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  • certification"> CV(Aggressive) = 1.176/0.48 = 2.45.

    NEW QUESTION: 3



    A. Option D
    B. Option B
    C. Option C
    D. Option A
    Answer: B

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    ISO-ITSM-001 Valid Test Answers - ISO-ITSM-001 Latest Exam Papers, ISO-ITSM-001 Latest Exam Materials - FreeTorrent

    2]

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    About 1/2 = 1.176.
    CV(Aggressive) = 1.176/0.48 = 2.45.

    NEW QUESTION: 3



    A. Option D
    B. Option B
    C. Option C
    D. Option A
    Answer: B

    2] Exam

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    NEW QUESTION: 1
    冗長フィールドの問題を解決する必要があります。
    あなたは何をするべきか?
    A. QA環境のソリューションからフィールドを削除します。
    B. サンドボックス環境のソリューションからフィールドを削除します。
    C. サンドボックス環境のソリューションからフィールドを削除します。
    D. QA環境のソリューションからフィールドを削除します。
    Answer: D

    NEW QUESTION: 2
    Copybold Corporation is a start-up firm considering two alternative capital structures--one is conservative and the other aggressive. The conservative capital structure calls for a D/A ratio = 0.25, while the aggressive strategy call for D/A = 0.75. Once the firm selects its target capital structure it envisions two possible scenarios for its operations: Feast or Famine. The Feast scenario has a 60 percent probability of occurring and forecast EBIT in this state is $60,000. The Famine state has a 40 percent chance of occurring and the EBIT is expected to be $20,000. Further, if the firm selects the conservative capital structure its cost of debt will be 10 percent, while with the aggressive capital structure its debt cost will be
    12 percent. The firm will have $400,000 in total assets, it will face a 40 percent marginal tax rate, and the book value of equity per share under either scenario is $10.00 per share. What is the coefficient of variation of expected EPS under the aggressive capital structure plan?
    A. 1.00
    B. 2.45
    C. 1.18
    D. 2.88
    E. 3.76
    Answer: B
    Explanation:
    Explanation/Reference:
    Explanation:
    Calculate coefficient of variation
    Expected EPS(Aggressive):
    E(EPS) = 0.6 EPS(Feast) + 0.4 EPS(Famine) = (0.6)($1.44) + 0.4(-$0.96) = $0.48. Standard deviation SD(EPS-aggressive) = [0.6($1.44 - $0.48)

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