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NEW QUESTION: 1
The ability to perform a stretch deploy of a virtual machine contained in a vApp using the vSphere Client is unavailable. The administrator verifies that the environment is properly licensed and the target virtual machine is powered off.
What should the administrator do to enable the stretch deploy option?
A. Ensure the portgroup the VM connects to is VXLAN based.
B. Power on the vApp.
C. Configure the L2 VPN tunnel.
D. Allocate additional storage space on the destination.
Answer: B

NEW QUESTION: 2
When would an administrator configure the explicit failover option for a portgroup created on a virtual switch with multiple uplinks?
A. If the physical switch does not support etherchannel or 802.3ad
B. To share uplinks between vSwitches
C. It is required when configuring the Route based on physical NIC load option
D. When configuring iSCSI Software Initiator multipathing
Answer: D

NEW QUESTION: 3
Gulf Electric Company (GEC) uses only debt and equity in its capital structure. It can borrow unlimited amounts at an interest rate of 10 percent so long as it finances at its target capital structure, which calls for
55 percent debt and 45 percent common equity. Its last dividend was $2.20; its expected constant growth rate is 6 percent; its stock sells on the NYSE at a price of $35; and new stock would net the company $30 per share after flotation costs. GEC's tax rate is 40 percent, and it expects to have $100 million of retained earnings this year. GEC has two projects available: Project A has a cost of $200 million and a rate of return of 13 percent, while Project B has a cost of $125 million and a rate of return of 10 percent. All of the company's potential projects are equally risky. Assume now that GEC needs to raise $300 million in new capital. What is GEC's marginal cost of capital for evaluating the $300 million in capital projects and any others that might arise during the year?
A. 13.77%
B. 9.50%
C. 12.66%
D. 9.00%
E. 6.00%
Answer: B
Explanation:
Explanation/Reference:
Explanation:
k(d) (interest rate on the firm's new debt) = 10%;
k(d)(1 - T) (after-tax component cost of debt) = 10%(0.6) = 6%.
D/A = 55%
D(0) = $2.20
g = 6%
P(0) = $35
P(N) = $35
T (The firm's marginal tax rate) = 40%
Retained earnings = $100M; BP(RE) = $100M/ .45 = $222.22M
k(s) (component cost of retained earnings) = $2.33/$35 + 6% = 12.66%
k(e) (component cost of external equity) = $2.33/$30 + 6% = 13.77%.
WACC (Weighted Average Cost of Capital) (1) = 0.55(6%) + 0.45(12.66%) = 9.0% WACC(2) = 0.55(6%) +
0.45(13.77%) = 9.5%