Suppose you own a house where you live and a condo for rent. The
monthly rent is $1,600 and you will get it at the
end of each month. Yet you have to pay maintenance fees and
insurance premium. They are
$600 per month in total. The property tax is proportional to the
(present) value of the property.
The tax rate is 0.1% per month and you pay the tax every month on
the last day of each month
with maintenance fees and insurance premium. Assume there is no
depreciation
and the condo will generate the same cash-flows forever. The first
net cash flow is one month
from now. The discount rate is 0.2% per month, compounded monthly.
What is the fair price of
the condo using the present value formula?
In: Finance
In: Physics
Allocating the Transaction Price. HeavyEQ produces large conveyor belt systems for heavy manufacturing. HeavyEQ signs a $2 million fixed-price contract under which it makes three promises:
REQUIRED
a. Allocate the transaction price to the performance obligations.
b. Reallocate the transaction price under the notion that HeavyEQ has no reasonable basis for determining the fair value of the servicing because the conveyor system is of such a unique nature that the servicing activities are highly variable and uncertain
In: Advanced Math
|
Month |
Sales |
Month |
Sales |
|
|
1 |
195 |
13 |
155 |
|
|
2 |
210 |
14 |
120 |
|
|
3 |
190 |
15 |
135 |
|
|
4 |
170 |
16 |
110 |
|
|
5 |
180 |
17 |
122 |
|
|
6 |
156 |
18 |
97 |
|
|
7 |
134 |
19 |
85 |
|
|
8 |
155 |
20 |
110 |
|
|
9 |
145 |
21 |
85 |
|
|
10 |
165 |
22 |
78 |
|
|
11 |
128 |
23 |
66 |
|
|
12 |
135 |
24 |
45 |
α = 0.2 and β = 0.6
In: Statistics and Probability
The following are estimates for two stocks. Stock Expected Return Beta Firm-Specific Standard Deviation A 8 % 1.00 28 % B 16 1.60 40 The market index has a standard deviation of 25% and the risk-free rate is 9%.
a. What are the standard deviations of stocks A and B? (Do not round intermediate calculations. Round your answers to 2 decimal places.)
b. Suppose that we were to construct a portfolio with proportions:
Stock A 0.25 Stock B 0.50 T-bills 0.2
5 Compute the expected return, standard deviation, beta, and nonsystematic standard deviation of the portfolio. (Do not round intermediate calculations. Enter your answer for Beta as a number, not a percent. Round your answers to 2 decimal places.)
In: Accounting
In a simple random of 400 of Deadpool fights, Deadpool breaks the Fourth Wall in 223 of them.
Colossus claims that Deadpool breaks the Fourth Wall in half of
his fights. Do we have evidence that he's mistaken at each of the
following levels?
The associated p-value for this hypothesis test is ( )? (Answers to
four places after the decimal.)
(a) At the 20% level (Yes or No?)
(b)At the 13% level (Yes or No?)
(c)At the 10% level (Yes or No?)
(d)At the 7% level (Yes or No?)
(e)At the 5% level (Yes or No?)
(f)At the 3% level (Yes or No?)
(g)At the 2% level (Yes or No?)
(h)At the 1% level (Yes or No?)
(i) At the 0.2% level (Yes or No?)
(j) At the 0.1% level (Yes or No?)
Thank you very much! I will UPVOTE this answer!
In: Statistics and Probability
Ten randomly selected mental institutions were examined to determine the effects of three different antipsychotic drugs on patients with the same type of symptoms. Each institution used one and only one of the three drugs exclusively for one year period. The proportion of treated patients in each institution who were discharged after one year of treatment were given below
Drug1 0.1 0.12 0.08 0.14
Drug2 0.12 0.14 0.19
Drug3 0.2 0.25 0.15
a. Identify the outcome variable, factor, treatment, and experimental unit.
b.Write a linear statistical model for this study, and explain the model components.
c.What is general objective of one way ANOVA?Write the assumptions necessary for an analysis of variance of the data
In: Statistics and Probability
A box contains one yellow, two red, and three green balls. Two balls are randomly chosen without replacement. Define the following events, and use them to find the conditional probabilities below.
A:{A:{ One of the balls is yellow }}
B:{B:{ At least one ball is red }}
C:{C:{ Both balls are green }}
D:{D:{ Both balls are of the same color }}
a) P(B¯¯¯¯|A)=
b) P(B¯¯¯¯|D)=
c) P(C|D)=
Suppose that E and F are events in the sample space with
P(E∩F)=0.03, P(E|F)=0.1, and P(F|E)=0.2. Find the following
probabilities.
a) P(E)=
b) P(F)=
c) P(E∪F)=
In: Statistics and Probability
A 10 g marble slides to the left at a speed of 0.4 m/s along a frictionless surface. It has a head-on, elastic collision with a larger, 30 g marble sliding to the right at 0.2 m/s. Since the collision is head-on, all motion is along the x-axis.
a. Find the total kinetic energy AND the total momentum before the collision
b. The marbles bounce off each other elastically. Each marble has a different velocity after the collision. The lighter marble ends up with a velocity with a magnitude five times that of the heavier marble. Find the velocity of each marble after the collision.
c. Calculate the change in kinetic energy for each individual marble.
d. Calculate the change in momentum for each individual marble.
In: Physics
In the car there is a circular tray that can rotate in horizontal plane above the seat. Let the car start moving in straight direction with acceleration of 0.5 m/s^2 relative to the ground. The tray on the seat starts to rotate simultaneously with the angular velocity ω = 2πt. At this moment, a mass of m = 0.01 kg the spider starts moving in the radial direction outward from the center of the tray with V = 0.1 m / s (t=second, w=rad/sec.). The magnitude of the forces acting on the spider in the spider's reference system. Find the directions at t = 1.0 sec. and the direction of the total force and find the size. If the static friction coefficient between the spider and the tray is µ = 0.2, find the maximum distance it can travel without slipping.
In: Physics