How Does a DSS Typically Differ from an EIS

question 299

Multiple Choice

How does a DSS typically differ from an EIS?

• A)EIS requires data from external sources to support unstructured decisions; DSS typically use internal sources to support semistructured decisions.
• B)DSS typically use external sources, and EIS use internal sources to support decisions.
• C)DSS never use external sources.
• D)EIS always use internal sources to support structured decisions.

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Definitions:

Debt Management Ratios

Financial ratios that are used to evaluate a company's ability to manage its long-term and short-term debt obligations.

Average Collection Period

The average number of days it takes for a company to receive payments owed by its customers, reflecting the efficiency of its credit and collection policies.

Liquidity Problem

A liquidity problem occurs when an individual or organization struggles to convert assets into cash quickly without significant losses in value, potentially affecting their ability to meet immediate financial obligations.

Credit Terms

Conditions under which credit is extended by a lender to a borrower, including repayment schedule, interest rate, and the timeframe of the loan.