a different question
1. Mr XYZ is self-employed. Last year, his business generated a profit of GH 50,000. He also receives dividend of GH 3,000 paid by a multinational company where he is shareholder. He contacts you to purchase a life insurance plan because he has a serious underlying medical condition. i. As an insurance broker, what is the right insurance plan Mr. XYZ should purchase and explain how you will convince Mr. XYZ to purchase the insurance plan chosen. ii. Write the present value of the cash flow of the insurance plan purchase in (i) with the premium you will charge. (20mks) B4. A researcher at Ministry of Food and Agriculture working under Planting for Food and Jobs" wished to find whether the application of potash has a positive influence on the fiber strength of the cotton he grows on his fields. Therefore, he carries out an experiment where he applies different amounts of potash. At the same occasion he chooses to investigate whether it would be beneficial to use another type of cotton plant instead of the presently used type, called A. A company which markets certain new types of seeds advertises that it is now has 2 new types B1 and B2-super, which both are claimed to produce fibers with high strength. The farmer decides to apply 4 different amounts of potash per acre, namely 0, 10, 20 and 30kg. these amounts are used for all three types, and he distributes the resulting 12 combinations of types of seeds and amounts of potash on 12 plots randomly placed on a larger field which he assumes is homogenous with respect to growing of cotton. After the growing season he harvest his cotton, but unfortunately two of the plots have been attacked by fungi and the results from these plots are unreliable and thus disregarded (disreg): The summary is shown below: Potash amount 0 10 7.62 disreg. 7.76 8 Type of seed B1 8.02 8.15 8.73 disreg. B2 7.93 8.12 8.74 8.75 20 30 (a) Estimate the missing observations (10 marks) (b) Which conclusions can, based on this experiment, be drawn concerning the application of potash as fertilizer? (10 marks) (c) Are the two new cotton seeds advertised significantly different from the original type A? (Use alpha=0.01) (5 marks) 1. Mr XYZ is self-employed. Last year, his business generated a profit of GH 50,000. He also receives dividend of GH 3,000 paid by a multinational company where he is shareholder. He contacts you to purchase a life insurance plan because he has a serious underlying medical condition. i. As an insurance broker, what is the right insurance plan Mr. XYZ should purchase and explain how you will convince Mr. XYZ to purchase the insurance plan chosen. ii. Write the present value of the cash flow of the insurance plan purchase in (i) with the premium you will charge. (20mks) B4. A researcher at Ministry of Food and Agriculture working under Planting for Food and Jobs" wished to find whether the application of potash has a positive influence on the fiber strength of the cotton he grows on his fields. Therefore, he carries out an experiment where he applies different amounts of potash. At the same occasion he chooses to investigate whether it would be beneficial to use another type of cotton plant instead of the presently used type, called A. A company which markets certain new types of seeds advertises that it is now has 2 new types B1 and B2-super, which both are claimed to produce fibers with high strength. The farmer decides to apply 4 different amounts of potash per acre, namely 0, 10, 20 and 30kg. these amounts are used for all three types, and he distributes the resulting 12 combinations of types of seeds and amounts of potash on 12 plots randomly placed on a larger field which he assumes is homogenous with respect to growing of cotton. After the growing season he harvest his cotton, but unfortunately two of the plots have been attacked by fungi and the results from these plots are unreliable and thus disregarded (disreg): The summary is shown below: Potash amount 0 10 7.62 disreg. 7.76 8 Type of seed B1 8.02 8.15 8.73 disreg. B2 7.93 8.12 8.74 8.75 20 30 (a) Estimate the missing observations (10 marks) (b) Which conclusions can, based on this experiment, be drawn concerning the application of potash as fertilizer? (10 marks) (c) Are the two new cotton seeds advertised significantly different from the original type A? (Use alpha=0.01)
