You’d like to buy a small ranch when you retire in 40 years. You estimate that in 40 years you’ll need $7 million to do so. If your savings can earn 1.1% per month, how much will you need to save each month (for 40 years), starting next month, in order to reach your goal? Round to the nearest cent. ​[Hint: Note that the question gives us the monthly interest rate. This is the periodic rate, which is i/m in our formulas. Don't divide it by m again when plugging in the formula.]

Starting at the end of this year, you plan to make annual deposits of $8,000 for the next 10 years followed by deposits of $9,000 for the following 10 years. The deposits earn interest of 7.0%. What will the account balance be by the end of 25 years? Round to the nearest cent. ​[Hint: There are two annuities. Convert them to single cash flows using the FV annuity formula, then move the values to the end of year 25.]

Following her 18th birthday, Madison began investing $50 at the end of each week in an account earning 4% per year. She plans to continue making weekly investments until she turns 68. If she hadn't started investing until she turned 60, how much would she have to invest each week in order to have the same retirement nest egg at age 68? Round to the nearest cent. ​[Hint: Find the size of the retirement nest egg under the first long horizon scenario, then use that number to solve for CF under the short investment horizon scenario.]

One measure of the health of a national economy is how quickly it creates jobs. One aspect of this issue is the number of jobs individual hold. As   part of a study on job tenure, a survey was conducted wherein Americans aged between 17 and 45 were asked how many jobs they have hold in their lifetimes. Also recorded were gender and educational attainment. The categories are

     Less than high school (E1)

     High school (E2)

     Some college/university but not degree   (E3)

     At least one university    (E4)

    File: Comparing the Lifetime Number of Jobs by Educational Level (Organize

        Data by Gender and Education)

          A. Test to determine whether there is interaction between gender and education

               in holding jobs.                                                                                     

          B. Test to determine whether there are differences in holding jobs between men

                and women.

           C. Test to determine whether there are differences in holding jobs between the

                educational levels.

1. Calculate the weighted averages for two additional used cars using the weights given in the table below.

Make sure that you fill in each answer area before checking "How Did I Do?".

1. Weighted average for Car 4:  
2. Weighted average for Car 5:   

• In your weighted average equations in the problem above, how many total weights are used?
  
  
  
• For each category, what percent of the total weights are represented by the category weights? Enter your answers in the table.
  

  	New Weights as a Percentage of Total Weights
  Reliability	%
  Gas Mileage	%
  Interior Features/Comfort	%
  Cargo Space	%

  
  
• In the tables below, multiply each category’s percentage weight by its rating, and add up the four amounts.
  

  	Percentage Weights (written as a decimal)		Car 4 Ratings
  Reliability		×	7	=
  Gas Mileage		×	5	=
  Interior Features/Comfort		×	8	=
  Cargo Space		×	6	=
  Total

  
  
  

  	Percentage Weights (written as a decimal)		Car 5 Ratings
  Reliability		×	6	=
  Gas Mileage		×	7	=
  Interior Features/Comfort		×	7	=
  Cargo Space		×	8	=
  Total

  
  
• Write an equation for the weighted average using the percentage weights as decimals. Use the following variables to represent the individual rating in each category: R= Reliability; G= Gas Mileage; I= Interior Features/Comfort; C= Cargo Space.
  
  Weighted average =

a. Suppose two potato chips companies (Firm 1 and Firm 2) face a market in which two new favors of chips (Spicy and Cheese) can be successfully introduced on the condition that each favor is introduced by only one firm. The payoffs are indicated as below.

(Note: Firm 1’s payoff is entered before the comma, and Firm 2’s payoff is entered after the comma.)

i.What are the dominant strategies for Firm 1 and Firm 2 respectively?

ii. Is there any Nash equilibrium? Explain.

iii. Suppose Firm 1 can decide what strategy to play first. Draw the tree diagram and examine the Nash equilibrium (if any) of this sequential game.

b. Explain why the credit market is less efficient with the presence of asymmetric information.

A manufacturer produces both a deluxe and a standard model of an automatic sander designed for home use. Selling prices obtained from a sample of retail outlets follow.

1. The manufacturer's suggested retail prices for the two models show a $10 price differential. Use a .05 level of significance and test that the mean difference between the prices of the two models is $10.
   
   Develop the null and alternative hypotheses.
   H ₀ =  _d Selectgreater than 10greater than or equal to 10equal to 10less than or equal to 10less than 10not equal to 10Item 1  
   H _a =  _d Selectgreater than 10greater than or equal to 10equal to 10less than or equal to 10less than 10not equal to 10Item 2  
   
   Calculate the value of the test statistic. If required enter negative values as negative numbers. (to 2 decimals).
     
   
   The p-value is Selectless than .01between .10 and .05between .05 and .10between .10 and .20between .20 and .40greater than .40Item 4  
   
   Can you conclude that the price differential is not equal to $10?
   SelectYesNoItem 5  
   
2. What is the 95% confidence interval for the difference between the mean prices of the two models (to 2 decimals)? Use a t-table.
   ( ,  )

A manufacturer produces both a deluxe and a standard model of an automatic sander designed for home use. Selling prices obtained from a sample of retail outlets follow.

The manufacturer's suggested retail prices for the two models show a $10 price differential. Use a .05 level of significance and test that the mean difference between the prices of the two models is $10.

Develop the null and alternative hypotheses.
H 0 =  d Selectgreater than 10greater than or equal to 10equal to 10less than or equal to 10less than 10not equal to 10Item 1  
H a =  d Selectgreater than 10greater than or equal to 10equal to 10less than or equal to 10less than 10not equal to 10Item 2  

Calculate the value of the test statistic. If required enter negative values as negative numbers. (to 2 decimals).
  

The p-value is Selectless than .01between .10 and .05between .05 and .10between .10 and .20between .20 and .40greater than .40Item 4  

Can you conclude that the price differential is not equal to $10?
SelectYesNoItem 5  

What is the 95% confidence interval for the difference between the mean prices of the two models (to 2 decimals)? Use z-table.
( ,  )

Calcium carbide crystallizes as a cube with 1 calcium ion on each corner and one calcium ion in the center of the cell. There are 8 carbon atoms located along edges of the cell and there are two carbons internal to the cell. What is the formula of calcium carbide?

Ca₂C₃

CaC₄

CaC₃

CaC₂

CaC

Recent dividend distributed RM1. Suppose a firm is expected to increase dividends by 20% in one year and by 15% in two years. After that, dividends will increase at a rate of 5% per year indefinitely. If the required return is 20%, calculate the stock. 8 marks

Please show clear working.

Assume an investment opportunity which provides the following cash flows: 15,000$ in one year, 9,000$ in two years, 8,750$ in three years, 12,000$ in four years and 5,000$ in five years. If the relevant required rate of return for this investment is 8%, what is the investment’s value in year three?

Assume an investment opportunity which provides the following cash flows: 15,000$ in one year, 9,000$ in two years, 8,750$ in three years, 12,000$ in four years and 5,000$ in five years. If the relevant required rate of return for this investment is 8%, what is the investment’s value in year three?