Which of the Following Statements Is Not True

question 18

Multiple Choice

Which of the following statements is not true?

• A)The most common and successful offshore outsourcing projects involve production programming and system maintenance programming work, along with call center work.
• B)Inflation in Indian wages for technology work is leading to a counter movement of jobs back to the United States.
• C)The fear that offshore outsourcing will reduce demand for new information system hires in the U.S. is mitigated by the fact that reduced IT expenditures results in increased IT investments and the creation of domestic jobs.
• D)The impact of domestic IT outsourcing has been very disruptive to some regional areas of the U.S.

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Definitions:

Maintenance Margin

The minimum amount of equity that must be maintained in a margin account to continue holding an investment, after initiating a position.

Margin Call

A demand by a broker that an investor deposit further cash or securities to cover possible losses in a margin account.

Initial Margin

The minimum amount of funds or securities that must be deposited in a margin account before trading on margin, serving as a security for credit risk.

Securities and Exchange Commission

This is an independent federal government agency responsible for protecting investors, maintaining fair and orderly functioning of securities markets and facilitating capital formation.