Which of the Following Is Not a Direct Operating Cost

question 34

Multiple Choice

Which of the following is not a direct operating cost of an IT initiative?

• A)End-user data management
• B)Ongoing hardware replacement
• C)Software upgrades
• D)Hardware disposal

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Definitions:

Risk Free Interest Rate

The rate of return on an investment with zero risk of financial loss, typically based on government bonds.

Exercise Price

The price at which the underlying security can be purchased (call option) or sold (put option) when exercising an option contract, synonymous with striking price.

European Put Option

A type of put option that can only be exercised at its expiration date, not before, contrasting with American options which can be exercised at any time before expiry.