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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. $2.40
B. $2.20
C. $0
D. $1.00
E. $1.80
Answer: A
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
An end user reports that conference calls are failing. Which fault domain should be investigated first?
A. network routers and switches
B. IP phone
C. Cisco Unified Communications Manager Media Resources
D. voice gateways
Answer: C
Explanation:
Explanation/Reference:
Explanation:

NEW QUESTION: 3
The Information System Security Officer (ISSO) and Information System Security Engineer (ISSE) play the role of a supporter and advisor, respectively. Which of the following statements are true about ISSO and ISSE?
Each correct answer represents a complete solution. Choose all that apply.
A. An ISSE provides advice on the impacts of system changes.
B. An ISSE manages the security of the information system that is slated for Certification & Accreditation (C&A).
C. An ISSE provides advice on the continuous monitoring of the information system.
D. An ISSO takes part in the development activities that are required to implement system ch anges.
E. An ISSO manages the security of the information system that is slated for Certification & Accreditation (C&A).
Answer: A,C,E

NEW QUESTION: 4
Your network contains an Active Directory domain named contoso.com. The domain contains five servers.
All servers run Windows Server 2016.
A new security policy states that you must modify the infrastructure to meet the following requirements:
Limit the rights of administrators.

Minimize the attack surface of the forest.

Support Multi-Factor authentication for administrators.

You need to recommend a solution that meets the new security policy requirements.
What should you recommend deploying?
A. the Local Administrator Password Solution (LAPS)
B. domain isolation
C. an administrative forest
D. an administrative domain in contoso.com
Answer: C
Explanation:
Explanation/Reference:
Explanation:
References:
https://docs.microsoft.com/en-us/windows-server/identity/securing-privileged-access/securing-privileged- access-reference-material#ESAE_BM

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