________ Takes Place When a Firm Contracts Custom Software Development

question 24

Multiple Choice

________ takes place when a firm contracts custom software development or maintenance of existing legacy programs to outside firms.

• A)Cloud computing
• B)Utility computing
• C)On-demand computing
• D)Outsourcing
• E)Consumerization of IT

---

Definitions:

Activity Variance

The discrepancy observed between a business's estimated activities costs or resources and the actual expenses or usage.

Net Operating Income

Represents the total profit of a business after operating expenses are subtracted from gross profit.

Personnel Expenses

Costs associated with the compensation and benefits of a company's employees, including wages, salaries, bonuses, and benefits.

Planning Budget

A budget created for a specific level of activity that is used for planning and coordinating operations.