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NEW QUESTION: 1
A corporate environment includes Exchange Server 2003 SP2 and an Active Directory Domain Services (AD DS) forest with two domains. The forest functional level is set to Windows 2000. The domain functional level of Domain1 is set to Windows 2000 mixed. The domain functional level of Domain 2 is set to Windows 2000 native.
The AD DS infrastructure is shown in the following table.

The company plans to transition to Exchange Server 2010 SP1. The new infrastructure must support Windows Server 2003 SP1 domain controllers. You need to recommend a solution for preparing the existing AD DS infrastructure to support Exchange Server 2010 SP1.
Which two actions should you recommend? (Each correct answer presents part of the solutions. Choose two.)
A. Replace DC2 and DC4 with domain controllers running Windows Server 2008 R2.
B. Raise the functional level of Domain1 to Windows 2008 R2. Raise the functional level of the forest to Windows Server 2008.
C. Raise the functional level of Domain1 to Windows 2000 native. Raise the functional level of the forest to Windows Server 2003.
D. Replace DC3 and DC4 with domain controllers running Windows Server 2008.
Answer: C,D

NEW QUESTION: 2
The following portion of the test includes several Case Studies. Each Case Study includes introductory information about a specific company or audit situation, followed immediately by a set of questions related to the situation described and various audit-related documents, identified by company name.
All of the audit-related documents for these Case Studies are presented in a separate booklet labeled:
CONFIDENTIAL
Audit Documents
These documents were drawn from actual companies and are designed to be examples of genuine audit materials. Their format and contents have not been altered, and they are intended to represent working documents from everyday situations.
Although the documents for the Case Studies are presented separately, the test will be scored as a whole, on a total of 150 questions. You may go back and check your work on any part of the examination until time is called at the end of the testing period.
Two auditors are conducting an internal audit of the Quality Electronics and Elements Co. (QEE) system procedures. During the first day of the audit, the following observations were made.
An outbound carton with obvious damage was examined by the auditor on the shipping dock.

A shipment of six (6) boxes to Allied Supply was returned because the customer-required certifications

did not accompany the product.
Unsigned product verification documents were found on stored products.

Of three (3) cartons found in the accepted materials station, only two of the cartons had labels

indicating their contents. When the auditor pointed this out, a customer service representative immediately affixed the proper label to the one unlabeled carton.
The auditor also found that "Accepted Material Traveler Cards" were not attached to any of the cartons

in the accepted materials station.
Which department is responsible for determining whether an outbound product has been damaged in handling or storage?
A. Shipping
B. Inventory Control
C. Quality Assurance
D. Engineering
Answer: A

NEW QUESTION: 3
Tom Vadney, CFA, is president and CEO of Vadney Research and Advisors (VRA), a large equity research firm that specializes in providing international investment and advisory services to global portfolio managers. He has a staff of five junior analysts and three senior analysts covering industries and firms across the Americas, Europe, and Asia-Pacific regions.
In a recent meeting with an institutional portfolio manager, Vadney is asked to review the differences between U.S. GAAP and International Financial Reporting Standards (IFRS) as well as provide a comprehensive industry analysis for the telecommunications sector in Europe and the Asia-Pacific region.
Vadney asks Maria Mnoyan, a senior analyst covering the sector, to research the requested information for the client meeting.
Prior to the meeting, Vadney and Mnoyan meet to prepare for the client presentation. They first discuss differences between U.S. GAAP and IFRS. Mnoyan states that although there will be increasing convergence between the two accounting standards, one major difference currently is that IFRS permits either the "partial goodwill" or "full goodwill" method to value the goodwill and the noncontrolling interest under the acquisition method. U.S. GAAP requires the full goodwill method. Vadney adds that U.S. GAAP requires equity method accounting for joint ventures, while under IFRS, proportionate consolidation is preferred, but the equity method is permitted.
Vadney then asks Mnoyan to share her findings on the telecommunications sector. Mnoyan first presents an overview of the competitive forces that characterize the sector in the two regions. In particular, she notes that the sector in both regions is characterized by high switching costs. Vadney asks how high switching costs would affect the bargaining power of buyers and suppliers.
Mnoyan firmly believes that investing in companies located in developing countries provides strong growth potential through technological change and increases in capital, labor, and savings that contribute to higher dividend levels, even if the dividend growth rate is unaffected.
In her research report Mnoyan identifies several countries and industries with attractive investment potential. She notices that the telecommunications sector in one of the countries is characterized by a duopoly. The $50 billion telecom industry in another country in her analysis is dominated by h\e firms with market shares of $10 billion each.
Finally, Vadney and Mnoyan discuss investment opportunities in specific firms. Mnoyan values firms using both the discounted cash flow model and the franchise value method. She makes the following statements on the franchise value method:
Statement 1: A higher asset turnover ratio increases the franchise P/E ratio, one of the components of the intrinsic P/E value.
Statement 2: When firms pay out profits as dividends at a higher rate, a firm's intrinsic P/E value decreases.
The three-firm concentration ratio of the $50 billion telecom sector, and the level of the industry's concentration, respectively, is:
A. 1.00 for the three firms in a very highly concentrated industry.
B. 0.12 for the three firms in a moderately concentrated industry.
C. 0.60 for the three firms in a highly concentrated industry.
Answer: B
Explanation:
Explanation/Reference:
Explanation:
The three-firm concentration ratio is simply the aggregate of the market share of the three largest firms in the industry. Since each firm represents a market share of $10 / $50 = 0.20, the concentration ratio is 3 x
0.20 = 0.60, or 60%. This characterizes a relatively highly concentrated industry with little competition from each firm. (Study Session 11, LOS 36.c,d)

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