The Commute Times (In Minutes) of 20 Randomly Selected Adult $\begin{array} { l l l l l l l l l l } 70 & 72 & 71 & 70 & 69 & 73 & 69 & 68 & 70 & 71 \end{array}$

question 96

Essay

The commute times (in minutes) of 20 randomly selected adult males are listed below. Test the claim that thevariance is less than 6.25. Use α = 0.05. Assume the population is normally distributed. $\begin{array} { l l l l l l l l l l } 70 & 72 & 71 & 70 & 69 & 73 & 69 & 68 & 70 & 71 \end{array}$
$\begin{array} { l l l l l l l l l l } 67 & 71 & 70 & 74 & 69 & 68 & 71 & 71 & 71 & 72 \end{array}$

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Definitions:

NPV

Net Present Value; a calculation that compares the value of money now to the value of that money in the future, taking inflation and returns into account.

Static DCF Analysis

A method of valuing a project, company, or asset using the concepts of the time value of money where all cash flows are assumed to occur at fixed points in time.

Option to Expand

The option to expand is a strategic flexibility available to companies, allowing them to increase their investment in a project based on future market conditions or performance indicators.

Cash Break-even

The point where a business's cash inflows match its cash outflows, excluding non-cash expenses, indicating no net gain or loss.