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NEW QUESTION: 1
Erwin DeLavall, the Plant Manager of Patch Grove Cabinets, is trying to decide whether or not to replace the old manual lathe machine with a new computerized lathe. He thinks the new machine will add value, but is not sure how to quantify his opinion. He asks his colleague, Terri Wharten, for advice. Wharten's son just happens to be a Level 2 CFA candidate. DeLavall and Wharten provide the following information to Wharten's son:
Company Assumptions:
New Machine Assumptions:
Which of the following choices is most correct? Patch Grove Cabinets should:
A. not replace the old lathe with the new lathe because the new one will decrease the firm's value by
$3,132.
B. replace the old lathe with the new lathe because the new one will add $3,760 to the firm's value.
C. not replace the old lathe with the new lathe because the new one will decrease the firm's value by
$5,370.
D. replace the old lathe with the new lathe because the new one will add $10,316 to the firm's value.
Answer: B
Explanation:
Explanation/Reference:
Explanation:
The valuation method that shows the project's impact on the value of the firm is net present value (NPV).
To calculate NPV, we need to determine the initial investment outlay, the operating cash flows, and the terminal year cash flows. Then, we discount the cash flows at the WACC. The calculations are as follows:
Step 1: Initial Investment Outlay:
= cost of new machine + proceeds/loss from old machine + change in net working capital (NWC)
= -$90,000 + $30,000 - $6,800 + $5,000 =-$61,800(cash outflow)
Details of calculation:
o Sales price = $30,000inflow
o Tax/tax credit: $6,800outflow
o NWC =current assets -current liabilities = 20,000 - 25,000 = -5,000 (a decrease in working capital is a source of funds) Step 2: Operating Cash Flows (years 1-4):Given as$16,800inflow
Step 3: Terminal Value:
=year 5 cash flow + return/use of NWC + proceeds/loss from disposal of new machine + tax/tax credit
=$16,800 - $5,000 + $15,000 + $1,920 =$28,720inflow
Details of calculation:
o Sales price = $15,000inflow
o Tax/tax credit: $1,920inflow
Step 4:Calculate NPV:
NPV = -$61,800 + ($16,800 / 1.131) + ($16,800 / 1.132) +($16,800 / 1.133) +($16,800 / 1.134) +($28,720 /
1.135) =$3,759.
Since the NPV is positive, Patch Grove should replace the old lathe with the new one, because the new lathe will increase the firm's value by the amount of the NPV, or $3,759.
You may also solve this problem quickly by using the cash flow (CF) key on your calculator.

NEW QUESTION: 2
組織は10個のマイクロサービスをホストし、それぞれが個々のClassic Load Balancerの背後にあるAuto Scalingグループにあります。各EC2インスタンスは最適な負荷で実行されています。
組織がパフォーマンスに影響を与えることなくコストを削減できるのは、次のどのアクションですか？
A. Auto Scalingグループの起動設定でインスタンスタイプを変更します。
B. Classic Load Balancerを単一のApplication Load Balancerに置き換えます。
C. 各Classic Load Balancerの背後にあるEC2インスタンスの数を減らします。
D. 最大サイズを変更しますが、Auto Scalingグループの必要な容量を残します。
Answer: B
Explanation:
Explanation
https://www.sumologic.com/insight/aws-elastic-load-balancers-classic-vs-application/
https://docs.aws.amazon.com/elasticloadbalancing/latest/application/tutorial-target-ecs-containers.html An application load balancer can take the place of multiple individual classic load balancers to load balance microservices (e.g. running on AWS ECS) saving costs.

NEW QUESTION: 3
What principle focuses on the uniqueness of separate objects that must be joined together to perform a task? It is sometimes referred to as "what each must bring" and joined together when getting access or decrypting a file. Each of which does not reveal the other?
A. Separation of duties
B. Need to know
C. Dual control
D. Split knowledge
Answer: D
Explanation:
Split knowledge involves encryption keys being separated into two components,
each of which does not reveal the other. Split knowledge is the other complementary access
control principle to dual control.
In cryptographic terms, one could say dual control and split knowledge are properly implemented if
no one person has access to or knowledge of the content of the complete cryptographic key being
protected by the two rocesses.
The sound implementation of dual control and split knowledge in a cryptographic environment
necessarily means that the quickest way to break the key would be through the best attack known for the algorithm of that key. The principles of dual control and split knowledge primarily apply to access to plaintext keys.
Access to cryptographic keys used for encrypting and decrypting data or access to keys that are encrypted under a master key (which may or may not be maintained under dual control and split knowledge) do not require dual control and split knowledge. Dual control and split knowledge can be summed up as the determination of any part of a key being protected must require the collusion between two or more persons with each supplying unique cryptographic materials that must be joined together to access the protected key.
Any feasible method to violate the axiom means that the principles of dual control and split knowledge are not being upheld.
Split knowledge is the unique "what each must bring" and joined together when implementing dual control. To illustrate, a box containing petty cash is secured by one combination lock and one keyed lock. One employee is given the combination to the combo lock and another employee has possession of the correct key to the keyed lock.
In order to get the cash out of the box both employees must be present at the cash box at the same time. One cannot open the box without the other. This is the aspect of dual control.
On the other hand, split knowledge is exemplified here by the different objects (the combination to the combo lock and the correct physical key), both of which are unique and necessary, that each brings to the meeting. Split knowledge focuses on the uniqueness of separate objects that must be joined together.
Dual control has to do with forcing the collusion of at least two or more persons to combine their split knowledge to gain access to an asset. Both split knowledge and dual control complement each other and are necessary functions that implement the segregation of duties in high integrity cryptographic environments.
The following are incorrect answers: Dual control is a procedure that uses two or more entities (usually persons) operating in concert to protect a system resource, such that no single entity acting alone can access that resource. Dual control is implemented as a security procedure that requires two or more persons to come together and collude to complete a process. In a cryptographic system the two (or more) persons would each supply a unique key, that when taken together, performs a cryptographic process. Split knowledge is the other complementary access control principle to dual control.
Separation of duties - The practice of dividing the steps in a system function among different
individuals, so as to keep a single individual from subverting the process.
The need-to-know principle requires a user having necessity for access to, knowledge of, or
possession of specific information required to perform official tasks or services.
Reference(s) used for this question:
Schneiter, Andrew (2013-04-15). Official (ISC)2 Guide to the CISSP CBK, Third Edition :
Cryptography (Kindle Locations 1621-1635). . Kindle Edition.
and
Schneiter, Andrew (2013-04-15). Official (ISC)2 Guide to the CISSP CBK, Third Edition :
Cryptography (Kindle Locations 1643-1650). . Kindle Edition.
and
Shon Harris, CISSP All In One (AIO), 6th Edition , page 126