Manufacturers of aircraft engines have, like many other industrial manufacturers, try to make engines that are more economical to operate and maintain while still providing the power needed to fly large-capacity aircraft. The Boeing 747, long considered the workhorse of the jumbo jet fleet, is powered by four engines, each capable of 44,700 pounds of thrust. Because the 747 has been in operation since 1969, maintenance costs are now relatively fixed. The goal for any airline is to plan for consistent, predictable maintenance costs.The new era of more efficient planes include the Boeing 777, introduced in 1995, has only two more efficient engines, each capable of 84,000 pounds of thrust. Not only are the newer engines capable of greater power, their efficiency also should provide lower maintenance cost variance.  The following engine maintenance cost data (in $ millions) from a sample of the United Airlines fleet is provided:747  777 

Adjustors working for a large insurance agency are each given a company car which they use on the job to travel to client locations to inspect damage to homes and automobiles that are covered by the agency. Although the cars are owned by the agency, maintenance is currently left up to the discretion of the adjustors, who are reimbursed for any costs they report. The agency believes that the lack of a maintenance policy has led to unnecessary maintenance expenses. In particular, they believe that many agents wait too long to have maintenance performed on their company cars, and that in such cases, maintenance expenses are inordinately high. The agency recently conducted a study to investigate the relationship between the reported cost of maintenance visits for their company cars (Y) and the length of time since the last maintenance service (X). The sample data are shown below and you can download them here: ​ (A) Obtain a residual plot vs. Service Interval. Does this affect your opinion of the validity of the model?

Common-size financial statements present all balance sheet account values as a percentage of:

Kaleb’s Karate Supply had a profit margin of 10 percent, sales of $27 million, and total assets of $8 million.What was the total asset turnover?If management set a goal of increasing total asset turnover to 3.5 times, what would the new sales figure need to be, assuming no increase in total assets?

Tarik’s Used Books has cash of $2,950, inventory of $28,470, fixed assets of $9,860, accounts payable of $11,900, and accounts receivable of $4,660. What is the cash ratio?

Saki Kale Farms has net income of $96,320, total assets of $975,200, total equity of $555,280, and total sales of $1,141,275. What is the common-size percentage for the net income?

Prisqua Rentals has inventory of $147,500, equity of $320,000, total assets of $658,800, and sales of $800,780. What is the common-size percentage for the inventory account?

The cash ratio is used to evaluate the:

Passage 2             (1) Did you know that you can catch the flu from animals, including pigs and birds? For years, scientists have suspected that pigs are the bridge for new influenza strains because pigs are mixing bowls for viruses, especially pig and bird viruses. Since this viral mix can happen only when animals come in close contact, scientists have believed that new flu strains often emerge first in China because pigs and ducks there often live in close quarters with humans on small family farms. Therefore, pigs can be simultaneously infected with avian (bird), swine (pig), and human forms of the flu, which then mix and match their genes to create new flu varieties that spread from animals to people.             (2) Sometimes these variant forms are deadly. Researchers had a glimpse of just such a nightmare scenario in 1997. An avian flu virus suddenly began infecting people in Hong Kong, igniting what could have been the beginning of a catastrophic pandemic. The trouble began in May 1997, when a three-year-old boy died after becoming infected with an unusual form of the flu virus now known as H5N1. The following November, the new virus, which turned out to be carried in chickens, was back.  In all, eighteen people were infected with the virus. What saved people from disaster was that the virus did not spread from person to person, but only from infected chickens to people.  To avoid disaster, all poultry in Hong Kong had to be destroyed. If that variant of influenza had gotten loose and begun spreading from person to person, it could have wiped out one-third of the earth’s population.

According to this passage, the possible consequence of H5N1 was ___.