What Is the BEST Description of an Operational Level Agreement

question 17

Multiple Choice

What is the BEST description of an operational level agreement (OLA) ?

• A) An agreement between the service provider and another part of the same organization
• B) An agreement between the service provider and an external organization
• C) A document that describes to a customer how services will be operated on a day-to-day basis
• D) A document that describes business services to operational staff

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Definitions:

Fixed Costs

Costs that do not change with the level of production or sales, such as rent, salaries, or insurance.

Operating Income

Operating income is the profit realized from a business's core operations, excluding deductions of interest and taxes.

Variable Cost

Costs that change in proportion with the level of output or production activity.

Fixed Costs

Overheads such as rent, salaries, and insurance that do not fluctuate with the level of goods produced or sold.