Which of the Following Statements Is True

question 50

Multiple Choice

Which of the following statements is true?

• A)FI's should invest in as much technology as possible as it will provide the FI with a competitive advantage.
• B)FI's need to strike a balance as both, too much and too little investment in technology can be bad for the FI.
• C)FI's should invest in as little technology as possible as these investments are too risky.
• D)Technology investments do not have an impact on the survival and profitability of the FI.

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Definitions:

Liquidation Expenses

Costs associated with winding up a company's affairs and distributing its assets to claimants.

Capital Account Balances

The net result of public and private international investments flowing in and out of a country, showing changes in national ownership of assets.

Noncash Assets

Assets that cannot be quickly converted to cash, including property, plant, and equipment, and often valued at cost or depreciated cost on the balance sheet.

Liquidation Expenses

Costs incurred during the process of selling off assets or winding up a business, including legal fees, auctioneer fees, and other related expenses.