Converting to a New Computerized System Will Typically Entail Large

question 70

Multiple Choice

Converting to a new computerized system will typically entail large dollar expenditures to make the new system operative.These monetary expenditures normally are incurred for:

• A)Transferring a company's financial data from its present storage media to computerized storage media
• B)Testing the operations of the new system before it replaces the old system
• C)Establishing good internal controls for the new computerized system
• D)all of the above

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Definitions:

Ending Inventory

The final value of goods available for sale at the end of an accounting period after all inventory purchases and sales have been accounted for.

Inventory Turnover Rate

A measure of how many times a company's inventory is sold and replaced over a specific period, often used to assess efficiency.

Cost Of Goods Sold

The direct costs attributable to the production of the goods sold by a company.

Rate Of Return

The gain or loss on an investment over a specified period, expressed as a percentage of the investment's cost.