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: In your opinion, can you be objective concerning a "dead pool" of which retailer will go bankrupt soon, which retail chain would you guess would be the next to fall? Can you please guess on what you have read in the news, or what you have personally observed in terms of a retail shop being empty when you go there or having prices too high to compete with Amazon. In the last 12 months, a company of 50 staff has experienced unplanned sick leave rate of 8.5days per employer and has returned 3 replacement staff due to resignations. The average staff salary is $5000

Step 2: Estimate the average hours worked per day and the hourly wage.

Average hours worked per day

Average hourly wage.

Step 3: Determine the annual cost of staff sick leave

Total annual cost of staff week leave.

Step 4: Estimate the impact o... [3:22 AM, 11/7/2021] Flo: Case study based Individual coursework to meet learning outcomes LO2 and LO3 The following case study will give students the opportunity to examine the range of potential threats, risks and attacks identified from the scenarios and indicate how implementation of secure systems can mitigate against the security issues identified. Network Security Planning & Implementation national firm of insurance brokers recently set up business in Exeter. After quite a successful year, they have decided to expand their operations within Exeter and to a new branch office in Edinburgh. You have been commissioned as a network security consultant to specify and design their new network security provision. The original HQ site in Exeter is occupying the top 2 stories (9th and 10th floors) of a tower block - see supplied diagrams, and the additional space it will expand to is the top two stories (the 11th and 12th floors) of a neighbouring tower block - which is on the other side of the street (75m away). Due to the differing design ideas of the architect, the new block is approximately 5m higher in elevation. The Edinburgh branch site is to be located within a prestigious grade 1 listed structure near the Royal Mile in the city centre. You have been given the floor plans of the buildings and network diagrams which show the networks as they stand in Exeter existing HQ and its new area in the other tower block. These network diagrams are of a "temporary" network set up which has been used to simply get the firm going across the two buildings. Using these diagrams, you are to produce a properly formatted and fully referenced network security consultation report to address the issues listed below. N.B. All the sites are equipped with FTTP high speed connections for Internet/WAN connectivity (though only in one original building in the Liverpool site). The other tower block has no separate broadband or exterior connection, but there is a temporary cable suspended between the two buildings which connects them. The new building in Edinburgh has a FTTP port on the wall in the Doorman's booth, and an associated 802.11n wireless router is connected there - but there is no other network installed in the premises. As a firm that has to handle very sensitive insurance documents and legal papers, they need to secure their network systems to a more than adequate level, but which will be transparent enough not to hinder or slow down their day to day running of the firm's business which already

4 deals with over 1000 clients. Any security system in place will also need to be able to handle future expansion of the business.

Part 2 Specification You have a maximum word limit words for this task - not including diagrams and references: 1.Given that the company would like to establish a link between the Exeter and Edinburgh sites (WAN), and given that the sites already have FTTP connectivity, examine and create a section in your report which considers what technologies exist that could be used to secure these connections so that data is safe from theft or tampering in any way when flowing from site to site. Make sure you include recommendations for what they really should do (with full justification as to why they should follow your advice)

2 Examine the floor plans you have been provided with for the Exeter HQ buildings and their associated temporary network diagrams. Then create a chapter in your report which discusses/includes the following: The security weaknesses/hazards inherent in the physical make-up of the sites and suggest what could be done to secure them from a structural point of view - please in mind that the uppermost floor has the open roof above it - the new area in the other building is the same, but has a mobile phone mast on the top of it (4G rated) - just above the accountant office. The 1st - 8th floors of these buildings are occupied by 7 other businesses.

Using the network diagrams, also highlight the problems/security weaknesses with their existing network arrangements - you will need to do some research to find out what is good in secure network design for this task. Reworked diagrams of the floor plans and networks showing the necessary changes you would recommend for overcoming these weaknesses.

Full justification for your recommendations including any building/network design alterations and any additional network/system hardware or software that would be required to support your ideas.

3.The Edinburgh branch is located as we know, in a grade 1 listed structure. A building plan is provided (single storey with loft space). This building offers some challenges for network setup as the original structure (inside and outside) and its decoration can't be altered in any way due to its protected status. "Temporary and reversible" additions can be made - provided the building is returned to its original state if and when the company decides to move to different premises. With this conformance to the "listing" regulations create a report chapter that discusses: Recommendations and a design for a workable and secure network to support the staff indicated on the existing diagram.

Any suitable "added temporary" fittings that might be required. A reworked diagram to support your findings.

4.The company has designs on becoming an international organisation and wants to expand into Portugal and to the USA to offer its services. However, the company has (as we already know) little or no expertise in adding network security features to networks. So, write up some information based on the topics below to help them in this task:

Routing protocols allow routers to share information about network routes between each other. Discuss the security issues around unsecured routing protocols and find out about and explain how this could be done for the widely used OSPF routing protocol.

Virtual Private Networks are vital for the securing of network connections. Define what they are and give examples of at least 2 different forms of VPN [3:27 AM, 11/7/2021] Flo: AT&T Mobility, LLC, will pay $60 million to settle litigation with the Federal Trade Commission over allegations that the wireless provider misled millions of its smartphone customers by charging them for "unlimited" data plans while reducing their data speeds.

In a complaint filed in 2014, the FTC alleged that AT&T failed to adequately disclose to its unlimited data plan customers that, if they reach a certain amount of data use in a given billing cycle, AT&T would reduceor "throttle"their data speeds to the point that many common mobile phone applications, such as web browsing and video streaming, became difficult or nearly impossible to use.

"AT&T promised unlimited datawithout qualificationand failed to deliver on that promise," said Andrew Smith, ... [3:59 AM, 11/7/2021] Flo: 3. An investor can design a risky portfolio based on two stocks, A and B. Stock A has an expected return of 18% and a standard deviation of 20%. Stock B has an expected return of 14% and a standard deviation of 5%. The correlation coefficient between the returns of A and B is 0.50. The risk-free rate is 10%.

Based on these two stocks, what is the proportion of MVE (or tangency portfolio) that should be invested in stock A? (Hint: One the following is the correct answer.)

A) 0%

B) 50%

C) 100%

Show work and explain:

4. Suppose you evaluating an investment manager. Manager A has achieved a historical return of 20% per year with a beta (with respect to a benchmark) of 1.4, and volatility of 40%. Manager B has achieved a historical return of 15% per year, beta of 1.0 and volatility of 20% per year.

The benchmark return has been 16% per year, and the risk-free rate is 6%. Volatility of the benchmark is 20% per year.

a) According to Sharpe Ratio, which manager has produced superior returns?

A) Manager A

B) Manager B

C) No idea

b) According to , which manager has produced superior returns?

A) Manager A

B) Manager B

C) No idea

c) Draw the total risk (standard deviation) - reward (expected return) trade-off. Be sure to mark/draw the risk-free rate, the market portfolio, the mean-variance frontier, manager A and manager B.

5. A private investor manages her own portfolio by carefully analyzing various stocks to include or sell short in her portfolio (portfolio P). She maximizes the expected return of her portfolio while minimizing its standard deviation. She then invests some of her money into the portfolio and puts the rest in T-Bills.

Security

Expected Return

Standard Deviation

Correlation w/ Portfolio P

Beta with the US Market

Delta 18.0% 35.0% 0.90 1.50 Ford 10.0% 20.0% 0.60 1.15 LVMH 6.0% 25.0% 0.00 0.70 Portfolio P 13.0% 18.0% 1.00 0.90 T-Bills 4.0% 0.0% 0.00 0.00

She estimates the US Market to have an expected return of 12.0% and a standard deviation of 12.0%.

Based on this data, indicate below, which direction this investor should adjust the portfolio weights for each of the three securities.

a) Delta Increase No Change Decrease

b) Ford Increase No Change Decrease

c) LVMH Increase No Change Decrease

d) Now, suppose that a financial planner examines this investor's portfolio. This financial planner uses the US Market as the benchmark. Using the investor's estimates of expected return (18.0% for Delta, 10.0% for Ford, and 6.0% for LVMH), and other parameters given earlier. What would the financial planner estimate the alpha's of these securities to be?

e) Re-consider the investor. She now considers investing a part of her wealth into the US Market portfolio. She still currently holds portfolio P. What is the hurdle rate at which she would buy the US Market portfolio?

Hint: you should begin by calculating the beta of the market with respect to portfolio P (this is NOT the beta of portfolio P with respect to the market).

6. A portfolio manager finds that stocks with high sales-to-price ratios tend to have low alpha's relative to the US Market - especially when stocks have had a high run-up (increase) in price over that past 5 years. Which one of the following has she most likely replicated? (Hint: not all statements are true.)

(Choose one. No explanation necessary)

A) Small stocks tend to have low alphas.

B) Low beta stocks tend to have low alphas.

C) Low earnings stocks tend to have low alphas.

D) Past 3-12 month loser stocks tend to have low alphas.

E) Growth stocks tend to have low alphas.

7. Name an effect that have historically produced a positive alpha's. What kinds of stocks have historically had higher returns than predicted by the Market Model in this effect (which ones have positive alphas). [4:00 AM, 11/7/2021] Flo: You are leading a team from the finance group that is evaluating a manufacturing expansion proposal. It is November of 2021, so you plan to analyze annual cash flows as of December of each year, beginning this year (2021). The goal for the expansion is to increase sales by $75 million when it becomes operational in 2024, and this capacity is expected to continue to grow at 8% each year for the 20 year useful life of the new facility. Historically your variable cost ratio has been 30% and you expect this to continue. Fixed costs at the new facility are expected to be $30 million initially, and to grow at a 6% rate over time. These expenses are historical averages and your company's practice is to use these to form the base case analysis of expansions like this. However, the variable cost ratio has varied between 25% and 45% in the past few years, while growth in fixed cost growth has varied between 5% and 9%. You plan to use these variations for your scenario analysis.

Currently, your WACC is 12%. Your marginal tax rate is 25% (federal and state combined) and you expect this to remain constant for planning purposes. For scenario analysis, you plan to evaluate the base case using a 45% tax rate as a separate worst case scenario. For Projects of this size, your practice is to calculate the NPV, IRR, MIRR and Profitability Index.

Investment

The project will require several long term asset investments, as well as investment in Net Working Capital. There will be an investment in land, building, and two different types of equipment, which you have taken to calling Crushers and Grinders. Details and timing are below.

Land

The project will require an investment in land of $50 million. The land will be purchased in 2021. You have estimated that at the end of the project's life, you will be able to sell the land for $130 million.

Building

The building will be built for $130 million in 2022, with additional prep work required of $20 million in 2023. Once operational, the building will be depreciated using the MACRS 39 year straight line method. For analysis purposes, you ignore any half year or half month convention, and simply use 39 years. At the end of the project's life, you expect to be able to sell the building for $60 million.

Crushers

The selected equipment has a 10 year useful life. It will be purchased in 2022 for $10 million. Installation costs of $3 million will be incurred in 2023. This pattern will be repeated in years 9 and 10 of operations in preparation for the replacement of the equipment so that we cover the project's 20 year operating life. This equipment qualifies as a 7 year asset for MACRS purposes and you expect this part of the tax laws to remain constant. Salvage values for the Crushers are expected to be $2 million each time. However, you expect the purchase price of the Crushers to increase a total of 25% when you repurchase them, with installation costs remaining constant.

Grinders

The selected equipment has a 20 year useful life. It qualifies as a 10 year asset under MACRS rules. It will be purchased in 2023 with a purchase price of $20 million and installation of $5 million. Its salvage value is expected to be $3 million.

NWC

Net Working Capital, primarily in the form of inventory buildup, is expected to be maintained at 10% of next year's sales. So, timing wise, the first investment in NWC will be at the end of 2023 (operations begin in 2024), and then will increase each year based on the increase in Sales for the next year. It is expected that this NWC investment will all be returned at the end of the project's life. [4:00 AM, 11/7/2021] Flo: John O'Sullivan graduated in May 2019 from UIC and looked everywhere for a job. He searched and searched for a decent job, and after a while he decided that the only way to get ahead was to start his own business. In order to support himself, John decided to pursue a life-long dream of owning a hot dog cart business in downtown Chicago. Without any substantial savings of his own, John borrowed $3,000 to purchase a hot dog cart (cart price: $3,000) from the local bank at an interest rate of 2.0% per year, with a loan duration of three years. Computed using simple interest formula, his annual interest payment is $60. To fund start-up costs, John sold his car to buy basic supplies like hot dogs, buns, wrappers, and all the condiments (e.g., mustard, relish, onions, etc.) to make a great hot dog. For accounting purposes, John considers the "supply" cost per one piece of hot dog sold as $0.50. John always buys suppliesin quantities of 1,000 to ensure an adequate inventory supply. John hired his best friend from school, Jim,to help work with the hot dog cart. Jimworks 40 hours per week (2080 hours per year) at the rate of $10.00 per hour. To be a good employer, John provides benefits to Jim. The cost of these benefits is 29% of Jim's total salary. Note: John's own compensation is based on the bottom line (i.e., profit or loss)of the business. The price of each hot dog is $4.00. Condiments are free. In addition to selling to the public, John has a contract with the Chicago police department --- this contract provides the local police with a $2.75 discount for each purchased hot dog. Further, John is charitable and provides free hot dogs to needy families that can't afford to pay. Sometimes, when a good customer forgets their wallet, John will give them a hot dog based on their promise to pay the next day (John truly is a good guy). As part of owning a business, John also has the need to purchase insurance to protect his business against the threat of fire, flood, or theft. Insurance cost is $300 per year. According to generally accepted accounting principles (GAAP), John should depreciate the hot dog cart in equal amounts over five years (straight line). Assume that due to his charitable nature, John's businessistax exempt. (See additional information below, i.e. 4a and 4b, etc.).

What is the balance sheet and income statement?

Question: Payday Lending Calvin is a fully naive hyperbolic discounter with = 0.5 and = 1 and = 1. Hobbes is a fully sophisticated hyperbolic discounter with = 0.5 and = 1 and = = 0.5. They lives for three periods: t = 0, 1, and 2. They derive utility from consumption in each period. They have the same instantaneous CRRA utility from consuming an amount ct 0 (i.e. ct < 0 is not possible) in period t : p u(ct) = ct for t = 0, 1, 2 Accordingly, their discounted lifetime utility from the perspective of period t = 0, 1 is given by p Ps=2 p Ut(c0, c1, c2) = ct + s=t+1 cs and their discounted lifetime utility at t = 2 is simply pc2. We also defne their long-term lifetime utility as p p p W(c0, c1, c2) = c0 + c1 + c2 which for instance captures their discounted lifetime utility from a period preceding 0, without distortion from present bias. Calvin and Hobbes start with wealth of e0 = $1500 at t = 0. They can keep their wealth in a checking account, which has no interest and would allow them to withdraw money at any time. That is, if they put $x into their account in period 0, they could withdraw up to $x at period 1. Similarly, if they put $x into their account in period 1, they could withdraw up to $x at period 2. They receive a paycheck of y = $1200 at t = 2, which is known and perfectly anticipated by both of them at all times. Finally, they have access to a payday lending service: they can borrow up to $600 in period 1, but they have to repay twice the borrowed amount on their payday in period 2 (i.e., they can borrow with an interest rate of 100% between these two periods). 1. Let's frst consider a third fctional character, Susie, who is not present biased, and does not discount the s=2 p future. Her utility at any period t = 0, 1, 2 is P cs Susie also starts with $1500 at t = 0, has access to s=t the checking account, and anticipates receiving $1200 in period 2, but has no access to payday lending. Derive Susie's consumption in period 0, 1 and 2. In particular, show that Susie does not use the checking account from period 1 to period 2. 2. Explain (with no formal derivation) why this means that neither Calvin nor Hobbes would use the checking account from period 1 to period 2. Given this result, we will now work under the (non-binding) assumption that the checking account is only available from period 0 to period 1, for simplicity. 1 3. Let e1 0 denote the amount of money in Calvin's (or Hobbes') checking account when he enters period 1. Assume e1 y. Derive the amount that he decides to borrow from the payday lending service, b, as a function of e1. Show that he will consume an equal amount in periods 1 and 2, i.e. c1 = c2. 4. Using the result from the previous question, derive the amount of money e that Hobbes, who is fully sophisti- S 1 cated, decides to put in his checking account in period 0. Hint: Do not worry about checking corner solutions, i.e. assume that eS y in order to use the answer to the previous question, and just verify that the value obtained 1 indeed verifes this inequality. 5. How much will Hobbes end up borrowing from the payday lending service and consuming in each period? 6. Now, let's consider Calvin, who is fully naive ( = 1). In period 0, how much does Calvin predict he will borrow from the payday lending service in period 1 if he were to leave e1 in his checking account? 7. Derive the amount e that Calvin decides to leave in his checking account in period 0. Hint: Do not worry N 1 about checking corner solutions, i.e. assume that 4eN y in order to use the answer to the previous question, 1 and just verify that the value obtained indeed verifes this inequality. 8. How much will Calvin end up borrowing from the payday lending service and consuming in each period? 9. Discuss how Calvin's and Hobbes' consumption paths dier. Compute their long-term lifetime utilities, compare them, and discuss intuitively why they are ordered in this way. 10. Now, assume that no payday lending service is available. Derive the amounts left in the checking account in period 0 by Calvin and Hobbes. 11. Derive the full consumption paths of Calvin and Hobbes in the absence of payday lending. Compare their long-term lifetime utilities to the values found in question 9. Discuss this comparison. 12. Suppose that in period 0, a referendum is organized to ask Calvin and Hobbes whether they want the government to implement a policy that shuts down payday lending. The policy would require some administrative costs which would result in a tax of $1 levied at the end of period 1. The two options to vote for are Yes and No. What would Calvin vote? What would Hobbes vote? (assuming they are both selfsh and only care about improving their own utility). Discuss what this example suggests for the real world problem of regulating payday lending. For the rest of the problem, we consider a world where a shock just hurt Calvin and Hobbes before the time analyzed in the problem, so that their initial wealth is now e0 = $200. Note that the conclusions from question 2 also apply here so it's still correct to simply assume that there is no checking account from period 1 to period 2. 13. Noting that answers to questions 3 and 6 are unchanged, show that neither Calvin nor Hobbes leave anything in their checking accounts in period 0. 14. Compute Calvin and Hobbes' resulting consumption path. 15. As in question 10, derive the amounts left in the checking accounts in period 0 by Calvin and Hobbes if no payday lending service is available. Derive the resulting consumption paths. 16. Compare the long-term lifetime utilities of Calvin and Hobbes with and without access to the payday lending service now that their initial wealth e0 is lower. Why is this comparison yielding a dierent conclusion than in question 11?

Indian business leaders are engaged in frantic last-minute lobbying to persuade ministers not to hit their sectors with import tariffs as the government struggles to stabilise the fast-dropping rupee. New Delhi is expected to announce the details of a plan to shore up its battered currency within days, which Arun Jaitley, the finance minister, said last week would include curbs on "non-essential" imports. The government's plans would make India the latest country to turn to protectionist measures in an attempt to boost its economy. Pakistan imposed import restrictions yesterday as it battled to restore its depleted reserves of foreign currency, while the US and China are engaged in a trade war. Mr Jaitley's announcement on Friday came after the rupee dropped to its lowest ever level against the dollar, hit by worries about emerging economies generally, and specifically by concerns over India's widening current account deficit. The deficit grew to $15.8bn, or 2.4 per cent of gross domestic product, during the April-to-June quarter, New Delhi announced this month. The rupee has lost about 12 per cent against the dollar this year. Officials are now drawing up a list of items that could fall under the new restrictions, with gold, textiles, electronics and telecoms equipment all reportedly under consideration. But business groups are urging the government to limit the number of goods that will be targeted, warning the measures inadvertently risk hurting exports. "You cannot target such a broad base of things," said one business leader who did not want to be named. "Many of these goods are used as inputs into exported goods, or in widely used domestic items. It would have the opposite effect to what they want to achieve." Telecoms companies, for example, import about 90 per cent of their network equipment, including receivers, antennas and routers. They say it would not be possible to buy such items domestically. Rajan Mathews, director-general of the Cellular Operators Association of India, said: "Mobile operators cannot immediately substitute their imports for domestically made goods. "If they have to pay more for these items, mobile users will pay more. If they cannot buy them, they will hold back on developing mobile infrastructure." One of the most sensitive items reportedly under consideration is gold, which is used across India as a common means to store wealth, and is also used extensively in jewellery exports. Colin Shah, vice-chairman of the Gems and Jewellery Export Promotion Council, said: "While they want to bring in import curbs, they also want to increase exports." He noted that the import duty on gold and silver had already been raised from 2 to 10 per cent over 15 months from March 2012. Analysts warned that restrictions on steel imports would damage industries such as construction and car making. Amit Dixit, an analyst at Edelweiss Securities, said: "[Steel import restrictions] would be a boon for steelmakers but downstream industries would definitely suffer." Officials must also be careful not to break World Trade Organization rules. India is already under pressure at the WTO, having been challenged by the US over six different export subsidy schemes, worth a total of $7bn. Under the WTO's information technology agreement, for example, members cannot levy import tariffs on a range of telecoms equipment. On other goods, such as textiles, India is already close to the maximum allowed tariff. "In many cases we do not have much headroom we are already close to our bound rates," said Biswajit Dhar, an PDF GENERATED BY PROQUEST.COM Page 1 of 3 economics professor at Jawaharlal Nehru university. Mr Dhar said these rules could be bent, but only if there was an impending crisis. "We still have enough foreign currency to cover eight months' worth of imports," he said. "That is not likely to be bad enough for the WTO."

1. Discuss why the Indian government levied new tariffs on a wide range of imported goods. Can any of the trade theories explain the government's underlying motivation?

2. Discuss how the new tariffs would damage local manufacturing in India. Use an industry to illustrate your answer.

3. Based on the article, suggest strategies for multinational companies with India as a) the top export market and b) the key overseas manufacturing site in facing the new tariff