A Key Reason That Modeling Is Important in System Development

question 52

True/False

A key reason that modeling is important in system development is the complexity of describing information systems.

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Definitions:

Grace Period

A set period of time after the due date during which payment can be made without penalty.

M2

A money aggregate consisting of M1 plus savings deposits, small-denomination time deposits, money market mutual funds, and other miscellaneous near-monies.

Near-Monies

Assets that are easily convertible into cash but are not cash themselves, such as savings accounts and time deposits.

Time Deposits

Deposits that earn a fixed interest rate if held for the specified period, which can range from several months to several years; also called certificates of deposit.