint: Chocolate flavor and vanilla flavor are not mutually exclusive events. Assume that the choice to buy one flavor is independent of the choice to buy another flavor. Then use the multiplication rule for independent events, together with the addition rule for events that are not mutually exclusive, to compute the requested probability.

d) What is the probability that between 50 and 60 customers will buy chocolate or vanilla ice cream? Hint: Use the probability of success computed in part (c).

Sweet leaf tea

In March 2010, Clayton Christopher announced to his employees and all of the fans of sweet Leaf tea that he was leaving the company and handing leadership to an outsider, Dan Costello. Clayton’s final act was to send an email to his employees praising their performance and integrity, which helped grow sweet leaf tea to the number one ready to drink tea at whole foods. In his email, he wrote that after his departure he hoped: We will not sacrifice the magic of this brand and thus jeopardize the love affair we have created with our consumers in order to save a few dollars on our path up the mountain.

Tea Drinkers Heaven

The ready to drink tea market was consistently ranked as one of the fastest growing new product entries in the early twenty- first century. In 2007 total sales if tea equaled $6.85 billion, almost a third od which were ready to drink ( RTD) or bottled tea. Tea is high in antioxidants, has health boosting properties and is either all natural or organic which might be the reason more people were move from traditional carbonate drinks to healthy options like Sweet Leaf Tea . between 2003-and 2008 the RTD category grew by 65 %. In the southern United States, tea has long been a popular beverage choice. It is usually served cold and sweetened. It can be found in any restaurant, mom and pop store or at a road- side stop. From moonshine to big time Clayton Christopher and David Smith were always fans of sweet tea and loved their Grandma’s recipe. But they couldn’t find any good bottled tea that tasted as good as what Grandma made. Their grandma made sweet tea by brewing teabags for3-4 minutes. Then she would pour that freshly brewed tea over ice and add natural sugarcane to make it sweet. In 1997 they founded Sweet Leaf Tea ( SLT) to fill this void, and hoped that others would enjoy their Grandma’s recipe as much as they did. Initially their production and marketing more closely resembled that of a moonshine producer than that of the multi Million- dollar brand it today. They used giant crawfish pans to boil the water and pillowcase as giant tea bags to brew the tea. To distribution the bottled beverages they had an old fun down van. Clayton and David moved Sweet leaf Tea from Beaumont to Austin, Texas after a couple of years and started using an automated system to make the tea. But, they always remained true to their grandma’s recipe. Sweet Leaf Tea’s only competitive advantage was its superior flavor compared to other ready to drink teas like Arizona, Snapple, Lipton, and Nestea. In 2008 SLT had $12 million in revenue and was available in 30 percent of the US market. In March 2009, Nestle Waters purchase as third of Sweet Leaf Tea for $16.5 Million. With large investment from Nestle waters also came a new president, Dan Costello a former executive at Nestle Waters North America. Growing their brand Beverages tend to be low-involvement products, but also a unique in that everyone has a favorite drink, which make it very personal Sweet Leaf Tea had to find ways to develop a following of customers
without a big advertising budget. They focused on sampling at music Festivals, products placement on shows like MTV’s Real World and CBS’s big Brother as well as Making sure they had a clear brand personality. Clayton and David worked with Lyon Advertising to create a brand personality that would represent who they were, laid back and fun, but did not forget Clayton’s Grandma Mimi. SLT could build a large fun base they needed people to try their product. In an interview conducted by Inc. Magazine Clayton stated “ Sampling is the best form of marketing You’ve got to get the product past people’s lips. In 2002 they started partnering with music festivals like Austin City Limit ( ACL ) lollapalooza, South by south West (SXSW) and country Thunder. The folks attending the festivals were thirsty and willing to try new drinks. This also allowed then to target their core target audience – young (25-45) laid back hip, and health conscious beverage drinkers. Initially, ninety percent of their advertising budget went to sampling (Inc). Focusing their sampling program during music festivals allowed them to target masses of people at a time when they were thirsty such as the dead of summer in Texas, Chicago and Arizona. SLT realized very early, however , that they needed to be on store shelves if they wanted their customers to find and buy the product. Selling their product at a few music festivals a year wouldn’t be enough to keep them in business. Their first major store partnership was with whole foods (WF) in 2002, which launched them on store shelves in the greater Texas market. Adi Wilk, the former marketing manager at SLT stated that the Whole Food Partnership “lifted the brand” in 2006 whole food expanded the SLT market to all of their stores in the US. Along with the Whole Foods partnership they also found distribution through partnerships with 7-11 stores, placement in Texas school vending machines, and at army bases. This allowed fans that may have tried SLT at lollapalooza to find it in Chicago, or people that traveled to Austin for ACL or SXSW to find it in New York at their local whole Foods stores. SLT’s communication strategy had traditionally focused on connecting to their customers their partnership with WF, however, helped them grow the brand by being on the shelves of national chain store and also helped them connect to other distributors. But more importantly was that SLT the built a strong connection with their customers, with most of them willing to search far and wide for a bottle for SLT. This truly helped them become a successful company. In 2008, with an infusion of money from Catterton partner, a Connecticut - based private equity firm, and Nestle Waters North America Inc, SLT had expanded their marketing beyond sampling and store partnerships. In 2009 they had three major advertising updates- 1) they launched a new website (2) hired a dedicated Twitter Write (3) and added a team of Facebook managers for the fan page. SLT empowered every employee to be a spokesperson for the brand- with even their receptionist talking a core part in their Twitter and Facebook posts.
Communications Role

Initially the core communication for Sweet Leaf Tea, was through direct to customer marketing at music festivals. The owners, Clayton and David, were at the Music Festivals handing out their product. This allowed customers to meet the people behind the beverage and link friendly faces to a good beverage. Also the association with music festivals may have helped the brand develop the Cool and Fun image they were pushing. Once SLT had expanded beyond the central Texas market they needed to find a way to stay connected to their customers and keep that direct to customer communication active. The infusion of money from
both Catterton partners and Nestle waters allowed them to expand their communication strategy beyond music festivals and their core website. Their Facebook fans matched the same target audience they first had a t music festivals. Their blog, Facebook, and Twitter pages allowed them to continue that face to face communication Clayton and David started at the music festivals, but in the digital world. Their Facebook and Twitter communication reflected the brand and the Culture of the Company. At the time, these two sites were used for announcement about the brand or to communicate special evet taking place during music festivals. As an example during 2009 SXSW they also used Twitter to announce a free concert and used Facebook to get people to RSVP to the event. In one week they had 4,500 people registered on Facebook for the free concert. Another advertising advance SLT made in 2009 was using mobile technology to get consumers to search for their product and receive free sample. SLT was one of the first companies to give away real samples using Gowalla Gowalla was a location game that encouraged people to find a virtual item in a real-world place. Gowalla allowed then to use virtual sampling of a product and connect it to real world sampling.

Questions :

1- What are the strength and weakness of SLT’s corporate Culture in the terms id communications, as described in the case ? 2- Considering the relationship the brand had with its audience, should Clayton have reached out to customers to announce he was leaving ? 3- What challenges do you see for SLT’s new management ? 4- What role should corporate communication paly at SLT to help the company advance its strategic goals? 5- As clayton’s replacement would you change the way SLT communicated with its customers, or who was allowed to ? why or why not ?

After a successful drive aimed at members of a specific national association, Online Publishing Company received a total of $180,000 for 3-year subscriptions beginning April 1 and recorded this amount in the unearned revenue account. Assuming Online records adjustments only at the end of the calendar year, the adjusting entry required to reflect the proper balances in the accounts at December 31 is to:

1. Debit subscription revenue for $135,000 and credit unearned revenue for $135,000.
2. Debit unearned revenue for $135,000 and credit subscription revenue for $135,000.
3. Debit subscription revenue for $45,000 and credit unearned revenue for $45,000.
4. Debit unearned revenue for $45,000 and credit subscription revenue for $45,000.

Most firms cannot bring value to customers by themselves. How does Uber bring value to its customers?