Determining Whether Expected Cost Savings, Increased Profits, and Other Benefits

question 14

Multiple Choice

Determining whether expected cost savings, increased profits, and other benefits exceed the cost of developing and operating a system is related to _______________ feasibility.

• A) economic
• B) functional
• C) operational
• D) system

---

Definitions:

Retained Earnings

The portion of net income left over for a company after it has paid out dividends to its shareholders.

Specific Period

A specific period in accounting refers to a set time frame for which financial statements are prepared or to which particular financial transactions or events pertain.

Retained Earnings

The accumulated portion of net income that a company elects to keep, rather than distribute to shareholders as dividends.

Future Use

Refers to resources or assets that are intended to be utilized in upcoming periods, not immediately.