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NEW QUESTION: 1
A technician notices that everything appears too large on the computer's screen and the display resolution cannot be changed. The machine is running in which of the following modes?
A. Virtualization
B. Recovery
C. Administrator
D. VGA
Answer: D
NEW QUESTION: 2
프로덕션 시스템에서 SQL (Structured Query Language) 침투 테스트를 수행하기 전에 다음 중 필수 단계는 무엇입니까?
A. 대책이 비활성화 되었는지 확인하십시오.
B. 웜 사이트가 연결을 수락 할 준비가되었는지 확인하십시오.
C. 방화벽 로깅이 활성화되었는지 확인하십시오.
D. 대상 시스템의 유효성 검사가 백업되었습니다.
Answer: D
NEW QUESTION: 3
Abel has just completed an audit on a large law firm. He has decided to issue a modified audit report with a qualified opinion due to the issues he discovered regarding misstatements in the company's financial records.
Why has Abel decided to issue the report with a qualified opinion as opposed a different kind?
A. Because he was unable to find enough suitable evidence to determine whether or not the misstatements were both material and pervasive.
B. Because he has found the misstatements to be both material and pervasive.
C. Because he has come to the conclusion that the misstatements aren't an issue, but should be noted in the report.
D. Because even though he has discovered material statements, he has not deemed them to be pervasive.
Answer: D
NEW QUESTION: 4
Grant Grocers is considering the following investment projects:
Project Size of Project IRR of Project
V 1.0 million12.0%
W 1.2 million11.5%
X 1.2 million11.0%
Y 1.2 million10.5%
Z 1.0 million10.0%
The company has a target capital structure, which is 50 percent debt and 50 percent equity. The after- tax cost of debt is 8 percent. The cost of retained earnings is estimated to be 13.5 percent. The cost of equity is estimated to be 14.5 percent if the company issues new common stock. The company's net income is
$2.5 million. If the company follows a residual dividend policy, what will be its payout ratio?
A. 32%
B. 66%
C. 54%
D. 100%
E. 12%
Answer: A
Explanation:
Explanation/Reference:
Explanation:
The company's WACC (provided no new equity is issued) is 8%(0.5) + 13.5%(0.5) = 10.75%. Comparing the WACC with the project IRRs reveals that the company will undertake projects V, W, and X Total financing costs for these projects is $3,400,000. Of this amount, 0.5($3,400,000) = $1,700,000 will be financed from retained earnings. Thus, $2,500,000 - $1,700,000 = $800,000 will be available for dividends.
The payout ratio is then $800,000/$2,500,000 = 32%.
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