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NEW QUESTION: 1
De Jong continues her analysis of O'Connor. She is concerned that along with a dividend discount model approach she would also like to get a measure of the contribution that the key managers, Melanie and Arthur O'Connor, have made to the company's apparent ongoing success.
She considers using NOPAT and EVA to assess management performance. She believes that increasing invested capital to take advantage of projects with positive net present values increases both NOPAT and EVA.
However, De Jong decides to use residual income analysis instead. She provides the following justification for using the residual income model:
* The calculation of residual income depends primarily on readily available accounting data.
* The residual income model can be used even when cash flow is difficult to forecast.
* The residual income model does not depend on dividend payments or on positive free cash flows in the near future.
* The residual income model depends on the validity of the clean surplus relation.
She also considers the following assumptions about continuing residual income:
Assumption 1: Residual income is positive and continues at the same level year after year.
Assumption 2: As return on equity approaches the cost of equity, residual income tends to zero.
Assumption 3: Residual income growth declines overtime and eventually reaches zero.
De Jong gathers recent financial information data on O'Connor, as shown in Exhibit I.

De Jong has also determined that at the beginning of 2008, O'Connor had total capital of $324,000,000, of which $251,000,000 was debt and $73,000,000 was equity. The company's cost of debt before taxes is 7%
,and the cost of equity capital is 8%. The company has a tax rate of approximately 34%. Weighted average cost of capital is 5.4%. Net operating profit after tax (before any adjustments) is $28,517,640.
De Jong is interested in obtaining the market's assessment of the implied growth rate in residual income and notes that the book value per share for O'Connor at the beginning of 2009 was $4.29, and the current market price is $70. She forecasts the return on equity (ROE) for 2009 to be 11.84%.
De Jong discusses her analyses with a colleague, who makes the following general statements:
Statement 1: It is usually the case that value is recognized later in the residual income model than in the dividend discount model.
Statement 2: When the present value of expected future residual income is negative, the justified P/B based on fundamentals is less than one.
The implied residual income growth rate for 2009, based on the residual income model, is closest to:
A. 8.16%.
B. 7.75%.
C. 8.82%.
Answer: B
Explanation:
Explanation/Reference:
Explanation:
We need to solve (or g in the relationship:

Solving for g, wc get g = 7.75%. (Study Session 12, LOS 43.g)

NEW QUESTION: 2
What are two supported VPN configuration types in a NSX-Y Data Center? (Choose two.)
A. SSLVPN+
B. OpenVPN
C. L3VPN
D. MPLS
E. L2VPN
Answer: A,C

NEW QUESTION: 3
SIMULATION
You are a network engineer with ROUTE.com, a small IT company. ROUTE.com has two connections to the Internet;
one via a frame relay link and one via an EoMPLS link. IT policy requires that all outbound HTTP traffic use the frame
relay link when it is available. All other traffic may use either link. No static or default routing is allowed.
Choose and configure the appropriate path selection feature to accomplish this task. You may use the Test
Workstation to generate HTTP traffic to validate your solution.


Answer:
Explanation:
We need to configure policy based routing to send specific traffic along a path that is
different from the best path in the routing table.
Here are the step by Step Solution for this:
1) First create the access list that catches the HTTP traffic:
R1(config)#access-list 101 permit tcp any any eq www
2) Configure the route map that sets the next hop address to be ISP1 and permits the rest of the traffic:
R1(config)#route-map pbr permit 10
R1(config-route-map)#match ip address 101
R1(config-route-map)#set ip next-hop 10.1.100.2
R1(config-route-map)#exit
R1(config)#route-map pbr permit 20
3) Apply the route-map on the interface to the server in the EIGRP Network:
R1(config-route-map)#exit
R1(config)#int fa0/1
R1(config-if)#ip policy route-map pbr
R1(config-if)#exit
R1(config)#exit
Explanation:
First you need to configure access list to HTTP traffic and then configure that access list. After that configure the route
map and then apply it on the interface to the server in EIGRP network.

NEW QUESTION: 4
Which of the following attacks is commonly combined with cross-site scripting for session hijacking?
A. RFI
B. SQLI
C. Clickjacking
D. CSRF
Answer: D