Which of the Following Is a Disadvantage of Purchasing Computer

question 76

Multiple Choice

Which of the following is a disadvantage of purchasing computer hardware?

• A)There is a risk of equipment obsolescence.
• B)The equipment can depreciate.
• C)It is less expensive than renting.
• D)There is no long-term financial investment.

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Definitions:

Cash Budget

A financial plan that projects cash inflows and outflows over a specific period, helping businesses manage their liquidity.

Cash Deficiency

A situation where a business or individual has insufficient cash to cover expenses or liabilities.

Planning Process

A systematic approach to setting goals and objectives, developing strategies, and outlining tasks and schedules to accomplish the goals.

Company's Past Performance

A review of a company's previous financial results and operations, usually analyzed to forecast future performance.