CASE Scenario - Kandi Apple

question 8

Multiple Choice

CASE
Scenario - Kandi Apple
The continuing development and improvement of computer information systems has made a powerful impression on Kandi Apple, CEO of Merry-Go-Rounds (MGR) . The current computer system at MGR is seven years old, and while still highly useful and reliable, Kandi is wondering if a new system would be more efficient and more useful. Kandi recognized that some of her managers would prefer to keep the old system, while others have been requesting that the company update its information capability.
-In planning how to implement the new system, Kandi can anticipate some resistance to the new system. This resistance can come from all of the following, EXCEPT

• A) self interest of the resisting employees.
• B) lack of understanding of the new system.
• C) uncertainty, or a lack of information.
• D) different departments pursuing different goals.
• E) all of these can create resistance.

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Definitions:

ATC

Average Total Cost, which is the total cost per unit of output produced, calculated by dividing the total cost by the quantity of output.

MR

Marginal Revenue, which is the additional income from selling one more unit of a good or service.

Profit-Maximizing

The process of increasing the financial gain of an entity as much as possible through various strategies and decisions.

Market Price

The present rate at which a service or asset is available for purchase or sale in the market.