,DSC1630 Assignment 4 (COMPLETE ANSWERS) Semester 2
2024 (234769) - DUE 26 September 2024 ; 100% TRUSTED
Complete, trusted solutions and explanations.
Question 1 Complete Mark 1.00 out of 1.00 QUIZ Sophie wants
to buy the Ever-so-Young shop around the corner. The
following cash fl ows are involved Time in years Cash fl ows
(R) 2 200 000 3 –500 000 7 700 000 8 850 000 9 –210 000
Sophie can borrow money at 19% per annum while she can
invest at 17,5% per annum. The present value of the cash outfl
ows is a. R340 590,94. b. R357 407,06. c. R524 888,51. d. R535
703,05. Question 2 Complete Mark 1.00 out of 1.00 Question 3
Complete Mark 1.00 out of 1.00 The following is the price
equation for Bond 733: The yearly yield to maturity is a. 7,87%.
b. 15,74%. c. 16,55%. d. 19,39%. 96, 80770 = 7, 5a1¬5 i + 32,
09888 An estate agent suspects that a linear relationship exists
between the number of houses sold ( y ) and the monthly loan
payments ( x ). Heanalyses the following data over the past fi ve
months: Monthly loanpayments inR1 000's ( x ) Number of
housessold ( y ) 3,7 16 5,6 25 7,5 80 18,9 45 28,4 12 The slope
of the linear regression line is approximately a. −0,66. b. −0,25.
c. −0,09. d. 10,53. Question 4 Complete Mark 1.00 out of 1.00
Question 5 Complete Mark 1.00 out of 1.00 Question 6
Complete Mark 1.00 out of 1.00 An estate agent suspects that a
linear relationship exists between the number of houses sold ( y
) and the monthly loan payments ( x ). Heanalyses the following
data over the past fi ve months: Monthly loanpayments inR1
000's ( x ) Number of housessold ( y ) 3,7 16 5,6 25 7,5 80 18,9
45 28,4 12 The correlation coeffi cient is approximately a.
, −0,66. b. −0,25. c. −0,09. d. +1,40. The standard deviation is a.
the square root of the variance. b. a measure of variability. c. an
approximate indicator of how numbers vary from the mean. d.
all of the other options. A linear correlation coeffi cient of r =
−0,95 that has been calculated for a data set means a. the linear
relationship between two variables is weak. b. the non-linear
relationship between two variables is strong. c. the linear
relationship between two variables is strong but negative. d. the
linear relationship between two variables is strong and positive.
Question 7 Complete Mark 1.00 out of 1.00 Question 8
Complete Mark 1.00 out of 1.00 A banker has collected the
following sample data of the number of loans he approved per
day, in the past week: 3 5 12 3 2 The variance of the data set,
rounded off to one decimal place, is a. 4,1. b. 13,2. c. 16,5. d.
80,0. Sophie wants to buy the Ever-so-Young shop around the
corner. The following cash fl ows are involved Time in years
Cash fl ows (R) 2 200 000 3 –500 000 7 700 000 8 850 000 9 –
210 000 Sophie can borrow money at 19% per annum while she
can invest at 17,5% per annum. The future value of the cash infl
ows is a. R2 346 412,58. b. R2 403 837,84. c. R2 583 623,93. d.
R2 678 633,08. Question 9 Complete Mark 1.00 out of 1.00
Question 10 Complete Mark 1.00 out of 1.00 Sophie wants to
buy the Ever-so-Young shop around the corner. The following
cash fl ows are involved Time in years Cash fl ows (R) 2 200
000 3 –500 000 7 700 000 8 850 000 9 –210 000 Sophie can
borrow money at 19% per annum while she can invest at 17,5%
per annum. The MIRR of this shop is a. 18,10%. b. 19,72%. c.
23,59%. d. 25,25%. If the profi tability index of a company is
1,0514 and the NPV (net present value) equals R25 700, then