Please use R to solve and explain fully
Market Planning, Inc., a marketing research firm, has obtained the prescription sales data in the table below for n = 20 independent pharmacies.
These variables can be described precisely as follows:
y = average weekly prescription sales over the past year (in units of $1000)
x1 = floor space (in square feet)
x2= percent of floor space allocated to the prescription department
x3 = number of parking spaces available for the store
x4 = monthly per capita income for the surrounding community (in units of $100)
x5 is an independent variable that equals 1 if the pharmacy is located in a shopping center and equals 0 otherwise (x5 is called a dummy variable)
a. Output the stepwise regression of the data in this exercise. Set, both alphaentry and alphastay equal to .15. What is the final model arrived at by stepwise regression?
b. Perform a backward elimination procedure on the same data. Describe the order in which the independent variables are removed by the backward elimination procedure.
c. Is the model arrived at by backward elimination the same as the model arrived at by stepwise regression?
|
Pharmacy |
y |
x1 |
x2 |
x3 |
x4 |
x5 |
|
1 |
22 |
4900 |
9 |
40 |
18 |
1 |
|
2 |
19 |
5800 |
10 |
50 |
20 |
1 |
|
3 |
24 |
5000 |
11 |
55 |
17 |
1 |
|
4 |
28 |
4400 |
12 |
30 |
19 |
0 |
|
5 |
18 |
3850 |
13 |
42 |
10 |
0 |
|
6 |
21 |
5300 |
15 |
20 |
22 |
1 |
|
7 |
29 |
4100 |
20 |
25 |
8 |
0 |
|
8 |
15 |
4700 |
22 |
60 |
15 |
1 |
|
9 |
12 |
5600 |
24 |
45 |
16 |
1 |
|
10 |
14 |
4900 |
27 |
82 |
14 |
1 |
|
11 |
18 |
3700 |
28 |
56 |
12 |
0 |
|
12 |
19 |
3800 |
31 |
38 |
8 |
0 |
|
13 |
15 |
2400 |
36 |
35 |
6 |
0 |
|
14 |
22 |
1800 |
37 |
28 |
4 |
0 |
|
15 |
13 |
3100 |
40 |
43 |
6 |
0 |
|
16 |
16 |
2300 |
41 |
20 |
5 |
0 |
|
17 |
8 |
4400 |
42 |
46 |
7 |
1 |
|
18 |
6 |
3300 |
42 |
15 |
4 |
0 |
|
19 |
7 |
2900 |
45 |
30 |
9 |
1 |
|
20 |
17 |
2400 |
46 |
16 |
3 |
0 |
In: Statistics and Probability
Your first job out of college will pay you $47,000 in year 1 (exactly one year from today), growing at a rate of 3.9% per year thereafter. You will also receive a one time bonus of $22,000 at the same time as your first salary. You plan to retire in 44 years (you'll receive 44 years of salary). If the applicable discount rate is 5%, what is the present value of these future earnings today? Round to the nearest cent.
In: Finance
Your first job out of college will pay you $47,000 in year 1 (exactly one year from today), growing at a rate of 3.9% per year thereafter. You will also receive a one time bonus of $22,000 at the same time as your first salary. You plan to retire in 44 years (you'll receive 44 years of salary). If the applicable discount rate is 5%, what is the present value of these future earnings today? Round to the nearest cent.
In: Finance
1) A 7% Commonwealth government bond has three years to maturity. Given that the bond pays coupons semi-annually (i.e. twice a year) and a coupon payment has just been made, what is the present value (price) of the bond if the market interest rate is 9% and the face value of the bond is $100,000?
2) You have observed the returns for an investment in Telstra shares for the last five years. This shows returns of 23%, -17%, 8%, 22% and 3%. Calculate the average return, variance, and standard deviation of these shares.
3) You own a portfolio that is invested as follows: $11,600 in shares of Rendezvous hotel, $7,800 in shares of Crown Plaza, $14,900 in shares of Carlton & United Breweries, and $3,200 in shares of Domino’s Pizza . What is the portfolio weight of shares of Carlton & United Breweries?
4) One year ago, you bought a share for $36.48. You received a dividend of $1.62 per share last month and sold the share today for $40.18. What is the capital gains yield on this investment?
In: Finance
Select a company of your choice, Aflac, and write a six to eight (6-8) page paper in which you:
1.Evaluate a company’s recent (with in the last year) actions dealing with risk and uncertainty.
2.Offer advice for improving risk management.
3.Examine an adverse selection problem your company is facing and recommend how it should minimize its negative impact on transactions.
4.Determine the ways your company is dealing with the moral hazard problem and suggest best practices used in the industry to deal with it.
5.Identify a principal-agent problem in your company and evaluate the tools it uses to align incentives and improve profitability.
6.Examine the organizational structure of your company and suggests ways it can be changed to improve the overall profitability.
7.Use at least five (5) quality academic resources in this assignment. Note: One of your references regarding your should have been published within the last 6 months. Note: Wikipedia does not qualify as an academic resource.
In: Economics
|
You are serving on a jury. A plaintiff is suing the city for injuries sustained after a freak street-sweeper accident. In the trial, doctors testified that it will be five years before the plaintiff is able to return to work. The jury has already decided in favor of the plaintiff. You are the foreperson of the jury and propose that the jury give the plaintiff an award to cover the following: |
| (a) |
The present value of two years’ back pay. The plaintiff’s annual salary for the last two years would have been $67,000 and $70,000, respectively. |
| (b) |
The present value of five years’ future salary. You assume the salary will be $73,000 per year. |
| (c) | $245,000 for pain and suffering. |
| (d) |
$40,000 for court costs. |
| Assume the salary payments are equal amounts paid at the end of each month. |
|
If the interest rate you choose is an EAR of 8 percent, what is the size of the settlement? |
In: Finance
In: Accounting
You are serving on a jury. A plaintiff is suing the city for injuries sustained after a freak street sweeper accident. In the trial, doctors testified that it will be five years before the plaintiff is able to return to work. The jury has already decided in favor of the plaintiff. You are the foreperson of the jury and propose that the jury give the plaintiff an award to cover the following: (a) The present value of two years’ back pay. The plaintiff’s annual salary for the last two years would have been $36,000 and $39,000, respectively. (b) The present value of five years’ future salary. You assume the salary will be $43,000 per year. (c) $100,000 for pain and suffering. (d) $15,000 for court costs. Assume that the salary payments are equal amounts paid at the end of each month. If the interest rate you choose is an EAR of 8 percent, what is the size of the settlement?
In: Finance
|
You are serving on a jury. A plaintiff is suing the city for injuries sustained after a freak street-sweeper accident. In the trial, doctors testified that it will be five years before the plaintiff is able to return to work. The jury has already decided in favor of the plaintiff. You are the foreperson of the jury and propose that the jury give the plaintiff an award to cover the following: |
| (a) |
The present value of two years’ back pay. The plaintiff’s annual salary for the last two years would have been $67,000 and $70,000, respectively. |
| (b) |
The present value of five years’ future salary. You assume the salary will be $73,000 per year. |
| (c) | $245,000 for pain and suffering. |
| (d) |
$40,000 for court costs. |
| Assume the salary payments are equal amounts paid at the end of each month. |
|
If the interest rate you choose is an EAR of 8 percent, what is the size of the settlement? |
In: Finance
In: Finance