An energy-conservation study has produced a base case that is a heat-recovery project. The TCI is $5.0 MM and the project provides an annual net profit of $1.0 MM year. Two add-on alternatives are proposed as possible modifications to the base case:

(i) The addition of an additional heat exchanger, which will cost an additional $2.0 MM of TCI and will result in a total annual net profit of $1.8 MM/year for the combined base case and the additional heat exchanger.
(ii) The addition of a steam turbine for cogeneration of heat and power. The turbine coupled with the heat-recovery network and the additional heat exchanger. The turbine will cost $4.0 MM in addition to the TCI of the base-case heat-recovery network and the additional heat exchanger. It will result in a total annual net profit of $2.2 MM/year for the combined base case, additional exchanger, and turbine.

The company has a 15% per year minimum hurdle rate. Which projects should you recommend?

Who is better at multi-tasking? in business, employees are often asked to perform a complex task when their atten-tion is divided (i.e., multi-tasking). human factors (may 2014) published a study designed to determine whether video game players are better than non–video game play-ers at multi-tasking. each in a sample of 60 college stu-dents was classified as a video game player or a non-player. participants entered a street crossing simulator and were asked to cross a busy street at an unsigned intersec-tion. the simulator was designed to have cars traveling at various high rates of speed in both directions. during the crossing, the students also performed a memory task as a distraction. two variables were measured for each student: (1) a street crossing performance score (measured out of 100 points) and (2) a memory task score (measured out of 20 points). the researchers found no differences in either the street crossing performance or memory task score of video game players and non-gamers. “these results,” say the researchers, “suggest that action video game players [and non-gamers] are equally susceptible to the costs of dividing attention in a complex task”

Bill dukes has $100,000 invested in a 2-stock portfolio. $62,500 is invested in stock x and the remainder is invested in stock y. x's beta is 1.50 and y's beta is 0.70. what is the portfolio's beta? do not round your intermediate calculations. round the final answer to 2 decimal places.

Marta communications, inc. has provided incomplete financial statements for the month ended march 31. the controller has asked you to calculate the missing amounts in the incomplete financial statements. use the information included in the excel simulation and the excel functions described below to complete the task