Consider the applications for home mortgages data in the file of P12_04.xlsx. Use multiple regression to develop an equation that can be used to predict future applications for home mortgages (hint: use dummy variables for the quarters and create a time variable for the quarter numbers)

Trading skills of institutional investors. Managers of stock portfolios make decisions as to what stocks to buy and sell in a given quarter. The trading skills of these institutional investors were quantified and analyzed in The Journal of Finance (April 2011). The study focused on "round-trip" trades, i.e., trades in which the same stock was both bought and sold in the same quarter. Consider a random sample of 200 round trips made by institutional investors. Suppose the sample mean rate of return is 2.95% and the sample standard deviation is 8.82%. If the true mean rate of return of round-trips is positive, then the population of institutional investors is considered to have preformed successfully.

a) Specify the null and alternative hypotheses for determining whether the population of institutional investors preformed successfully.

b) Find the rejection region for the test using alpha=0.05.

c) Interpret the value of alpha in the words of the problem.

d) Give the appropriate conclusion in the words of the problem.

Glass PLC is a manufacturing company and engaged in the business of wholesale and retail business. The following information has been provided for the quarter ended 31st October 2019. 1. Sales to Wholesale shops : Rs. 7,500,000 2. Sales to end customers : Rs. 6,000,000 3. NBT paid on imported raw materials : Rs. 35,000 4. NBT paid on services : Rs. 50,000 Compute the NBT payable for the quarter ended 31st October 2019

B. Explain the different between exempt suppliers and Zero- rated supplies with reference to Value Added Tax (VAT

C. Roshan is a resident individual and tax payer. He has failed to comply with the statutory requirement to submit an income tax return on or before the due dates. State the applicable penalties for non- compliance with reference to Inland revenue Act No. 24 of 2017.

D. Explain five withholding taxes applicable in Sri Lanka for the year of assessment 2018/19.

For the population of Marionasty agents, let X = {Gun Type} and Y = {Knife Type}.“You found that bullet,” marveled Dr. Witless, “hidden in the victim’s auditory canal?” “Alimentary, my dear Witless,” the mirthful Hopeless did grin, “alimentary!”

                                      Knives

a. Do these data provide strong evidence that the proportion of agents who carry

switchblades is less than one quarter?

i. Test the hypothesis that less than one quarter of agents carry switchblades;

ii. Find a comparable confidence interval for the proportion of agents who carry

switchblades;

iii. Compare your interval and test results.

b. Use these data to test the hypothesis that there is an association between

the types of knives and guns that Marionasty agents carry.

The management at Sage National Bank located in Key West, Florida, is calculating the key capital adequacy ratios for its third-quarter reports. At quarter-end, the bank’s total assets are $90 million and its total risk-weighted assets including off-balance-sheet items are $80 million. Tier 1 capital items sum to $4 million, while Tier 2 capital items total $2.5 million. Calculate Sage National’s leverage ratio, total capital-to-total assets, core capital-to-total risk-weighted assets, and total capital-to-total risk-weighted assets. Does Sage National meet the requirement stipulated for a bank to qualify as adequately capitalized? In which of the five capital adequacy categories created by U.S. federal regulators for PCA purposes does Sage National fall? Is Sage National subject to any regulatory restrictions given its capital adequacy category?

Your daughter just turned 4 years old. You anticipate she will start University when she turns 18. You would like to have funds in a registered education savings plan (RESP) to fund her education at that time. You anticipate she will spend 6 years in university, and it will cost $20,000 per year. She will need the $20,000 at the start of each school year. When she graduates (debt free) you would also like her to have $40,000 for a down payment on a condo or to travel. If the account promises to pay a fixed interest rate (APR) of 6% per year with monthly compounding, how much money do you have to deposit each quarter to ensure you will have enough when she starts university? Assume you will make the same deposit at the end of each quarter until she starts university.

For the population of Marionasty agents, let X = {Gun Type} and Y = {Knife Type}.“You found that bullet,” marveled Dr. Witless, “hidden in the victim’s auditory canal?” “Alimentary, my dear Witless,” the mirthful Hopeless did grin, “alimentary!”

                                      Knives

a. Do these data provide strong that the proportion of agents who carry

switchblades is less than one quarter?

i. Test the hypothesis that less than one quarter of agents carry switchblades;

ii. Find a comparable confidence interval for the proportion of agents who carry

switchblades;

iii. Compare your interval and test results.

b. Use these data to test the hypothesis that there is an association between

the types of knives and guns that Marionasty agents carry.

The quarterly sales data (number of copies sold) for a college textbook over the past three years follow. Quarter Year 1 Year 2 Year 3 1 1690 1800 1850 2 940 900 1100 3 2625 2900 2930 4 2500 2360 2615

a. Construct a time series plot. What type of pattern exists in the data?

b. Show the four-quarter and centered moving average values for this time series.

c. Compute the seasonal and adjusted seasonal indexes for the four quarters.

d. When does the publisher have the largest seasonal index? Does this result appear reasonable? Explain.

e. Deseasonalize the time series.

f. Compute the linear trend equation for the de-seasonalized data and forecast sales using the linear trend equation. g. Adjust the linear trend forecasts using the adjusted seasonal indexes computed in part (c).

EXERCISE 8–1 Schedule of Expected Cash Collections LO8–2 Silver Company makes a product that is very popular as a Mother’s Day gift. Thus, peak sales occur in May of each year, as shown in the company’s sales budget for the second quarter given below:

From past experience, the company has learned that 20% of a month’s sales are collected in the month of sale, another 70% are collected in the month following sale, and the remaining 10% are collected in the second month following sale. Bad debts are negligible and can be ignored. February sales totaled $230,000, and March sales totaled $260,000. Required:

1. Using Schedule 1 as your guide, prepare a schedule of expected cash collections from sales, by month and in total, for the second quarter.

2. What is the accounts receivable balance on June 30th?