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brown.

What factors affect the quantity of light that is needed to perform a task satisfactorily?

Describe the progression of the disease state for carpal tunnel syndrome.

The following are data on two different control response set ups. Based on this data, what is the

optimum CR ratio for each set up? Which set up would you recommend as best?

Which type of radiation is given the most attention by the safety engineer?

The worker shown below is using a 10-lb pneumatic nut runner to tighten nuts within a tractor

cab compartment. What health and safety problems are likely to result from her job? Evaluate the

job and the workstation identifying both good and bad work design features. If good, indicate the

principles of work design that

Are there possible health hazards in conjunction with electron beam machining? With laser beam

machining? Explain.

A field worker in Florida is loading orange crates into trucks. It is quite hot and humid with wet

bulb temperature = 82?F, globe temperature = 87?F, and dry bulb temperature = 82?F. It is

estimated that each lift of the 30 lb box requires 0.67 kcal of energy. He is expected to load 10

boxes/min. What is the WBGT? What

What is the purpose of using patterns for a set of dials in a control room?

When would you advocate that the company purchase aluminized clothing?

What is the increase in dBs of a noise that doubles in intensity?

You are asked to design a control/display panel for above NASA escape launch. After the initial

escape, propulsion is used to decelerate against the earth's gravitational field. The parachute can

only be released within a given, narrow altitude range. Arrange the seven displays/controls, using

the same size dials as sh

A current problem in the U.S. Army is the neck/shoulder fatigue experienced by helicopter

pilots. To be able to fly missions at night, the pilots wear night vision goggles, which are

attached to the front of the helmet. Unfortunately, these are fairly heavy, causing a large

downward torque of the head, which must be co

List at least four different formulas for calculating PV(horizon value) in a two-stage DCF

valuation of a business. For each formula, describe a situation where that formula would be the

best choice.

Sometimes real rates of return are calculated by subtracting the rate of inflation from the nominal

rate. This rule of thumb is a good approximation if the inflation rate is low. How big is the error

from using this rule of thumb to calculate real rates of return in the followingcases?

Answer this question by drawing graphs like Figure. Casper Milk toast has $200,000 available to

support consumption in periods 0 (now) and 1 (next year). He wants to consume exactly the

same amount in each period. The interest rate is 8 percent. There is no risk. a. How much should

he invest, and how much can he consu

Recalculate the NPV of the office building venture in Section 3.1 at interest rates of 5, 10, and 15

percent. Plot the points on a graph with NPV on the vertical axis and the discount rates on the

horizontal axis. At what discount rate (approximately) would the project have zero NPV? Check

your answer.

A factory costs $800,000. You reckon that it will produce an inflow after operating costs of

$170,000 a year for 10 years. If the opportunity cost of capital is 14 percent, what is the net

present value of the factory? What will the factory be worth at the end of five years?

In Section 2.1, we analyzed the possible construction of an office building on a plot of land

appraised at $50,000. We concluded that this investment had a positive NPV of $7,143 at a

discount rate of 12 percent. Suppose E. Coli Associates, a firm of genetic engineers, offers to

purchase the land for $60,000, $30,000 p

Mrs. T. Potts, the treasurer of Ideal China, has a problem. The company has just ordered a new

kiln for $400,000. Of this sum, $50,000 is described by the supplier as an installation cost. Mrs.

Potts does not know whether the Internal Revenue Service (IRS) will permit the company to treat

this cost as a tax-deductible

Look again at projects A, B, C, and D in Section 5.4. How would the linear programming setup

change if? a. Cash not invested at date 0 could be invested at an interest rate r and used at date 1.

b. Cash is not the only scarce resource. For example, there may not be enough people in the

engineering department to compl

Here are two useful rules of thumb. The â€œRule of 72â€ says that with discrete compounding

the time it takes for an investment to double in value is roughly 72/interest rate (in percent). The

â€œRule of 69â€ says that with continuous compounding the time that it takes to double is

exactly 69.3/interest rate (in perc

You have just read an advertisement stating, â€œPay us $100 a year for 10 years and we will pay

you $100 a year thereafter in perpetuity.â€ If this is a fair deal, what is the rate of interest?

Consider the following statement: â€œWe like to do all our capital budgeting calculations in real

terms. It saves making any forecasts of the inflation rate.â€ Discuss briefly.

Vernal Pool, a self-employed herpetologist, wants to put aside a fixed fraction of her annual

income as savings for retirement. Ms. Pool is now 40 years old and makes $40,000 a year. She

expects her income to increase by 2 percentage points over inflation (e.g., 4 percent inflation

means a 6 percent increase in income)

A parcel of land costs $500,000. For an additional $800,000 you can build a motel on the

property. The land and motel should be worth $1,500,000 next year. Suppose that common

stocks with the same risk as this investment offer a 10 percent expected return. Would you

construct the motel? Why or why not?

Mr. Cyrus Clops, the president of Giant Enterprises, has to make a choice between two possible

investments: The opportunity cost of capital is 9 percent. Mr. Clops is tempted to take B, which

has the higher IRR. a. Explain to Mr. Clops why this is not the correct procedure. b. Show him

how to adapt the IRR rule to

For an investment of $1,000 today, the Tiburon Finance Company is offering to pay you $1,600

at the end of 8 years. What is the annually compounded rate of interest? What is the continuously

compounded rate of interest?

You own an oil pipeline which will generate a $2 million cash return over the coming year. The

pipelineâ€™s operating costs are negligible, and it is expected to last for a very long time.

Unfortunately, the volume of oil shipped is declining, and cash flows are expected to decline by

4 percent per year. The discount r

Look again at projects E and F in Section 5.3. Assume that the projects are mutually exclusive

and that the opportunity cost of capital is 10 percent. a. Calculate the profitability index for each

project. b. Show how the profitability-index rule can be used to select the superior project.

Portfolio managers are frequently paid a proportion of the funds under management. Suppose

you manage a $100 million equity portfolio offering a dividend yield (DIV1/P0) of 5 percent.

Dividends and portfolio value are expected to grow at a constant rate. Your annual fee for

managing this portfolio is .5 percent of port

Harold Filbert is 30 years of age and his salary next year will be $20,000. Harold forecasts that

his salary will increase at a steady rate of 5 percent per annum until his retirement at age 60. a. If

the discount rate is 8 percent, what is the PV of these future salary payments? b. If Harold saves

5 percent of his s

In 1983 wealthy investors were offered a scheme that would allow them to postpone taxes. The

scheme involved a debt-financed purchase of a fleet of beer delivery trucks, which were then

leased to a local distributor. The cash flows were as follows: Calculate the approximate IRRs. Is

the project attractive at a 14 per

James and Helen Turnip are saving to buy a boat at the end of five years. If the boat costs

$20,000 and they can earn 10 percent a year on their savings, how much do they need to put

aside at the end of years 1 through 5?

Draw a figure like Figure 2.1 to represent the following situation. a. A firm starts out with $10

million in cash. b. The rate of interest r is 10 percent. c. To maximize NPV the firm invests today

$6 million in real assets. This leaves $4 million which can be paid out to the shareholders. d. The

NPV of the investm

In 1898 Simon North announced plans to construct a funeral home on land he owned and rented

out as a storage area for railway carts. (A local newspaper commended Mr. North for not putting

the cart before the hearse.) Rental income from the site barely covered real estate taxes, but the

site was valued at $45,000. Howev

Consider the following projects: a. If the opportunity cost of capital is 10 percent, which projects

have a positive NPV? b. Calculate the payback period for each project. c. Which project(s)

would a firm using the payback rule accept if the cutoff period were threeyears?

Look again at Tables 4.3 (Growth-Tech) and 4.7 (Concatenator Manufacturing). Note the

discontinuous increases in dividends and free cash flow when asset growth slows down. Now

look at your answer to Practice Question 11: Dividends are expected to grow smoothly, although

at a lower rate after year 3. Is there an error o

Halcyon Lines is considering the purchase of a new bulk carrier for $8 million. The forecasted

revenues are $5 million a year and operating costs are $4 million. A major refit costing $2

million will be required after both the fifth and tenth years. After 15 years, the ship is expected to

be sold for scrap at $1.5 mill

Calculate the NPV and rate of return for each of the following investments. The opportunity cost

of capital is 20 percent for all four investments. a. Which investment is most valuable? b.

Suppose each investment would require use of the same parcel of land. Therefore you can take

only one. Whichone?

Restate the net cash flows in Table 6.6 in real terms. Discount the restated cash flows at a real

discount rate. Assume a 20 percent nominal rate and 10 percent expected inflation. NPV should

be unchanged at +3,802, or $3,802,000.

Which would you prefer? a. An investment paying interest of 12 percent compounded annually.

b. An investment paying interest of 11.7 percent compounded semiannually. c. An investment

paying 11.5 percent compounded continuously. Work out the value of each of these investments

after 1, 5, and 20 years.

Use the discount factors shown in Appendix Table 1 at the end of the book to calculate the PV of

$100 received in: a. Year 10 (at a discount rate of 1 percent). b. Year 10 (at a discount rate of 13

percent). c. Year 15 (at a discount rate of 25 percent). d. Each of years 1 through 3 (at a discount

rate of 12percent).

P/E ratios reported in The Wall Street Journal use the latest closing prices and the last 12

monthsâ€™ reported earnings per share. Explain why the corresponding earningsâ€“price ratios

(the reciprocals of reported P/Es) are not accurate measures of the expected rates of return

demanded by investors.

Calculate the real cash flows on the 7 percent U.S. Treasury bond (see Section 3.5) assuming

annual interest payments and an inflation rate of 2 percent. Now show that by discounting these

real cash flows at the real interest rate you get the same PV that you get when you discount the

nominal cash flows at the nominal

Refer again to Practice Question 31. How would the bondâ€™s value change if interest rates fell

to 3.5 percent per year?

Vega Motor Corporation has pulled off a miraculous recovery. Four years ago, it was near

bankruptcy. Now its charismatic leader, a corporate folk hero, may run for president. Vega has

just announced a $1 per share dividend, the first since the crisis hit. Analysts expect an increase

to a â€œnormalâ€ $3 as the company

Some people believe firmly, even passionately, that ranking projects on IRR is OK if each

projectâ€™s cash flows can be reinvested at the projectâ€™s IRR. They also say that the NPV

rule â€œassumes that cash flows are reinvested at the opportunity cost of capital.â€ Think

carefully about these statements. Are they tru

Look again at Table 4.7. a. How do free cash flow and present value change if asset growth rate

is only 15 percent in years 1 to 5? If value declines, explain why. b. Suppose the business is a

publicly traded company with one million shares outstanding. Then the company issues new

stock to cover the present value of

A famous quarterback just signed a $15 million contract providing $3 million a year for five

years. A less famous receiver signed a $14 million five-year contract providing $4 million now

and $2 million a year for five years. Who is better paid? The interest rate is 10 percent.

It is sometimes argued that the NPV criterion is appropriate for corporations but not for

governments. First, governments must consider the time preferences of the community as a

whole rather than those of a few wealthy investors. Second, governments must have a longer

horizon than individuals, for governments are the

A leasing contract calls for an immediate payment of $100,000 and nine subsequent $100,000

semiannual payments at six-month intervals. What is the PV of these payments if the annual

discount rate is 8 percent?

Why is a reputation for honesty and fair business practice important to the financial value of the

corporation?

Does the following manifesto make sense? Explain briefly. Weâ€™re a darn successful

company. Our book rate of return has exceeded 20 percent for five years running. Weâ€™re

determined that new capital investments wonâ€™t drag down that average.

You believe that next year the Superannuation Company will pay a dividend of $2 on its

common stock. Thereafter you expect dividends to grow at a rate of 4 percent a year in

perpetuity. If you require a return of 12 percent on your investment, how much should you be

prepared to pay for the stock?

In real life the future health of the economy cannot be reduced to three equally probable states

like slump, normal, and boom. But weâ€™ll keep that simplification for one more example.

Your company has identified two more projects, B and C. Each will require a $5 million outlay

immediately. The possible payoffs at yea

Compost Science, Inc. (CSI), is in the business of converting Bostonâ€™s sewage sludge into

fertilizer. The business is not in itself very profitable. However, to induce CSI to remain in

business, the Metropolitan District Commission (MDC) has agreed to pay whatever amount is

necessary to yield CSI a 10 percent book re

Define the market capitalization rate for a stock. Does it equal the opportunity cost of capital of

investing in the stock?

Discuss the following statement: â€œWe donâ€™t want individual plant managers to get

involved in the firmâ€™s tax position. So instead of telling them to discount after-tax cash flows

at 10 percent, we just tell them to take the pretax cash flows and discount at 15 percent. With a

35 percent tax rate, 15 percent pretax

A two-year bond pays a coupon rate of 10 percent and a face value of $1,000. (In other words,

the bond pays interest of $100 per year, and its principal of $1,000 is paid off in year 2.) If the

bond sells for $960, what is its approximate yield to maturity?

Norman Gerrymander has just received a $2 million bequest. How should he invest it? There are

four immediate alternatives. a. Investment in one-year U.S. government securities yielding 5

percent. b. A loan to Normanâ€™s nephew Gerald, who has for years aspired to open a big

Cajun restaurant in Duluth. Gerald had arran

Look one more time at Table 4.1, which applies the DCF stock valuation formula to Fledgling

Electronics. The CEO, having just learned that stock value is the present value of future

dividends, proposes that Fledgling pay a bumper dividend of $15 a share in period 1. The extra

cash would have to be raised by an issue of

Siegfried Basset is 65 years of age and has a life expectancy of 12 more years. He wishes to

invest $20,000 in an annuity that will make a level payment at the end of each year until his

death. If the interest rate is 8 percent, what income can Mr. Basset expect to receive each year?

In 1880 five aboriginal trackers were each promised the equivalent of 100 Australian dollars for

helping to capture the notorious outlaw Ned Kelley. In 1993 the granddaughters of two of the

trackers claimed that this reward had not been paid. The prime minister of Victoria stated that, if

this was true, the government

Each of the following statements is true. Explain why they are consistent. a. When a company

introduces a new product, or expands production of an existing product, investment in net

working capital is usually an important cash outflow. b. Forecasting changes in net working

capital is not necessary if the timing of al

We said that maximizing value makes sense only if we assume well-functioning capital markets.

What does â€œwell-functioningâ€ mean? Can you think of circumstances in which

maximizing value would not be in all shareholdersâ€™ interests?

You are considering the purchase of an apartment complex that will generate a net cash flow of

$400,000 per year. You normally demand a 10 percent rate of return on such investments. Future

cash flows are expected to grow with inflation at 4 percent per year. How much would you be

willing to pay for the complex if it?

Respond to the following comments: a. â€œI like the IRR rule. I can use it to rank projects

without having to specify a discount rate.â€ b. â€œI like the payback rule. As long as the

minimum payback period is short, the rule makes sure that the company takes no borderline

projects. That reduces risk.â€

Take another look at investment opportunity (d) in Practice Question 7. Suppose a bank offers

Norman a $600,000 personal loan at 8 percent. (Norman is a long-time customer of the bank and

has an excellent credit history.) Suppose Norman borrows the money, invests $1 million in real

estate opportunity (d) and puts the r

In August 1994 the Wall Street Journal reported that the winner of the Massachusetts State

Lottery prize had the misfortune to be both bankrupt and in prison for fraud. The prize was

$9,420,713, to be paid in 19 equal annual installments. (There were 20 installments, but the

winner had already received the first paymen

Alpha Corpâ€™s earnings and dividends are growing at 15 percent per year. Beta Corpâ€™s

earnings and dividends are growing at 8 percent per year. The companiesâ€™ assets, earnings,

and dividends per share are now (at date 0) exactly the same. Yet PVGO accounts for a greater

fraction of Beta Corpâ€™s stock price. How is

Unfortunately, your chief executive officer refuses to accept any investments in plant expansion

that do not return their original investment in four years or less. That is, he insists on a payback

rule with a cutoff period of four years. As a result, attractive long-lived projects are being turned

down. The CEO is wil

You estimate that by the time you retire in 35 years, you will have accumulated savings 0 of $2

million. If the interest rate is 8 percent and you live 15 years after retirement, what annual level

of expenditure will those savings support? Unfortunately, inflation will eat into the value of your

retirement income. Assu

a. How much will an investment of $100 be worth at the end of 10 years if invested at 15 percent

a year simple interest? b. How much will it be worth if invested at 15 percent a year compound

interest? c. How long will it take your investment to double its value at 15 percent compound

interest?

Consider the following two mutually exclusive projects: a. Calculate the NPV of each project for

discount rates of 0, 10, and 20 percent. Plot these on a graph with NPV on the vertical axis and

discount rate on the horizontal axis. b. What is the approximate IRR for each project? c. In what

circumstances should the

At the end of June 2001, the yield to maturity on U.S. government bonds maturing in 2006 was

about 4.8 percent. Value a bond with a 6 percent coupon maturing in June 2006. The bondâ€™s

face value is $10,000. Assume annual coupon payments and annual compounding. How does

your answer change with semiannual coupons and a

Crecimiento S.A. currently plows back 40 percent of its earnings and earns a return of 20 percent

on this investment. The dividend yield on the stock is 4 percent. a. Assuming that Crecimiento

can continue to plow back this proportion of earnings and earn a 20 percent return on the

investment, how rapidly will earnin

Use the annuity factors shown in Appendix Table 3 to calculate the PV of $100 in each of: a.

Years 1 through 20 (at a discount rate of 23 percent). b. Years 1 through 5 (at a discount rate of 3

percent). c. Years 3 through 12 (at a discount rate of 9percent).

How is the discounted payback period calculated? Does discounted payback solve the

deficiencies of the payback rule? Explain.

Consider the following three stocks: a. Stock A is expected to provide a dividend of $10 a share

forever. b. Stock B is expected to pay a dividend of $5 next year. Thereafter, dividend growth is

expected to be 4 percent a year forever. c. Stock C is expected to pay a dividend of $5 next year.

Thereafter, dividend gr

Calculate the IRR (or IRRs) for the following project: For what range of discount rates does the

project havepositive-NPV?

Icarus Air has one million shares outstanding and expects to earn a constant $10 million per year

on its existing assets. All earnings will be paid out as dividends. Suppose that next year Icarus

plans to double in size by issuing an additional one million shares at $100 a share. Everything

will be the same as before b

Consider the following capital rationing problem: Set up this problem as a linearprogram.

How much will you have at the end of 20 years if you invest $100 today at 15 percent annually

compounded? How much will you have if you invest at 15 percent continuously compounded?

Ms. Smith is retired and depends on her investments for retirement income. Mr. Jones is a young

executive who wants to save for the future. They are both stockholders in Airbus, which is

investing over $12 billion to develop the A380, a new super-jumbo airliner. This

investmentâ€™s payoff is many years in the future. A

As winner of a breakfast cereal competition, you can choose one of the following prizes: a.

$100,000 now. b. $180,000 at the end of five years. c. $11,400 a year forever. d. $19,000 for

each of 10 years. e. $6,500 next year and increasing thereafter by 5 percent a year forever. If the

interest rate is 12 percent,

An oil well now produces 100,000 barrels per year. The well will produce for 18 years more, but

production will decline by 4 percent per year. Oil prices, however, will increase by 2 percent per

year. The discount rate is 8 percent. What is the PV of the wellâ€™s production if todayâ€™s

price is $14 per barrel?

What is the net present value of a firmâ€™s investment in a U.S. Treasury security yielding 5

percent and maturing in one year?

Kangaroo Autos is offering free credit on a new $10,000 car. You pay $1,000 down and then

$300 a month for the next 30 months. Turtle Motors next door does not offer free credit but will

give you $1,000 off the list price. If the rate of interest is 10 percent a year, which company is

offering the better deal?

In March 2001, Fly Paperâ€™s stock sold for about $73. Security analysts were forecasting a

long-term earnings growth rate of 8.5 percent. The company was paying dividends of $1.68 per

share. a. Assume dividends are expected to grow along with earnings at g = 8.5 percent per year

in perpetuity. What rate of return r w

In Figure the sloping line represents the opportunities for investment in the capital market and

the solid curved line represents the opportunities for investment in plant and machinery. The

companyâ€™s only asset at present is $2.6 million in cash. a. What is the interest rate? b. How

much should the company invest

Refer back to Section 3.2. If the rate of interest is 8 percent rather than 10 percent, how much

would our benefactor need to set aside to provide each of the following? a. $100,000 at the end

of each year in perpetuity. b. A perpetuity that pays $100,000 at the end of the first year and that

grows at 4 percent a year.

A factory costs $400,000. You reckon that it will produce an inflow after operating costs of

$100,000 in year 1, $200,000 in year 2, and $300,000 in year 3. The opportunity cost of capital is

12 percent. Draw up a worksheet like that shown in Table 3.1 and use tables to calculate

theNPV.

a. If the one-year discount factor is .88, what is the one-year interest rate? b. If the two-year

interest rate is 10.5 percent, what is the two-year discount factor? c. Given these one- and two-

year discount factors, calculate the two-year annuity factor. d. If the PV of $10 a year for three

years is $24.49, what i

The present value of investing in a stock should not depend on how long the investor plans to

hold it. Explain why.

Each of the following formulas for determining shareholdersâ€™ required rate of return can be

right or wrong depending on the circumstances: For each formula construct a simple numerical

example showing that the formula can give wrong answers and explain why the error occurs.

Then construct another simple numerical exa

Look again at the project cash flows in Practice Question 6. Calculate the modified IRR as

defined in footnote 5 in Section 5.3. Assume the cost of capital is 12 percent. Now try the

following variation on the modified IRR concept. Figure out the fraction x such that x times C1

and C2 has the same present value as (min

Refer back to the story of Ms. Kraft in Section 3.1. a. If the one-year interest rate were 25

percent, how many plays would Ms. Kraft require to become a millionaire? b. What does the

story of Ms. Kraft imply about the relationship between the one year discount factor, DF1, and

the two-year discount factor, DF2?

Explain why the discount rate equals the opportunity cost of capital.

Look again at the financial forecasts for Growth-Tech given in Table 4.3. This time assume you

know that the opportunity cost of capital is r = .12 (discard the .099 figure calculated in the text).

Assume you do not know Growth-Techâ€™s stock value. Otherwise follow the assumptions

given in the text. a. Calculate the

If the interest rate is 7 percent, what is the value of the following three investments? a. An

investment that offers you $100 a year in perpetuity with the payment at the end of each year. b.

A similar investment with the payment at the beginning of each year. c. A similar investment

with the payment spread evenly ove

Borghia Pharmaceuticals has $1 million allocated for capital expenditures. Which of the

following projects should the company accept to stay within the $1 million budget? How much

does the budget limit cost the company in terms of its market value? The opportunity cost of

capital for each project is 11percent.

A company that ranks projects on IRR will encourage managers to propose projects with quick

paybacks and low up-front investment. Is that statement correct? Explain.

Show that your answers to Practice Question 7 are consistent with the rate of return rule for

investment decisions.

Respond to the following comments. a. â€œMy companyâ€™s cost of capital is the rate we pay

to the bank when we borrow money.â€ b. â€œNet present value is just theory. It has no

practical relevance. We maximize profits. Thatâ€™s what shareholders really want.â€ c.

â€œItâ€™s no good just telling me to maximize my st

The Titanic Shipbuilding Company has a non-cancelable contract to build a small cargo vessel.

Construction involves a cash outlay of $250,000 at the end of each of the next two years. At the

end of the third year the company will receive payment of $650,000. The company can speed up

construction by working an extra shi

For an outlay of $8 million you can purchase a tanker load of bucolic acid delivered in

Rotterdam one year hence. Unfortunately the net cash flow from selling the tanker load will be

very sensitive to the growth rate of the world economy: a. What is the expected cash flow?

Assume the three outcomes for the economy

Rework Table 4.1 under the assumption that the dividend on Fledgling Electronics is $10 next

year and that it is expected to grow by 5 percent a year. The capitalization rate is 15percent.

The constant-growth DCF formula is sometimes written as where BVPS is book equity value per

share, b is the plowback ratio, and ROE is the ratio of earnings per share to BVPS. Use this

equation to show how the price-to-book ratio varies as ROE changes. What is price-to-book

when ROE = r?

A random sample of 10 subjects have weights with a standard deviation of 10.3136kg. What is

the variance of theirâ€‹ weights? Be sure to include the appropriate units with the result.

Assume that Selling Division and Buying Division are both owned by Overall Corporation.

Selling Division sells a product that is used by Buying Division and outside customers. Selling

Division has 28,000 units of excess capacity. Selling Division currently sells the product for $25

per unit and Buying Division currentl

Describe/Explain at least two steps you could take to check whether or not a dataset is normally

distributed.

Make a chart of the U.S. current account deficit, both in absolute $ value and as a share of GDP

from 1990 to present. Find the most recent estimate of the U.S. current account deficit for the

next two quarters (Note: depending on the availability of actual data. If actual data is available

up to the third quarter of 2

1. Gamebox, a seller of video-gaming systems, games and online gaming subscriptions, recently

made available a coupon that allows its gaming subscription members to extend their

subscriptions by three months at no charge. Subscribers need only to login to the website using

their user name and password and provide the c

What is the peace dividend (relapsing resources from militancy purposes) from reducing outpur

from OG to OE? More consumer goods of 0F More consumer goods of 0A More consumer

goods of 0A-0D. According to the figure below, OUTPUT OF MILITARY GOODS (units per

year)

DeMarcus Industries manufactures a part used in several models of its automatic dishwashers.

Monthly production costs for 5,000 units are: Direct materials.........................$40,000 Direct

labour..............................10,000 Variable support costs...................25,000 Fixed support

costs...........

A set of 200 independent patients take antiacid medication at the start of symptoms, and 80

experience moderate to substantial relief within 90 minutes. Historically, 30% of patients

experience relief within 90 minutes with no medication. If the medication has no effect,

approximate the probability that 80 or more pati

Fad City sells novel clothes that are subject to a great deal of price volatility. A recent item that

cost $22.00 was marked up $12.60, marked down for a sale by $5.40 and then had a markdown

cancellation of $3.10. The latest selling price is: a) $32.30. b) $37.70. c) $27.40. d) $32.26.

1. Department G had 3,600 units 25% completed at the beginning of the period, 11,000 units

were completed during the period; 3,000 units were 20% completed at the end of the period, and

the following manufacturing costs debited to the departmental work in process account during

the period: Work in process, beginning o

How should the cost of quality be factored into the project budget process?

Ginja, a U.S. citizen, leaves the U.S. at 5:00 PM on July 31, 2016 and arrives in Portugal at

11:00 AM the next day. Right away, she establishes a permanent residence in Portugal and

maintains that permanent residence until she leaves to return her residence to the U.S. at 8:00 PM

on July 1, 2018. During her residence

A Job-shop manufacturer that specializes in replacement parts has no forecasting system in place

and manufactures products based on last month's sales. 24 months of data are available as given

in the following Table. Month______________ Sales Jan-05........................430

Feb............................420 Mar.

A trader in the futures market does not need to hold his or her position open until the delivey)

month. Suppose that Selina has an open short position in five CBOT July corn futures contracts.

What must she do to close out her position prior to July? A. None of the other answers is correct.

B. Enter a short positio

A friend of yours has left his job and must transfer his 401(k) plan to an IRA. He is 40 years old

and has $100,000 saved in his 401(k$ plan. Your friend has visited 3 different brokers and has

received 3 different recommendations. The recommendations are listed below. Explain why each

recommendation might not be a goo

When cash is debited for rents that are collected but are not yet earned, the amount credited

should be A. recognized as revenue when collected B. presented as a liability until earned C.

recorded as an asset until earned D. presented as a separate item in stockholders' equity

Portsmouth Company makes upholstered furniture. Its only variable cost is direct materials. The

demand for the company's products far exceeds its manufacturing capacity. The bottleneck (or

constraint) in the production process is upholstery labor-hours. Information concerning three of

Portsmouth's upholstered chairs ap

Based the data in Table 1, what is a reasonable range for the PNC's cost of common equity based

on the own-bond-rate-plus-risk-premium approach? What are some ways this risk premium can

be estimated? Also, discuss the pros and cons of this method. Table 1 below: Table 1. Data Used

in the Analysis Bond Data. Two dolla

An open (from the top) rectangular tank 3 m long, 2.5 m wide and 1.25 m deep is completely

filled with water (Ï=1000 kg m-3). If the tank is moved with an acceleration of 1.5m/s2, find

the quantity of water (in liters) which will spill out of the tank.

Workers waiting for jobs to open up is most closely associated with a. cyclical unemployment. b.

frictional unemployment. c. seasonal unemployment. d. structural unemployment.

Assume that the following data relative to Kane Company for 2010 is available: Net Income

$2,100,000 Transactions in Common Shares Change Cumulative Jan. 1, 2010, Beginning

number 700,000 Mar. 1, 2010, Purchase of treasury shares (60,000) 640,000 June 1, 2010, Stock

split 2-1 640,000 1,280,000 Nov. 1, 2010, Issua

scope limitations. What reporting options are available to auditors when scope limitations are

encountered during the engagement?

In Drosophila, the genes sr (stripe thorax) and e (ebony body) are located at 62 and 70 cM,

respectively, from the left end of chromosome 3. A striped female homozygous for e+ was mated

with an ebony male homozygous for sr+. All the offspring were phenotypically wild-type (gray

body and unstriped). (a) What kind of g

Mendel did not know of the existence of chromosomes. Had he known, what change might he

have made in his Principle of Independent Assortment?

Does this description of Thor Industries sound more like a functional, product, geographic, or

customer structure, or some combination of these? Explain. Is Thor Industries highly centralized

or decentralized? Explain

Criminalist Frank Mortimer is using digital imaging to enhance latent fingerprints. Indicate

which features of digital imaging he would most likely use for each of the following tasks: a.

Isolating part of a print and enlarging it for closer examination b. Increasing the contrast between

a print and the background

Ramon has decided to make his $95,000 gift to the American Heart Association in the form of

cash. However, he is considering delaying his gift until next year when his AGI will increase to

$300,000 and he will be in the 33% income tax bracket, an increase from his current-year income

tax bracket of 28%. Assume a 6% dis

Dee is paid $1,345 on November 8, 2015. Dee had cumulative gross earnings, including

overtime pay, of $117,200 prior to this pay. Round your answers to the nearest cent. a. The

amount of OASDI taxes to withhold from Dee's pay is ? b. The amount of HI taxes to withhold

from Dee's pay is?

(a) Use the arc-approximation formula to calculate the price-elasticity of demand coefficient of a

firm's product demand between the (quantity, price) points of (10, $20) and (14, $16). (b)

Calculate the cross-price elasticity of demand coefficient of a firm's product X, given that a 10%

increase in the price of its c

A bamboo plant is growing 1 foot per day. When you first measure it, it is 4 feet tall. Write an

equation to describe the height y, in feet, of the bamboo plant x days after you measure it. What

is the y-intercept? What is the meaning of the y-intercept in this problem?

When it comes to punctuation, you will use commas and periods most frequently. A good writer,

however, needs to know how to use colons and semicolons as well. These two punctuation marks

might look similar, but they serve different purposes. Determine which punctuation rule is

illustrated by the following sentence. 1

According to the text, to minimize the risk of material misstatement, auditors seek third- party

verification of account balances by mailing customers their statements. Discuss the advantages

of positive and negative confirmations, and ascertain whether or not email and oral confirmations

are acceptable to increase cus

Given the following cost and activity observations for Smithson Company's utilities, use the

high-low method to calculate Smithson's fixed costs per month. Round variable cost per unit to

two decimal places in your calculations. a. $2,530 b. $22,800 c. $1,600 d. $50,600

When a nongovernmental not-for-profit organization spends money for the purpose for which an

external donor intended, then the expense is reported as a A. Decrease in temporarily restricted

net assets. B. Decrease in unrestricted net assets. C. Decrease in permanently restricted net

assets. D. Decrease in curre

Given the following information, determine the activity rate for setups. Round to the nearest

cent. A. $5.77 B. $5.04 C. $5.37 D. s$5.61

Frank Corporation manufactures a single product that has a selling price of $25.00 per unit.

Fixed expenses total $64,000 per year, and the company must sell 8,000 units to break even. If

the company has a target profit of $19,000, sales in units must be: a) 9,648 b) 8,760 c) 10,375 d)

10,560

For service firms such as banks and supermarkets, location decisions are critical elements of

__________ strategy.

A. marketing

B. pricing

C. promotional

D. efficiency

E. effectiveness

Discuss the purpose of using a diagnostic instrument/model to help manage change. Describe the

key aspects that an instrument/model should effectively identify or outline in order to facilitate

change.

Mallory Manufacturing produces thermal tents and sleeping bags. The company's products are in

high demand due to the quality and durability of the products. Mallory estimates it could sell 600

tents per month and 600 sleeping bags per month. Following is information for each of these

products: Tent Sleeping Bag Sell

When considering the efficient frontier, financial managers should adhere to all of the following

guidelines except: Select the projects on the leftmost sector of the possible projects Minimize

risk for a given level of return Maximize return for a given level of risk Prefer the project on the

far right side of the

In all of the following problems, use these tax rates and taxable wage: OASDI-6.2% on the first

$113,700Í¾ HI-1.45% on all taxable wages. Refer to Instruction 3-1. Crow earned $585.15

during the week ended March 1, 20--. Prior to payday, Crow had cumulative gross earnings of

$4,733.20. Round your answers to the neares

Explain why you agree or disagree with your results? Develop strategies to advance your career

using your strength.

A company is debating whether to change its cost structure so that fixed costs increase from

$300,000 to $400,000, but variable costs decrease from $5 per unit to $4 per unit. If it were to

implement the change at its current production level of 100,000, profit would not change. What

would happen to the company's profi

Describe three reasons that an immunized bond portfolio will not be perfectly hedged.

When Cynthia tries out for a job as a cheerleader for a large Southern school, she is not chosen.

Cynthia thinks it is because she is an Asian-American, even though she was born in Pittsburgh of

third-generation Asian-Americans. If Cynthia proves this is true, does she have a cause of action

under Title VII?

Consider the following information: direct materials used totaled $124,700; direct labor

amounted to $412,000; overhead was computed to be $789,600; Work in Process Inventory on

March 1, 2014, was $482,500; and Work in Process Inventory on March 31, 2014, was

$597,100. What was the cost of goods manufactured? a. $1,21

When evaluating the secondary market based upon how the securities are traded, we can divide

the market into two segments: a. A stock market and a board market. b. A bull market and a

board market. c. A broker market and a dealer market d. A primary market and a secondary

market,

Why would an increase in the minimum wage lead to less unemployment? Background In class

this week we presented the traditional textbook explanation of the minimum wage. The

minimum wage is a price floor that tends to increase