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NEW QUESTION: 1
Copybold Corporation is a start-up firm considering two alternative capital structures--one is conservative and the other aggressive. The conservative capital structure calls for a D/A ratio = 0.25, while the aggressive strategy call for D/A = 0.75. Once the firm selects its target capital structure it envisions two possible scenarios for its operations: Feast or Famine. The Feast scenario has a 60 percent probability of occurring and forecast EBIT in this state is $60,000. The Famine state has a 40 percent chance of occurring and the EBIT is expected to be $20,000. Further, if the firm selects the conservative capital structure its cost of debt will be 10 percent, while with the aggressive capital structure its debt cost will be
12 percent. The firm will have $400,000 in total assets, it will face a 40 percent marginal tax rate, and the book value of equity per share under either scenario is $10.00 per share. What is the difference between the EPS forecasts for Feast and Famine under the aggressive capital structure?
A. $0
B. $1.00
C. $2.20
D. $2.40
E. $1.80
Answer: D
Explanation:
Explanation/Reference:
Explanation:
Debt = 75% = $300,000; Equity = 25% = $100,000; Total assets = $400,000.
FeastFamine
Probability0.60.4
EBIT$60,000$20,000
Less: Interest36,00036,000
EBT$24,000-$16,000
Less: Taxes9,600-6,400
NI$14,400-$9,600
# shares10,00010,000
EPS$1.44-$0.96
Difference in EPS for conservative capital structure:
EPS(Feast) - EPS(Famine) = $1.44 - (-$0.96) = $2.40
NEW QUESTION: 2
Which option is constraint on promoting a BPMN process to be a case activity?
A. The BPMN process must be in the same project as the case.
B. The BPMN process cannot contain human tasks.
C. The BPMN process requires that the reply from the process contains at least one parameter.
D. The BPMN process has to be modeled as an asynchronous process.
Answer: D
Explanation:
Explanation/Reference:
Explanation:
The BPMN process must already exist. You can use synchronous and asynchronous BPMN processes.
The case activity only supports message start and end points
Reference:http://docs.oracle.com/cd/E28280_01/doc.1111/e15176/
case_mgmt_bpmpd.htm#BPMPD87432
NEW QUESTION: 3
カスタマイズ可能な予測を使用する場合は、個別の予測ロール階層があります
A. 本当
B. 偽
Answer: A
NEW QUESTION: 4
A network architect is planning to implement SSH to secure management of HP network infrastructure devices. What are the requirements for generating SSH keys on the infrastructure devices and on management stations?
A. Generating an SSH key on each infrastructure device is optional. An SSH key must be generated on each management station.
B. An SSH key must be generated on each infrastructure device and on each management station.
C. Generating an SSH key on each infrastructure device is optional. Generating SSH keys on management stations is optional; passwords can be used instead.
D. An SSH key must be generated on each infrastructure device. Generating SSH keys on management stations is optional, passwords can be used instead
Answer: D
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