For several​ years, evidence had been mounting that folic acid reduces major birth defects. In a​ study, doctors enrolled women prior to conception and divided them randomly into two groups. One​ group, consisting of 2722 ​women, took daily multivitamins containing 0.8 mg of folic​ acid; the other​ group, consisting of 2107 ​women, received only trace elements. Major birth defects occurred in 31 cases when the women took folic acid and in 47 cases when the women did not. a. At the 1​% significance​ level, do the data provide sufficient evidence to conclude that women who take folic acid are at lesser risk of having children with major birth​ defects? b. Is this study a designed experiment or an observational​ study? Explain your answer.

Calculate the test ​(Round to two decimal place

BURN PLC is a North Sea (UK) oil and gas company listed on the London Stock Exchange and financed by both debt and equity. The market value of the debt on the company’s account is £60 million and the market value of equity is £40 million. Suppose the firm has a market cost of debt of 4%; a market cost of equity of 7%; and that their corporate tax rate is 20%. GREEN PLC is a Brazilian solar energy company, listed on the Brazilian Stock Exchange, also with 60% debt and 40% equity. Suppose GREEN PLC has a market cost of debt of 6%; a market cost of equity of 15%; and that their corporate tax rate is 40%; and that BURN PLC has an equity Beta of 0.8.

1. BURN PLC is considering a merger with GREEN PLC. Assume that BURN PLC is the larger company. From the perspective of BURN PLC, discuss five advantages and disadvantages of the merger

question 1: Bond A is a municipal bond and Bond B is a corporate bond. Which bond should have the higher yield to maturity?

QUESTION 2: Both A and B took out 30-year mortgages. A paid his off in 28 years. B paid hers off in 29 years. All else equal, who paid more interet? A OR B OR BOTH

Question 4

Which stock has the greatest total risk?

QUESTION 6: Investment A has a quarterly interest rate of 4%. Investment B has a monthly interest rate of 1%. Which investment has the lower EAR? A OR B OR BOTH

Provide an example of a probability distribution of discrete random variable, Y, that takes any 4 different integer values between 1 and 20 inclusive; and present the values of Y and their corresponding (non-zero) probabilities in a probability distribution table.

Calculate: a) E(Y)

b) E(Y2 ) and

c) var(Y).

d) Give examples of values of ? and ? , both non-zero, for a binomial random variable X. Use either the binomial probability formula or the binomial probability cumulative distribution tables provided in class calculate:

a) ?(? = ?0) where ?0 is an integer of your own choice satisfying 0 < ?0 < ?. b) ?(? > ?0)

e) Suggest any value, ?0, of the standard normal probability distribution (correct to two decimal places), satisfying 1.10 < ?0 < 2.5 and then calculate:

a) P(Z> −?0) and b) P (Z< 0.8?0)

1. A 3-phase, 5 kVA, 208 V, 4-pole, 60 Hz, star-connected synchronous generator has negligible stator winding resistance and a synchronous reactance of 8 Ω per phase at the rated terminal voltage. The generator is connected in parallel to a 3-phase, 208 V, 60 Hz infinite bus. All losses may be neglected.

a)   Determine the excitation voltage and the power angle when the machine is delivering rated apparent power at 0.8 PF lagging.

b)   If the field excitation is increased by 20 % without changing the prime mover power, find the stator current, power factor, and reactive power supplied by the machine.

c)   With the field current as in (a), determine the maximum power with which the generator can be supplied without losing synchronism? What are the corresponding stator current and power factor at this maximum power condition?

Part 1) Linda just sold all the shares of company A stock that she owned for $156/share. She purchased the stock one year ago for $150/share. Over the year, she received $1/share in dividend. Calculate the return on her investment.

Part 2) The interest rate on one-year Treasury-bond is 0.4%, the rate on two-year Treasury bond is 0.8%, the rate on three-year T-bond is 1.1%.

a. Compute the expected interest rate in the second year (year 2)

b. Compute the expected interest rate in the third year (year 3).

Part 3) The expected inflation rate for the next three years are estimated: 2.5% for 2020, 3.5% for 2021, and 4.2% for 2022. Calculate the inflation premiums (IP) for 1-year bond, for 2-year bond and 3- year bond.

A cola-dispensing machine is set to dispense 10 ounces of cola per cup, with a standard deviation of 0.8 ounce. The manufacturer of the machine would like to set the control limit in such a way that, for samples of 31, 5% of the sample means will be greater than the upper control limit, and 5% of the sample means will be less than the lower control limit.

1. At what value should the control limit be set? (Round z values to two decimal places. Round your answers to 2 decimal places.)

2. If the population mean shifts to 9.7, what is the probability that the change will not be detected? (Round your intermediate calculations to 2 decimal places and final answer to 4 decimal places.)

3. If the population mean shifts to 10.4, what is the probability that the change will not be detected? (Round your intermediate calculations to 2 decimal places and final answer to 4 decimal places.)

You are a CFO considering the impact that you could have on your firm if you could lower your WACC. You would like to lower your WACC by 20% of its current level. You currently have 30% debt in your capital structure with a before-tax cost of 8.5% and a beta of 0.25, and an equity cost of 15.64%. The risk-free rate is 5% and your current equity beta is 0.76. Your firm has invested in three projects, with 30% in project 1 (beta of 1.1), 30% in project 2 (beta of 0.8), and 40% in project 3 (beta of 0.2175). The tax rate is 40%. If you increase the debt in your capital structure to 90%, will you have met your goal of lowering your WACC? Show all of your work (support your answer).

You are a CFO considering the impact that you could have on your firm if you could lower your WACC. You would like to lower your WACC by 20% of its current level. You currently have 30% debt in your capital structure with a before-tax cost of 8.5% and a beta of 0.25, and an equity cost of 15.64%. The risk-free rate is 5% and your current equity beta is 0.76. Your firm has invested in three projects, with 30% in project 1 (beta of 1.1), 30% in project 2 (beta of 0.8), and 40% in project 3 (beta of 0.2175). The tax rate is 40%. If you increase the debt in your capital structure to 90%, will you have met your goal of lowering your WACC? Show all of your work (support your answer).

We aim a red (620 nm) laser onto a small screen that has two slits that are 0.1 mm apart. Each slit has a width of 0.03 mm.The light coming out of the two slits is projected onto a big screen a distance X from the slits. In the photo on the right you can see the pattern that’s visible on the big screen.Using a ruler, we determine that the distance between two adjacent bright spots is equal to 12 mm.The red laser has a wavelength of 620 nm and its beam has a circular cross section with a diameter of 0.8 mm. The power rating of the laser “1.5 mW“ (i.e. 1.5 milliwatts) which we may assume is the power of the light coming out of the laser.

1. [4 points] Calculate how many photons are being emitted by the laser each second.