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NEW QUESTION: 1
When comparing two companies, if all else is equal, the entity that has a higher dividend payout ratio will have a:
A. Higher price to earnings ratio.
B. Higher marginal cost of capital.
C. Lower debt ratio.
D. Higher investment opportunity schedule.
Answer: B
Explanation:
The higher the dividend payout ratio, the sooner retained earnings are exhausted and the entity must seek more costly, outside equity financing. This drives the marginal cost of capital.
NEW QUESTION: 2
MCA, Inc. upgraded the Treasury workstation that had been in place for two years and used data from that 24-month period to develop a new short-term forecast. A trend factor was applied to controlled disbursements of 97% on a month-by-month basis and the variance to actual disbursements is less than 1%. Which of the following model validation techniques was utilized?
A. Comparison validation
B. Documentation validation
C. Ongoing validation
D. In-sample validation
Answer: D
NEW QUESTION: 3
An administrator of a credit card company needs to ensure that private cloud resources are allocated effectively, but needs to utilize the agility of the public cloud during peak seasons. Which of the following would accomplish this?
A. Multi-tenancy
B. Self-service provisioning
C. Cloud bursting
D. Elasticity
Answer: C