DBR Corporation Is Considering the Purchase and Implementation of an Enterprise-Wide

question 74

Multiple Choice

DBR Corporation is considering the purchase and implementation of an enterprise-wide information system. Which of the following would be the least biased source of qualitative information about the project?

• A) Information technology staff who would implement the system
• B) The software vendor
• C) Other companies that have implemented the same system
• D) Experts in the industry

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Definitions:

Allocate

The process of assigning or distributing resources or amounts to various accounts or periods.

Square Footage

The measurement of area, especially used in reference to the size of a building or room, calculated in square feet.

Contribution Margin

The amount remaining from sales revenue after all variable expenses have been deducted.

Contribution Margin

Contribution Margin is the selling price per unit minus the variable cost per unit, indicating how much of a product's sales contribute towards fixed expenses and profit.