Task Three: Financial Management Exercise (50 marks) - Individual Students are required to monitor a budget that you set for yourself and track your spending over a period of four (4) weeks. The exercise aims at getting to know your spending habits, your ability to manage a budget, and your decisions on how to distribute/use your resources (in this case your money). Please concentrate and be organized. Exercise Instructions: 1. Decide on a budget for a month (starting from this weekend January 28th and until February 25th) and keep monitoring what you do in it from a financial perspective (this means monitor your spending and the decisions you are doing for the next 4 weeks (college weeks 4, 5, 6 and 7) 2. Start this weekend by going to your Google store or Apple store and download a Budget tracker free application. This App might have different names (like money spending tracker, etc.). 3. Every day, starting this weekend, start recording all your daily expenses. 4. Analyze your daily expenses at the end of the exercise period (the one month) in the following way: a. What have you learnt from this exercise? Any new ideas about budgets, expenditures, monitoring your own financial decisions? Am I a spender? Am I someone who can save? Be honest with these reflections as it will help you to have better financial habits in your future life. b. Tell me how can you be a more responsible member of your family, your community, and the UAE in general as pertaining to your spending as a consumer? Do you buy things that you don't need, just for the sake of buying, do you spend money on products such as food or clothes or accessories in excess to what you need (thus wasting your money)? c. Think about your spending pattern, what could you do better? What is your biggest challenge in terms of expenses? d. Finally, what is your saving pattern? How can you save more money in the future? What is your motivation for saving? 5. So, at the end of week 4 (end of week 7), one or two pages reflection paper giving your teacher a summary of what happened to you during those 4 weeks and what main financial management lessons did you learn from it (you can use any information from a, b, c or d above to help you and provide examples).

4. Suppose that n light bulbs are burning simultaneously to determine the lengths of their lives. We shall assume that they burn independently and that the lifetime of each bulb has the exponential distribution with parameter . Let X2- denote the lifetime (in thousand hours) of bulb i, for 2' : 1, . . . ,n. The pdfJ mean and variance of exponential distribution Expw) are 1 1 1%) = fie'93, 1300 = -, Var(X) = 2- 3 X3 (a) What does the central limit theorem say about the distribution of W when n is large? (b) Find a two-sided 95% condence interval of the mean lifetime (1/3). Express your answer in terms of n, X and z (the 2 critical values). Interpret the condence interval you obtain in context of the situation. (c) Now, suppose that we want to test whether or not the mean lifetime is 1000 hours, we would consider H0:,8=1Ha:71. Derive the likelihood ratio statistic. (d) Denote the likelihood ratio statistic by A(X). Should the null hypothesis H0 be rejected when A(X) is large or small? (0) What is the large-sample distribution of 2 log AU?) when the null hypothesis H0 is true? (f) Explain what a Type I error would mean in context of this problem. SOLVE ALL QUESTIONS CORRECT AND CLEAR I GONNA VOTE UP 1. Give and draw the pdf and cdf of a uniform random variable X. Find the mean and the variance of X. 2. Give the pdf and cdf of an exponential random variable X. 3. Give the pdf, cdf, and Q function of a standart Gaussian random variable X. (unit variance, mean zero) 4. Give the Markove and Chebyshev inequalities. 5. Give the moment generating function and characteristic function of a random variable X. How can the moments be found from the moment generating function and characteristic function?Complete this question by entering your answers in the tabs below. Balance Sheet Balance Sheet 2018 2019 Prepare the balance sheet for the business as of December 31, 2018. Hint: Report only total equity 0n the balance sheet and remember that total equity equals the difference between assets and liabilities. "otal equity Total assets $ 0 "otal liabilities and equity $ 0 Balance Sheet 2019 > Complete this question by entering your answers in the tabs below. Balance Sheet Balance Sheet 2018 2019 Prepare the balance sheet for the business as of December 31, 2019. Hint: Report only total equity on the balance sheet and remember that total equity equals the difference between assets and liabilities. NETTLE DISTRIBUTION Balance Sheet December 31, 2019 Assets Liabilities Total liabilities Equity Total equity Total assets 0 Total liabilities and equity 0