Which model can be used to analyze the direct and indirect costs to help firms determine the actual cost of specific technology implementations?
A)Supply and demand
B)Return on investment
C)Breakeven point
D)Cost-benefit analysis
E)Total cost of ownership

Question

Quizplus · Accepted Answer

The Total Cost of Ownership (TCO) model can be used to analyze both the direct and indirect costs associated with a technology implementation, including initial acquisition costs, installation, training, maintenance, and support. By calculating the total cost, firms can make a more informed decision on the actual cost of the technology and whether it is worth investing in. Options A, B, C, and D do not directly address indirect costs and are not as comprehensive in their analysis of the total cost of ownership.

Which Model Can Be Used to Analyze the Direct and Indirect