Which type of data consists of objective responses that a business can measure for market research purposes?

A University of Iowa basketball standout is offered a choice of contracts by the New York Liberty.

Ratling [72]

Answer: The lowest interest rate at which the present value of the second contract exceeds that of the first is a. 7 percent.

Explanation:

Calculating present values is a useful way to compare cases where money is to be received in the future. The higher the present value (when comparing cases where you get money), the better. To calculate it, we make use of the next formula:

$PV=\frac{C}{(1+r)^{n}}$

Where PV: Present value,

C: Cash flow at a given period,

r: Interest rate, and

n: Number of periods that will have passed (in this case, we are talking about years).

Now, since we are getting money twice in each case (the first payment one year from today, and the final payment two years from today), we can restructure our present value formula to include these two payments. We will get something like this:

$PV=\frac{C_1}{1+r}+\frac{C_2}{(1+r)^{2}}$

Notice how each fraction represents one of the payments received, with one having an 'n' of 1 year, and the other one having an 'n' of 2 years. C₁ and C₂ represent the first and the second payment, respectively.

Now that we have our completed formula, let's review each contract's present value (PV) with the lowest interest rate (7%), just to see how it turns out. Remember that 7% equals 0.07 in any formula:

Contract A) This one gives her $100,000 one year from today and $100,000 two years from today.

$PV_{A,0.07}=\frac{100000}{1+0.07}+\frac{100000}{(1+0.07)^{2}}\\PV_{A,0.07}=93457.944+87343.873\\PV_{A,0.07}=180801.817dollars$

So Contract A's present value at 7% interest rate would be equal to $180801.817.

Contract B) The second one gives her $132,000 one year from today and $66,000 two years from today.

$PV_{B,0.07}=\frac{132000}{1+0.07}+\frac{66000}{(1+0.07)^{2}}\\PV_{B,0.07}=123364.486+57646.956\\PV_{B,0.07}=181011.442dollars$

So Contract B's present value at 7% interest rate would be equal to $181011.442, which exceeds that of Contract A.

Since among our options of interest rates, 7 percent is the lowest one, and, with this taken into account, the present value of the second contract (Contract B) exceeded that of the first (Contract A), the answer is a. 7 percent.

8 0

3 years ago

A university officer wants to know the proportion of registered students that spend more than 20 minutes to get to school. He se

vlada-n [284]

Answer:

1) We need a random sample. For this case we assume that the sample selected was obtained using the simple random sampling method.

2) We need to satisfy the following inequalities:

$n\hat p =25*0.52= 13 \geq 10$

$n(1-\hat p) = 25*(1-0.52) =12 \geq 10$

So then we satisfy this condition

3) 10% condition. For this case we assume that the random sample selected n represent less than 10% of the population size N . And for this case we can assume this condition.

So then since all the conditions are satisfied we can conclude that we can apply the normal approximation given by:

$p \sim N (\hat p, \sqrt{\frac{\hat p (1-\hat p)}{n}})$

So then the answer for this case would be:

a. Yes.

Explanation:

For this case we assume that the question is: If in the experiment described we can use the normal approximation for the proportion of interest.

For this case we have a sample of n =25

And we are interested in the proportion of registered students that spend more than 20 minutes to get to school.

X = 13 represent the number of students in the sample selected that have a time more than 20 min.

And then the estimated proportion of interest would be:

$\hat p = \frac{X}{n}= \frac{13}{25}= 0.52$

And we want to check if we can use the normal approximation given by:

$p \sim N (\hat p, \sqrt{\frac{\hat p (1-\hat p)}{n}})$

So in order to do this approximation we need to satisfy some conditions listed below:

1) We need a random sample. For this case we assume that the sample selected was obtained using the simple random sampling method.

2) We need to satisfy the following inequalities:

$n\hat p =25*0.52= 13 \geq 10$

$n(1-\hat p) = 25*(1-0.52) =12 \geq 10$

So then we satisfy this condition:

3) 10% condition. For this case we assume that the random sample selected n represent less than 10% of the population size N . And for this case we can assume this condition.

So then since all the conditions are satisfied we can conclude that we can apply the normal approximation given by:

$p \sim N (\hat p, \sqrt{\frac{\hat p (1-\hat p)}{n}})$

So then the answer for this case would be:

a. Yes.

3 0

3 years ago

When deciding whether to remain in school, the relevant cost of staying in school is $?

castortr0y [4]

When expressing the relevant of cost in staying in dollar will be $22500 in whole numbers. Staying in school when you are already in college is a challenge, because you are already one step forward to your success so it its hard to stop going to school, you need to do something so that you will be able to continue your schooling.

3 0

4 years ago

Do you play fortnite mobile if so whats your usernamename

Iteru [2.4K]

Answer:

no boss

Explanation:

only garena free fire

7 0

3 years ago

Read 2 more answers

A local government has the following transactions during the current fiscal period. Prepare journal entries without dollar amoun

Arada [10]

Answer:

<h3>Journal Entries:</h3>

1. Funds Financial Statements:

b. Debit Cash Account $

Credit Bonds Payable

To record the issue of bonds to fund construction of a new municipal building.

g. Debit Motor Pool $

Credit General Fund $

To record the transfer of money to permanently finance this facility.

2. Government-wide Financial Statements:

b. Debit Cash Account $

Credit Bonds Payable

To record the issue of bonds to fund construction of a new municipal building.

d. Debit Computer( Equipment) $

Credit Suppliers Payable $

To record the receipt of a computer.

e. Debit Suppliers Payable $

Credit Cash Account $

To record the payment on account.

g. Debit Motor Pool $

Credit General Fund $

To record the transfer of money to permanently finance this facility.

h. Debit Property Taxes Receivable $

Credit Property Taxes $

To record the levying of property taxes.

i. Debit Cash Account $

Credit State Grants $

To record the collection of grants.

j. Debit Police Salaries $

Credit Cash Account $

To record the payment of salaries.

Explanation:

a) The Funds Financial Statements (FFS) report more detailed information about the major funds individually and about non-major funds in the aggregate for governmental and proprietary fund types.

b) A government-wide financial statement is a detailed summary of all the major government funds, spending in each type of governmental activities, and the surplus or deficit.

The government-wide statements bring the financial activities together in one place, by reporting economic resources-based information on the accrual basis, and organizing the information by whether it relates to governmental activities or business-type activities.

5 0

3 years ago