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NEW QUESTION: 1
Dumb & Dumber Development Company has two mutually exclusive investment projects to evaluate.
Assume both projects can be repeated indefinitely. The following cash flows are associated with each project:
Time Project A Project B
0-$100,000-$70,000
1 30,000 30,000
2 50,000 30,000
3 70,000 30,000
4-30,000
5-10,000
The project types are equally risky and the firm's cost of capital is 12 percent. What is the EAA of the higher valued project? (Round your final answer to the nearest whole dollar.)
A. $6,857
B. $7,433
C. $11,325
D. None of the answers
E. $16,470
Answer: B
Explanation:
Explanation/Reference:
Explanation:
Step 1 Calculate the NPV for both projects:
A:CF(0) = -100,000; CF(1) = 30,000; CF(2) = 50,000; CF(3) = 70,000; I/YR = 12; solve for NPV = $16,470.
B:CF(0) = -70,000; CF(1) = 30,000; CF(2) = 30,000; CF(3) = 30,000;CF(4) = 30,000; CF(5) = 10,000; I/YR
= 12; NPV = $26,795.
Step 2 Calculate the EAA for both projects:
A: N = 3; I/YR = 12; PV = -16,470; FV = 0; solve for PMT = $6,857.
B: N = 5; I/YR = 12; PV = -26,795; FV = 0; solve for PMT = $7,433.
The PMT is the EAA for each project. Since Project B has the larger EAA $7,433 is the correct answer.
NEW QUESTION: 2
Your client has a requirement where work-at-home assignments are not eligible for an employee compensation revision cycle. To facilitate capturing work-at-home assignment, you have created a custom column and associated a List of Values (LOV) with values
"Yes" and "No". Now you wish to create an eligibility profile around this. Which is the correct option? (Choose the best answer.)
A. User-defined-criteria-based eligibility profile on "Work-at-home" and value = "Yes" with exclude option selected
B. Derived-factor-based eligibility profile based on the "Work-at-home" column
C. User-defined-criteria-based eligibility profile on "Work-at-home" and value = "No" with exclude option selected
D. User-defined-criteria-based eligibility profile on "Work-at-home" and value = "Yes" with exclude option deselected
Answer: A
NEW QUESTION: 3
You need to meet the identity and access requirements for Group1.
What should you do?
A. Add a membership rule to Group1.
B. Delete Group1. Create a new group named Group1 that has a membership type of Office 365. Add users and devices to the group.
C. Modify the membership rule of Group1.
D. Change the membership type of Group1 to Assigned. Create two groups that have dynamic memberships. Add the new groups to Group1.
Answer: D
Explanation:
Explanation
https://docs.microsoft.com/en-us/azure/active-directory/users-groups-roles/groups-dynamic-membership Scenario:
Litware identifies the following identity and access requirements: All San Francisco users and their devices must be members of Group1.
The tenant currently contain this group:
References:
https://docs.microsoft.com/en-us/azure/active-directory/users-groups-roles/groups-dynamic-membership
https://docs.microsoft.com/en-us/azure/active-directory/fundamentals/active-directory-groups-create-azure-port
TVB-450 FAQ
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