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NEW QUESTION: 1
Suppose changes in corporate law make it more difficult for debt holders to force companies into bankruptcies. This will cause firms to:
A. raise more equity capital through retained earnings.
B. increase their debt-to-equity ratios.
C. either increase or decrease their debt levels.
D. decrease their debt-to-equity ratios.
Answer: C
Explanation:
Explanation/Reference:
Explanation:
It is tempting to assume that lower probability of bankruptcy will entice firms into borrowing more. However, remember that debt holders are not entirely stupid! They will factor in this change in the law and demand a higher yield and stricter covenants on corporate debt to compensate for the lower recourse they have against the firms. Depending on whether they actually underestimate or overestimate the effect and also depending on whether the firms perceive that the debt holders have under- or overestimated the effect, companies could increase or decrease their debt levels.

NEW QUESTION: 2
Which operating system is NOT supported by Endpoint Connect R71?
A. Windows 2000 SP1
B. Windows XP SP2 O C.
C. MacOS X
D. Windows Vista 64-bit SP1
Answer: C

NEW QUESTION: 3
A certain service provider network includes IPsec tunnels between PE router loopbacks and dual-homed PE routers. The service provider is using OSPF to carry infrastructure routes and using BGP to carry tunnel endpoints.
What could the service provider do to provide fast convergence in case of a link failure in its network?
A. tune BGP on all routers
B. configure a full mesh of traffic engineering among PE routers
C. carry IPsec tunnels in VPLS among PE routers
D. carry IPsec tunnels in GRE among PE routers
E. carry IPsec tunnels in L2TPv3 among PE routers
F. tune OSPF on all routers
Answer: F

NEW QUESTION: 4
Which two statements describe key differences between single- and dual-homed WAN connections? (Choose two )
A. Dual-homed WAN connections are more expensive than single-homed connections
B. Dual-homed WAN connections have higher WAN speed than single-homed connections
C. Dual-homed WAN connections have a simpler topology than single-homed connections.
D. Dual-homed WAN connections require more skill to administer than single-homed connections
E. Dual-homed WAN connections have more management-application overhead than single-homed connections
Answer: A,B