Which example is a business case assumption that is most likely to be provided by the IT executive?

Question

Options

• AThe expected weighted cost of capital can define the rate of return.
• BThe number of personnel can be reduced in the business unit due to automation.
• CIT transaction volumes will grow 10% annually for the next 2 years.
• DThe business will outsource customer service to a third party.

• B
  4% (1)
• C
  88% (22)
• D
  8% (2)

Explanation

Option C is correct because IT transaction volume growth is a technical projection that falls squarely within an IT executive's domain - they own infrastructure metrics, system capacity planning, and technology usage forecasts. An IT executive is uniquely positioned to estimate how system load will scale and communicate that to business stakeholders building a financial case.

Why the distractors are wrong:

• A (weighted cost of capital) is a finance/CFO concern, not an IT one - it defines the discount rate used to evaluate investment returns.
• B (personnel reduction from automation) is a business unit operations assumption - the business manager, not IT, owns headcount and workforce planning decisions.
• D (outsourcing customer service) is a strategic business decision made by operations or executive leadership, not IT.

Memory tip: Ask yourself "Who owns this number?" IT executives own technology metrics (volumes, uptime, capacity). Finance owns capital rates. Business unit heads own headcount and vendor strategy. Anything with the word "transaction volume" or "system load" points to IT.

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