Which of the Following Is True About Offshoring

question 54

Multiple Choice

Which of the following is true about offshoring?

• A)The smaller and newer a vendor, the better it is for the company to conduct business.
• B)Small overseas upstarts do not take risks that larger, more established contractors take.
• C)Any work that is proprietary and requires tight security should be offshored.
• D)A company should avoid outsourcing work that is self-contained and does not need exchange of information.
• E)Small overseas upstarts often promise more than they can deliver.

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Definitions:

Unamortized Premium

The portion of a bond premium that has not yet been amortized or gradually written off over time.

Installment Note

A financial instrument that requires the issuer to make regular payments of both principal and interest to the holder until the debt is paid off.

Interest Portion

Part of a loan payment that is attributed to interest charges on the borrowed principal amount.

Principal Amount

The original sum of money borrowed in a loan or put into an investment, excluding interest or profit.