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NEW QUESTION: 1
Given that the expected growth rate for a firm is 5%, the expected total asset turnover is 0.87, the expected financial leverage multiplier is 0.81, the expected return on capital is 1.4, and expected retention rate is 60%, what is the expected net profit margin of the firm?
A. 6.9%
B. 11.8%
C. Not enough information
D. 12.3%
E. 9.3%
F. 14.8%
Answer: B
Explanation:
Explanation/Reference:
Explanation:
The growth rate of a firm is equal to the expected retention rate multiplied by the expected return on equity.
Rearranging this yields that the expected ROE is equal to the growth rate divided by the retention rate (ROE = 0.05/0.60 = 0.0833). The expected ROE is itself equal to the expected profit margin multiplied by the expected asset turnover multiplied by the expected financial leverage multiplier. Rearranging this yields that the expected net profit margin is equal to the ROE divided by the total asset turnover and the financial leverage multiplier (0.0833 / (0.87 x 0.81) = 0.118 = 11.8%

NEW QUESTION: 2
A manufacturing firm wants to automate its invoice payment system. Objectives state that the system should require considerably less time for review and authorization and the system should be capable of identifying errors that require follow up. Which of the following would BEST meet these objectives?
A. Reengineering the existing processing and redesigning the existing system
B. Establishing an EDI system of electronic business documents and transactions with key suppliers, computer to computer, in a standard format
C. Outsourcing the function to a firm specializing in automated payments and accounts receivable/invoice processing
D. Establishing an inter-networked system of client servers with suppliers for increased efficiencies
Answer: B
Explanation:
Explanation/Reference:
Explanation:
EDI is the best answer. Properly implemented (e.g., agreements with trading partners transaction standards, controls over network security mechanisms in conjunction with application controls), EDI is best suited to identify and follow up on errors more quickly, given reduced opportunities for review and authorization.

NEW QUESTION: 3
You are assisting a customer to troubleshoot a SIP early-offer problem with a SIP service provider. You have enabled Cisco CallManager trace and set the debug trace level to Detailed for SIP Call Processing trace on their standalone Cisco Unified Communications Manager 9.1 system. Using the RTMT tool, your customer has remote browsed to the Cisco UCM and asked you which trace file to download.
What is the trace file name syntax in which detailed SIP messages are logged?
A. SDL
B. Traces
C. SDI
D. Call logs
E. CCM
Answer: A