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NEW QUESTION: 1
An analyst fits a logistic regression model to predict whether or not a client will default on a loan. One of the predictors in the model is agent, and each agent serves 15-20 clients each. The model fails to converge. The analyst prints the summarized data, showing the number of defaulted loans per agent. See the partial output below:

What is the most likely reason that the model fails to converge?
A. There are too many observations in the data.
B. There is quasi-complete separation in the data.
C. There is collinearity among the predictors.
D. There are missing values in the data.
Answer: B

NEW QUESTION: 2
Historically, the earnings per share (EPS) figure for a stock market series has been less volatile than the earnings multiplier for the same series. Which of the following best characterizes the primary reason for the greater volatility experienced by the earnings multiplier? Choose the best answer.
A. The earnings multiplier is more sensitive to changes in dividend policies than is the EPS figure.
B. The price/earnings ratio is more sensitive to changes in the spread between the required rate of return and the anticipated future growth rate.
C. The price/earnings figure experiences a tax leveraging effect that is not passed on to the EPS figure.
D. None of these answers is correct.
E. The earnings multiplier is more sensitive to fluctuations in the equity markets than is the EPS figure; i.e.
the earnings multiplier is "forward looking."
F. The EPS figure is less volatile due to accounting manipulations and the malleability of international and domestic accounting standards including GAAP.
Answer: B
Explanation:
Explanation/Reference:
Explanation:
The greater relative volatility of the earnings multiplier versus the EPS figure is primarily attributable to an increased sensitivity to changes in the spread between the required rate of return "k" and the anticipated growth rate "g." Remember that the equation used to determine the appropriate earnings multiplier for a stock market series is the following:
P/E = [D/E / (k - g)]
Where: P/E = the earnings multiplier, or Price-to-Earnings ratio, D/E = the dividend payout ratio at t1, k = the required rate of return, and g = the anticipated growth rate of dividends.
As you can see, changes in the spread between the required rate of return and the anticipated growth rate can have a dramatic effect on the earnings multiplier for a stock market series. While the earnings multiplier is sensitive to changes in the dividend payout ratio, volatility in this figure is not cause for the increased volatility of the earnings multiplier versus the EPS figure.

NEW QUESTION: 3
An engineer implemented LDP protocol on the ISP network. The engineer must ensure that there are no packet loss issues when IGP and LDP protocols are not synchronized. Which configuring must the engineer implement so that the IGP routing protocol will wait until LDP convergence is completed?
A. Disable IP CEF on routers running LDP and enable LDP protocol.
B. Configure MPLS LDP IGP synchronization on the network.
C. Disable MPLS LDP IGP synchronization on the network.
D. Configure LDP sessions protection on the network.
Answer: B

NEW QUESTION: 4
What does the blinking yellow Activity/PoE LED indicate on an N-Series switch?
A. There is current transmitting/receiving and PoE power is on.
B. There is no current transmit/receive activity and PoE power is on.
C. There is no current transmit/receive activity and PoE power is off.
D. There is current transmitting/receiving and PoE power is off.
Answer: A