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NEW QUESTION: 1
An investor holds $1m in face each of two bonds. Bond 1 has a price of 90 and a duration of 5 years. Bond 2 has a price of 110 and a duration of 10 years. What is the combined duration of the portfolio in years?
A. 7.25
B. 7.75
C. 7.5
D. 0
Answer: B
Explanation:
Explanation
The value of Bond 1 is $900,000 and the value of Bond 2 is $1,100,000, or their respective weights in the portfolio are 45% and 55% respectively. The combined duration is the weighted average of their individual durations, ie (45% x 5) + (55% x 10) = 7.75 years

NEW QUESTION: 2
A project requires an initial outlay of $600. Over the next 5 years, it expects to have cash outflows of $200,
$300, $175, $350 and $150. The revenues over the same period equal $100, $400, $700, $550 and $800.
Assume that these cash flows occur at year-end. The project's payback period equals ________.
A. 4.11 years
B. 3.82 years
C. 2.91 years
D. 3.38 years
Answer: D
Explanation:
Explanation/Reference:
Explanation:
The payback period is defined as the expected number of years that would be required to recover the original investment. In particular, Payback period = Years before full recovery + (unrecovered cost at the start of payback year)/(net cash flow in the payback year) To calculate the payback period, you must have the stream of net cash flows = Revenues - out flows. The net cash flows over the next 5 years are $(100-
200), $(400-300), $(700-175), $(550-350) and $(800-150) i.e. the net cash flows are: -$100, $100, $525,
$200 and $650. The complete recovery of the total outlay of $600 + $100 (year 1 net outflow) occurs in the
4th year. At the beginning of the 4th year, the outstanding balance equals 600+100-100-525 = $75.
Therefore, payback period = 3 + 75/200 = 3.375 years.

NEW QUESTION: 3
Which system traffic type cannot be configured with Network I/O Control (NIOC) bandwidth allocation?
A. ESXi host Management traffic
B. vSphere Replication traffic
C. Virtual SAN traffic
D. Software FCoE Adapter traffic
Answer: D
Explanation:
Explanation
You can use NIOC to assign bandwidth for host management, virtual machines, iSCSI storage, NFS storage, vSphere vMotion, vSphere Fault Tolerance, vSAN, and vSphere Replication on the physical adapters that are connected to a vSphere Distributed Switch but not Fcoe Adapter traffic.