Future cash flows that result from the investment

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Reference no: EM132300826

1. If a project proposal was unveiled as an opportunity that the organization could not refuse, but did not pan out or was otherwise causing significant harm to the organization, it could be said that the project had which common project proposal problem?

Fairy-tale savings

Unwarranted optimism

Shaky extrapolations

Failure to account for post-implementation costs

2. Of the four types of IT investments in a portfolio identified by Weil and Aral, which includes applications that support core operations process?

Infrastructure

Transactional

Informational

Strategic

3. Which of the following is an example of intangible value?

Increase in revenue

Quicker admissions process

Reduction in turnover

Improved collaboration

4. Which common financial measure is calculated by subtracting the initial investment from the future cash flows that result from the investment?

Return on interest

Internal rate of return

Net present value

Discount rate

5. A pediatric practice has 5 physicians. Historically, patients were assigned to one physician and these patients always were treated by the same physician. For example, Alice’s patients always visited her (for “well visits” and “sick visits”) and never interacted with the other physicians. However, they have decided to change how they see patients. Now patients will be seen by whoever is available (i.e., not treating patients). Based on our discussion of queueing analysis, which of the outcomes below is likely to occur due to this change?

a. There will be no change

b. The utilization of each physician will increase

c. The average number of patients being served by a physician will increase

d. The average waiting time for a patient will decrease

Reference no: EM132300826

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