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Question

Computer to computer communication for Business Transactions is called

A
PIN
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B
AIM
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C
EDI
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None of these
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Solution

The correct option is C EDI

Computer to computer communication for Business Transactions is called EDI (electronic data interchange).

Electronic Data Interchange (EDI) is the computer-to-computer exchange of business documents in a standard electronic format between business partners.


EDI replaces postal mail, fax and email. While email is also an electronic approach, the documents exchanged via email must still be handled by people rather than computers. Having people involved slows down the processing of the documents and also introduces errors. Instead, EDI documents can flow straight through to the appropriate application on the receiver’s computer and processing can begin immediately.



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