In Organizations Where Primary Information Systems Support Only Accounting and Finance

question 21

Multiple Choice

In organizations where primary information systems support only accounting and finance activities,a reporting arrangement wherein the CIO reports to the ________ is practical.

• A) CEO
• B) COO
• C) CFO
• D) CTO

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Definitions:

Old Equipment

Refers to machinery or tools that have been used over an extended period and may now be considered outdated or less efficient.

Indirect Method

A financial accounting technique used to prepare the cash flow statement, where changes in balance sheet items are adjusted to convert accrual-based net income into cash flow.

Operating Activities

Encompasses the revenue-generating activities of a business, including production, sales, and delivery of the company's product, as well as day-to-day operations.

Statement Of Cash Flows

A financial statement that shows how changes in balance sheet accounts and income affect cash and cash equivalents, dividing cash flows related to operating, investing, and financing activities.