ACC 557 Quantitative Methods Week 4: Using Simulations Quiz | Strayer University, Washington

Week 4: Using Simulations Quiz 1. All questions in this quiz relate to the Stargrove example covered during this week. You can use the file Stargrove.xlsx to answer these questions. In this question, we assume that the ...

Week 4: Using Simulations Quiz 1. All questions in this quiz relate to the Stargrove example covered during this week. You can use the file Stargrove.xlsx to answer these questions. In this question, we assume that the Stargrove decides to build R=96 regular and L=12 luxury apartments. Suppose that the demand for regular apartments turns out to be DR = 94. How much profit, in $ millions, will the company earn from the sales of regular apartments, including the sales at the $500,000 profit margin as well as the sales at the $100,000 profit margin? Note that you should not count the profit from the sales of luxury apartments. Choose the closest from the answers below. 48 47 48.2 51.6 47.2 2. All questions in this quiz relate to the Stargrove example covered during this week. You can use the file Stargrove.xlsx to answer these questions. In this question, we assume that the Stargrove decides to build R=96 regular and L=12 luxury apartments. What is maximum amount of profit, in $ millions, that the company can earn from the sales of regular apartments, including the sales at the $500,000 profit margin as well as the sales at the $100,000 profit margin? Note that you should not count the profit from the sales of luxury apartments. Choose the closest from the answers below. 51.6 48.2 47.2 47 48 3. All questions in this quiz relate to the Stargrove example covered during this week. You can use the file Stargrove.xlsx to answer these questions. In this question, we assume that the Stargrove decides to build R=96 regular and L=12 luxury apartments. Suppose that the actual demand for regular apartments, DR, is such that the Stargrove realized profit of $500,000 from selling regular apartments to the real estate investment company at the salvage profit margin of $100,000 per apartment. How much profit, in $ millions, did the Stargrove earn from the sales of regular apartments at the $500,000 profit margin for the same realization of demand DR? Choose the closest from the answers below. 45.5 45 45.2 46 46.2 46.5 4. All questions in this quiz relate to the Stargrove example covered during this week. You can use the file Stargrove.xlsx to answer these questions. In this question, we assume that the Stargrove decides to build R=96 regular and L=12 luxury apartments. For what value of the demand for regular apartments, DR, the profit from selling regular apartments at the high profit margin of $500,000 is equal to the profit of selling regular apartments to real estate investment company at the salvage profit margin of $100,000? 26 46 6 36 16 5. All questions in this quiz relate to the Stargrove example covered during this week. You can use the file Stargrove.xlsx to answer these questions. In this question, we assume that the Stargrove decides to build R=96 regular and L=12 luxury apartments. Suppose that we have set up a simulation with n=4 simulation runs that generated the following random instances for the demand for regular apartments, DR: 88, 91, 97, and 103. Calculate the four corresponding values of the profit from the sales of regular apartments (i.e., the sum of profits at both the high profit margin of $500,000 and the low profit margin of $100,000) and use Excel to generate the descriptive statistics for this sample of four profit values. What is the sample mean, in millions of $, of these four profit values? Choose the closest from the answers below. 42.7 45.7 46.7 44.7 43.7 6. All questions in this quiz relate to the Stargrove example covered during this week. You can use the file Stargrove.xlsx to answer these questions. In this question, we assume that the Stargrove decides to build R=96 regular and L=12 luxury apartments. Suppose that the same simulation as in Q5 generated the following random instances for the demand for luxury apartments, DL: 5, 7, 12, and 13. Calculate the four corresponding values of the profit from the sales of luxury apartments (i.e., the sum of profits at both the high profit margin of $900,000 and the low profit margin of $150,000) and use Excel to generate the descriptive statistics for this sample of four profit values. What is the sample standard deviation, in millions of $, of these four profit values? Choose the closest from the answers below. 3.7 4.7 5.7 2.7 1.7 7. All questions in this quiz relate to the Stargrove example covered during this week. You can use the file Stargrove.xlsx to answer these questions. In this question, we assume that the Stargrove decides to build R=96 regular and L=12 luxury apartments. Using four random instances of the demand for regular apartments from Q5 and four random instances of the demand for luxury apartments from Q6, calculate the four corresponding total profit values obtained from sales of both regular and luxury apartments. Based on this four values, estimate the likelihood of the total profit to be above $52 million. Choose the closest from the answers below. 0.75 0.1 0.25 0.5 0.9 8. All questions in this quiz relate to the Stargrove example covered during this week. You can use the file Stargrove.xlsx to answer these questions. In this question, we assume that the Stargrove decides to build R=96 regular and L=12 luxury apartments. Use Excel to generate descriptive statistics for the four profit values in Q7 and calculate the 95% confidence interval for the true expected value of the total profit. If this interval has the form [$X, $Y], what is the value of X, expressed in millions? Choose the closest from the answers below. 62 48.5 2.1 55.3 6.8 9. All questions in this quiz relate to the Stargrove example covered during this week. You can use the file Stargrove.xlsx to answer these questions. This question is focused on an alternative decision to build R=88 regular and L=16 luxury apartments. Consider the decision to build R=88 regular and L=16 luxury apartments. Using the four random instances of the demand for regular apartments from Q5 and four random instances of the demand for luxury apartments from Q6, calculate the four corresponding total profit values obtained from sales of both regular and luxury apartments under this decision. Based on this four values, estimate the likelihood of the total profit to be above $52 million. Choose the closest from the answers below. 0.25 0.5 0.75 0.9 0.1 10. All questions in this quiz relate to the Stargrove example covered during this week. You can use the file Stargrove.xlsx to answer these questions. This question is focused on an alternative decision to build R=88 regular and L=16 luxury apartments. Use Excel to generate descriptive statistics for the four profit values in Q9 and calculate the 95% confidence interval for the true expected value of the total profit. If this interval has the form [$N, $M], what is the value of M-N, i.e., what is width of the 95% confidence interval for the expected value of the total profit? Express the value in millions and choose the closest from the answers below. 9.2 1.4 2.9 4.6