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NEW QUESTION: 1
Market risk in a revenue-producing project can best be adjusted for by
A. Picking a risk factor equal to the average discount rate.
B. Adjusting the discount rate upward for increasing risk.
C. Ignoring it.
D. Reducing the NPV by 10 percent for risky projects.
E. Adjusting the discount rate downward for increasing risk.
Answer: B
Explanation:
Explanation/Reference:
Explanation:
An increase in a project's beta will cause its stock price to decrease unless the increased beta were offset by a higher expected rate of return. Therefore, high-risk investments require higher rates of return, whereas low-risk investments require lower rates of return.
NEW QUESTION: 2
A. 8-bit
B. 16-bit
C. 64-bit
D. 32-bit
Answer: C
NEW QUESTION: 3
Which statement about the host portion format in Cisco Unified Communications Manager
URI dialing is false?
A. The host portion can have two periods in a row.
B. The host portion accepts characters a-z, A-Z, 0-9, hyphens, and periods.
C. The host portion cannot start or end with a hyphen.
D. The host portion is not case sensitive.
Answer: A
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