Determine the Net Income of a Company for Which the Following

question 227

Multiple Choice

Determine the net income of a company for which the following information is available.
Employee salaries expense……………..$180,000
Interest expense………………………… 10,000
Rent expense……………………………. 20,000
Consulting revenue……………………..400,000

• A)$190,000
• B)$210,000
• C)$230,000
• D)$400,000
• E)$610,000

Comprehend the role and structure of the application portfolio within an organization.

Distinguish between different financial measures and their application in IT project valuation (NPV, ROI, Breakeven analysis).

Understand the strategic alignment between organizational mission, IS requirements, and IT strategic planning.

Identify the roles and responsibilities of the IT steering committee in aligning IT with business strategy.

---

Definitions:

Demand

How much of a service or good that individuals are ready and financially capable of buying at several price points over a certain period.

Loanable Funds

The money available for borrowing, which is determined by the savings rate, income levels, and policies affecting interest rates.

Interest Rates

The cost of borrowing money, expressed as a percentage, which lenders charge borrowers for using their money for a period of time.

Price Ceiling

A government-imposed limit on how high a price is charged for a product, meant to protect consumers from conditions that could make commodities prohibitively expensive.