Question 1 (50 marks) Read the following article: "US equipment rentals stocks attract Harvey buying. US equipment rentals stocks attract Harvey buying Equipment rental companies saw their stock prices rise on Wednesday as investors anticipated that tropical storm Harvey would generate demand Shares in United Rentals, the largest equipment rental company, climbed 3.7 per cent to $119.19. It has risen 11.1 per cent since August 25. Competitors H&E Equipment Services and Herc Holdings were up 5.8 per cent to $24.11 and 1.8 per cent to S42.20, respectively The companies provide rental equipment to the construction industry, other companies and homeowners and other individuals. When you think about the immediate aftermath of the storms there is not only going to be the emergency response but also a rebuild effort after that which will put increased demand for rental equipment into the market," said Joseph O'Dea, an analyst at Vertical Research Partners The disaster has displaced tens of thousands and damaged the heart of the US energy industry. With estimates of the damage running into the tens of billions of dollars, economists and analysts anticipate a significant rebuilding job in Houston and the surrounding area. Open Limited has decided to proceed with the manufacture and distribution of a new fabric. To undertake this venture, the company needs to obtain equipment for the production of the new fabric threads. Because of the small size of the threads, specialized equipment will be required for production. Question 1 (50 marks) Read the following article: "US equipment rentals stocks attract Harvey buying. US equipment rentals stocks attract Harvey buying Equipment rental companies saw their stock prices rise on Wednesday as investors anticipated that tropical storm Harvey would generate demand Shares in United Rentals, the largest equipment rental company, climbed 3.7 per cent to $119.19. It has risen 11.1 per cent since August 25. Competitors H&E Equipment Services and Herc Holdings were up 5.8 per cent to $24.11 and 1.8 per cent to S42.20, respectively The companies provide rental equipment to the construction industry, other companies and homeowners and other individuals. When you think about the immediate aftermath of the storms there is not only going to be the emergency response but also a rebuild effort after that which will put increased demand for rental equipment into the market," said Joseph O'Dea, an analyst at Vertical Research Partners The disaster has displaced tens of thousands and damaged the heart of the US energy industry. With estimates of the damage running into the tens of billions of dollars, economists and analysts anticipate a significant rebuilding job in Houston and the surrounding area. Open Limited has decided to proceed with the manufacture and distribution of a new fabric. To undertake this venture, the company needs to obtain equipment for the production of the new fabric threads. Because of the small size of the threads, specialized equipment will be required for production
