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NEW QUESTION: 1
Examine the partial output from the IKE real time debug shown in the exhibit; then answer the question below.
Why didn't the tunnel come up?
A. IKE mode configuration is not enabled in the remote IPsec gateway.
B. The remote gateway's Phase-2 configuration does not match the local gateway's phase-2 configuration.
C. One IPsec gateway is using main mode, while the other IPsec gateway is using aggressive mode.
D. The remote gateway's Phase-1 configuration does not match the local gateway's phase-1 configuration.
Answer: D
NEW QUESTION: 2
Which of the following statements is incorrect about the FusionSphere OpenStack network?
A. In FusionSphere OpenStack, physical networks define mappings between virtual networks and host physical network ports.
B. A physical network is mapped to a physical network port or port bonding.
C. VMs can directly use physical networks.
D. No matter on which host a VM is running, the VM can communicate with external networks using the same physical network.
Answer: C
NEW QUESTION: 3
Howard Mayfield, a portfolio manager with Churn Brothers Brokerage, is examining a new issue of
7 -year corporate notes. These notes have been issued by Microscam, and feature an 8.00% per year coupon rate. These bonds are trading at a yield of 7.34% per year. The yield on the on-the-run 5-year
Treasury note is 5.12% per year.
What are the relative and absolute yield spreads between these two securities? Further, what is the yield ratio? A Relative yield spread 30 2%; absolute yield spread 222 basis points; yield ratio 1 56
A. Relative yield spread 43.4%; absolute yield spread 222 basis points; yield ratio 1.43.
B. Relative yield spread 43.4%; absolute yield spread 66 basis points; yield ratio 1.43.
C. Relative yield spread 30.2%; absolute yield spread 222 basis points; yield ratio 1.56.
Answer: A
Explanation:
The difference between the yield on an on-the-run Treasury security and a non-Treasury issue of similar maturity is frequently referred to as simply the "yield spread." Further, since non-Treasury sectors of the fixed income market nearly always offer a spread to similar Treasury issues, non-Treasury sectors are referred to as "spread sectors" and securities in these sectors are referred to as "spread products."
There are many measures of yield spread; the most common measures include the absolute yield spread, the relative yield spread, and the yield ratio. Each of these methods is detailed below: {Absolute yield spread = [yield on security A - yield of on-the-run Treasury]} {Relative yield spread = [(yield on security A - yield of on-the-run Treasury) / yield of on-the-run Treasury} {Yield ratio = [Yield on security A / yield of on-the-run Treasury]}
Remember that while the most useful measures of relative yield spread (for purposes of risk analysis) is to measure a spread product against a comparable on-the-run Treasury issue, measures of yield spread can be calculated for any two debt securities, regardless of maturity, coupon, yield, or issuer. In this example, all of the necessary information has been provided, and the calculation of each measure of yield spread is as follows:
{Relative yield spread = [(0.0734 - 0.0512) / 0.0512]] = 0.43359}, or 43.4% {Absolute yield spread =
[0.0734 -0.0512] = 0.0222}, or 222 basis points {Yield ratio = [0.0734 / 0.0512] = 1.43359}, or 1.43
NEW QUESTION: 4
On December 31, 2003, Numark Co. leased a machine from Hardie Ltd. for a five-year period. Equal annual payments under the lease are $315,000 (including $15,000 annual executory costs) and are due on December 31 of each year. The first payment was made on December 31, 2003, and the second payment was made on December 31, 2004. The five lease payments are discounted at 10% over the lease term. The present value of minimum lease payments at the inception of the lease and before the first annual payment was $1,251,000. The lease is appropriately accounted for as a capital lease by
Numark. In its December 31, 2004 balance sheet, Numark should report a lease liability of:
A. $951,000. B $855 900
B. $855,900.
C. $746,100.
Answer: C
Explanation:
The amount of the liability is the present value of the lease payments on December 31, 2003 less the payment made in 2003 plus the executory costs. $1,251,000 - $315,000 + $15,000 = $951,000
(2003) $951,000 - [$300,000 - ($951,000 x .10)] = $746,100 (2004)
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