Which of the Following Statements Is True Regarding Outsourcing

question 92

Multiple Choice

Which of the following statements is true regarding outsourcing?

• A)There is no guarantee that outsourcing will provide a certain level of quality.
• B)Outsourcing leads to greater budgetary instability.
• C)Outsourcing saves direct management time but increases indirect management time.
• D)Outsourcing involves significant implementation risk.

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Definitions:

Standardized Form Contracts

Contracts that are preprinted and contain set terms and conditions for all parties, typically not negotiable.

Pre-Contract Statements

Statements made by parties involved before a contract is finalized, which may influence the agreement or understanding of the contract.

Consideration

In contract law, the benefit or value that each party agrees to exchange as part of a contractual agreement, which is a requirement for a valid contract.

Assignee

A person to whom an assignment is made.