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Ordering problem 2

It is your responsibility, as the new head of the automotive section of Nichols Department Store, to ensure that reorder quantities for the various items have been correctly established. You decide to test on item and choose Michelin tires, XW size 185X14 BSW. A perpetual inventory system has been used, so you examine this as we

Ordering problem

The X is a standard item stocked in a company's inventory of component parts. Each year the firm, on a random basis, uses a bout 2,000 of item X, which costs $25 each. Storage costs, which include insurance and cost of capital, amount to $5 per unit of average inventory. Every time an order is placed for more item X, it costs $1

TVM problem

A car is to be paid off with a custom-made loan. $6,000 one year from now, $7,000 two years from now, and $5,000 three years from now. If interest rates are 8% what is the amount of the loan?

Reit analysis

Examine the relationship between hotel REITS and inflation as measured by the consumer price index (over a five year period).

Calculating the Variance and Standard Deviation

Question: A portfolio is made up of 75% of stock 1, and 25% of stock 2. Stock 1 has a variance of .08, and stock 2 has a variance of .035. The covariance between the stocks is -.001. Calculate both the variance and the standard deviation of the portfolio.

Multiple Choice Questions MBA Finance

1. Which of the following might be attributed to efficient inventory management? a. High inventory turnover ratio. b. Low incidence of production schedule disruptions. c. High total assets turnover. d. Statements a and c are correct. e. All of the statements above are correct. 2. Which of the following statements is

Standard deviation, covariance, rule 5 of portfolio

Reconsider the Best Candy and Sugar Beet stock market hedging. Assume that the probability distribution of the rate of return on Best Candy stock is unchanged but for Sugar Beet stock, it becomes the following: See attached document for data a) If Humanex's portfolio is half Best Candy stock and half Sugar Beet, what ar

Operations research questions, dual price, maximize the total profit contribution

Supersport Footballs, Inc., has to determine the best number of All-Pro (A), College (C), and High School (H) models of footballs to produce in order to maximize profits. Constraints include production capacity limitations (time available in minutes) in each of three departments (cutting and dyeing, sewing, and inspection and pa

Operations research questions, optimal solution, revised costs

To provide additional practice in formulating and interpreting the computer solution for linear programs involving more than two decision variables, we consider a minimization problem involving three decision variables. Bluegrass Farms, located in Lexington, Kentucky, has been experimenting with a special diet for its racehorses

Finance

(See attached file for full problem description) --- HOMEWORK CHAPTER 7 1- Use the WSJ listing to answer the following questions: Maturity Ask Rate Mo/Yr Bid Asked Yield 6.300 April 25 108:07 108:08 ----- 4.625 April 17 90:17 90:18 ----- 10.55 Apr

What is the stock price?

CK's earnings and dividends will grow at .5% monthly for the next 5 years. After that the growth will stop. For year 6 and afterward, it will pay out all earnings as dividends. Next years EPS is $10 and the dividends is $5 and the market capitalizes rate is 9%. How can I determine what CK's stock price is?

Expected Return Question 2

Explain and work in excel Expected return on the market portfolio is 17.7 percent and risk free rate is 4.1 percent. Edward Jones has a beta of 1.6. Under CAPM A. what is the expected return on Edward Jones stock B. If risk free rate decreases to 3 percent, what is the expected return on Edward Jones stock.

Discussion Board Question

Bob Brown was recently involved in a minor auto accident. His car was hit from behind, and he, in turn, slammed into the car in front of him. He would like someone to explain his coverage and show him where, in his auto policy, each of his losses might be covered. The explanation of coverage and the location of coverage should b

Expected Return problem

What is the expected return for Ross Revolutionaries if the S&P 500 went down 3% and the Treasuries yielded 6%, if its beta is 1.54? Ans: -7.86%

Finance Discussion Questions

There was an upward trend in the ratio of the book value of debt to the book value of debt and equity throughout the 1990s. Some of this was due to the repurchasing of stock. The market value ratio of debt to debt and equity exhibited no upward trend. This can be explained by ? 1. the change in the accounting rules of the pe

Financing healthcare

Consider the notion of cost containment. How has Healthcare Providers addressed issues of cost control. Include a discussion of how technology has played, and will continue to play, a role in cost control. What do you believe will be the long-term impact of these cost-control efforts.

Calculating portfolio standard deviation

If the correlation between D and E are o.5 and D has a standard deviation of 0.4 and E has a standard deviation of 0.6, what would be their comboned portfolio standard deviation if you put 40% in D? I could get the answer, however, I am thrown by the addition of the fact that 40% gets put into D, and 60% would go into E.

Collection period

On average, Truman corp. accounts receivables total $50,000,000 on annual sales of $500 million? What is Truman's average collection period? Explain in excel or other method as long as you show your work

Treasury auction

In a treasury auction of $2.5 billion par value 91 day Tbills, the following bids were submitted: bidder Bid amount Price 1 500 mill $.9940 2 750 mill $.9901 3 1.5 bill $.9925 4 1 bill $.9936 5 600 mill $.99