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SAP Certified Associate - Implementation Consultant - SAP SuccessFactors Employee Central Core

  • Exam Number/Code : C_THR81_2405
  • Exam Name : SAP Certified Associate - Implementation Consultant - SAP SuccessFactors Employee Central Core
  • Questions and Answers : 213 Q&As
  • Update Time: 2019-01-10
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NEW QUESTION: 1

A. Option B
B. Option C
C. Option D
D. Option A
Answer: D

NEW QUESTION: 2
When the U.S. dollar appreciates relative to other world currencies,
I. the prices of all domestic stocks and bonds can be expected to increase.
II. the prices of securities offered by manufacturers that import a lot of their parts can be expected to increase.
III. an increase in the purchase of U.S. securities by foreign investors can be expected.
A. II only
B. I and II only
C. I, II, and III
D. III only
Answer: A
Explanation:
Explanation/Reference:
Explanation: When the U.S. dollar appreciates relative to other world currencies, the prices of securities offered by manufacturers that import a lot of their parts can be expected to increase. This is because the dollar will buy more, so the parts will cost these firms less. All else equal, a decrease in expenses leads to increased cash flow, which leads to an increase in the prices of the securities offered by these firms. Not all domestic companies will benefit from the appreciation of the dollar. In particular, firms that export their products overseas may be hurt since their products will now cost the foreign consumer more in terms of their own country's currency, and they may seek another supplier. A similar argument exists for why Selection III is not correct. U.S. securities will be more expensive to foreign investors, who may decide to invest in other foreign markets.

NEW QUESTION: 3
What should the manager's involvement be in developing fitness programs?
A. The manager should be the only person involved in program development.
B. The manager should maintain a hands-off approach.
C. The manager should be active as a program developer as well as a resource, supporter, and critic for programs developed by other staff.
D. The manager should be involved only in the budgeting and final approval.
Answer: C

NEW QUESTION: 4
Ivan Johnson is reviewing the investment merits of BioTLab, a fast-growing biotechnology company.
BioTLab has developed several drugs, which arc being licensed to major drug companies. BioTLab also has several drugs in phase III trials (phase III trials are the last testing stage before FDA approval).
Johnson notes that two drugs recently received approval which should provide BioTLab solid revenue growth and generate predictable cash flow well into the future. Based on the potential for the two drugs, BioTLab's estimated annual cash flow growth rate for the next two years is 25%, and long-term growth is expected to be 12%. Because of BioTLab's attractive investment opportunities, the company does not pay a dividend. BioTLab's current weighted average cost of capital is 15% and its stock is currently trading at
$50 per share. Financial information for BioTLab for the most recent 12 months is provided below:
* Net working capita! excluding cash increased from $7,460,000 to $9,985,000;
* Book value increased from $81,250,000 to $101,250,000.
* BioTLab currently has no debt.
* Research facilities and production equipment were purchased for $8,450,000.
* BioTLab held non-operating assets in the amount of $875,000.
* Net income for the 12 months was $20,000,000.
* BioTLab has a marginal tax rate of 40%.
* Noncash charges for depreciation and restructuring for the 12 months were $1,250,000.
BioTLab's management has indicated an interest in establishing a dividend and will fund new drug research by issuing additional debt.
Johnson also reviews a competitor to BioTLab, Groh Group, which has a larger segment operating in a highly cyclical business. The Groh Group has a debt to equity ratio of 1.0 and pays no dividends. In addition, Groh Group plans to issue bonds in the coming year.
Johnson prefers to use free cash flow analysis to value investments. Which of the statements below is least accurate in describing the advantages of free cash flow valuation models?
A. Accounting issues limit the usefulness of reported earnings, while free cash flow is adjusted for these issues.
B. Determining free cash flow is easier than dividends.
C. A company must generate free cash flow to grow in the long run.
Answer: B
Explanation:
Explanation/Reference:
Explanation:
An analyst must review the cash flows from a company's operating, investing and financing activities to generate a useful free cash flow, while dividends are simply set by the Board of Directors. Analysts use free cash flow whenever an investor takes a control perspective, such as in the event of an acquisition.
The P/E model is considered weak because accounting issues can impact earnings. Companies that do not generate free cash flow in the long run are in financial trouble. (Study Session 12, LOS41.b,n)