1.Jared and Laura have renter’s insurance with a $500 deductible and a $20,000 coverage limit. Unfortunately, a fire destroys their apartment, requiring them to stay in a hotel for $100 a night for 10 nights. In addition, they lost $7,000 worth of property. How much will their renter’s insurance pay?

A.$7,500.

B.$7,000.

C.$6,500.

D.$8,000.

2. Jason, age 49, recently used $10,000 from his IRA to purchase his first home. Which of the following applies?

A.Jason will have to pay taxes and a penalty for taking a distribution from his account before age 59½.

B.Jason will not have to pay taxes nor a penalty since he is withdrawing money from his own IRA.

C.Jason will incur a 10% penalty for taking a distribution before age 50½, but he will not have to pay income taxes since he is a first-time homebuyer.

D.Jason will have to pay taxes on his distribution, but he will not incur an additional 10% penalty since he is a first-time homebuyer.

1. Discuss the importance of marketing activities for each of the segments listed in the previous question.
   1. Discuss and explain how important you think advertising is for each of the market segments. Provide specific examples.
   2. Discuss and explain how important you think personal sales is for each of the market segments. Provide specific examples.
   3. Discuss and explain how important you think sales promotions are for each of the market segments. Provide specific examples.
   4. Discuss and explain how important you think public relations are for each of the market segments. Provide specific examples.
2. What is the difference between Capital and Operating Budget?
3. According to the simulation manual, how can you increase the quality rating for your hotel in the simulation?
4. Explain what diminishing marginal return is. Discuss if you can use the diminishing marginal return concept when you make your expenditure decisions. Give a specific example.
5. What is a positioning map? Explain and discuss how you can use positioning maps to make better managerial decisions.

Consider the following data between number of visitors x and the amount of wildlife seen in Cheaha State Park y,

(a) Find the mean of x and the mean of y.

(b) Find the standard deviation of x and the standard deviation of y. Use Excel.

(c) Find the correlation coefficient. Use Excel. (d) Find the slope and intercept of the linear regression line. Then write down the line.

(e) Make predictions for all the values of x in the table. Then calculate the residuals.

(f) Calculate the sum of squared residuals. (g) Calculate the standard deviation of the regression.

(h) Using the mean of x and your data for x, calculate the sum of squared deviations.

(i) Write down an appropriate null and alternative hypothesis.

(j) Calculate the test-statistic.

(k) Make a prediction for when x is 470, and calculate (xp − ¯ x)2. Then make a confidence interval around your prediction.

Provide an evaluation of two proposed projects, both with 5-year expected lives and identical initial outlays of $110,000. Both of thj4ese projects involve additions to Liburdi’s high highly successful hotel product line, and as a result, the required rate of return on both projects has been established at 12 percent. The expected free cash flows from each project are as follows:

In evaluating these projects, please respond to the following questions:

1. Why is capital-budgeting process so important?
2. Why is it difficult to find exceptionally profitable projects?
3. What is the payback period on each project? If Liburdi imposes a 3-year maximum acceptable payback period, which of these projects should be accepted?

Using Excel

Data in Travel file shows the average number of rooms in a variety of U.S cities and the average room rate and the average amount spent on entertainment. A company that run events for hotel residents wants to predict the amount spent on entertainment based on room rate and number of rooms.

Run the regression analysis. Are the coefficients statistically significant? Do we need to drop one of these variable? Which variable? Interpret the slope of the estimated regression equation?

Develop the least squares estimated regression equation. The average room rate in Chicago is $128, predict the entertainment expense per day for Chicago.

1. In the following three situations, the market is initially in equilibrium. Explain the changes in either supply or demand that result from each event. After each event described below, does a surplus or shortage exist at the original equilibrium price? What will happen to the equilibrium price as a result? Demonstrate your answer graphically.
A. 2015 was a very good year for California wine-grape growers, who produced a lot of grapes.
B. After a hurricane, Florida hoteliers often find that many people cancel their upcoming vacations, leaving them with empty hotel rooms.
C. Consider the market for new snowblowers. After a heavy snowfall, many people want to buy second-hand snowblowers at the local tool shop.
2. Use a supply and demand model to explain how the following occurrence is possible.
Lobster prices usually fall during the summer peak lobster harvest season, despite the fact that people like to eat lobster during the summer more than at any other time of year.

1. Old Billie is very excited for Letecia, but she is also worried about her. So she conducts a poll of 400 Avocado Park residents who have gone on a first date in the last month and asks them if they are glad they did. Old Billie has decided that she will stop the date from happening if there is less than a 75% chance that Letecia will be happy. Hadey tells her she is being extra, so she settles on a significance level of 0.01 to be safe.
   1. Identify the population of interest.
   2. Identify the variable of interest. What type of variable is it?
   3. What would be a suitable parameter for summarizing the variable you identified in part b?
   4. Write appropriate null and alternative hypotheses for Old Billie’s research goals.
   5. What assumptions must you make to perform a test on the null hypothesis you chose in part d?
   6. Calculate the P-Value and make a decision about the null hypothesis based on it.
   7. Summarize your decision from part f.

A.) A telephone manufacturer finds that the life spans of its telephones are normally distributed, with a mean of 6.7 years and a standard deviation of 0.5 year. (Round your answers to three decimal places.)

What percent of its telephones will last at least 7.25 years?

What percent of its telephones will last between 5.8 years and 6.8 years?

What percent of its telephones will last less than 6.9 years?

B.) The amount of time customers spend waiting in line at the ticket counter of an amusement park is normally distributed, with a mean of 6.5 min and a standard deviation of 1 min.

Find the z-score for the following data value 8 min.

Find the probability that a customer will wait less than 8 minutes. (Round your answer to three decimal places.)

Find the z-score for the following data value 6 min.

Find the probability that a customer will wait less than 6 minutes. (Round your answer to three decimal places.)

The following table shows age distribution and location of a random sample of 166 buffalo in a national park.

Use a chi-square test to determine if age distribution and location are independent at the 0.05 level of significance.

(a) What is the level of significance?

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State the null and alternate hypotheses.

H0: Age distribution and location are independent.

H1: Age distribution and location are not independent.

H0: Age distribution and location are not independent.

H1: Age distribution and location are not independent.

H0: Age distribution and location are not independent.

H1: Age distribution and location are independent.

H0: Age distribution and location are independent.

H1: Age distribution and location are independent.  

(b) Find the value of the chi-square statistic for the sample. (Round the expected frequencies to at least three decimal places. Round the test statistic to three decimal places.)

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