CIPS L4M7 Q&A - in .pdf

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  • Exam Code: L4M7
  • Exam Name: CIPS Whole Life Asset Management
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NEW QUESTION: 1
A firm is considering a project whose estimated cash flows have indicated a payback period of 3.68 years.
It requires an initial outlay of $1,000 and has end-of-year cash flows of $350, $270 and $225 in the first 3 years. The firm's marginal discount rate is 9%. The project's projected cash flow for year 4 equals
________.
A. 0
B. 1
C. 2
D. 3
Answer: A
Explanation:
Explanation/Reference:
Explanation:
The payback period is defined as the expected number of years that would be required to recover the original investment. In particular, Payback period = Years before full recovery + (unrecovered cost at the start of payback year)/(net cash flow in the payback year) In this case, the recovery occurs in the 3rd year.
At the beginning of the 3rd year, the unrecovered cost equals 1,000 - 350 - 270 - 225 = 155. If total cash flow in the 4th year equals C, then payback period = 3 + 155/C = 3.68 years. Solving for C gives C = 228.
Note that the discount rate does not figure in the calculation of payback period.

NEW QUESTION: 2
A user in your department complains about a slow Internet connection. You monitor the external interface of your company's border router and notice an excessive number of half-open TCP connections. What type of attack is your company currently a victim of?
A. TCP SYN flood attack
B. Brute force attack
C. Ping flood
D. TCP Hijacking attack
Answer: A

NEW QUESTION: 3
Management of a certain building was receiving complaints about slow elevator service. The solution adopted was to add mirrors in the lobbies to reduce boredom while passengers waited. This is an example of _____ .
A. Decision analysis
B. Potential problem analysis
C. None of the other alternatives apply
D. Creative problem solving
E. Kepner-Tregoe method
Answer: D

NEW QUESTION: 4
Custom Web Tab may consist of all the following EXCEPT:
A. An S-Control
B. A URL that passes salesforce.com data like an organization's name
C. A URL
D. An S-Control snippet
Answer: B

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