In the Context of the Planning Phase of the Systems

question 25

Multiple Choice

In the context of the planning phase of the systems development life cycle (SDLC) , which of the following is an example of an internally identified problem in information systems?

• A) Distributers demanding an increase in their profit margin before the launch of the system
• B) Suppliers noting inefficiency in the inventory control procedure
• C) Management voicing concern about the organization's lack of a competitive edge in the marketplace
• D) Government regulations that need to be followed by the system for its approval in the global marketplace

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Definitions:

Debt Ratio

A financial ratio that measures the extent of a company's leverage, calculated by dividing total liabilities by total assets.

Total Debt

The sum of all financial obligations a company or individual owes to outside parties, which can include loans, bonds, mortgages, and other forms of debt.

Total Assets

The sum of all resources owned by an individual, company, or institution, valued in monetary terms.

Total Asset Turnover

An activity ratio that measures how efficiently the firm uses all of its assets to generate sales; a high ratio generally reflects good overall management.