Firms Should Consider Developing Custom Software Only If

question 96

Multiple Choice

Firms should consider developing custom software only if

• A)it will be used for critical functions like accounts receivable.
• B)it will contribute to development of a significant competitive advantage.
• C)the firm has the necessary expertise available in-house.
• D)the available canned software is very expensive.

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Definitions:

Yield To Maturity

The overall gain predicted for a bond if it is held all the way to its due date for maturity.

Coupon

The interest rate stated on a bond when issued, which represents the actual amount of interest paid to bondholders.

Maturity Date

The specified date on which the principal amount of a loan, bond, or other financial instrument is to be repaid.

Coupon

The annual interest rate paid on a bond, expressed as a percentage of the face value or the periodic interest payment made by bond issuers to its bondholders.