At Enterprise Rent-A-Car, a Computerized System Keeps Track of the 1.4

question 95

Multiple Choice

At Enterprise Rent-a-Car, a computerized system keeps track of the 1.4 million transactions the company logs every hour. The system can provide front-line employees with up-to-the-minute information on car availability and other data, enabling them to provide exceptional customer service. The system at enterprise is a _____ system.

• A) decision support
• B) management information
• C) transaction processing
• D) enterprise resource planning

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Definitions:

Sales Volume

The amount of goods or services a company sells over a certain time frame.

Variable Costs

Costs that vary directly with the level of output or production, such as materials and labor directly involved in manufacturing.

Step-Variable Cost

Costs that remain constant for a set level of activity but jump to a higher amount once certain thresholds are exceeded.

True Variable Cost

Costs that vary directly and proportionally with the level of production output, without any fixed component.