Part-1
Government insists the society to stop consuming the cigarettes and to protect their health.
Smoking is injurious to health is a slogan used by all the countries throughout the world in which
creating awareness among this cigarettes smokers. Cigarette causes cancer and other diseases to
the human body. Government wants to reduce the cigarette consumption, hence imposing higher
amount of tax by which increasing the price to cut the cigarette smoking. There are two methods:
attempted to achieve this objective.

First Method:
Creating awareness through advertisements in theaters, newspapers, television and other
channels, printing health warnings on cigarette pockets, and posters fixed in shops are the
various measures taken by the government to reduce the demand of the cigarettes. Based on the
government initiatives, personal healthcare issues and the taste and preferences of the smokers
are not favor for the product when the prices are constant and leads to shift the demand curve.

Government has been trying to increase the price of cigarettes by which imposing maximum tax
on the product. Higher price discourages smokers to reduce the numbers of cigarettes smoking in
a day. The demand of the product meets changes in terms of production and consumption, thus
the demand curve is to be changed.   

They have originated that a 10 percent rise in the price causes 4 percent decrease in the quantity
demanded. Youths are found to be particularly sensitive to the price of cigarettes: A 10 percent
rise in the price causes a 12 percent drop in teenage smoking. Because of increased awareness of
people towards effect of smoking there is a growth of alternative industry as a substitute to
cigarettes. i.e. Nicotine Gum, Herbal Cigarettes, Electronic Cigarettes and Acupuncture etc.

Questions:
8. There are two set of consumers on whom the effect of pricing is different. Illustrate
the difference in the two set of consumers response to price change in term of
elasticity of demand.

9-With the increase of alternatives in the market for the Cigarette will elasticity of the
product will be effected? Explain how the elasticity of the product has changed with
entry of new alternatives in the market. What was the elasticity in the past and how
it has changed in the present? (2.5 +2.5 = 5 Marks

10. Explain Cross elasticity of demand in relation to cigarettes and its substitutes in the
market. Explain the answer in relation to the case mentioned?

A firm uses corn as an input into their production of ethanol.  You require 1 bushel of corn to produce one gallon of ethanol.  Each gallon of ethanol sells for $4.  Fixed costs are $12, and you can produce and sell 10 gallons of ethanol this year.  Corporate taxes on profits follow a progressive pattern, and are as follows:

For illustrative purposes, assume that all cash flows occur at the end of the year (i.e. assume that all corn is purchased and ethanal produced and sold at the end of the year). This way, there is no adjustment for time value of money required to calculate profit.

1. If all of the above assumptions hold, what is the price of corn for which profits are maximized?  Calculate the maximum profit you can earn.

Suppose that the price of corn will follow the following distribution one year from now:

The following one-year call options are available on the price of corn.  The risk free rate is 5% compounded continuously:

The one year forward price of corn is 2.79 per bushel.

2. Given the information above, list at least 7of the possible hedging strategies that you can use to hedge against adverse fluctuations the price of corn (i.e. possible combinations of derivatives above that apply).  No calculations are required for this question, you’re answer should be a list. HINT: there are 10 in total.
3. Calculate the expected unhedged after-tax profit on the production and sale of corn.

4. Calculate the expected after-tax profit for all possible hedging strategies that you listed in part b. State which hedging strategy results in the highest expected profit.
5. Explain why reducing earnings volatility in a progressive tax environment can improve expected after-tax profit

A firm uses corn as an input into their production of ethanol.  You require 1 bushel of corn to produce one gallon of ethanol.  Each gallon of ethanol sells for $4.  Fixed costs are $12, and you can produce and sell 10 gallons of ethanol this year.  Corporate taxes on profits follow a progressive pattern, and are as follows:

For illustrative purposes, assume that all cash flows occur at the end of the year (i.e. assume that all corn is purchased and ethanal produced and sold at the end of the year).  This way, there is no adjustment for time value of money required to calculate profit.

1. If all of the above assumptions hold, what is the price of corn for which profits are maximized?  Calculate the maximum profit you can earn

Suppose that the price of corn will follow the following distribution one year from now:

The following one-year call options are available on the price of corn.  The risk free rate is 5% compounded continuously:

The one year forward price of corn is 2.79 per bushel.

2. Given the information above, list at least 7 of the possible hedging strategies that you can use to hedge against adverse fluctuations the price of corn (i.e. possible combinations of derivatives above that apply).  No calculations are required for this question, you’re answer should be a list. HINT: there are 10 in total.

3. Calculate the expected unhedged after-tax profit on the production and sale of corn.

4. Calculate the expected after-tax profit for all possible hedging strategies that you listed in part b. State which hedging strategy results in the highest expected profit.

5. Explain why reducing earnings volatility in a progressive tax environment can improve expected after-tax profit.

Goals

In this assignment you must use Java language to program the small application for a grocery buyer.

You will create meaningful utility that implements

1. simple math model for real problem;
2. design of the application logic;
3. basic user interface.

The implementation plus coding style and efficiency will be graded.

Description

The supermarket uses three pricing scenarios for the local products –

1. Monday, Wednesday, and Friday, the product A has fixed regular price of X dollars.
2. Tuesday and Thursday, the product A has price of X dollars, but you can buy three A-product items for Y dollars with 10% discount (Y = 3 * X * 90%).
3. On the weekend, the product A has price of X dollars, but you can buy two and get one for free.

Your application must calculate how much you pay for one item depending on a regular price, day of the week, and number of items.

For example, yogurt has regular price of $3. Then, if you buy 3 yogurts on Sunday your spending will be $2 per item.

It is not as simple as it first appears. Consider the following questions before programming:

1. Are price and how much you pay the same things?
2. In the scenarios 2 and 3, how much you pay for one item if you buy 4 or 5?
3. What is the money value of 1000 item if the product is priced using scenario 2?
4. Does fractional money exist?

Program requirements

1. The inputs for your program are name of the product, regular price for the product, number of items, and day of the week. You may use information from any local grocery store to create a list of 5-7 products to test your program.
2. Your program must calculate how much you pay for the one unit of the product.
3. The output must be in a form “… dollars … cents.”
4. The program must run until the user decides to quit.
5. The program must use methods and branches.
6. Rounding to the cents must be programmed (do not use standard methods).

There is no any sample run, just need a JAVA program to conform the above requirements.

Costs and Profit Maximization: Work It Out 5

Suppose Margie decides to lease a photocopier and open up a black‑and‑white photocopying service in her dorm room for use by faculty and students. Her total cost, as a function of the number of copies she produces per month, is given in the table.

c. If the lease rate on the copier were to increase by $50 per month, how would that impact Margie’s profit‑maximizing level of output?

Margie would

have to decrease output to maximize profits.

have to increase output to maximize profits.

not change her level of output.

What will she do when it is time to renew her lease?

Margie will

renew her lease since she is still making above‑normal profits despite the increase in rent.

renew her lease only if she can renegotiate the rent to its previous levels.

not renew her lease since her profits have decreased.

How would this $50 increase in the lease rate affect Margie's profit?

Margie's profit would

decrease.

increase.

stay the same.

Is there a shortcut or simpler way to get the same output in C ?

#include <stdio.h>

#include <time.h>

#include <stdlib.h>

#define OFFSET 1

#define RANGE 53

int RandomInteger(int, int);

int PrintInstructions();

int main()

{

//six integer variables

int a, b, c, d, e, f;

//one integer for num of sets

int numSets;

srand(time(NULL));

while (1)

{

int i;

numSets = PrintInstructions();

if (numSets == 0)

{

printf("* You have choosen to exit the application.\n");

break;

}

for (i = 1; i <= numSets; i++)

{

a = RandomInteger(RANGE, OFFSET);

do

{

b = RandomInteger(RANGE, OFFSET);

} while (b == a);

do

{

c = RandomInteger(RANGE, OFFSET);

} while (c == a || c == b);

do

{

d = RandomInteger(RANGE, OFFSET);

} while (d == a || d == b || d == c);

do

{

e = RandomInteger(RANGE, OFFSET);

} while (e == a || e == b || e == c || e == d);

do

{

f = RandomInteger(RANGE, OFFSET);

} while (f == a || f == b || f == c || f == d || f == e);

printf("* Set # %d of six numbers is: %d %d %d %d %d %d\n", i, a, b, c, d, e, f);

}

}

return 0;

}

int RandomInteger(int range, int offset)

{

int randomNum = rand() % RANGE + OFFSET;

return randomNum;

}

int PrintInstructions()

{

int numSets = 0;

printf("*************************************************************************\n");

printf(" Enter in the number of randomly generated sets of numbers you want or \n");

printf(" enter in a 'q' or 'Q' to quit. \n");

printf("*************************************************************************\n");

printf("* Your Input: ");

scanf("%d", &numSets);

return numSets;

}

This is my code for an array using the bubblesort in the function outside of main. My bubblesort is not working correctly , and I was told i'm missing a +j instead of +i in the function for void sorter.Can someone please help me with making my sorter work properly? everything else is fine and runs great. Thank you

#include <stdio.h>
#include <stdlib.h>
#include <time.h>

void printer(int *ptr, int length); 
void randomFill(int *ptr, int length);
void sorter(int *ptr, int length);

int main(void)

{

        int size =30;
        int array[size];
        int *myPointer;
        myPointer = array;
        int i;
        
        
        for(i =0; i<size; i++)
        {
           *myPointer = 0;
           myPointer++;
        }
           
        printf("\nArray before:\n\n");
        printer(array, size);

        
        randomFill(array, size);
        printf("\nArray after insert:\n\n");
        printer(array, size);

        
        sorter(array, size);
        printf("\nArray after sort:\n\n");
        printer(array, size);

        return 0;

}

void printer(int *ptr, int length)

{
        int i =0;
        
        for(i =0; i<length; ++i)
        printf("a[%d] = %d\n\n", i, *(ptr + i));

}

void randomFill(int *ptr, int length)

{
        srand(time(NULL));
        int i;

        for(i =0; i<length; i++)
        {
           *ptr = (rand()% (205-55+1)) + 55; 
           ptr++;
        }

}

void sorter(int *ptr, int length)

{
        int i, j, temp;
        
        for(i =0; i<length; i++)
        {
           for(j = i+1; j<length; j++)
          { 
                if(*(ptr +i) > *(ptr +j))
                {
                   temp = *(ptr + i);
                   *(ptr + i) = *(ptr + j);
                   *(ptr + j) = temp;
                }
           }
        }
}
        

A village has six residents, each of whom has accumulated savings of $100. Each villager can use this money either to buy a government bond that pays 18 percent interest per year or to buy a year-old llama, send it onto the commons to graze, and sell it after 1 year. The price the villager gets for the 2-year-old llama depends on the quality of the fleece it grows while grazing on the commons. That in turn depends on the animal’s access to grazing, which depends on the number of llamas sent to the commons, as shown in the following table: Number of llamas on the commons Price per 2-year-old llama ($) 1 125 2 119 3 116 4 113 5 111 6 109 The villagers make their investment decisions one after another, and their decisions are public.

c. The village committee votes to auction the right to graze llamas on the commons to the highest bidder. Assuming villagers can both borrow and lend at 18 percent annual interest, how much will the right sell for at auction?

Instructions: Enter your response rounded to two decimal places.

$

What will be the resulting village income?

Instructions: Enter your response as a whole number.

Village income: $

Cendana Berhad has made a profit of RM3 million last year. From those earnings, the company paid the dividend of RM2.00 on each of its 1,000,000 common shares outstanding. The capital structure of the company includes 30% debt, 20% preferred shares and 50% common shares. The corporate tax rate is 28%. The company wishes to venture into a new project and decided to use debt, preferred shares and common shares as sources of financing and still maintaining its current capital structure ratio. Based on the following information, calculate the weighted average cost of capital (WACC) of the company for taking the new project.

You are required to calculate:

i.         The market price of its common share is RM12 and dividend are expected to grow at constant rate of 6% and flotation costs on its new common shares are RM1.50 per share.

ii) The company can issue 3% dividend preferred shares at a market price of RM10 per share and flotation cost of RM1.00 per share.

iii.       The company can issue 7%, 5 years bonds that can be sold for RM1, 100 each in the market and flotation cost of RM5 per bond.

iv. WACC for taking the new project :