User Account

All Pages

Calculating the expected profit

Assignment Help Business Management
Reference no: EM131157281

Hatch Investments buys real estate, develops it and resells it for a profit. A new property is available and the President, Brian of Hatch Investments believes it will sell for $200,000. The owner will sell it to the highest bidder in excess of $130,000. There are two competitors in the auction and Hatch doesn't know what they will bid but knows that each of their bids will be uniformly distributed between $130,000 and $180,000. Simulate this process where Hatch is considering bids of $150,000, $165,000 and $180,000. Do 100 simulations on a worksheet and determine the probability Hatch is successful with each of these choices and determine the best of these three by calculating the expected profit.

Reference no: EM131157281

Questions Cloud

Calculate the present value : Compute and show your work for the following scenarios: Calculate the present value of the following lump sums: $100,000 to be received five years from now with a 5% annual interest rate
What do they say about current cultural values : What is the story and the symbolism involved with the elements in the visual message? What do they say about current cultural values?
Impact of your previous responses to your operations : Elaborate your own definition of production operations management, including manufacturing and service operations. Then, assess the implication of technology in your definition. Lastly, appraise the impact of your previous responses to your Operat..
Projected irrs and costs of capital : Harris Company must set its investment and dividend policies for the coming year. It has three independent projects from which to choose, each of which requires a $3 million investment. These projects have different levels of risk, and therefore d..
Calculating the expected profit : Do 100 simulations on a worksheet and determine the probability Hatch is successful with each of these choices and determine the best of these three by calculating the expected profit.
What information will you be able to apply to your job : What information will you be able to apply to your job or future projects? Please ensure that you post an additional response which is substantial, furthers the discussion, adds additional value, that is relevant, and does more than just reiterate..
Application on international opportunities : Companies continue to examine whether to open foreign subsidiaries, joint ventures or affiliates. For example, in 2007, Wal-Mart announced that it is in talks with partner Bharti Enterprises Pvt. about opening retail outlets in India (walmart.com)..
Describe the key themes that emerge across three theories : Analyze all articles and describe the key themes that emerge across the three theories. Develop an introduction on the background of each of your theories and discuss the advantages and disadvantages of each of the theories.
What is the dirty price of bond : You are buying a bond at a clean price of $1,140. The bond has a face value of $1,000, an 8 percent coupon, and pays interest semiannually. The next coupon payment is two month from now. What is the dirty price of this bond?

Reviews

Write a Review

Business Management Questions & Answers

  Explain how program evaluation can improve a program

Explain how program evaluation can improve a program. Consider both the manager and funder perspectives as you look for program improvement opportunities.

  Identify its consumer value proposition its revenue model

Identify its consumer value proposition, its revenue model, the market space it operates in, who its main competitors are, any comparative advantages you believe the industry possesses.

  Union management video if possible

Compute the collective bargaining process, negotiating labour agreements and resolving impasses and explain how these activities will "evolve" in the foreseeable future.

  Most important evaluation criteria

Which of the five cognitive evaluation criteria for feedback and feedback accuracy, source credibility, system fairness, expectancies, behavioral standards

  Calculating the cpi, spi and csi

A sales project at month five had an actual cost of $34,000, a planned expense of $42,000, and a value completed of $39,000. Determine the cost and schedule variance and CPI and SPI.

  Question about employee performance

Evaluating employee performance is extremely important, and most employers have timelines and standard practices for completing this component.

  Shifting one’s body continuously while seated

A. Shifting one’s body continuously while seated

  Using bitwise operators

Using bitwise operators. Now, the goal is to find prime number less than 31, which is a number -1 that a " unsigned int" variable takes in bits. Instead of using an array, let's use an" unsigned int "variable,

  What is the difference between marketing and finance

What is the difference between marketing and finance and what jobs are associated with it?

  Illustrate what basis might the federal district court

Suppose that Garner had filed his action in an Illinois state court. Could an Illinois state court exercise personal jurisdiction over Foreman or his manager? Explain why or explain why not?

  Explain what does the evolution of coke''s strategy

Explain what does the evolution of Coke's strategy tell you about the convergence of consumer tastes and preference in today's global economy?

  Define statistical process control

Define statistical process control

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

Submit Assignment

Academics

Major Subjects

Majors

Get In Touch

whatsapp: +1-415-670-9521

Phone: +1-415-670-9521

Email: [email protected]

TERMS & POLICIES

HELP & SUPPORT

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd