SAP C_ABAPD_2309 Q&A - in .pdf

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  • Exam Name: SAP Certified Associate - Back-End Developer - ABAP Cloud
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NEW QUESTION: 1
Which of the following statements is correct?
A. The WACC (Weighted Average Cost of Capital) should include only after-tax component costs.
Therefore, the required rates of return on debt, preferred, and common equity must be adjusted to an after-tax basis before they are used in the WACC equation.
B. Flotation costs must be included in the component cost of preferred stock.
C. If a company with a debt ratio of 50 percent were suddenly exempted from all future income taxes, then, all other things held constant, this would cause its WACC to increase.
D. When the MCC (Marginal Cost of Capital) schedule is developed, the first break point always occurs as a result of using up retained earnings.
E. The cost of retained earnings is generally higher than the cost of new common stock.
Answer: C
Explanation:
Explanation/Reference:
Explanation:
If a firm paid no income taxes, its cost of debt would not be adjusted downward, hence the component cost of debt would be higher than if T (the firm's marginal tax rate) were greater than 0. With a higher component cost of debt, the WACC would be increased. Of course, the company would have higher earnings, and its cash flows from a given project would be high, so the higher WACC would not impede its investments, i.e., its capital budget would be larger than if it were taxed.

NEW QUESTION: 2
Which tool, previously known as Cisco Fabric Manager, would you use in a data center to help manage unified fabrics with SAN connectivity?
A. Cisco Prime DCNM for LAN
B. Cisco Prime DCNM for SAN
C. Cisco VNMC
D. Cisco ANM
E. Flexible NetFlow
F. Cisco Prime LMS
Answer: B

NEW QUESTION: 3
Following an upgrade, a software support team is overwhelmed by the number of tickets being submitted by end users. The team's manager is pushing the team to "work smart" by focusing on activities that deliver the most value in the least amount of time.
What should the team do?
A. Work support tickets in the order in which they were received.
B. Add members to the support team.
C. Place tickets on hold until the team completes an analysis of the backlog to identify and resolve systemic issues.
D. Work longer hours to complete more of the support backlog.
Answer: A

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