A. Judy Dench took up the government offer on the “Special Early Retirement Programme” and received a lump sum payment of J$3.5M. After clearing her mortgage and credit card debts she has J$1.5M remaining. She saw an advertisement recently in the local newspaper where JMMB was offering three investments offer to the public as follow:
Investment Product
Interest Rate
Term
Conditions
Investment A
16%
5 years
Interest is compounded annually. Principal & Interest is paid at the end of the 5 years.
Investment B
13.80%
6 years
Interest is compounded annually. Principal & Interest is paid at the end of the 6 years.
Investment C
11.60%
7 years
Interest is compounded annually. Principal & Interest is paid at the end of the 7 years.
If Judy wants to invest only J$1,000,000; which one of the investment products based on calculations would you recommend her to invest in?
B. John Travolta plans on investing the following cash flows at the beginning of each year:
Year Cash Flow
2019 $30 000
2020 $40 000
2021 $60 000
2022 $90 000
2023 $20 000
How much would John accumulate at the end of 2023 if the interest rate is compounded annually at an interest rate of 9.8%?

1. Describe the sub-prime crisis in early September 2008. What is the role of CDS in the crisis? What made the CDS business special (in terms of collateral requirements) with respect to other insurance business conducted by AIG? Besides AIG, who else also sold (and are selling) CDS?

2. What is systemic risk? How does systemic risk differ from systematic risk? Why may one claim that when AIG was engaged in the CDS business it was underwriting systemic risk? Please answer the question with the discussion on AIG’s collapse.

In the United States during the early 2000's there were a plethora of accounting scandals. Many times, the CEO was the cause of the problem. Congress passed the Sarbanes-Oxley Act in 2002. A large portion of the act was devoted to making CEO's more responsible for control over accounting. How do the actions of CEOs and upper management affect accounting and financial reporting?

Given the following information, you are to determine the following

• Project network.
• Early, late and slack activity times.
• Project duration.
• Critical path

1. It is early 2015, and you are thinking about buying some Greek bonds.
   a. You know that Greek bonds have very risky. Why would you still want to buy them, given that there is a high chance of default and non-payment?
   b. For the following situations, sketch a demand and supply diagram and explain what happens with the 1) price, 2) quantity of bonds sold and 3) the interest rate. Write 1-2 sentences to explain.
   1. There are protests in Greece by the people who work for the government. They

   demand higher salaries, and so the government has to spend more and increase the

   budget deficit.

   2. Greek bonds are now traded on a stock exchange in the US, so you don't have to

      register on a European stock exchange to trade them.

   3. Bad news: apparently, the Greek government lied about some key economic

      indicators, making things look better than they are.

   4. Suddenly there is expectation that the Euro (that Greece uses) will have high

      inflation.

Deciding between traditional and Roth IRAs

Clint Crandall is in his early 30s and is thinking about opening an IRA. He can't decide whether to open a traditional/deductible IRA or a Roth IRA, so he turns to you for help.

To support your explanation, you decide to run some comparative numbers on the two types of accounts; for starters, use a 30-year period to show Clint what contributions of $5,000 per year will amount to (after 30 years) given that he can earn, say, 10% on his money. Round your answers to the nearest dollar.

QUESTION 19

1. You are also able to examine the full skeleton of this same early hominin and observe that it has a very narrow thumb metacarpal head. This observation suggests that:

   		e. This hominin was capable of speech
   		a. This hominin was capable of using tools
   		b. This hominin was not capable of using tools
   		d. This hominin was not bipdeal
   		c. This hominin was bipedal

2 points   

1. Tool-making allowed early hominins to shift from a leaf and fruit-based diet to a meat and tuber-based diet. This change:

   		a. Enabled the shift to a higher-calorie diet
   		b. Allowed hominins to spend less time chewing, leading to smaller teeth and jaws
   		c. Required hominins to spend more time chewing, leading to larger teeth and jaws
   		d. Both a and c
   		e. Both a and b

QUESTION 21

1. Bipedalism likely evolved in our ancestors because:

   		a. It allowed for more efficient foraging over large distances
   		b. It made birth easier
   		c. It helped with temperature regulation
   		d. Both a and b
   		e. Both a and c

QUESTION 22

1. The fastest rates of evolutionary change in wild populations have been observed:

   		d. In response to biological invasions
   		e. In response to climate change
   		c. In response to fishing
   		b. In response to parasites
   		a. In response to predators

The ZQR manufacturing company experience tragic accident in the early hours of the day.
You have been appointed the head of Occupational health and safety in ZQR. Report the details of the accident to management using the form below. Appraise management on the need to adopt health and safety practices in an organization.

  ACCIDENT/INCIDENT INVESTIGATION

REPORT FORM

During the early morning hours, customers arrive at a branch post office at an average rate of 45 per hour (Poisson), while clerks can handle transactions in an average time (exponential) of 4 minutes each.

Fill in the following information:

Lq = Avg Number in Line

Wq = Avg Time in Line

Ws = Avg Time in System

For M = 7:

Lq = 0.028

Wq = 0.0006 Hours

Wq = 0.0373 Minutes

Ws = 4.0373 Minutes

For M = 6:

Lq =

Wq = Hours

Wq = 0.132 Minutes

Ws = Minutes

For M = 5:

Lq =

Wq = 0.00787 Hours

Wq = Minutes

Ws = 4.472 Minutes

For M = 4

Lq =

Wq = 0.03396 Hours

Wq = Minutes

Ws = Minutes

Format your answers as x.xxx

The minimum number of clerks needed to keep the average time in the system to under 5 minutes =