If You Cut Off the Old System and Turn on the New

question 25

Multiple Choice

If you cut off the old system and turn on the new system, this is called ________ conversion.

• A) Direct
• B) Parallel
• C) Phased
• D) Pilot

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Definitions:

Investor

An individual or entity that allocates capital with the expectation of receiving financial returns, encompassing a wide range of investment vehicles and activities.

Consolidation

The process of combining the financial statements of multiple subsidiary companies into the statements of a single parent company.

Available-for-Sale Securities

Financial assets that are neither held for trading immediately nor held to maturity, which can be sold in response to liquidity needs.

Unrealized Holding

Gains or losses on investments that a company has not yet sold, and therefore, has not realized the cash value from.