The Division Manager at Xperience Inc

question 103

Multiple Choice

The division manager at Xperience Inc. wants to replace the SAP ERP currently used in his division with Epicor ERP as it costs 30 percent less to train new staff in Epicor ERP. But this leads to a conflict with the general manager, who insists that they can simply hire only people who already know how to use SAP ERP. Which of the following, if true, weakens the general manager's objection to the replacement of SAP ERP with Epicor ERP?

• A) Currently all employees in the company are required to attend workshops on how to use SAP ERP.
• B) Once employees learn how to use an ERP system, they tend to change employers more readily than before.
• C) Experienced users of SAP ERP command much higher salaries than do prospective employees who have no experience in the use of any ERP.
• D) The average productivity of employees in the company is below the average productivity of the employees of its competitors.
• E) The high costs of updates and upgrades make Epicor ERP more expensive to maintain than SAP ERP.

Understand the requirements for recognition of goodwill and intangible assets in business combinations.

Grasp the accounting treatment of internally generated intangible assets according to AASB 138.

Recognize the disclosure requirements for intangible assets under AASB 138.

Understand the criteria for the classification of intangible assets as having finite or indefinite lives.

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Definitions:

Addiction

A chronic, relapsing disorder characterized by compulsive drug seeking, continued use despite harmful consequences, and long-lasting changes in the brain.

Heredity

The biological process through which genetic characteristics are transmitted from one generation to the next.

Antisocial Personality Disorder (APD)

A personality disorder characterized by a lifelong pattern of irresponsible, antisocial behavior such as law-breaking, violence, and other impulsive, reckless acts.

Neuropsychological Tests

Standardized tasks or assessments used to measure brain function and cognitive performance, often used to diagnose cognitive deficits.