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NEW QUESTION: 1
Intelligent Semiconductor is considering the development of a new data storage medium, which will allow tremendous increases in the efficiency of its customer's high-end server lines. The development of the new system will take place in the firm's existing facilities, and the storage costs for the additional equipment are expected to be residual in nature. The following information applies to this project:
Rent expense for the firm's existing facilities ($10,500)
Initial cash outlay ($50,000)
t1: $15,000
t2: $11,000
t3: $11,000
t4: $15,000
t5 ($10,000)
t6 ($10,000)
t7 $25,000
Discount rate: 9%
Assuming no taxes or related charges, that the initial cash outlay does not include any sunk costs, and a
$0.00 salvage value at t7, what is the MIRR of this project?
A. 7.262%
B. This problem has more than one MIRR
C. 6.231%
D. 14.606%
E. 12.461%
F. None of these answers
Answer: A
Explanation:
Explanation/Reference:
Explanation:
In this example, you are asked to calculate the Modified Internal Rate of Return for a project. In calculating the MIRR for this project, the rent cost of $10,500 is ignored because this expense represents a sunk cost.
Remember that sunk costs are irrelevant in capital budgeting decisions, and should not beincorporated into the calculation. This is due to the fact that sunk costs are not incremental in nature, and are not directly related to the acceptance of the project in question, i.e. these costs have already been incurred or have been earmarked for payment. The following illustration details the calculation of the Terminal Value (TV) for the MIRR calculation in this case: {[$15,000 *1.6771] + [11,000 * 1.53862] + [11,000 * 1.41158] +
[$15,000 * 1.29503] + [$25,000 * 1]}= TV $102,034.15. The calculation of the present value of the cash outflows is found by discounting the cash outflows of periods 5 and 6 and adding them to the initial cash outlay as follows: {-$50,000 + [- $10,000/1.53862] + [-$10,000/1.6771]= PV of cash outflows ($62,462.00).
Incorporating these figures into your calculator's cash flow worksheet will yield the MIRR of 7.2623%. The calculation is found by the following: PV=($62,462.00), FV= $102,034.15, PMT=0, N=7, CPT I/Y ---
7.2623%. The modified IRR has a significant advantage over the regular IRR, in the fact that MIRR assumes cash flows from all projects are reinvested at some explicit rate, while the regular IRR assumes that all cash flows are reinvested at the project's IRR. This allows for much greater flexibility.
NEW QUESTION: 2
You have an Azure subscription named Sub1.
You plan to deploy a multi-tiered application that will contain the tiers shown in the following table.
You need to recommend a networking solution to meet the following requirements:
* Ensure that communication between the web servers and the business logic tier spreads equally across the virtual machines.
* Protect the web servers from SQL injection attacks.
Which Azure resource should you recommend for each requirement? To answer, select the appropriate options in the answer area.
NOTE: Each correct selection is worth one point.
Answer:
Explanation:
Explanation:
Box 1: an internal load balancer
Azure Internal Load Balancer (ILB) provides network load balancing between virtual machines that reside inside a cloud service or a virtual network with a regional scope.
Box 2: an application gateway that uses the WAF tier
Azure Web Application Firewall (WAF) on Azure Application Gateway provides centralized protection of your web applications from common exploits and vulnerabilities. Web applications are increasingly targeted by malicious attacks that exploit commonly known vulnerabilities.
References:
https://docs.microsoft.com/en-us/azure/web-application-firewall/ag/ag-overview
NEW QUESTION: 3
Which goal alignment method allows two employees who are working on the same project but have no
other common relationship to associate a goal?
Please choose the correct answer.
Response:
A. Cascade-pull
B. Cascade-push
C. Cascade-align
Answer: A