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NEW QUESTION: 1
The Chief Information Security Officer (CISO) asked for a topology discovery to be conducted and verified
against the asset inventory. The discovery is failing and not providing reliable or complete data. The syslog
shows the following information:
Which of the following describes the reason why the discovery is failing?
A. The scanning tool lacks valid LDAP credentials.
B. The scan is returning LDAP error code 52255a.
C. The server running LDAP has antivirus deployed.
D. The LDAP server is configured on the wrong port.
E. The connection to the LDAP server is timing out.
Answer: A
NEW QUESTION: 2
In the Cisco Nexus 7000 FabricPath domain, one switch becomes the root for the multidestination tree. Cisco FabricPath IS-IS will automatically select root switches for each multidestination tree. One of the parameters that is used to select the root is the system ID.
Which two statements are true about the system ID? (Choose two.)
A. The system ID is a 48-bit value composed of the VDC MAC address.
B. The system ID is a unique 12-bit value.
C. A lower system ID is preferred.
D. A higher system ID is preferred.
Answer: A,D
NEW QUESTION: 3
An equity portfolio manager desires to be 'market neutral'. His portfolio is valued at $10m and has a beta of
0.7 to the broad market index. The index is currently at 1000 and an index contract multiplier is specified as
250. What should he do to make the beta of his portfolio zero?
A. Buy 40 contracts of the index futures contract
B. Sell 28 contracts of the index futures contract
C. Sell 40 contracts of the index futures contract
D. Buy 28 contracts of the index futures contract
Answer: B
Explanation:
Explanation
In terms of beta, his exposure is $10m*0.7 = $7m. This exposure is long. In order order to neutralize his long exposure, he needs to have an equal an identical short position with the same beta as this long position (of course, in the short direction). We need to figure out how many contracts will have a beta equal to his held position. (The beta of a futures contract is slightly different from 1 when compared to spot, but in the absence of other information in the question it is always okay to assume that the beta of the futures contract is 1. Such precision does not matter because of other errors such as rounding etc that cannot be anyway done away with.) He needs to short futures contracts on the index with $7m in notional value. The value of each contract is currently 1000*250 =$250,000. He therefore needs to short $7m/$250,000 = 28 contracts to become market or beta neutral.
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