Problem 13-2 (Algo) Expected value and standard deviation [LO13-1] Myers Business Systems is evaluating the introduction of a new product. The possible levels of unit sales and the probabilities of their occurrence are given next: Possible Market Reaction Low response Moderate response High response Very high response Expected value a. What is the expected value of unit sales for the new product? Note: Do not round intermediate calculations and round your answer to the nearest whole unit. Sales in Units 25 40 55 60 33 units Standard deviation Probabilities 0.20 0.30 0.20 0.30 b. What is the standard deviation of unit sales? Note: Do not round intermediate calculations. Round your answer to 2 decimal places. 19.77 units

Problem 13-2 (Algo) Expected value and standard deviation [LO13-1] Myers Business Systems is evaluating the introduction of a new product. The possible levels of unit sales and the probabilities of their occurrence are given next: Possible Market Reaction Low response Moderate response High response Very high response Expected value a. What is the expected value of unit sales for the new product? Note: Do not round intermediate calculations and round your answer to the nearest whole unit. Sales in Units 25 40 55 60 33 units Standard deviation Probabilities 0.20 0.30 0.20 0.30 b. What is the standard deviation of unit sales? Note: Do not round intermediate calculations. Round your answer to 2 decimal places. 19.77 units

Essentials Of Investments

11th Edition

ISBN:9781260013924

Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Chapter1: Investments: Background And Issues

Section: Chapter Questions

Problem 1PS

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Hazlett & Family is organized into two geographic markets Northern and Southern. The company makes an off-road vehicle for recreation and agricultural use. The vehicle is sold in three models, depending on the power and options. The three models, from least expensive to most expensive, are the H-L, H-LX, and H-LXS. The company's financial staff has prepared the following forecasted income statement for the upcoming fiscal year (in thousands of dollars): Sales revenue Cost of goods sold Gross margin Marketing costs Administrative costs Total marketing and administrative Operating profits Total $ 59,400 46,050 $ 13,350 H-L H-LX H-LXS 4,875 2,421 $ 7,296 $ 6,054 Management has expressed special concern with the Southern market because of the extremely poor return on sales. This market was entered a year ago because it seemed like the best opportunity for growth. Hazlett & Family knew that it would take some time to build profitability in the market, but there has been no noticeable change…
Multiple Linear Regression Considering a person wants to buy a vehicle with an automatic transmission, how much extra money can the person expect to make by selling it in the future? Transmission type will not have any effect on the selling price X Incorrect Feedback: The coefficient of the variable can be analysed to identify its impact on the dependent variable. 1,28,768 1, 30, 941 ₹1,00,582
None
Question 3: Sohar Company's financial information is given in the table below. Year Sales (OMR) Fixed Costs Variable Costs 2019 405000 90000 225000 2020 450000 120000 240000 Calculate: a) P/V ratio, b) В.Е.Р. c) Sales required to earn a profit of OMR 40000. d) Margin of safety at a profit of OMR 50000 Profit when sales are OMR. 200000. e)
Please solve accurately. Thank you
Brandtly Industries invests a large sum of money in R&D; as a result, it retains and reinvests all of its earnings. In other words, Brandtly does not pay any dividends, and it has no plans to pay dividends in the near future. A major pension fund is interested in purchasing Brandtly's stock. The pension fund manager has estimated Brandtly's free cash flows for the next 4 years as follows: $2 million, $7 million, $12 million, and $14 million. After the fourth year, free cash flow is projected to grow at a constant 5%. Brandtly's WACC is 13%, the market value of its debt and preferred stock totals $50 million, the firm has $15 million in nonoperating assets, and it has 12 million shares of common stock outstanding. a. What is the present value of the free cash flows projected during the next 4 years? Do not round intermediate calculations. Round your answer to the nearest dollar. Write out your answers completely. For example, 13 million should be entered as 13,000,000. $ 51339694.5
I Question 3: Sohar Company's financial information is given in the table below. Sales (OMR) Fixed Costs 405000 450000 Year Variable Costs 2019 225000 2020 120000 240000 Calculate: a) PV ratio, b) B.E.P. c) Sales required to earn a profit of OMR 40000. d) Margin of safety at a profit of OMR 50000 e) Profit when sales are OMR. 200000.
stion Company XYZ produces and sells two types of calculators: Basic and Scientific. The Basic has a lower selling price per unit compared to the Scientific. However, the Basic has a higher contribution margin compared to the Scientific. Due to fixed production capacity, the company has a cap on total production ability. If the company's CEO has decided to shift the sales mix towards producing more Scientific calculators. What red would be the effect on total profits? d out of O a. Total profits would increase g O b. Total profits would decrease on Oc. Total profits would remain the same O d. None of the given answers O e. Cannot be determined using the above information
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A Beta 1.10 Market Capitalization = 122.548B Book Value of Debt = 93.21B Bond Price = 103.10 Interest Rate = 2.75% Maturity = 20 years Therefore - PV = -1,031.00; FV = 1,000; PMT = 27.50; N = 20; CPT I = 2.55% Tax rate 21% Current One Year Treasury Bill Rate (Risk-free Rate) = 5% Market Return: Estimated at 8% Step 1 Calculate the WACC for Deere and Company (DE) given: Step 2 Step 3 Step 4 Search What are the weightings for Equity and Debt? What is the Cost of Equity? What is the After-Tax Cost of Debt? What is the WACC?

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