MGMT
340 Business System Analysis Week 2 Problems and Exercises
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MGMT 340 Business System Analysis
Week 2 Problems and Exercises
Chapter 3
2. What are some sources of risk in
a systems analysis and design project, and how does a projectmanager cope with
risk during the stages of project management?
4. Suppose that
you have been contracted by ajewelry store to
manage a project to create anew inventory tracking
system. Describe your initial approach to
the project. Whats Should your first activity be? What information
would you need? To whom might you need to speak?
Chapter
4
1. The economic analysis carried out
during project identification and selection is rather superficial. Why is this?
Consequently, what factors do you think tend to be most important for a
potential project to survive this first phase of the life cycle?
6. Assuming monetary benefits of an
information system at $85,000 per year,
one-time costs of$75,000, recurring costs of $35,000 per year, a
discount rate of 12 percent, and a
five-year time horizon, calculate the net present value of these costs and
benefits of an information system. Also calculate the
overall return on investment of the
project and then present abreak-even analysis. At what
point does breakeven occur?