Reference no: EM13157365
1. P&G sold its prescription drug business to Warner-Chilcott, Ltd. for $3.1 billion. If income from product sales is $2 billion per year and net profit is 20% of sales, what rate of return will the company make over a 10-year planning horizon?
2. Water damage from a major flood in a Midwestern city resulted in damages estimated at $108 million. As a result of the claimant payouts, insurance companies raised homeowners' insurance rates by an average of $59 per year for each of the 160,000 households in the affected city. If a 20-year study period is considered, what was the rate of return on the $ 108 million paid by the insurance companies?
3. U.S. Census Bureau statistics show that the annual earnings for persons with a high school diploma are $35,220 versus $57,925 for someone with a bachelor's degree. If the cost of attending college is assumed 10 be $30,000 per year for 4 years and the forgone earnings during those years are assumed 10 be $35,220 per year, what rate of return does earning a bachelor's degree represent? Use a 35-year study period. (Hint: The investment in years 1 through 4 is the cost of college plus the foregone earnings, and the income in years 5 through 35 is the difference in income between ahigh school diploma and a bachelor's degree.)
4. The Office of Naval Research sponsors a contest for college students to build underwater robots that can perform a series of tasks without human intervention. The University of Florida, with its Subju-Gator robot, won the $7000 first prize (and serious bragging rights) over 2 1 other universities. If the team spent $2000 for parts (al time 0) and the project took 2 years, what annual rate of return did the team make?
5. What is the bond coupon rate on a $25,000 mortgage bond that has semiannual interest payments of $ 1250 and a 20-year maturity date?
|
Mid-size car is normally distributed with a mean
: The MPG (Miles per Gallon) for a mid-size car is normally distributed with a mean of 32 and a standard deviation of .8. What is the probability that the MPG for a selected mid-size car would be less than 33.2.
|
|
What amount of energy is required
: What amount of energy is required to completely ionize 6.2 grams of carbon atoms in the gas phase (C(g)) if the ionization energy of C(g) is 1086 kJ/mole?
|
|
Construct a normal probability plot
: Assume that the value of X is controllable. What should be the value of X if the desired value for Y is 100. Construct a residual plot. Are the residuals random
|
|
Account in order to have funds
: Cathy wants to have $28,000 in cash 5 years from now in order to pay for improvements that must be made to her small office at that time. If Cathy finds a savings account that pays annual interest of 4.1% compounded monthly, then how much should s..
|
|
What annual rate of return did the team make
: What is the bond coupon rate on a $25,000 mortgage bond that has semiannual interest payments of $ 1250 and a 20-year maturity date?
|
|
Difference in two treatment conditions using two-tailed test
: A researcher conducts an independent measures research study and obtains t=2.070 with df=28. How many individuals participated in the entire research study?
|
|
Effective annual rate on the investment
: You buy an investment today for $9,000. You sell the investment in 120 days for $9,500. The effective annual rate on this investment is:
|
|
Barra is appearing before the house energy
: Barra is appearing before the House Energy and Commerce Committee. She apologized for the 13 deaths that GM says were caused by a faulty ignition switch, as well as for the 10 year delay between the time the problem was first discovered
|
|
How much naoh is needed each day
: NaOH + CO2 - >Na2CO3 + H2O. If the average human body discharges 716 g of CO2 per day, how much NaOH is needed each day for each person in the spacecraft? Answer in units of mol.
|