Which of the Following Statements Is FALSE About ERP Systems

question 51

Multiple Choice

Which of the following statements is FALSE about ERP systems?

• A)They use a centralized database with a common computing platform.
• B)They standardize business processes for coordination of all resources and activities.
• C)They require data to be entered multiple times into the system.
• D)They integrate and automate flow of information across all departments within a company.

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Definitions:

Internal Rate

Typically refers to the internal rate of return (IRR), a discount rate that makes the net present value (NPV) of all cash flows from a project or investment equal to zero.

Annual Cash Flows

The net amount of cash and cash-equivalents being transferred into and out of a business over a year.

Investment Costing

The process of determining the total costs associated with making an investment.

Direct Materials

Raw materials that can be directly traced to the manufacturing of a specific product.