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NEW QUESTION: 1
XYZ Corp. recently issued some preferred shares with a fixed preferred rate of $1.32 per share.
Further research reveals that XYZ's common shares have a beta of 1.3, at a time when the market risk premium is 5.2% above the risk-free rate of 3.2%. If the difference in the risk premium between XYZ's common and preferred shares is 2%, what would be a fair value for the preferred shares?
A. $16.58
B. Cannot be solved with the given information.
C. $15.71
Answer: A
Explanation:
Step 1. Compute the cost of common equity. R = 3.2 + 1.3 x 5.2 = 9.96.
Step 2. Since the risk premium for preferred shares is always lower than the common equity of the same issuer. Rpre = 9.96 -2.0% = 7.96%.
Step 3. Compute value. P = 1.32/0.0796 = $16.58.
NEW QUESTION: 2
Refer to the exhibit.
SwitchC connects HR and Sales to the Core switch However, business needs require that no traffic from the Finance VLAN traverse this switch Which command meets this requirement?
A)
B)
C)
D)
A. Option A
B. Option D
C. Option C
D. Option B
Answer: B
NEW QUESTION: 3
運用費用（OPEX）はどれですか？
A. コンピューター機器
B. オフィスの改善
C. 給与
D. ソフトウェア
Answer: D
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