Case 3 Matthew Has His New Computer System in Place

question 152

Multiple Choice

Case 3 Matthew has his new computer system in place and is ready to have an Internet connection. He is overwhelmed by the variety of choices for home Internet connections. For instance, he could choose to connect using an existing telephone line or dial-up connection. He could also use a cable modem, ISDN (Integrated Services Digital Network) , DSL (Digital Subscriber Line) , or satellite Internet service. From his list of types of Internet connections that he is considering, Matthew has eliminated ____ because it provides data transfer speeds of only up to 64 Kbps or 128 Kbps.

• A) cable modem
• B) satellite
• C) DSS (Digital Satellite Service)
• D) ISDN (Integrated Services Digital Network)

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Definitions:

Cash Outflows

The total amount of money being spent by a business, commonly on expenses like rent, materials, payroll, and other operational costs.

Cash Inflows

Cash inflows refer to the money received by a business from its operating, investing, and financing activities.

Salvage Value

The estimated value that an asset will realize upon its sale at the end of its useful life.

Internal Rate

The rate of return that makes the net present value of all cash flows from a particular project equal to zero.