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NEW QUESTION: 1
A firm follows the simple growth model and can invest $1000 every year into new projects which have a rate of return of 17%. Each project generates a constant stream of earnings year after year. The firm's stock has a required rate of return of 13%. If the firm is founded today, the firm value equals ________.
A. $2,675
B. $1,895
C. $2,440
D. $3,165
Answer: A
Explanation:
Explanation/Reference:
Explanation:
You should be careful in solving such a problem.
Suppose the firm invests $1,000 today in a project. This first project generates a constant stream of perpetuity with an annual payment of $1,000 * 0.17 = $170. The present value of this stream is 170/0.13
$1,307.6. The NPV of the project is then $1,307.6 - $1,000 = $307.6. Since the firm does this every year, it has a perpetuity of $307.6 (the NPVs of projects 2 and on, at the time the projects are started).The present value of these NPVs is $307.6/0.13 = $2,367. Thus, the total value of the firm is $2,367 + $307.6 (first project) = $2,675.

NEW QUESTION: 2
Refer to the exhibit.

What is the meaning of the asterisk (*) in the output?
A. PIM neighbor 10.1.5.6 is the winner of an assert mechanism.
B. PIM neighbor 10.1.5.6 is the one that is seen as the RPF neighbor when performing the command show ip rpf
10.1.4.7.
C. PIM neighbor 10.1.5.6 is the RPF neighbor for the group 232.1.1.1 for the shared tree.
D. The RPF neighbor 10.1.5.6 is invalid.
Answer: A
Explanation:
show ip mroute Field Descriptions
Field Description
IP address of the upstream router to the source. Tunneling indicates that this router is
RPF neighbor sending data to the RP encapsulated in register packets.
or RPF nbr The hexadecimal number in parentheses indicates to which RP it is registering. Each bit indicates a different RP if multiple RPs per group are used. If an asterisk (*) appears after the IP address in this field, theRPF neighbor has been learned through an assert.
Reference: http://www.cisco.com/c/en/us/td/docs/ios/12_2/ipmulti/command/reference/fiprmc_r/1rfmult3.html

NEW QUESTION: 3
Given the MAC table shown in the exhibit,
***Missing Exhibit***
what happens when an Ethernet Fabric receives a frame with MAC SA 0005.3326.4431 and MAC DA 0005.3326.7556 on port 1/0/3 VLAN 10?
A. The frame is switched only to egress port l/D/3.
B. The frame is flooded on all ports.
C. The MAC DA is aged out and flooded to all ports.
D. The frame is dropped.
Answer: D