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Colt1911 [192]
3 years ago
13

Four percent of the customers of a mortgage company default on their payments. a sample of five customers is selected. what is t

he probability that exactly two customers in the sample will default on their payments?
Business
1 answer:
Maurinko [17]3 years ago
8 0
We can use the formula for binomial distribution in calculating for the probability that exactly two customers out five will default on their payments.

The formula is:   P(r) = nCr*q^(n-r)*p^r   
Where:
n = sample size, 5
r = successes, 2
q = failure rate, 96% = 0.96
r = success rate, 4% = 0.04  

Substituting on the formula:
P = 5C2*0.96^3*0.04^2 
<span>P = 0.0142 or 1.42%</span>
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Answer:

4) The transaction will be treated as a short-term capital asset sale.

Explanation:

This person engaged in a short sale, which is classified as a short term capital asset sale since the holding period was shorter than 1 year (March 15 - December 21).

A short sale takes place when an investor sells property that he either doesn't own, or owns but doesn't want to sell. This sale is done in two steps:

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The investor cannot realize any gain or loss until he/she actually returns the stocks to the lender. If the investor managed to buy the stocks at a lower price, he/she will have realized a capital gain.

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3 years ago
If own price elasticity of demand for your market is -1.2, and your marginal cost is flat at 10, what is the optimal price for y
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Answer: $60

Explanation:

The optimal price for a monopoly firm is expressed by;

Price = Marginal Cost * ( Own Price Elasticity/ (1 + Own Price Elasticity))

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Price = 10 * (-1.2/-0.2)

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8 0
3 years ago
Scenario D.1 Jerry Allison is in charge of production for a small producer of plumbing supplies. The cricket model has an estima
KonstantinChe [14]

Answer:

Scenario D.1

Jerry Allison Plumbing Supplies:

Time between production runs = 2.25 days.

Explanation:

With EOQ = 12,000 and working days of 300 per annum

The company can produce 40 units (12,000/300) per day, producing on all the days.

But since the production rate is 90 units per day for the economic production lot size, this can be produced in 133 days (12,000/90).  This leaves 167 days as free of production.

Therefore, the company can produce every 2.25 days (90/40), this will give 133 days of production (300/2.25).  The time between production runs is therefore 2.25 days.  This can be converted into hours, and stated as: the next production run starts after every 54 hours.

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No, If i were the sponser I'd not approve to change the scope.

Refer below for brief explanation.

Explanation:

Very few projects are completed on a scope that is decided at the first time.

When i was working in Software house and was in the team of web development, I was responsible for the front end development. Unfortunately my client was the person whose scope changes every month and the result that lapse the time, requirements change, cost changes.

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Which element of internal control deals with establishing procedures for things such as handling of incoming checks, and which e
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