If a Company Acquires IT Applications from Outside Contractors or External

question 102

Multiple Choice

If a company acquires IT applications from outside contractors or external organizations, it is called ________.

• A) insourcing
• B) onshoring
• C) outsourcing
• D) reverse outsourcing

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Definitions:

Mutual Ownership

Mutual Ownership refers to a form of ownership where customers of an enterprise, such as a mutual insurance company or building society, are also its owners.

Indirect Affiliation

A connection between entities through secondary or less direct relationships rather than a straightforward ownership or partnership link.

Accrual-Based Net Income

This is the measure of profitability that includes all earned revenues and incurred expenses within a reporting period, according to the accrual basis of accounting.