Essentials of Systems Analysis and Design (6th Edition)
Essentials of Systems Analysis and Design (6th Edition)
6th Edition
ISBN: 9780133546231
Author: Joseph Valacich, Joey George
Publisher: PEARSON
bartleby

Videos

Textbook Question
Book Icon
Chapter 4, Problem 22PE

Assume monetary benefits of an information system of $40,000 the first year and increasing benefits of $10,000 a year for the next five years (year 1 = $50,000, year 2 = $60,000, year 3 = $70,000, year 4 = $80,000, year 5 = $90,000). One-time development costs were $80,000 and recurring costs were $45,000 over the duration of the system’s life. The discount rate for the company was 11 percent. Using a six-year time horizon, calculate the net present value of these costs and benefits. Also, calculate the overall return on investment and then present a break-even analysis. At what point does break-even occur?

Blurred answer
Students have asked these similar questions
Assume monetary benefits of an information system of $40,000 the first year and increasing benefits of $10,000 a year for the next five years (year 1 = $50,000, year 2 = $60,000, year 3 = $70,000, year 4 = $80,000, year 5 = $90,000). One-time development costs were $80,000 and recurring costs were $45,000 over the duration of the system’s life. The discount rate for the company was 11 percent. Using a six-year time horizon, calculate the net present value of these costs and benefits. Also calculate the overall return on investment and then present a break-even analysis. At what point does breakeven occur?
  Ex. 114 Match each activity below to the phase of system development to which it belongs. Before each activity description use one of the following codes: A — Analysis  I — Implementation  D — Design  F — Follow-up ____ 1. Monitor the system for breakdowns and weaknesses ____ 2. Hire and train personnel ____ 3. Evaluate the efficiency of the system ____ 4. Identify sources of information ____ 5. Select procedures from among alternatives ____ 6. Prepare job descriptions ____ 7. Install processing equipment ____ 8. Corrections in design may be necessary ____ 9. Determine information needs ____ 10. Format reports    
a) The requirements of the system provide constraints and performance ranges for the system in terms of inputs and outputs, and its system-wide and technology-related characteristics. The requirements also state the tradeoffs that the stakeholders are willing to make in the development of the system and the constraints and performance ranges associated with testing the system. In defining the design problem how do the necessary concepts come together? b) From the System Engineering perspective as defined by Kossiakof et al, what criteria should a life cycle meet? And when is a system’s state said to have attained equilibrium and stability? c) RAS is the main tool that helps to maintain consistency between functional architecture and designs based on those architectures. Briefly discuss using a system of your choice as an example (eg. UAV).
Knowledge Booster
Background pattern image
Computer Science
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, computer-science and related others by exploring similar questions and additional content below.
Similar questions
SEE MORE QUESTIONS
Recommended textbooks for you
Text book image
Fundamentals of Information Systems
Computer Science
ISBN:9781337097536
Author:Ralph Stair, George Reynolds
Publisher:Cengage Learning
Text book image
Principles of Information Systems (MindTap Course...
Computer Science
ISBN:9781305971776
Author:Ralph Stair, George Reynolds
Publisher:Cengage Learning
Text book image
Systems Analysis and Design (Shelly Cashman Serie...
Computer Science
ISBN:9781305494602
Author:Scott Tilley, Harry J. Rosenblatt
Publisher:Cengage Learning
Text book image
Fundamentals of Information Systems
Computer Science
ISBN:9781305082168
Author:Ralph Stair, George Reynolds
Publisher:Cengage Learning
Text book image
Principles of Information Systems (MindTap Course...
Computer Science
ISBN:9781285867168
Author:Ralph Stair, George Reynolds
Publisher:Cengage Learning
9.1.2 Software Development Approaches; Author: EIToppo;https://www.youtube.com/watch?v=Z9znuSQ7Sz8;License: Standard YouTube License, CC-BY