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NEW QUESTION: 1
While studying for the Level 1 CFA examination, Leonard Hart draws the following graph of a firm's capital structure. Using his graph and the assumptions below, determine which of the following statements A through D below is FALSE.
A. As the firm needs to raise more and more capital, the weighted average cost of capital (WACC) will remain lower than the marginal cost of capital.
B. The weighted average cost of capital (WACC) of 10.00% uses retained earnings, the WACC of 12.25% uses common stock.
C. The firm should use this graph to adjust projects for risk.
D. The value for X is $90 million.
Answer: D
Explanation:
Explanation/Reference:
Explanation:
This graph represents the marginal cost of capital (MCC).
BPRE= (Retained Earnings) / (Equity Fraction, we)
Here, RE = earnings * (1 - Payout) = $100 million (1 - 0.45) = $ 55.0 million, And BPRE= $55.0 million / 0.50 = $110 million.
The other statements are true.
WACC using internal equity (retained earnings):
WACC = (wd)(kd) + (ws)(ks), where wd, wsare the weights used for debt and retained earnings.
WACC = (0.50 * 7.0%) + (0.50 * 13.0%) =10.00%.
WACC using external equity (common stock):
WACC = (wd)(kd) + (we)(ke), where wd, weare the weights used for debt and common equity.
WACC = (0.50 * 7.0%) + (0.50 * 17.5%) =12.25%.
Note:To save time on the exam, remember that internal equity cost is less than external equity cost (or ks< ke) due to floatation costs.
NEW QUESTION: 2
ビジネスパートナー内の分納契約にどの組織でリリース作成プロファイルを割り当てますか？
正しい答えを選んでください。
応答：
A. Plant
B. Client
C. Purchase organization
D. Company code
Answer: A
NEW QUESTION: 3
DRAG DROP
Answer:
Explanation:
Explanation:
* Import-AzurePublishSettingsFile
Imports Azure subscription datafrom a .publishsettings file downloaded from the management portal.
* Set-AzureWebsite
Configures a website running in Azure.
* Restart-AzureWebsite
Stops and then starts the specified website.
References:
http://msdn.microsoft.com/en-us/library/azure/dn495266.aspx
NEW QUESTION: 4
A. MOU
B. SLA
C. LOI
D. PO
Answer: B
Explanation:
References: Kim Heldman, CompTIA Project+ Study Guide, 2nd Edition, Sybex,
Indianapolis, 2017, p. 303