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NEW QUESTION: 1
The entity will pay dividends for the year of:
A. US $42,500
B. US $23,125
C. US $10,625
D. US $21.250
Answer: C
Explanation:
The entity has a dividend payout ratio of 25% of profit. Profit before taxes is US $85,000 [$500,000 sales - $250,000 CGS - $25,000 G&A expenses - $400,000 LT debt x 10% interest rate) - $600,000 fixed assets - 6 years)]. Hence, after-tax profit is US $42,500 [$85,000 x 1.0 - .5)], and the dividend payout is US $10,625 ($42,500 25%).
During the year ended December 31. an entity had US $500,000 in sales revenue and purchased US $150,000 of inventory. The cost of goods sold was US $250,000 for the year, and the entity incurred US $ 25.000 of general and administrative expenses. The January 1 opening balance sheet was as follows:

The cost of long-term debt financing is 10% per annum, payable in one installment on December 31 of each year. The entity has a 50% tax rate. The entity has a dividend payout ratio of 25%. The fixed assets were 1-year old at the start of the current year were originally estimated to have a 6-year useful life. and are being depreciated on the straightline basis.

NEW QUESTION: 2
DRAG DROP




Answer:
Explanation:

NEW QUESTION: 3
One of your components' managers came to you stating that she cannot find a key stakeholder by email and if she cannot find him, a major decision will be delayed, thus affecting the entire portfolio. What should you, as a portfolio manager do?
A. Tell her that she needs to escalate this issue directly to the executive management
B. Tell her that she needs to try to send him one more e-mail, and in the case the problem persists, she needs to send him a formal letter
C. Go and meet this stakeholder face to face and collaborate with him to solve this communication issue
D. Tell her that she needs to carefully monitor this risk
Answer: C
Explanation:
Explanation
The scenario depicts a communication problem with the stakeholder. The portfolio manager should ask the component manager to go herself and have a one-on-one meeting with the stakeholder; however, in this case, the delayed decision will affect the portfolio, so you should, as a portfolio manager, take appropriate action and visit this stakeholder in his office in order to find the problem and fix it.
Pay attention, SPM is just a reference guide for the exam, so you will definitely have similar questions from outside the SPM in the exam. This question is based on experience and has been occurring multiple times in the exam

NEW QUESTION: 4
After you configure a default route to the Internet on a router, the route is missing from the routing table. Which option describes a possible reason for the problem?
A. The default route was configured on a passive interface.
B. Dynamic routing is disabled.
C. The next-hop address is unreachable.
D. Cisco Discovery Protocol is disabled on the interface used to reach the next hop.
Answer: C