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NEW QUESTION: 1
The estimated demand for pretzels at the next home football game using a deterministic approach based on the most likely outcome is:
A. 6,000 pretzels.
B. 5,000 pretzels.
C. 4,000 pretzels.
D. 4,400 pretzels.
Answer: B
Explanation:
A deterministic approach assumes that a value is known with certainty. If that value is deemed to be the most likely outcome, assumed demand will be 5,000 pretzels,
The volume with the highest probability 35%). A beverage stand can sell either soft drinks or coffee on any given day. If the stand sells soft drinks and the weather i= hot, it will make US $2,600; if the weather is cold, the profit will be US $1,000. If the stand sells coffee and the weather is hot, it will make US $1,900: if the weather is cold, the profit will be US $2,000. The probability of cold weather on a given day at this time is 60%.
NEW QUESTION: 2
Given the code fragment:
Which two modifications, made independently, enable the code to compile?
A. Make the method at line n2 public.
B. Make the method at line n3 protected.
C. Make the method at line n1 public.
D. Make the method at line n4 public.
E. Make the method at line n3 public.
Answer: A,E
NEW QUESTION: 3
Historically, the earnings per share (EPS) figure for a stock market series has been less volatile than the earnings multiplier for the same series. Which of the following best characterizes the primary reason for the greater volatility experienced by the earnings multiplier? Choose the best answer.
A. The earnings multiplier is more sensitive to changes in dividend policies than is the EPS figure.
B. The earnings multiplier is more sensitive to fluctuations in the equity markets than is the EPS figure; i.e.
the earnings multiplier is "forward looking."
C. None of these answers is correct.
D. The price/earnings ratio is more sensitive to changes in the spread between the required rate of return and the anticipated future growth rate.
E. The price/earnings figure experiences a tax leveraging effect that is not passed on to the EPS figure.
F. The EPS figure is less volatile due to accounting manipulations and the malleability of international and domestic accounting standards including GAAP.
Answer: D
Explanation:
Explanation/Reference:
Explanation:
The greater relative volatility of the earnings multiplier versus the EPS figure is primarily attributable to an increased sensitivity to changes in the spread between the required rate of return "k" and the anticipated growth rate "g." Remember that the equation used to determine the appropriate earnings multiplier for a stock market series is the following:
P/E = [D/E / (k - g)]
Where: P/E = the earnings multiplier, or Price-to-Earnings ratio, D/E = the dividend payout ratio at t1, k = the required rate of return, and g = the anticipated growth rate of dividends.
As you can see, changes in the spread between the required rate of return and the anticipated growth rate can have a dramatic effect on the earnings multiplier for a stock market series. While the earnings multiplier is sensitive to changes in the dividend payout ratio, volatility in this figure is not cause for the increased volatility of the earnings multiplier versus the EPS figure.
NEW QUESTION: 4
DRAG DROP
Answer:
Explanation:
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