A(n) ________ Defines the Boundaries of the System

question 75

Multiple Choice

A(n) ________ defines the boundaries of the system.

• A) context-level data flow diagram
• B) entity-relationship model
• C) open diagram
• D) closed diagram

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Definitions:

Cash Flows

The sum of funds flowing in and out of a company, particularly as it influences liquidity.

Capital Budgeting Project

A process of evaluating and selecting long-term investments that are expected to generate revenues or reduce costs, aiding in a firm's strategic planning.

Weighted Average Cost of Capital (WACC)

WACC is a calculation of a firm's cost of capital, where each category of capital (debt, equity) is proportionately weighted.

Net Present Value (NPV)

Net Present Value is used to assess the value of an investment by calculating the difference between the present value of cash inflows and the present value of cash outflows over the investment's lifetime.