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Hi,
I was wondering if you could help me with this question. For me it is saying the information should cost more than its benefits. Is that it? It doesn’t make sense to me!
Q: The following statement refers to a quality of good information:
The cost of producing information should be greater than the value of
the benefits of that information to management.Is this statement true or false? (1 mark)
A. True
B. FalseSolution:
Correct answer is A.Explanation:
In business, quality of information depends on cost of obtaining
information and other non-financial factors expressed as ACCURATE
mnemonic. Business activities are pursued to increase economic wealth.
If cost of obtaining information does not exceed benefits, then it will lead
to reduction in wealth.Well….I don’t know where you found this question, but assuming that you typed it correctly then the answer is complete nonsense!!!
The cost of producing information should be lower that the benefits (and if it is then it will lead to an increase in wealth).
🙂
Whew.. thought I was having problem reading this question.
I got it from some material I just found online.. definitely not to trust!
Thank you for you help.
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