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NEW QUESTION: 1
Anderson Company has four investment opportunities with the following costs (all costs are paid at t=0) and estimated internal rates of return (IRR):
Project Cost IRR
A $2,000 16.0%
B $3,000 14.5
C $5,000 11.5
D $3,000 9.5
The company has a target capital structure, which consists of 40 percent common equity, 40 percent debt, and 20 percent preferred stock. The company has $1,000 in retained earnings. The company expects its year-end dividend to be $3.00 per share. The dividend is expected to grow at a constant rate of 5 percent a year. The company's stock price is currently $42.75. If the company issues new common stock, the company will pay its investment bankers a 10 percent flotation cost. The company can issue corporate bonds with a yield to maturity of 10 percent. The company is in the 35 percent tax bracket. How large can the cost of preferred stock be (including flotation costs) and it still be profitable for the company to invest in all four projects?
A. 11.54%
B. 12.68%
C. 7.75%
D. 8.90%
E. 10.46%
Answer: D
Explanation:
Explanation/Reference:
Explanation:
We need to find k(ps) at the point where all 4 projects are accepted. In other words, the capital budget
$2,000 + $3,000 + $5,000 + $3,000 = $13,000. The WACC at that point is equal to IRR(D) = 9.5%.
Step 1 Find the retained earnings break point to determine whether k(s) or k(e) is used in the WACC calculation:
BP(RE) = $2,500.
Since the capital budget > the retained earnings break point, k(e) is used in the WACC calculation.
Step 2 Calculate k(e):
k(e) = [3.00/$42.75(1-.10)] + 5% = 12.80%.
Step 3 Find k(ps):
9.5% = 0.4(10%)(0.65) + 0.2(kps) + 0.4(12.80%)
9.5% = 2.60% + 0.2(kps) + 5.12%
1.78% = 0.2k(ps)
8.90% = k(ps).

NEW QUESTION: 2
Payroll has completed, but the payroll process is in incomplete status. The pre-payment process is run. What is the impact on the pre-payment?
A. The pre-payment process will not process any employee.
B. Pre-payments are processed for all the employees for whom payroll was run.
C. Pre-payments are processed only for those employees whose payroll process status is Incomplete
D. Pre-payments are processed only for those employees whose payroll process status is Complete.
E. Pre-payments will be processed for all the employees with default payment method.
Answer: D

NEW QUESTION: 3
You have a MySQL Server Instance (runn.ng with Port# 3306) monitored by the Service Manager in MySQL Enterprise Monitor. You cloned the MySQL Database instance and configured it to be a replicated MySQL instance as Slave using Port# 3316 on the same machine as the Master Server.
The replication configuration is working correctly. The Master and Slave Servers are running.
You are trying to add the newly created MySQL Slave Instance to the Monitor. The Service Manager for MySQL Enterprise Monitor notifies you that the new instance is successfully added; however, it is not added correctly at the newly added configuration points to the old Master monitored items. The Monitor shows only one monitored MySQL Instance for Master and Stave.
Identify two reasons for this problem.
A. The SLAVE and MASTER instances are started with the same configured value for the option -monitor_server_uuid.
B. The mysql.instance table on SLAVE is cloned with the same content as MASTER, which has the same server UUID
C. The MASTER and SLAVE are grouped as one instance for monitoring.
D. All the MySQL instances (Master and Slave) have same server_uuid in
< datadir>/auto.cnf.
E. The mysql.inventory table on SLAVE is cloned with the same content as MASTER, which has the same server UUID
Answer: A,C

NEW QUESTION: 4
You have a computer that runs Windows 7. Multiple users share the computer. The computer is joined to a domain.
You need to prevent the users from using more than 2 GB of disk space on drive C.
What should you do?
A. From a Group Policy object (GPO), enable the Limit the size of the entire roaming user profile cache setting.
B. Enable disk quota management on Computer1 and configure a default quota limit.
C. Enable System Protection for Local Disk (C) and set the disk space usage.
D. From a Group Policy object (GPO), enable the Limit profile size setting.
Answer: B
Explanation:
Disk quotas provide administrators with a way to limit each user's utilization of disk space on a volume. In order to set quotas, you must have Administrator rights, and the volume must be formatted with the NTFS file system. Disk quotas are based on file ownership and are independent of the folder location of the user's files within the volume. For example, if users move their files from one folder to another on the same volume, their volume space usage does not change. However, if users copy their files to a different folder on the same volume, their volume space usage doubles. If one user creates a 200 kilobyte (KB) file, and another user takes ownership of that file, the first user's disk use decreases by 200 KB and the second user's disk use increases by 200 KB.

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