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NEW QUESTION: 1
Natalia Berg, CFA, has estimated the key rate durations for several maturities in three of her $25 million bond portfolios, as shown in Exhibit 1.

At a fixed-income conference in London, Berg hears a presentation by a university professor on the increasing use of the swap rate curve as a benchmark instead of the government bond yield curve. When Berg returns from the conference, she realizes she has left her notes from the presentation on the airplane. However, she is very interested in learning more about whether she should consider using the swap rate curve in her work.
As she tries to reconstruct what was said at the conference, she writes down two advantages to using the swap rate curve:
Statement 1: The swap rate curve typically has yield quotes at 11 maturities between 2 and 30 years. The
U.S. government bond yield curve, however, has fewer on-the-run issues trading at maturities of at least two years.
Statement 2: Swap curves across countries are more comparable than government bond curves because they reflect similar levels of credit risk.
Berg also estimates the nominal spread, Z-spread, and option-adjusted spread (OAS) for the Steigers Corporation callable bonds in Portfolio 2. The OAS is estimated from a binomial interest rate tree. The results are shown in Exhibit 2.

Berg determines that to obtain an accurate estimate of the effective duration and effective convexity of a callable bond using a binomial model, the specified change in yield (i.e., Ay) must be equal to the OAS.
Berg also observes that the current Treasury bond yield curve is upward sloping. Based on this observation, Berg forecasts that short-term interest rates will increase.
The most appropriate conclusion to draw from Berg's analysis of the Steigers Corp callable bond is that the bond is relatively:
A. overvalued, because the OAS relative to Steigers' spot rate curve is negative.
B. undervalued, because the OAS relative to the Treasury spot rate curve is positive.
C. undervalued, because the nominal spread and Z-spread relative to Steigers' yield curve and spot rate curve, respectively, are positive.
Answer: A
Explanation:
Explanation/Reference:
Explanation:
If the benchmark is Treasuries or a bond sector (with a credit rating higher than the bond we're valuing), any callable corporate bond with an OAS less than or equal to zero is overvalued relative to the benchmark because it must have more credit risk, and most likely more liquidity risk, than the benchmark. If the OAS is positive, the callable bond is undervalued relative to the benchmark only if the OAS is greater than the required OAS. In this question we aren't given the required OAS relative to a Treasury benchmark, so we can't draw any conclusions from the Steigers Corp. callable bond's OAS relative to Treasuries.
If we use an issuer-specific benchmark (assuming relative liquidity risk is zero), the callable bond is undervalued relative to the benchmark if the OAS is positive, fairly valued if the OAS is zero, and overvalued if the OAS is negative. In this question the OAS relative to Steigers" spot rate curve is negative, which means the callable bond is overvalued. (Study Session 14, LOS 54.a,g)

NEW QUESTION: 2
The source workstation image for new accounting PCs has begun blue-screening. A technician notices that the date/time stamp of the image source appears to have changed.
The desktop support director has asked the Information Security department to determine if any changes were made to the source image. Which of the following methods would BEST help with this process? (Select TWO).
A. Parse all images to determine if extra data is hidden using steganography.
B. Retrieve source system image from backup and run file comparison analysis on the two images.
C. Check key system files to see if date/time stamp is in the past six months.
D. Calculate a new hash and compare it with the previously captured image hash.
E. Ask desktop support if any changes to the images were made.
Answer: B,D
Explanation:
Running a file comparison analysis on the two images will determine whether files have been changed, as well as what files were changed.
Hashing can be used to meet the goals of integrity and non-repudiation. One of its advantages of hashing is its ability to verify that information has remained unchanged. If the hash values are the same, then the images are the same. If the hash values differ, there is a difference between the two images.

NEW QUESTION: 3
You need to analyze Lucerne's performance monitoring solution.
Which three applications should you monitor? Each correct answer presents a complete solution.
A. The data mining application
B. The Lucerne Media-M app
C. The Lucerne Media-N app
D. The Lucerne Media-W application
E. The Lucerne Media-D application
Answer: B,C,D
Explanation:
Monitor the web application and the mobile apps.
C: Lucerne Media W - a web application that delivers media by using any browser D: Lucerne Media M - a mobile app that delivers media by using Windows Phone 8.1 E: Lucerne Media N - a mobile app that delivers media by using an Android device
* Scenario:
/ Lucerne Publishing must be able to monitor the performance and usage of its customer- facing app.
/ Customers must be able to access all data by using a web application. They must also be able to access data by using a mobile app that is provided by Lucerne Publishing.
Topic 5, Northwind Electric CarsBackground
Overview
Northwind Electric Cars is the premier provider of private, low-cost transportation in Denver. Northwind drivers are company employees who work together as a team. The founding partners believe that by hiring their drivers as employees, their drivers focus on providing a great customer experience. Northwind Electric Cars has a reputation for offering fast, reliable, and friendly service, due largely to their extensive network of drivers and their proprietary dispatching software named NorthRide.
Northwind Electric Cars drivers depend on frequent, automatic updates for the NorthRide mobile app. The Northwind management team is concerned about unplanned system downtime and slow connection speeds caused by high usage. Additionally, Northwind's in- house data storage solution is unsustainable because of the new influx of customer data that is retained. Data backups are made periodically on DVDs and stored on-premises at corporate headquarters.
Apps
NorthRide App
Northwind drivers use the NorthRide app to meet customer pickup requests. The app uses a GPS transponder in each Northwind vehicle and Bing Maps APIs to monitor the location of each vehicle in the fleet in real time. NorthRide allows Northwind dispatchers to optimize their driver coverage throughout the city.
When new customers call, the dispatcher enters their pickup locations into NorthRide.
NorthRide identifies the closest available driver. The dispatcher then contacts the driver with the pick-up details. This process usually results in a pick-up time that is far faster than the industry average.
Drivers use NorthRide to track the number of miles they drive and the number of customers they transport. Drivers also track their progress towards their established goals, which are measured by using key performance indicators (KPIs).
NorthRide App 2.0
Northwind Electric Cars is growing quickly. New callers often wait for their calls to be answered because the dispatchers are contacting their drivers to arrange pickups for other customers.
To support the growth of the business, Northwind's development team completes an overhaul of the NorthRide system that it has named NorthRide 2.0. When a dispatcher enters a customer's pickup location, the address and driving directions are automatically sent to the driver who is closest to the customer's pickup location.
Drivers indicate their availability on the NorthRide mobile app and can view progress towards their KPI's in real time. Drivers can also record customer ratings and feedback for each pickup.
Business Requirements
Apps
NorthRideFinder App
Northwind Electric Cars needs a customer-facing website and mobile app that allows customers to schedule pickups. Customers should also be able to create profiles that will help ensure the customer gets a ride faster by storing customer information.
Predictor App
Northwind Electric Cars needs a new solution named Predictor. Predictor is an employee- facing mobile app. The app predicts periods of high usage and popular pickup locations and provides various ways to view this predictive data. Northwind uses this information to better distribute its drivers. Northwind wants to use the latest Azure technology to create this solution.
Other Requirements
* On-premises data must be constantly backed up.
* Mobile data must be protected from loss, even if connectivity with the backend is lost.
* Dispatch offices need to have seamless access to both their primary data center and the applications and services that are hosted in the Azure cloud.
* Connectivity needs to be redundant to on-premises and cloud services, while providing a way for each dispatch office to continue to operate even if one or all of the connection options fail.
* The management team requires that operational data is accessible 24/7 from any office location.
Technical Requirements
Apps and Website
NorthRide / NorthRideFinder Apps:
* The solution must support on-premises and Azure data storage.
* The solution must scale as necessary based on the current number of concurrent users.
* Customer pickup requests from NorthRideFinder must be asynchronous.
* The customer pickup request system will be high in volume, and each request will have a short life span.
* Data for NorthRideFinder must be protected during a loss of connectivity.
* NorthRide users must authenticate to the company's Azure Active Directory.
Northwind Public Website
* The customer website must use a WebJob to process profile images into thumbnails
* The customer website must be developed with lowest cost and difficulty in mind.
* The customer website must automatically scale to minimize response times for customers.
Other Requirements
Data Storage:
* The data storage must interface with an on-premises Microsoft SQL backend database.
* A disaster recovery system needs to be in place for large amounts of data that will backup to Azure.
* Backups must be fully automated and managed the Azure Management Portal.
* The recovery system for company data must use a hybrid solution to back up both the on-premises Microsoft SQL backend and any Azure storage.
Predictive Routing:
* An Azure solution must be used for prediction systems.
* Predictive analytics must be published as a web service and accessible by using the REST API.
Security:
* The NorthRide app must use an additional level of authentication other than the employee's password.
* Access must be secured in NorthRide without opening a firewall port.
* Company policy prohibits inbound connections from internet callers to the on- premises network.
* Customer usernames in NorthRideFinder cannot exceed 10 characters.
* Customer data in NorthRideFinder can be received only by the user ID that is associated with the data.

NEW QUESTION: 4
Exhibit:

Refer to the exhibit, Which type of attack is illustrated?
A. ARP spoofing
B. CAM overflow
C. IP address spoofing
D. ICMP flood
Answer: A