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NEW QUESTION: 1
Company M's current profit before interest and taxation is $5.0 million.
It has a long-term 10% corporate bond in issue with a nominal value of $10 million.
The rate of corporate tax is 25%.
It plans to continue to pay out 50% of its earnings in dividends and earnings are expected to grow by 3% each year in perpetuity.
Its cost of equity is 10%.
Using the dividend growth model, advise the Board of Directors of Company M which of the following provide a reasonable valuation of Company M's equity?
A. $44.1 million
B. $50.1 million
C. $22.1 million
D. $73.6 million
Answer: C
NEW QUESTION: 2
A. Option A
B. Option C
C. Option B
D. Option D
E. Option E
Answer: B,E
Explanation:
Explanation
https://docs.oracle.com/cd/E18283_01/server.112/e17120/restart001.htm
NEW QUESTION: 3
A security auditor suspects two employees of having devised a scheme to steal money from the company.
While one employee submits purchase orders for personal items, the other employee approves these purchase orders. The auditor has contacted the human resources director with suggestions on how to detect such illegal activities. Which of the following should the human resource director implement to identify the employees involved in these activities and reduce the risk of this activity occurring in the future?
A. Background checks
B. Least privilege
C. Job rotation
D. Employee termination procedures
Answer: C
Explanation:
Explanation
Job rotation can reduce fraud or misuse by preventing an individual from having too much control over an area.