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NEW QUESTION: 1
An analyst just received the following information for Mythical Interactions, Inc. A senior equity trader in her group wants to know if he should purchase a large block of the stock.
Based on the assumptions above, which of the following recommendations is CORRECT? The analyst should advise the trader to:
A. not purchase the stock. It is overvalued by approximately $10.00.
B. purchase the stock. It is undervalued by approximately $14.20.
C. purchase the stock. It is undervalued by approximately $8.00.
D. not purchase the stock. It is overvalued by approximately $14.20.
Answer: C
Explanation:
Explanation/Reference:
Explanation:
To determine whether the trader should purchase the stock, we need to determine if the stock is overvalued or undervalued. Given the information in this problem, we will use the price/earnings (P/E) ratio and the earnings per share (EPS) to calculate an estimated value.
The P/E ratio = Dividend Payout Ratio / (ke- g),
EPS = [(Per share Sales Estimate) * (EBITDA%) - D (per share) - I (per share)] * (1 - t)
= [($175 * 0.22) - $20 - $12] * (1 - 0.40) = $3.90
Value of stock = EPS * P/E = 13.725 * $3.90 = approximately$53.50
Conclusion:The trader should purchase a block of the stock. It is undervalued by the difference between the market price and the estimated value, $53.50 - $45.50, or approximately $8.00.
NEW QUESTION: 2
Which two network failure detection options are available when using a vSphere Standard Switch? (Choose two.)
A. Link status with Beacon probing
B. Fixed with preferred path
C. Link status only
D. Dynamic
Answer: A,C
NEW QUESTION: 3
Which is a factor when deciding the duration of a management stage?
A. The cost of the stage
B. The level of risk in the project
C. The work packages to be delivered
D. The number of products to be produced in the project
Answer: B
Explanation:
Explanation/Reference:
Reference https://www.prince2primer.com/the-design-of-prince2-management-stages/
NEW QUESTION: 4
You administer a SQL Server 2008 instance. The instance contains a database named DB1.
You plan to allow all the application developers to use SQL Server Profiler to capture traces to troubleshoot the application that uses the database DB1.
You need to grant the minimum necessary permission to the application developers.
What should you do?
A. Add all the database users of the application developers to a fixed database role.
B. Grant the appropriate server-level permissions to all SQL Server logins of the application developers.
C. Add all the SQL Server logins of the application developers to a fixed server role.
D. Grant the appropriate database-level permissions to all database users of the application developers.
Answer: B
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