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adelina 88 [10]
4 years ago
9

(a) The weather forecast for the weekend is a 35% chance of rain for Saturday and a 30% chance of rain for Sunday. If we assume

that consecutive days are independent events, What is the probability that it rains over the weekend (either Saturday or Sunday)? Please use 3 decimal places.
(b) In fact, weather on consecutive days depends on similar atmospheric conditions and therefore consecutive days are not independent events.With the weather forecast of the previous exercise, the probability that it rains over the weekend (either Saturday or Sunday) is
Business
1 answer:
Alona [7]4 years ago
5 0

Answer:

Explanation:

a)

It is known that,

P(Sat) = 0.35

P(Sun) = 0.30

P(no rain on Sat) = 1 - 0.35

P(no rain on Sun) = 1 - 0.30

So P(rains on the weekend) = 1 - P(no rain on Sat) P(no rain on Sun) =

= 1 - (1-0.35)(1-0.30) = 0.545

b)

P(Sat Sun) = P(rains on Sat) P(rains on Sun) + P(rains on Sat) P(no rains on Sun)  = 0.35*0.30 + 0.35*(1-0.30) = 0.35

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Even Better Products has come out with an even better product. As a result, the firm projects an ROE of 20%, and it will maintai
TEA [102]

Answer:

Price $17

PE ratio 8.5 times

Explanation:

As per given data

ROE = 20%,

Plowback ratio = b= 0.03,

EPS = $2,

k= 12%

As plowback referr to the retentrion value, deducting its effect from EPS

Dividend= EPS × ( 1 − b ) = $2 × ( 1 −0.03 )= $1.94

Growth = ROE x b = 20% x 0.03 = 0.006 = 0.6%

Using Dividendvaluation method we will calculate the price.

Price  = Dividend  / (Rate of return - Growth rate )

Price  = $1.94  / ( 12% - 0.6% ) = $17

P / E Ratio = Price / EPS = $17 / $2 = 8.5

6 0
4 years ago
When Pat was talking with his customer about the new accounting system, his customer mentioned that she thought the new system w
amid [387]

Answer:

overcoming reservations

Explanation:

From the question we are informed about Pat who was talking with his customer about the new accounting system, his customer mentioned that she thought the new system was not going to fit into their budget. Pat explained that once her people were trained on it, it would require less time to process orders, and therefore save her money in payroll. The part of the sales presentation demonstrated in this case is an example of overcoming reservations.

Sales presentation can be regarded as sales pitch and it's a selling technique which can be explained as line of talk which is an attempts of persuading someone or something, using a planned sales presentation strategy of particular product/service which is been designed to initiate as well as close a sale of that particular product or service, example of this is overcoming reservations which is a method of persuading customers.

8 0
3 years ago
Germany is capital abundant country and Japan is labor abundant country. If computers are produced mostly by capital and beer is
wel

Answer:

If computers are produced mostly by capital and beer is produced mostly by labor, the H-O model predicts that

Germany will export computers in exchange for beer.

Explanation:

The H-O model or Heckscher-Ohlin theory is an economic model about the comparative advantages of nations in international trade.  The model tries to explain the equilibrium of trade existing between two countries that have varying specialties and natural resources.  According to the H-O model, countries export more goods and services for which they have plenty resources than they do for goods and services for which they have scarce resources.  For example, if a country has capital in abundance, it will export more of capital-intensive products while it will import labor-intensive products, because it has scarce labor resources.

6 0
3 years ago
you buy a 8%. 10 year maturity bond for 980. a year later, the bond price is 1200. assume annual coupon payments. what is the ne
DedPeter [7]

Answer:

5.16%

Explanation:

Missing word <em>"(Assume a face value of $1,000 and annual coupon payments."</em>

Current price of the bond = $980

FV = $1000

Coupon rate = 8%

Term = 10 maturity

After 1 year bond price = $1,200

Remaining life = 9 years (10-1)

New yield rate = [Coupon rate+(Maturity value-Current price) / Useful life] / [0.6*Current price + 0.4*Maturity value]

New yield rate = [1,000*8% + (1,000-1,200) / 9] / [0.6*1,200 + 0.4*1,000]

New yield rate = $57.78 / $1,120

New yield rate = 0.0515893

New yield rate = 5.16%

4 0
3 years ago
Develop an Excel worksheet simulation for the following problem. The management of Paragon Household Products is considering the
Alexxandr [17]
<h2><u>Disclamer:</u></h2>

As it ask to run simulations the values calculates will difer even if you follow the same step as I did.

Answer:

Mean Profit:  $ 4,295  

Probability of loss:  29.80%

As the product has a mean profit it will on average generate gains

but:  

as the standard deviation of the simulation was $ 7,778.40

<u>we should not invest on the product as it is to variable</u>

<u>Explanation</u>:

We are going to use the =RAND() function of excel

which, generates a random number between 0 and 1

This will be done 1,000 times 500 for the variable cost

and 500 for the demand.

Then we copy and paste this numbers to get them fixed.

Then, we convert them into actual cost and demand in units considering their distribution

using excel dist.norm.inv

Now, with this values we solve for profit on each one.

<u></u>

FOr the complexity I attached the excel file as the plataform interface cannot handle large tables.

Download xlsx
6 0
3 years ago
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