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1. At a department store catalog orders counter, the average time that a customer has to wait before being served has been found to be approximately exponentially distributed, with a mean (and standard deviation) of 3.5 minutes. For a simple random sample of 36 recent customers, invoke the central limit theorem and determine the probability that their average waiting time was at least 4.0 minutes.
2. It has been reported that the average U.S. teenager sends 80 text messages per day. For purposes of this exercise, we will assume the daily number of text messages sent is normally distributed with a standard deviation of 15.0 messages. For a randomly selected group of 10 teenagers, and considering these persons to be a simple random sample of all U.S. teens, what is the probability that the group will send at least 900 text messages (i.e., a sample mean of at least 90 messages per teen) next Wednesday?
Source: healthnews.com, May 27, 2009.
Hubbard argues that the Fed can control the Fed funds rate, but the interest rate that is important for the economy is a longer-term real rate of interest. How much control does the Fed have over this longer real rate?
Coures:- Fundamental Accounting Principles: - Explain the goals and uses of special journals.
Accounting problems, Draw a detailed timeline incorporating the dividends, calculate the exact Payback Period b) the discounted Payback Period. the IRR, the NPV, the Profitability Index.
Term Structure of Interest Rates
Write a report on Internal Controls
Prepare the bank reconciliation for company.
Create a cost-benefit analysis to evaluate the project
Theory of Interest: NPV, IRR, Nominal and Real, Amortization, Sinking Fund, TWRR, DWRR
Distinguish between liquidity and profitability.
Your Corp, Inc. has a corporate tax rate of 35%. Please calculate their after tax cost of debt expressed as a percentage. Your Corp, Inc. has several outstanding bond issues all of which require semiannual interest payments.
Simple Interest, Compound interest, discount rate, force of interest, AV, PV
CAPM and Venture Capital
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