When One Site Is Utilized as the Pilot Approach to ERP

question 41

Multiple Choice

When one site is utilized as the pilot approach to ERP, the implementation method is referred to as:

• A)Big bang implementation
• B)Hardware implementation
• C)Location-wise implementation
• D)Modular implementation

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Definitions:

Interest Tax Shield

A reduction in taxable income that results from deducting interest payments, decreasing overall tax liability.

Debt-Equity Ratio

A financial indicator showing the relationship between borrowed funds and equity in a company's asset financing.

Taxable Income

The portion of an individual's or company's income used to determine how much tax will be owed to the government.

Interest Tax Shield

The reduction in income taxes that results from taking an allowable deduction for interest expenses.