Which of the Following Is Not an Assumption When Estimating

question 49

Multiple Choice

Which of the following is not an assumption when estimating a cost function over the relevant range of activity?

• A) Mixed costs will change in total
• B) Mixed costs will change per unit
• C) Variable costs will be constant in total
• D) Fixed costs will be constant in total.

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Definitions:

Direct Conversion

Implementation process in which the old system is cut off and the new system is turned on at a certain point in time.

Old System

An outdated or legacy technology system that is often in need of replacement or upgrade.

New System

A recently developed or implemented set of components designed to function together to achieve specific objectives.

Systems Analysts

IS professionals who specialize in analyzing and designing information systems.