28.3-3. A particle moves on a circle through points that have beer marked 0, 1, 2, 3, 4 (in a clockwise order). The particle starts a point 0. At each step it has probability 0.5 of moving one poin clockwise (0 follows 4) and 0.5 of moving one point counter- clockwise. Let X, (n> 0) denote its location on the circle after step n {X„} is a Markov chain. (a) Construct the (one-step) transition matrix.
Q: d setup costs are $200 per order. What is the minimum total stock administration cost for the produ...
A: The minimum total stock administration cost for the product
Q: n minutes per operator are shown. What is the capacity of the system? Group of answer choices ...
A: System capacity can be stated as the maximum outcome of a particular item or product mix the system ...
Q: a) Using exponential smoothing, with a = .6, then trend analysis, and finally linear regression, dis...
A: given,
Q: What factors contribute to a country's desirability?
A: The desirability of the country refers to the quality or condition of the country being desired. A c...
Q: 1.What is Scope Verification 2. Define Scope Change Control 3. Purpose of Scope Change Control 4. E...
A: (1) Scope verification is the process of obtaining formal stakeholder acceptance of the project scop...
Q: What is expected value and how could it be used in a Real Estate Company? Provide a rationale and ex...
A: The expected value (EV) of an investment is the expected average worth at a certain point in the fut...
Q: Out of the following trends in production/operations management, which one is sometimes called as ag...
A: Agile manufacturing - is a process of manufacturing that is concentrated on meeting the requirements...
Q: Why is the degree of the customisation an important consideration in the process planning .
A: To be determined: The degree of the customization an important consideration in the process plannig....
Q: Describe the primary methods for discharging a contract.
A: A contract is discharged by order of the court. In some cases, such as insolvency or the death of on...
Q: Question 4, Warm-Up 1-4 (static) The chief financial officer (CFO) of New Age Fashion Ltd. has just ...
A: given, expenditure = £45,000
Q: Total Stock Administration costs under the EOQ model is the sum of: Select one: a. Carrying costs a...
A: Administrative cost refers to the overhead cost that is incurred by the organization not directly ti...
Q: Define critical path.
A: Project management is the management in which different types of knowledge and skills are used to ma...
Q: orecast demand for each week, including week 10, using exponential smoothing with a 5 .5 (initial fo...
A: Exponential smoothing is forecasting method which identifying the farecasting value based on the con...
Q: The table below shows the violent crime rate in Canada between 1977 and 2004. a. Enter this data int...
A: Quadratic regression equation is of form ax2+bx+c where a should not be equal to zero.
Q: In the past, Peter Kelle's tire dealership in Baton Rouge sold an average of 1,200 radials each year...
A: A seasonal index is how much amendment is required in a period series to adapt to the period of the ...
Q: Project Management
A: given,
Q: The National Company uses 150,000 gallons of hydrochloric acid per month. The cost of carrying the c...
A: Solution is as follows:
Q: Why is it important to know different approaches in research?
A: Different techniques can be employed in research initiatives, and the methodology chosen can have an...
Q: 6-43 Dillard Travey receives 5,000 tripods annually from Quality Suppliers to meet his annual demand...
A: Given- Annual Demand (D) = 5,000 tripodsOrdering Cost (S) = $15 per orderHolding Cost (H) = 50 cen...
Q: 6-45 The Hardware Warehouse is evaluating the safety stock policy for all its items, as identified b...
A: Given data Economic Order Quantity (EOQ) = 80 units Holding cost (H) = $3 Daily demand (d) = 5 uni...
Q: The official cost estimate of a work is 55 crore BDT. Calculate the tender capacity if the tenderer ...
A: Given here at first Official cost estimate of work = 55 croreTender capacity (TC) =?Maximum value of...
Q: Blair & Rosen, Inc. (BSR) is a brokerage firm that specializes in investment portfolios designed to ...
A: Note: - As we can answer only up to three subparts we will answer the first three subparts(a, b, and...
Q: A manufacturing company plans to expand their production and logistics facility into one of the coun...
A: Decision making under uncertainty indicating the decision making process without the probabilities o...
Q: Suppose that marketing executives for Touche Toiletries reduced the price to $6.50 for a three-ounc...
A: The Break-even point is the point where the total production revenue and total production cost are e...
Q: A furniture manufacturer produces two types of display cabinets, type X and type Y. On a weekly basi...
A:
Q: What is the best way to handle lingering customers?
A: The ability to really handle customer complaints and issues is vital for your customer administratio...
Q: Discuss how aggregate plans is implemented in service organizations. Give example
A: Aggregate planning Aggregate planning is to estimate a company's demand and output capacity over the...
Q: Find a level workforce plan that relies just on overtime and the minimum amount of undertime possibl...
A: The following information is given: Normal Working hours = 500 hrs Overtime limit = 20%
Q: A recent report on executive awareness of and involvement in corporate pandemic preparedness by Mich...
A: NOTE - We will solve the first three subpart for you because you asked a question with many subpart....
Q: Woolworths is a member of the Better Cotton Initiative (BCI), a global enterprise which aims to crea...
A: Three type of buyer supplier relationship: Transactional: This type of relation exists when there a...
Q: You are a scheduling manager for a small group of government contractors working in the Sudan. Becau...
A: Legend: The cell with respective colors show the legend.
Q: The University of Cincinnati Center for Business Analytics is an outreach center that collaborates w...
A: Fees for the Symposium = $70 per person Rental cost for auditorium = $150 Registration processing co...
Q: Workstation W Workstation X Workstation Y , with a total load time of ____ minutes. (Enter your resp...
A: Demand for each product is given. Demand for product A = 80 Units/ week Demand for product B = 75 un...
Q: Define schedule activity lag
A: The process of schedule development includes: - 1.Identification of all activities, 2. Sequencing ...
Q: How does shortage and overage in inventory affect the profitability of the business organization
A: Inventory is the beginning of any production process in the organisation. Effective management of in...
Q: Kelson Sporting Equipment, Inc., makes two different types of baseball gloves: a regular model and a...
A: Note: - As we can answer only up to three subparts we will answer the first three(a, b, and c) subpa...
Q: Discuss how shifting from traditional operations system to lean system will be done for: A Service ...
A: Traditional operations system involves maximizing the productivity or the production run with an aim...
Q: You are a CPA and have accepted a new client for an audit engagement. You come to realize that the ...
A: Note- Hi! Thank you for the question As per the honour code, We’ll answer the first question since t...
Q: When running a project as a project manager, what should you MOST focus on during the executing proc...
A: The project life cycle is the project process in which mainly five steps are included i.e., initiati...
Q: A manufacturer of bicycles builds racing, touring, and mountain models. The bicycles are made of bot...
A: Objective Functions and Constraints: Based on the given details, the objective funct...
Q: answer items f and g
A: A Small Introduction about Critical Path In project management, a critical path is the arrangemen...
Q: Amy Lloyd is interested in leasing a new Hónda and has contacted three automobile dealers for pricin...
A: Given-
Q: Next question Jackson (Mississippi). The table below gives the factors that Ken thinks are important...
A: Given-
Q: Assume that a system is composed of two independent and identical units in parallel and at least one...
A: The detailed solution is given in Step 2.
Q: Explain six (6) examples of contingency allowances in a project. Explain ten (10) common problems du...
A: Contingency Allowance means finances put away at the start of the Project and determined in the Spec...
Q: Why is it important that General Managers take an active role in decisions concerning IS? O Informat...
A: Information systems managers, or IT managers, are responsible for the secure and viable activity of ...
Q: Dan, the project manager, has indicated in a planning meeting that the team should identify and avoi...
A: Project management is the process of effectively utilizing the constraints and controlling a team fo...
Q: Rick Miller has just opened a new bakery in Frisco, Colorado, called Morning Fresh. In performing an...
A: loss = $4 Profit = $2.75 Service level = Profit / (profit + loss) Service level = 2.75 / (2.75...
Q: 1. A project was planned using PERT with three-time estimates. The expected completion time of the p...
A: Given- Expected completion time (μ)= 40 weeksDesired completion time (x) = 46 weeks or lessVarianc...
Q: What has to be different about the data being used to construct a Pareto Chart versus constructing a...
A: Here, I would state the difference between constructing a Pareto chart and constructing a histogram,...
Trending now
This is a popular solution!
Step by step
Solved in 3 steps with 1 images
- In Example 11.1, the possible profits vary from negative to positive for each of the 10 possible bids examined. a. For each of these, use @RISKs RISKTARGET function to find the probability that Millers profit is positive. Do you believe these results should have any bearing on Millers choice of bid? b. Use @RISKs RISKPERCENTILE function to find the 10th percentile for each of these bids. Can you explain why the percentiles have the values you obtain?W. L. Brown, a direct marketer of womens clothing, must determine how many telephone operators to schedule during each part of the day. W. L. Brown estimates that the number of phone calls received each hour of a typical eight-hour shift can be described by the probability distribution in the file P10_33.xlsx. Each operator can handle 15 calls per hour and costs the company 20 per hour. Each phone call that is not handled is assumed to cost the company 6 in lost profit. Considering the options of employing 6, 8, 10, 12, 14, or 16 operators, use simulation to determine the number of operators that minimizes the expected hourly cost (labor costs plus lost profits).You now have 10,000, all of which is invested in a sports team. Each year there is a 60% chance that the value of the team will increase by 60% and a 40% chance that the value of the team will decrease by 60%. Estimate the mean and median value of your investment after 50 years. Explain the large difference between the estimated mean and median.
- A European put option allows an investor to sell a share of stock at the exercise price on the exercise data. For example, if the exercise price is 48, and the stock price is 45 on the exercise date, the investor can sell the stock for 48 and then immediately buy it back (that is, cover his position) for 45, making 3 profit. But if the stock price on the exercise date is greater than the exercise price, the option is worthless at that date. So for a put, the investor is hoping that the price of the stock decreases. Using the same parameters as in Example 11.7, find a fair price for a European put option. (Note: As discussed in the text, an actual put option is usually for 100 shares.)Software development is an inherently risky and uncertain process. For example, there are many examples of software that couldnt be finished by the scheduled release datebugs still remained and features werent ready. (Many people believe this was the case with Office 2007.) How might you simulate the development of a software product? What random inputs would be required? Which outputs would be of interest? Which measures of the probability distributions of these outputs would be most important?Suppose you begin year 1 with 5000. At the beginning of each year, you put half of your money under a mattress and invest the other half in Whitewater stock. During each year, there is a 40% chance that the Whitewater stock will double, and there is a 60% chance that you will lose half of your investment. To illustrate, if the stock doubles during the first year, you will have 3750 under the mattress and 3750 invested in Whitewater during year 2. You want to estimate your annual return over a 30-year period. If you end with F dollars, your annual return is (F/5000)1/30 1. For example, if you end with 100,000, your annual return is 201/30 1 = 0.105, or 10.5%. Run 1000 replications of an appropriate simulation. Based on the results, you can be 95% certain that your annual return will be between which two values?
- Based on Grossman and Hart (1983). A salesperson for Fuller Brush has three options: (1) quit, (2) put forth a low level of effort, or (3) put forth a high level of effort. Suppose for simplicity that each salesperson will sell 0, 5000, or 50,000 worth of brushes. The probability of each sales amount depends on the effort level as described in the file P07_71.xlsx. If a salesperson is paid w dollars, he or she regards this as a benefit of w1/2 units. In addition, low effort costs the salesperson 0 benefit units, whereas high effort costs 50 benefit units. If a salesperson were to quit Fuller and work elsewhere, he or she could earn a benefit of 20 units. Fuller wants all salespeople to put forth a high level of effort. The question is how to minimize the cost of encouraging them to do so. The company cannot observe the level of effort put forth by a salesperson, but it can observe the size of his or her sales. Thus, the wage paid to the salesperson is completely determined by the size of the sale. This means that Fuller must determine w0, the wage paid for sales of 0; w5000, the wage paid for sales of 5000; and w50,000, the wage paid for sales of 50,000. These wages must be set so that the salespeople value the expected benefit from high effort more than quitting and more than low effort. Determine how to minimize the expected cost of ensuring that all salespeople put forth high effort. (This problem is an example of agency theory.)Based on Kelly (1956). You currently have 100. Each week you can invest any amount of money you currently have in a risky investment. With probability 0.4, the amount you invest is tripled (e.g., if you invest 100, you increase your asset position by 300), and, with probability 0.6, the amount you invest is lost. Consider the following investment strategies: Each week, invest 10% of your money. Each week, invest 30% of your money. Each week, invest 50% of your money. Use @RISK to simulate 100 weeks of each strategy 1000 times. Which strategy appears to be best in terms of the maximum growth rate? (In general, if you can multiply your investment by M with probability p and lose your investment with probability q = 1 p, you should invest a fraction [p(M 1) q]/(M 1) of your money each week. This strategy maximizes the expected growth rate of your fortune and is known as the Kelly criterion.) (Hint: If an initial wealth of I dollars grows to F dollars in 100 weeks, the weekly growth rate, labeled r, satisfies F = (I + r)100, so that r = (F/I)1/100 1.)A common decision is whether a company should buy equipment and produce a product in house or outsource production to another company. If sales volume is high enough, then by producing in house, the savings on unit costs will cover the fixed cost of the equipment. Suppose a company must make such a decision for a four-year time horizon, given the following data. Use simulation to estimate the probability that producing in house is better than outsourcing. If the company outsources production, it will have to purchase the product from the manufacturer for 25 per unit. This unit cost will remain constant for the next four years. The company will sell the product for 42 per unit. This price will remain constant for the next four years. If the company produces the product in house, it must buy a 500,000 machine that is depreciated on a straight-line basis over four years, and its cost of production will be 9 per unit. This unit cost will remain constant for the next four years. The demand in year 1 has a worst case of 10,000 units, a most likely case of 14,000 units, and a best case of 16,000 units. The average annual growth in demand for years 2-4 has a worst case of 7%, a most likely case of 15%, and a best case of 20%. Whatever this annual growth is, it will be the same in each of the years. The tax rate is 35%. Cash flows are discounted at 8% per year.
- Consider a Markov chain with states 0,1,2 and the following transition probability matrix 1/2 1/3 1/6 P= 0 1/3 2/3 1/2 0 1/2 If p(X0=0)=0.25 and p(X0=1)=0.25, then find p(X2=1).A salesperson for Fuller Brush has three options: quit,put forth a low-effort level, or put forth a high-effort level.Suppose for simplicity that each salesperson will either sell$0, $5,000, or $50,000 worth of brushes. The probability ofeach sales amount depends on the effort level in the mannerdescribed in Table 8.If the salesperson is paid $w, then he or she earns abenefit w1/2. Low effort costs the salesperson 0 benefit units,while high effort costs 50 benefit units. If the salespersonwere to quit Fuller and work elsewhere, then he or she couldearn a benefit of 20. Fuller wants all salespeople to put fortha high-effort level. The question is how to minimize the costof doing it. The company cannot observe the level of effortput forth by a salesperson, but they can observe the size ofhis or her sale. Thus, the wage is completely determined bythe size of the sale. Fuller must then determine w0 wagepaid for $0 in sale, w5000 wage paid for $5,000 in sales,and w50,000 wage paid for…4 (b) An insurance company provides customers with both auto and home insurance policies. For a particular customer, Χ is the deduction on his or her auto policy and Y is the deduction on the home policy. Possible values of Χ are K100 and K250, and for Y are K0, K100 and K200. The joint probability density function for ( ) ,YΧ is given by the following table: Χ Y K100 K250 K0 0.20 0.05 K100 0.10 0.15 K200 0.20 0.30 i. Find the probability for a randomly selected policy holder having a K100 deduction on the auto insurance and a K200 deduction on the home insurance. ii. Find the probability that a randomly selected policy holder has a home deduction of at least K100. iii. Are the random variables Χ and Y independent? Explain your answer.