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Sergeeva-Olga [200]
3 years ago
9

Surgery U.S. insurers’ costs for knee replacement surgery range from $17,627 to $25,462. Estimate the population variance (stand

ard deviation) in cost with 98% confidence based on a random sample of 10 persons who have had this surgery. The retail costs (for uninsured persons) for the same procedure range from $40,640 to $58,702. Estimate the population variance and standard deviation in cost with 98% confidence based on a sample of 10 persons, and compare your two intervals.
Business
1 answer:
egoroff_w [7]3 years ago
7 0

Answer:

Insured persons:

Population sd = $4,391.4

Population variance = 19,284,393.96 square dollars

Uninsured persons:

Population sd = $10,123.5

Population variance = 102,485,252.3 square dollars

The cost interval for insured persons is less than that of uninsured persons.

Explanation:

Insured persons:

98% confidence interval is ($17,627, $25,462)

Lower limit = $17,627

Upper limit = $25,462

Margin of error (E) = (upper limit - lower limit) ÷ 2 = (25,462 - 17,627) ÷ 2 = 7,835 ÷ 2 = $3917.5

n = 10

degree of freedom = n-1 = 10-1 = 9

confidence level (C) = 98% = 0.98

significance level = 1 - C = 1 - 0.98 = 0.02 = 2%

critical value (t) corresponding to 9 degrees of freedom and 2% significance level is 2.821

Population sd = E×√n/t = 3917.5×√10/2.821 = $4391.4

Population variance = (population sd)^2 = ($4391.4)^2 = 19,284,393.96 square dollars

Uninsured persons:

98% confidence interval is ($40,640, $58,702)

Lower limit = $40,640

Upper limit = $58,702

Margin of error (E) = (58,702 - 40,640) ÷ 2 = 18,062/2 = $9,031

n = 10

degree of freedom = n-1 = 10-1 = 9

significance level = 2%

critical value (t) = 2.821

Population sd = E×√n/t = 9,031×√10/2.821 = $10,123.5

Population variance = ($10,123.5)^2 = 102,485,252.3 square dollars.

The cost interval for insured persons is less than than that of uninsured persons.

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Answer: Gross domestic product (GDP) is the monetary value of the market value of all final goods and services produced in a country at a specific time period.

Explanation:

Economic growth is the increase in the total output of goods and services in the economy.

Gross domestic product (GDP) is the monetary value of the market value of all final goods and services produced in a country at a specific time period. The four components of the gross domestic product (GDP) are personal consumption, business investment, government spending, and net exports (difference between export and import)

GDP = C + I + G + (X - M).

where C = consumption

I = investment

G = government expenditure

(X - M) = Net Export

The items not included in the are

1. Sales of goods produced outside the domestic borders of a country.

2. Sales of used goods.

3. Black market i.e. the illegal sales of goods and services.

4. Intermediate goods.

Nominal GDP is measure of the monetary value of all the final goods and services that are produced within a country at current market prices while Real GDP is the measure of a country’s output using the value of its goods and services, investments, government spending and exports. Real GDP is the nominal GDP and adjustment in inflation or deflation.

For example, if nominal GDP is $120,000 and the deflator is 1.4. Calculate Real GDP.

Real GDP = Nominal GDP / Deflator

= 120000 / 1.4

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In 2020, Lindon Corp. reported a discontinued operations loss of $1,300,000, net of tax. It declared and paid preferred stock di
8_murik_8 [283]

Answer:

The earnings per share would drop by -$2.17 per share

Explanation:

Firstly the EPS =LOSS/TOTAL SHAREHOLDING

In this ,=-$1300000/600000shares

In other words the EPS for the previous year when compared to the current would see a drop in value per unit of share of $2.17

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Landrum Corporation is considering investing in specialized equipment costing​ $250,000. The equipment has a useful life of 5 ye
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Answer: ARR = Average profit/Initial outlay x 100

               ARR = $19,000/$250,000 x 100

               ARR = 7.60%

The correct answer is C

               

               Depreciation = Cost - Residual value/Estimated useful life

                                       = $250,000 - $20,000/5 years

                                       = $46,000 per annum

               Average profit = Total profit/No of years

                                         = $325,000/5

                                         = $65,000

                                                                       $

              Average profit                           65,000

        Less: Depreciation                           46,000

       Average profit after depreciation   19,000

Explanation: In determining the accounting rate of return of the investment, there is need to calculate depreciation using straight line method. The amount of depreciation would be deducted from the average profit so as to obtain the average profit after depreciation. The average profit would be divided by the initial outlay in order to obtain the accounting rate of return.

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Answer:

$60,000

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In the question, there is depreciation charged for apartment building so the same is eligible

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Answer:

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Cr Interest 166,400

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Cr Service cost 245,000

Cr Interest 166,400

Explanation:

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Since we are Assuming that the plan investments was $184,300 while the service cost component is the sum of $245,000, and interest on the pension liability is the sum of $166,400 for the year this means the Journal entries to record annual pension expense for the enterprise fund of Amherst City will be:

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Cr Interest 166,400

Cr Cash 411,400

(245,000+166,400)

Dr Plan assets - pension 411,400

(245,000+166,400)

Cr Service cost 245,000

Cr Interest 166,400

4 0
3 years ago
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