Which of the Following Statements Is True of the Data

question 43

Multiple Choice

Which of the following statements is true of the data component of an information system?

• A)Current data is collected for performance reports.
• B)Disaggregated data reports overall performance during a particular sales quarter.
• C)Aggregated data enables decision makers to focus on specific factors.
• D)Future data is predicted for budgets or cash flow reports.

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Definitions:

Prepaid Expenses

Expenses paid in advance for goods or services to be received in the future, often recorded as assets on the balance sheet.

Current Liabilities

Short-term financial obligations that are due to be paid within one year or within the normal operating cycle of a business.

Acid-Test Ratio

A liquidity ratio, also known as the quick ratio, that measures a company's ability to pay off its current liabilities with its quick assets (cash, marketable securities, and accounts receivable).

Stockholders' Equity

The remaining value of a corporation's assets once liabilities are subtracted, which signifies the share of ownership held by the shareholders.