Which strategy would be most helpful in enhancing the reader’s comprehension of the poem?

Howard Weiss, Inc,. is considering building a sensitive new radiation scanning device. His managers believe that there is a prob

SpyIntel [72]

Answer:

Consider the following information

Probability of ATR coming up with a competitive product is 0.35

If ATR does not come up with a competitive product and H adds an assembly line, the profit is $60,000

If it adds an assembly line and ATR adds the product, the profit is $20,000

If H adds a new assembly but ATR does not come up with a competitive product, the profit is $600,000

If ATR does not enter the market, the loss for H is $120,000

A) Expected value for the add assembly line option:

The company would get a profit of $60,000 if ATR does not come up with a competitive product. If ATR comes up with a competitive product and H adds an assembly line, the profit is $20,000.

Probability of not coming up with a product is 0.65 (1-0.35)

Calculate the value if it does not come up with a new product line and H adds an assembly line as follows:

Value if it does not come up with a new product = 0.65 x $60,000

= $39,000

Calculate the value if it comes up with a new product line and H adds an assembly line as follows:

Value if it does come up with a new product = 0.35 x $20, 000 = $7,000

Calculate the expected value as follows:

Expected value = S39000 + $7000

Expected value =$46,000

Expected value for build new plant option:

If H adds a new assembly but ATR does not come up with a competitive product, the profit is $600,000

If ATR does not enter the market, the loss for H is $120,000

Calculate the value if H adds a new assembly but ATR does not come up with a competitive product as follows:

Value if it does not come up with a new product = 0.65 x $600000

= $390, 000

Calculate the value if ATR does not enter the market:

Value if it does not compete in market = 0.35 x -$120000 = -$42, 000

Calculate the expected value as follows:

Expected value= $390,000 - $42,000

Expected value =$348,000

The expected value of building a plant is more than the expected value of adding product line. Therefore, the best alternative is to build the plant.

B) Calculation of expected value of perfect information (EVPI):

EVPI = 0.65 x $600,000 + 0.35 x $120,000

EVPI = $390,000 + $42,000

EVPI =$432,000

Calculation of value of return:

Value of return = Value of perfect information - Maximum EMV

Value of return =$432,000 - 348,000

Value of return =$84,000

4 0

3 years ago

A $1,000 face value bond has a coupon rate of 7 percent, a market price of $989.40, and 10 years left to maturity. Interest is p

dlinn [17]

Answer:

4.95%

Explanation:

For computing the yield to maturity when expressed in real terms, first we have to find out the yield to maturity by applying the RATE formula that is shown in the attachment

Given that,

Present value = $989.40

Future value or Face value = $1,000

PMT = 1,000 × 7% ÷ 2 = $35

NPER = 10 years × 2 = 20 years

The formula is shown below:

= Rate(NPER;PMT;-PV;FV;type)

The present value come in negative

So, after solving this, the yield to maturity is 7.15%

Now in real terms, it would be

= 7.15% - 2.2%

= 4.95%

7 0

3 years ago

In basing a credit decision on the applicant's income, the credit extender must consider alimony, child support, and maintenance

andriy [413]

The credit extender needs to consider all assets and sources of income in order to make a thoughtful decision. If the applicant is receiving alimony, child support, or maintenance payments this is significant and pertinent information, so the answer is a. True.

7 0

3 years ago

A company issues $400,000 of 8%, 10-year bonds dated January 1. The bonds pay interest semiannually on June 30 and December 31 e

steposvetlana [31]

Answer: Bonds Payable 50,000

Explanation:

5 0

3 years ago

Lucretia finds herself caught between loyalty to her employer on the one hand and loyalty to a friend who works in her office on

antiseptic1488 [7]

Answer:

conflict of loyalty

Explanation:

In simple words, conflict of loyalty refers to a specific type of situation in which an individual faces a conflict of interest due to having loyalty towards two different parties which have different goals and objectives.

This scenario usually happens when someone in authority has to make a decision that can affect party he or she have personal relation or with the other party with with which that individual have a professional relation.

As per the modern theories, under such scenarios, individual in authority should favor professional relations over personal relations.

8 0

3 years ago