ACC 6123 - QUIZ 2 - SYSTEM EVALUATION AND CHOICES

The following are the cost-benefit analysis checklist, EXCEPT;

• List each development strategy being considered

• Consider future growth and the need for scalability

• Exclude support costs for hardware and software

• Apply the financial analysis tools to each alternative.

_______________ is refers to the practice of shifting IT development, support, and operations to other countries.

• Feasibility study

• Offshore outsourcing

• Outsourcing fees

• Cost-benefit analysis

The following are the reasons for purchasing a system software, EXCEPT;

• Lower costs

• Satisfy unique business requirements

• Requires less time to implement

• Proven reliability and performance benchmarks

_________________ is the choice between developing versus purchasing software.

• Feasibility study

• Chosen analysis : Make or Buy

• Outsourcing

• Cost - benefit analysis

_________________ is the transfer of information systems development, operation, or maintenance to an outside firm that provides these services, for a fee, on a temporary or long-term basis.

• Feasibility study

• Chosen analysis : Make or Buy

• Outsourcing

• Cost - benefit analysis

The following are the types of feasibility study, EXCEPT;

• Benefit feasibility

• Operational feasibility

• Technical feasibility

• Economic feasibility

The following are the disadvantages of outsourcing, EXCEPT;

• Lower costs

• Inflexibility

• Loss of control

• Reduced competitive advantage

The following are the main cost analysis tools in Financial Analysis Tools, EXCEPT;

• Return on asset (ROA)

• Net present value (NPV)

• Return on investment (ROI)

• Payback analysis

Which are the following is the advantages of outsourcing?

• Unfulfilled goals

• Poor service

• Increased risk

• Less development time

The following are the models in outsourcing fees, EXCEPT;

• Fixed fee model

• Subscription model

• Usage/transaction model

• Flexible fee model