All Technology Has Both Up Sides and Down Sides

question 5

Multiple Choice

All technology has both up sides and down sides.To manufacturers,the downside of electronic scanners and computerized inventory control systems is:

• A) Retailers react very quickly to sales and thus can suddenly stop ordering slow-selling product.
• B) Manufacturers are too dependent on retailers for information.
• C) Retailers pressure manufacturers for large quantities of fast-selling products.
• D) An inability to predict customer needs.
• E) Manufacturers are unable to control who has access to information.

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Definitions:

Present Value

The present worth of a future amount of money or series of cash flows when a particular return rate is applied.

Semiannually

Occurring twice a year, typically every six months, often used in the context of interest or dividend payment schedules or reporting periods.

Annual Interest Rate

The percentage rate charged or paid over a year for borrowing or saving money.

Present Value

The current value of a future amount of money or stream of cash flows given a specified rate of return, used in discounting to assess investment opportunities.