• Based on the data collected on a typical day, what is the probability that oil change will take 15 minutes or less time? Class Interval Frequency 6 to 10 minutes 3 11 to 15 minutes 8 16 to 20 minutes 6 21 to 25 minutes 2 More than 25 Minutes 1 11/20= 55% chance that the oil change will take 15 minutes or less. • What are the characteristics of standard normal distribution? A standard normal distribution is defined as a normal distribution with the numbers 0 and 1, according to the Statistics for Business and Economics book. •
Using product offered by Continental Bank would require a higher cost for J&L, and illiquid compared with NYMEX. However, they won’t need to post a margin at the beginning of the contract. The use of a monthly average price a net would be an advantage to J&L. 3. Using the estimate of 4.5 million gallons per month, how would you construct a futures hedge for the next 12 months?
3a. What is the shortest loan (36 months, 48 months, 60 months or 72 months) that has a monthly payment within your $500 budget that will allow you to buy the $45,000 car? Answer: Through Bank of America, I found a rate of 2.99% for the 36, 48 and 60 month loans. We are able to put down 20% and will need to finance $36,000. There is no loan period for the $45,000 car that would be under our $500
AT3 Prepare financial reports Electricity cost allocation report for ANZ Warrnambool By Jennifer Dorney 05th July 2014 EXECUTIVE SUMMARY This report provides an investigation into how ANZ Warrnambool allocates electricity costs to the three core areas of its business being Retail Banking, Commercial Banking and Financial Planning for a particular reporting period. Results of the investigation have been tabled, concluding that the total cost of electricity is allocated each year to the local departments. A summary along with an analysis of how the costs have been allocated as a percentage to each department has been provided and a table detailing the methods of calculations has also been presented. INTRODUCTION This report provides
Assume that the bond is a zero coupon bond (i.e., the only payment is the one at maturity) and that company Z has no other debt outstanding. Other relevant parameters are as follows: • • • • • Company Z current asset value: €100 million Total bond issue face value: €80 million (i.e., leverage of 80%) Risk free interest rate: 2% Standard deviation of return on company Z assets: 30% Bond maturity date: one year from
However, just the same, negative reviews can reduce the demand. An example would be: “a definitive finding that the caffeine in coffee contributes to heart disease, which is currently being debated in the scientific community, could change preferences and reduce the demand for coffee.” (Principles of Economics) In this case, the price would go down. When something is in shortage for any reason, the price of the product goes up because there’s less of it to go around. For coffee in particular, droughts may affect how many beans can be harvested. The textbook says, “Storms, insect infestations, and drought affect agricultural production and thus the supply of agricultural goods.
So, 2000 = 30000/Square root of sample size. Solving for the Square root of sample size, we get Square root of sample size = 30000/2000 = 15. Taking its square, the sample size is found as 225. Chapter 9 Exercise 1 No it is not a good defense. If you choose 40 random employees from the corporation, the standard error would equal 6/Square root of 40 = .95 days.
The optional aggregate plan is shown in Table below. Total Cost = $19,032,410.71 Revenue = $55,100,000 Profit = $36,067,589 • If there is no promotion, the optional aggregate plan is shown in table below. Total Cost = $16,062,415.02 Revenue = $53,500,000 Profit = $37,437,584.98 • Observe that a price promotion in September results in a higher profit than a promotion in November, whereas no promotion results in a highest profit. As a result, if offering the discount of $10, Mintendo should not offer any price promotion 3. Suppose Sandra’s fears about increasing outsourcing costs come to fruition and the cost
Relief could have been given out for a very long time, but if nothing was done to fix what was not working, then it all would have been in vain. Overproduction was a major issue at this time, and one of the causes of the great depression. This was not just the overproduction of goods, but crops as well. This created disaster for both farmers and industrial workers which needed to be dealt with. One of the Acts that helped combat this issue was the National industrial Recovery Act, or NiRA, was passed by Congress on June 16, 1933.
Question 1 What do you think of the company’s policy of not operating ships over 15 years old? In year 15 of the ship’s life, is it better to scrap the ship or continue operating it until the ship is 25 years old? | 15 year Option | 25 year Option | Without Tax (Hong Kong) | - 1,267,880.18 | 365,810.92 | With 35% Tax (US) | - 8,670,868.98 | - 7,256,252.74 | Table 1: Net Present Values for 15 year and 25 year operation times, with and without tax Comparing the Net Present Value (NPV) without tax for 15 years and 25 years, a usage time of 25 years is recommended as the NPV for this option is higher. Assumptions made: * Initial Investments: Timing | Years passed (base for the PV calculation) | Value | 01/2001 | 0 | 3,900,000.00 | 01/2002 | 1 | 3,900,000.00 | Start of 2003 | 2 | 31,200,000.00 | * 500,000 increase in Working Capital is just required when the ships starts operating in year 3, and the salvage value at the end of the project is 500,000 * No capital expenditures are required for special surveys in the last year of operations Question 2 Assume that in year 15 the company follows the optimal strategy identified in question Should Ocean Carriers purchase the new $39m capsize? Make two different calculations: a) Assume that Ocean Carriers is a U.S. firm subject to 35% taxation.