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NEW QUESTION: 1
Which three of these file types work well with HTTP compression?
A. Text files
B. Digital photos
C. Microsoft Word documents
D. MP4 videos
E. Static HTML Web pages
F. CD quality songs
Answer: A,C,E
NEW QUESTION: 2
A. Option B
B. Option E
C. Option A
D. Option D
E. Option C
Answer: A,B,C
Explanation:
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NEW QUESTION: 3
Which of the following statements are true about cloud-based IT resources? Select ALL
THAT APPLY
A. A cloud-based IT resource resides inside a cloud environment.
B. For an IT resource to be considered a cloud-based IT resource, it needs to be made directly available to cloud service consumers.
C. A cloud-based IT resource can exist as a physical or virtual IT-related artifact.
D. For a cloud-based IT resource to be made available to cloud service consumers, it needs to be accessible as a cloud service agent.
Answer: A,C
NEW QUESTION: 4
Given the following choices, what is the optimal capital structure for Chip Co.? (Assume that the company's growth rate is 2 percent.) Debt Ratio
Dividends
Per Share ($)
Cost of Equity
0%5.5011.5%
256.0012.0
406.5013.0
507.0014.0
757.5015.0
A. 50% debt; 50% equity
B. 25% debt; 75% equity
C. 0% debt; 100% equity
D. 75% debt; 25% equity
E. 40% debt; 60% equity
Answer: B
Explanation:
Explanation/Reference:
Explanation:
First, calculate the stock price for each debt level using the dividend growth model, Po = D1/(ks - g).
Debt Div/share ksPo
0%$5.5011.5% $5.50/(0.115 - 0.02) = $57.89.
25%6.0012%$6.00/(0.12 - 0.02) = $60.00.
40%6.5013%$6.50/(0.13 - 0.02) = $59.09.
50%7.0014%$7.00/(0.14 - 0.02) = $58.33.
75%7.5015%$7.50/(0.15 - 0.02) = $57.69.
Clearly, $60.00 is the highest price, so 25% debt and 75% equity is the optimal capital structure.
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