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NEW QUESTION: 1
According to Cisco IOS Management Best Practices, which eight items are included in the Global Standard Configuration Template? (Choose eight.)
A. logging commands
B. device commands
C. SNMP commands
D. console port commands
E. AAA commands
F. HA commands
G. VTY commands
H. banner commands
I. IP commands
J. service commands
Answer: A,C,D,E,G,H,I,J
NEW QUESTION: 2
Which two permissions are required in your application to use Google Analytics service?
A. <uses-permission android:name="android.permission.INTERNET" />
<uses-permission android:name="android.permission.ACCESS_NETWORK_STATE">
B. <uses-permission android:name="android.permission.INTERNET" />
<uses-permission android:name="android.permission.READ_PHONE_STATE ">
C. <uses-permission android:name="android.permission.INTERNET" />
<uses-permission android:name="com.android.vending.CHECK_LICENSE ">
D. <uses-permission android:name="android.permission.CHECK_LICENSE" />
<uses-permission android:name="android.permission.ACCESS_NETWORK_STATE">
Answer: A
NEW QUESTION: 3
Donaghy Management Company (DMC) manages several funds only available to high net worth individuals. In preparation for an upcoming meeting, the firm has circulated among its managers the information in Figure 1 on objectives and market expectations relevant to each of three funds.
Figure 1: Fund Strategies and Market Expectations
The manager of Fund A has collected data on put and call options on the broad market index underlying his strategy. The option data are presented in Figure 2. All options presented have the same expiration date.
Figure 2: Option Data for the Broad Market Index
During the meeting, the manager of Fund B states that in order to enhance returns for the fund, he intends to implement a box-spread strategy. The manager explains the strategy by stating, "The ending price of the asset underlying the box-spread strategy has no impact on the payoff of the strategy.
Thus, if the market price of the strategy implies a rate of return greater than the risk-free rate, an arbitrage opportunity exists." Also during the meeting, DMC's president questioned the manager of Fund C about the mechanics of his hedging strategy. The manager explained the strategy with the following comments:
Comment 1: "The hedge position is established to reduce the exposure to certain equity positions by writing call options on those equity positions. The necessary number of short option positions per share of stock held is calculated as the inverse of the option delta." Comment 2: "The hedge position only requires adjusting in the event of a price or volatility change in the underlying and is effective for small changes in the price of the underlying security." Evaluate the comment made by the manager of Fund B with respect to the box-spread strategy. The manager is:
A. correct.
B. incorrect, because the payoff of the box-spread is sensitive to the ending price of the asset underlying the options.
C. incorrect, because an arbitrage opportunity only exists if the market price of the box-spread strategy implies a rate of return less than the risk-free rate.
Answer: A
Explanation:
Explanation/Reference:
Explanation:
The manager of Fund is correct regarding the potential arbitrage opportunities associated with the strategy. The box-spread strategy is a combination of a bull spread (purchase a call with low exercise price X1, and sell a call with higher exercise price X2) and a bear spread (sell a put with exercise price X2 and purchase a put with exercise price X2). The strategy is executed solely within the options market and does not require a position in the underlying, an assumption about an option pricing model, or an assumption regarding the volatility of the underlying security. The combination of options results in a payoff equal to X2
- X1 no matter what the price of the underlying security is at option expiration. Because the strategy has a known payoff, the return should be equal to the risk-free rate. Thus the price of entering a box-spread today should equal (X2 - X1) / (1 + Rf)T where Rf is the risk-free rate. If the price of entering a box-spread is less than this amount, an arbitrage opportunity exists. (Study Session 15, LOS43.a)
NEW QUESTION: 4
Refer to the exhibit. A network engineer executes the show ipv6 ospf database command and is presented with the output that is shown.
Which flooding scope is referenced in the link-state type?
A. Reserved
B. Link-local
C. Area
D. As (OSPF domain)
Answer: C
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