Often Organizations That Are Using Cloud Computing Do Not Find

question 13

True/False

Often organizations that are using cloud computing do not find it necessary to make up-front capital expenditures on IT infrastructure, so it enables smaller companies with smaller and less predictable budgets to make advances in processing more quickly.

---

Definitions:

Variable Costing

A bookkeeping approach that incorporates only variable production expenses such as direct materials, direct labor, and variable manufacturing overhead into the costs of products.

Net Operating Income

A company's operating income after all operating expenses have been deducted from total revenue.

Variable Costing

A costing method that includes only variable costs - costs that vary with production levels - in the cost of goods sold and excludes fixed costs.

Net Operating Income

The profit generated from a company's everyday business operations, indicating the efficiency of management.