Distinguish among beta (or market) risk, within-firm (or corporate) risk, and stand-alone risk for a project being considered for inclusion in the capital budget.

Distinguish between beta (or market) risk, within-firm (or corporate) risk, and stand-alone risk for a project being considered for inclusion in the capital budget. Which type of risk do you believe should be given the greatest weight in capital budgeting decisions? Explain.

Define (a) sensitivity analysis, (b) scenario analysis, and (c) simulation analysis. If GE were considering two projects (one for $500 million to develop a satellite communications system and the other for$30,000 for a new truck), on which would the company be more likely to use a simulation analysis?

How much interest are you paid after six months if you buy a 4 percent, 10-year, $1000 par value corporate bond?

A random sample of 150 residents in one community was asked to indicate their first preference for one of three television stations that air the 5 p.m. news. The results obtained are shown in the following table. Test the null hypothesis that for this population their first preferences are evenly distributed over the three stations.

$$\begin{array}{lccc} \hline \text { Station } & \text { A } & \text { B } & \text { C } \\ \hline \text { Number of first preferences } & 47 & 42 & 61 \\ \hline \end{array}$$

Sketch a flow diagram (indicating columns, detectors, and switching valves) designed to satisfy the following requirements. First, the solvent peak must be rapidly separated from two analytes of much lower volatility than the solvent. Second, the solvent peak should not pass into the analytical column. Third, the two analytes, which differ considerably in polarity, must be separated and ultimately determined quantitatively.

A financial consultant has at most $90,000 to invest in stocks, corporate bonds, and municipal bonds. The average yields for stocks, corporate bonds, and municipal bonds are 8%, 5%, and 3%, respectively. Determine how much she should invest in each security to maximize the return on her investments.$ $$ $ (Rework) under the assumption that no more than $25,000 can be invested in stocks and that the difference between her investment in corporate bonds and municipal bonds should not be more than 40% of her investment. $$ $$ (a) Formulate a linear programming problem that models the problem given above. Be sure to identify all variables used. $$ $$ (b) Solve the linear programming problem. $$ $$ (c) Analyze the solution. $$

For each of the following management responsibilities, indicate the primary stakeholder group to whom management is responsible.

1. Providing high-quality, reliable products/servicesfor a reasonable price in a timely manner.
2. Paying taxes in a timely manner.
3. Providing a safe, productive work environment.
4. Generating a profit.
5. Repaying principal plus interest in a timely manner.

a. Investors b. Creditors c. Suppliers d. Employees e. Customers f. Government g. Community

Complete the sentence in a way that shows you understand the meaning of the italicized vocabulary word. Chloe received accolades for exposing the corporate cover-up, but then her boss...

Design a crank-rocker mechanism with a time ratio of $Q$, throw angle of $\left(\Delta \theta_4\right)_{\max }$, and time per cycle of $t$. Use either the graphical or analytical method. Specify the link lengths $L_1, L_2, L_3, L_4$, and the crank speed.

$$Q=1.20 ;\left(\Delta \theta_4\right)_{\max }=96^{\circ} ; t=0.3 \mathrm{~s}$$

Paint Corporation owns 60 percent of Stain Company's shares. Partial 20X2 financial data for the companies and consolidated entity were as follows:

$$\begin{array}{lrrr} & \textbf{Paint Corporation} & \textbf{Stain Company} & \textbf{Consolidated Totals} \\ \\ \text{Sales} & \$550,000 & \$450,000 & \$820,000 \\ \text{Cost of Goods Sold} & 310,000 & 300,000 & 420,000 \\ \text{Inventory, Dec. 31} & 180,000 & 210,000 & 375,000 \\ \end{array}$$

On January 1, 20X2, Paint's inventory contained items purchased from Stain for $75,000. The cost of the units to Stain was$50,000. All inter-corporate sales during 20X2 were made by Stain to Paint.

Required

How much unrealized intercompany profit existed on January 1, 20X2? On December 31, 20X2?

Refer to the Business and Society (Mar. 2011) study on the sustainability behaviors of CPA corporations. Recall that the level of support for corporate sustainability (measured on a quantitative scale ranging from 0 to 160 points) was obtained for each of 992 senior managers at CP A firms. Numerical measures of central tendency for level of support are shown in the accompanying MINITAB printout. d. Based on the values of the measures of central tendency, make a statement about the type of skewness (if any) that exists in the distribution of 992 support levels.

$$\begin{matrix} \text{Variable} & \text{N} & \text{Mean} & \text{Minimum} & \text{Median} & \text{Maximum} & \text{Mode} & \text{N for Mode}\\ \text{Support} & \text{992} & \text{67.755} & \text{0.000} & \text{68.000} & \text{155.000} & \text{64} & \text{20}\\ \end{matrix}$$

Pond Corporation holds 75 percent of the voting shares of Spring Services Company. Assume Pond accounts for this investment using the equity method. During 20X7, Pond sold inventory costing $60,000 to Spring Services for$90,000, and Spring Services resold one-third of the inventory in 20X7. Also in 20X7. Spring Services sold land with a book value of $140,000 to Pond for$240,000, and Pond continues to hold the land. The companies file separate tax returns and are subject to a 40 percent tax rate.

Required

Give the consolidation entries relating to the inter-corporate sale of inventories and land to be entered in the consolidation worksheet prepared at the end of 20X5. Assume that Pond uses the equity method in accounting for its investment in Spring Services.

Design a slider-crank mechanism with a time ratio of $Q$, stroke of $\left|\Delta \mathbf{R}_4\right|_{\max }$ and time per cycle of $t$. Use either the graphical or analytical method. Specify the link lengths $L_2$, $L_3$, offset distance $L_1$ (if any), and the crank speed.

$Q=1 ;\left|\Delta R_4\right|_{\max }=2$ in.; $t=1.2 \mathrm{~s}$.