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NEW QUESTION: 1
New Gestalt, Inc., a software firm had a net income of 1.7 million last year. It has 200,000 common shares and 300,000 convertible bonds with face value of 100 outstanding. The convertible bonds carry a coupon of 4% and can be converted one-for-one. The average stock price last year was 39 and the maximum price was 57. The effective interest rate on the convertible debt is 8%. New Gestalt issued 100,000 preferred shares with face value 100 and a coupon of 5% on March 31st of last year. Assume the convertible bonds are dilutive and that New Gestalt faces a 30% tax rate. Given the above, New Gestalt's Diluted EPS equals
________.
A. 7.51
B. 6.01
C. 7.45
D. 2.65
Answer: B
Explanation:
Explanation/Reference:
Explanation:
Diluted EPS = (Net Income - Preferred dividends + interest on convertibles net of taxes)/(weighted # of common shares assuming convertible conversion) In this case, numerator = 1.7 million - 375,000 +
300,000*8%*100*(1-30%) = 3,005,000. The denominator equals 200,000 + 300,000 = 500,000. Therefore, Diluted EPS = 6.01. Note that the interest expense on the convertible bond is calculated using the effective interest rate, not the coupon rate.

NEW QUESTION: 2
Which statement about the OSPF Loop-Free Alternate feature is true?
A. It is supported when a traffic engineering tunnel interface is protected.
B. It is supported in VRF OSPF instances.
C. It is supported on routers that are configured with virtual links.
D. It is supported when traffic can be redirected to a primary neighbor.
Answer: B
Explanation:
Restrictions for OSPF IPv4 Remote Loop-Free Alternate IP Fast Reroute
- The OSPF IPv4 Remote Loop-Free Alternate IP Fast Reroute feature is not
supported on devices that are virtual links headends.
- The feature is supported only in global VPN routing and forwarding (VRF) OSPF
instances.
- The only supported tunneling method is MPLS.
- You cannot configure a traffic engineering (TE) tunnel interface as a protected interface. Use the MPLS Traffic Engineering-Fast Reroute Link and Node Protection feature to protect these tunnels. For more information, see the "MPLS Traffic Engineering-Fast Reroute Link and Node Protection" section in the Multiprotocol Label Switching Configuration Guide.
- You can configure a TE tunnel interface in a repair path, but OSPF will not verify the tunnel's placement; you must ensure that it is not crossing the physical interface that it is intended to protect.
- Not all routes can have repair paths. Multipath primary routes might have repair paths for all, some, or no primary paths, depending on the network topology, the connectivity of the computing router, and the attributes required of repair paths.
- Devices that can be selected as tunnel termination points must have a /32 address advertised in the area in which remote LFA is enabled. This address will be used as a tunnel termination IP. If the device does not advertise a /32 address, it may not be used for remote LFA tunnel termination.
- All devices in the network that can be selected as tunnel termination points must be configured to accept targeted LDP sessions using the mpls ldp discovery targeted-hello accept command.
Reference: http://www.cisco.com/c/en/us/td/docs/ios-xml/ios/iproute_ospf/configuration/xe3s/iro-xe-3s-book/iro-ipfrr-lfa.html

NEW QUESTION: 3
Where is a DLP solution generally installed when utilized for monitoring data in transit?
A. Application server
B. Database server
C. Network perimeter
D. Web server
Answer: C
Explanation:
Explanation
To monitor data in transit, a DLP solution would optimally be installed at the network perimeter, to ensure that data leaving the network through various protocols conforms to security controls and policies. An application server or a web server would be more appropriate for monitoring data in use, and a database server would be an example of a location appropriate for monitoring data at rest.

NEW QUESTION: 4
John is a windows user attempting to access a volume or qtree with security style of UNIX. Assuming no explicit name mapping has been done and to validate authorization, to which default user does he get mapped?
A. Root
B. john
C. Pcuser
D. Admin
Answer: C

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