Case-Based Critical Thinking Questions Case 12-2 Mother Goose Computing, Inc

question 54

Multiple Choice

Case-Based Critical Thinking Questions Case 12-2 Mother Goose Computing, Inc. provides computational biology consulting services. They are currently updating several of their systems. For the genomics division, Mother Goose is planning to replace the old system by the new one all at once. This is called a ____ conversion.

• A) phased
• B) direct
• C) parallel
• D) pilot

---

Definitions:

Break-even Price

The price at which the total revenues of a business exactly cover its total costs, thus resulting in neither profit nor loss.

Marginal Revenue

The rise in income generated by selling an additional unit of a product or service.

Average Total Cost

The cost per unit of output, calculated by dividing the total production cost by the total quantity produced.

AVC Curve

A graph representing the average variable cost of producing different quantities of output, typically U-shaped due to economies and diseconomies of scale.