Which of the Following Best Describes an Enterprise Resource Planning

question 16

Multiple Choice

Which of the following best describes an Enterprise Resource Planning System?

• A)A database that is primarily used by a purchasing department to determine the correct amount of a particular supply item to purchase
• B)A sophisticated means of linking two or more companies to facilitate their planning processes
• C)A single database that collects data and feeds it into applications that support each of the company's business activities,such as purchases,production,distribution,and sales
• D)A collection of programs that use a variety of unconnected databases

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Definitions:

Retained Earnings

The portion of a company's profit that is held or retained and not paid out as dividends to shareholders, often used for reinvestment in the business or to pay off debt.

Paid-In Capital

The total amount of money that shareholders have invested in the company by purchasing shares directly from the company.

Common Stock

Equity ownership in a corporation, where holders often have voting rights but are last in line in claims to assets and income.

Preferred Stock

A class of ownership in a corporation that has a higher claim on its assets and earnings than common stock.