Refer to IT's About Business 11

question 84

Short Answer

Refer to IT's About Business 11.2: Which of the following is true about the CRM system described in the case:
A. It reduces the time customers spend on the phone
B. It cuts labor related costs
C. It helps predict frequent customer needs
D. It increases the security of the hotel
E. It reduces customer fallout.
Answer. C

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Definitions:

Depreciation Rate

The percentage or method used to calculate the decrease in value of an asset over time due to use, wear and tear, or obsolescence.

FIFO Approach

A method of inventory valuation where the first items put into inventory are the first ones to be recorded as sold.

Sum-Of-The-Years'-Digits Method

A depreciation technique that results in a more accelerated write-off of an asset over its useful life, by applying a decreasing fraction to its depreciable cost.

Repairs

Expenditures that restore an asset to its previous operating condition or maintain the asset in its current condition, without significantly enhancing its value.