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NEW QUESTION: 1
Which includes governance, management practices, and continual improvement?
A. The 'focus on value' guiding principle
B. The 'deliver and support' value chain activity
C. The 'value stream and processes' dimension
D. The service value system
Answer: D
NEW QUESTION: 2
Which Aruba solution area helps customers engage with their users on their mobile devices?
A. Mobile infrastructure
B. Location-based services
C. BYOD and loT Security
D. Digital workplace
Answer: C
NEW QUESTION: 3
Gulf Electric Company (GEC) uses only debt and equity in its capital structure. It can borrow unlimited amounts at an interest rate of 10 percent so long as it finances at its target capital structure, which calls for
55 percent debt and 45 percent common equity. Its last dividend was $2.20; its expected constant growth rate is 6 percent; its stock sells on the NYSE at a price of $35; and new stock would net the company $30 per share after flotation costs. GEC's tax rate is 40 percent, and it expects to have $100 million of retained earnings this year. GEC has two projects available: Project A has a cost of $200 million and a rate of return of 13 percent, while Project B has a cost of $125 million and a rate of return of 10 percent. All of the company's potential projects are equally risky. What is GEC's cost of equity from newly issued stock?
A. 12.29%
B. 10.00%
C. 13.33%
D. 12.66%
E. 13.77%
Answer: E
Explanation:
Explanation/Reference:
Explanation:
k(d) (interest rate on the firm's new debt) = 10%
k(d)(1 - T) (after-tax-component cost of the debt) = 10%(0.6) = 6%.
D/A = 55%; D0 = $2.20; g = 6%; P0 = $35; PN = $35; T = 40%.
Retained earnings = $100M; BP(RE) = $100M/ .45 = $222.22M.
k(s) (component cost of retained earnings) = $2.33/$35 + 6% = 12.66%.
k(e) (component cost of external equity) = $2.33/$30 + 6% = 13.77%.
NEW QUESTION: 4
In an ARMv7-A processor, which control register is used to enable the Memory Management Unit (MMU)?
A. The TTBCR
B. The SCTLR
C. The ACTLR
D. The CONTEXTIDR
Answer: B
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