While Assessing Value of the IS Infrastructure,the ________ Value Can

question 31

Multiple Choice

While assessing value of the IS infrastructure,the ________ value can be derived by measuring the impact of not investing in a particular project.

• A) operational
• B) economic
• C) compliance
• D) regulatory
• E) architectural

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Definitions:

Fixed Costs

Costs that do not vary with the level of output or sales, such as rent, salaries, and insurance.

Average Total Cost

The sum of all production costs divided by the quantity of output produced, encompassing both fixed and variable costs, giving a comprehensive cost per unit.

Perfectly Competitive

A perfectly competitive market is an economic theory of a market where all participants are price-takers, and goods are completely homogeneous, ensuring no single buyer or seller has market power.

Economic Profits

The financial gains that are realized when total revenues exceed total costs, including both explicit and implicit costs.