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NEW QUESTION: 1
TCH Corporation is considering two alternative capital structures with the following characteristics.
AB
Debt/Assets ratio0.30.7
kd10%14%
The firm will have total assets of $500,000, a tax rate of 40 percent, and book value per share of $10, regardless of capital structure. EBIT is expected to be $200,000 for the coming year. What is the difference in earnings per share (EPS) between the two alternatives?
A. $1.19
B. $4.78
C. $3.03
D. $7.62
E. $2.87
Answer: E
Explanation:
Explanation/Reference:
Explanation:
Capital structure A: The firm will have debt of $500,000(0.3) = $150,000 and equity of $350,000. We're told the shares have a book value of $10 so the number of shares outstanding is $350,000/$10 = 35,000.
Interest expense will be $150,000(10%) = $15,000. We can compute EBT as EBIT - I or $200,000 -
$15,000 = $185,000. Also, we can compute NI as EBT(1 - T) or $185,000(1 - 0.4) = $111,000. Finally, EPS
= $111,000/35,000 = $3.17. Capital structure B: The firm will have debt of $500,000(0.7) = $350,000 and equity of $150,000. The number of shares outstanding is $150,000/$10 = 15,000. Interest expense will be
$350,000(14%) = $49,000. We can compute EBT as $200,000 - $49,000 = $151,000. Also, we can compute NI as $151,000 (1 - 0.4) = $90,600. Finally, EPS = $90,600/15,000 = $6.04. The difference in EPS between capital structure A and capital structure B is $6.04 - $3.17 = $2.87.

NEW QUESTION: 2
DemandTec's Total Trade Optimization offering is Continuous because it is remodeled every?
A. Quarter
B. Week
C. Day
D. Month
Answer: C
Explanation:
Set Prices with Everyday Price Management and Everyday Price Optimisation.

NEW QUESTION: 3
John runs a Web server, IDS and firewall on his network. Recently his Web server has been under constant hacking attacks. He looks up the IDS log files and sees no intrusion attempts but the Web server constantly locks up and needs rebooting due to various brute force and buffer overflow attacks but still the IDS alerts no intrusion whatsoever. John becomes suspicious and views the Firewall logs and he notices huge SSL connections constantly hitting his Web server. Hackers have been using the encrypted HTTPS protocol to send exploits to the Web server and that was the reason the IDS did not detect the intrusions. How would John protect his network from these types of attacks?
A. Enable the IDS to filter encrypted HTTPS traffic
B. Install a hardware SSL "accelerator" and terminate SSL at this layer
C. Enable the Firewall to filter encrypted HTTPS traffic
D. Install a proxy server and terminate SSL at the proxy
Answer: B,D

NEW QUESTION: 4
You administer an Azure subscription with an existing cloud service named contosocloudservice.
Contosocloudservice contains a set of related virtual machines (VMs) named ContosoDC, ContosoSQL and ContosoWeb1.
You want to provision a new VM within contosocloudservice.
You need to use the latest gallery image to create a new Windows Server 2012 R2 VM that has a target IOPS of 500 for any provisioned disks.
Which PowerShell command should you use?

A. Option B
B. Option D
C. Option A
D. Option C
Answer: B
Explanation:
The New-AzureQuickVM cmdlet sets the configuration for a new virtual machine and creates the virtual machine. You can create a new Azure service for the virtual machine by specifying either the Location or AffinityGroup parameters, or deploy the new virtual machine into an existing service.
AdminUsername is not required.

References:
https://msdn.microsoft.com/en-us/library/azure/dn495183.aspx