Which of the Following Statements Is True of ERP Products

question 8

Multiple Choice

Which of the following statements is true of ERP products offered by SAP?

• A) SAP HANNA is a SaaS (software as a service) cloud offering.
• B) SAP's ERP products are more expensive than those from other companies.
• C) Classic SAP uses thick-client, client-server architecture.
• D) Because of its installed base, SAP can make a rapid move to cloud-based solutions.

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Definitions:

Earnings Retention Ratio

The earnings retention ratio, also known as the plowback ratio, measures the percentage of net earnings a company retains to reinvest in the business, as opposed to distributing to shareholders as dividends.

Plowback Ratio

A metric indicating the proportion of earnings retained by a company for reinvestment in its operations, rather than distributed to shareholders as dividends.

Dividend Growth Rate

The annualized percentage rate of growth of a company's dividend payments, indicating how quickly the dividend payments have grown over a specific period.

Expected ROE

The anticipated return on equity, calculated based on expected future earnings divided by shareholders' equity.