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NEW QUESTION: 1
Which three are true about UNDO data? (Choose three.)
A. It is used to enable ROLLBACK statements to roll back uncommitted updates
B. It is used to rewind a database by using FLASHBACK DATABASE
C. It is used to provide read consistency
D. It is used to recover dropped tables by using FLASHBACK TABLE ... TO BEFORE DROP
E. It is used to roll back failed transactions
F. It is used during online backups to guarantee their consistency
Answer: A,B,C
Explanation:
Explanation: References:
NEW QUESTION: 2
Refer to the exhibit.
RTA and RTB are ABRs for Area 0 and Area 1.
What is the issue with this configuration?
A. This is a wrong OSPF configuration because OSPF Area 0 is a must between ABRs.
B. If the link between RTC and RTD is down, an OSPF virtual link is required to connect ABR RTA and RTB.
C. Suboptimal routing may occur because there is no Area 1 adjacency between the ABRs.
D. There is no issue because OSPF will work fine in any condition.
Answer: B
Explanation:
Reference: http://www.cisco.com/en/US/tech/tk365/technologies_white_paper09186a0080094e9e.sht ml#t16
NEW QUESTION: 3
Mary Pierce, CFA, has just joined The James Group as a fixed income security analyst. Pierce has taken over for Katy Williams, who left The James Group to start her own investment firm. Pierce has been reviewing Williams's files, which include data on a number of securities that Williams had been reviewing.
The first file had information on several different asset-backed securities. A summary schedule that Williams had prepared is shown in Exhibit 1.
Exhibit 1: Summary Schedule
The second file included the following schedule of information relating to a specific CMO thai Williams had been considering. Exhibit 2 reflects the results of a Monte Carlo simulation based on 15% volatility of interest rates. This security is stil! available, and Pierce needs to evaluate the investment merit of any or all of the listed tranches.
A third file contained notes Williams had laken at a seminar a couple of months ago on valuing various types of asset-backed and mortgage-backed securities. These notes included the following comments that Pierce found interesting:
"Cash flow yield (CFY) is one method of valuing mortgage-backed securities. An advantage of the CFY is that it does not rely on any specific prepayment assumptions. An important weakness of CFY is the assumption that interim cash flows will be reinvested at the CFY. This is rarely true for mortgage-backed securities."
"Cash flow duration is similar to effective duration, but its weakness is that it fails to fully account for changes in prepayment rates as cash flow yields change. Empirical duration suffers two disadvantages as a measure of interest rate exposure: reliance on theoretical formulas and reliance on historical pricing data that may not exist for many mortgage-backed securities."
"The recent increase in the default rate for subprime adjustable rate mortgages can be traced to the structure of these loans. The negative amortization feature of these loans basically gave the borrower an at-the-money call option on their property. Once the property decreased in value, this call option was worthless, and the borrower had no incentive to make any additional payments." Pierce realizes that she will need to do a more in-depth analysis, but based only on the information in Williams's CMO table, she can conclude that:
A. there is no prepayment risk in the PAC A tranche.
B. the high OAS of the PAC D tranche indicates it is most likely to be overvalued.
C. the Support S tranche is undervalued because its OAS is below that of both the PAC C and PAC D tranches.
Answer: A
Explanation:
Explanation/Reference:
Explanation:
The OAS and Z-spread for the PAC A tranche are identical, indicating an option value of zero. The lower OAS of the support tranche despite its higher effective duration suggests that this tranche might be overvalued. A high OAS would indicate that the PAC D tranche might be undervalued, not overvalued.
(Study Session 15, LOS 57.e)
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