Unidice, an Information Technology Firm, Recently Installed a New Data

question 55

Multiple Choice

Unidice, an information technology firm, recently installed a new data system that provides seamless access to data. This data system has a higher storage capacity and processing speed than other data systems available in the market. Although the data system can be acquired in the future by other companies, it has presently enabled Unidice to process its data faster and in a more economical manner than its competitors. It is evident that Unidice has achieved _____.

• A) competitive inertia
• B) first-mover advantage
• C) vertical integration
• D) quality assurance

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Definitions:

Straight-Line Depreciation

A way of assigning the cost of a concrete asset over its operational life in homogeneous yearly amounts.

Residual Value

The estimated value an asset will have at the end of its useful life, after depreciation has been fully taken.

Estimated Useful Life

The expected period over which an asset is likely to be functional and contribute to the production of the entity that owns it.

Trade-in Allowance

The credit value offered by a retailer to a customer towards the purchase of a new item when exchanging an older model or item.