Question 1

The maximum cardinality of any REA diagram relationship is

Accepted Answer

A) zero or one. 
B) one or many. 
C) zero or many. 
D) many or none. 
A) zero or one. 
B) one or many. 
C) zero or many. 
D) many or none. B

Question 2

Describe data modeling.

Accepted Answer

Data modeling is the process of defining a database so that it faithfully represents all aspects of the organization,including its interaction with the external environment.

Question 3

Every company can have more than one banking relationships,and each bank can have a business relationship with more than one company.Thus,the cardinality that exists between company and bank is

Accepted Answer

A) one-to-one. 
B) one-to-many. 
C) many-to-many. 
D) many-to-none. 
A) one-to-one. 
B) one-to-many. 
C) many-to-many. 
D) many-to-none. C

Question 4

The REA data model approach facilitates efficient operations by all the following except

Accepted Answer

A) standardizing source document format. 
B) identifying non-value added activities. 
C) storing financial and nonfinancial data in the same database. 
D) organizing data to simplify data retrieval and analysis. 
A) standardizing source document format. 
B) identifying non-value added activities. 
C) storing financial and nonfinancial data in the same database. 
D) organizing data to simplify data retrieval and analysis.

Question 5

Besides modeling entities as rectangles,there are no industry standards for entity-relationship diagrams.

Accepted Answer

A) True 
 B)False

Question 6

Which of the following transactions is represented by the diagram below?

Accepted Answer

A) A lumber yard where customers may pay with cash for all purchases. 
B) A buy-here-pay-here auto dealer where a car buyer sends monthly cash payments to the dealer. 
C) A consulting firm that offers a variety of consulting services to other businesses. 
D) A department store that allows customers to carry a balance and to make installment payments,if they choose. 
A) A lumber yard where customers may pay with cash for all purchases. 
B) A buy-here-pay-here auto dealer where a car buyer sends monthly cash payments to the dealer. 
C) A consulting firm that offers a variety of consulting services to other businesses. 
D) A department store that allows customers to carry a balance and to make installment payments,if they choose.

Question 7

A relationship is diagrammed below using the [Min,Max] notation.Which of the diagrams below represents the same relationship using the "crow's feet" notation?

Accepted Answer

A) 
  
B) 
  
C) 
  
D) 
  
A) 
  
B) 
  
C) 
  
D)

Question 8

Which of the following statements is true about the development of an REA model?

Accepted Answer

A) Events that pertain to the entry of data are included in the REA model. 
B) The objective is to model basic value-chain activities. 
C) REA diagrams model individual transactions and data collections. 
D) Information retrieval events are modeled as events in the REA model. 
A) Events that pertain to the entry of data are included in the REA model. 
B) The objective is to model basic value-chain activities. 
C) REA diagrams model individual transactions and data collections. 
D) Information retrieval events are modeled as events in the REA model.

Question 9

Which of the following transactions is represented by the diagram below?

Accepted Answer

A) Vendors send a bill for each inventory item purchased which is payable on receipt. 
B) A single purchase of inventory is paid for with multiple payments. 
C) Inventory vendors send a monthly bill for merchandise delivered.The seller does not accept or allow installment payments. 
D) Some inventory purchases are paid for with multiple payments and some payments may apply to multiple purchases. 
A) Vendors send a bill for each inventory item purchased which is payable on receipt. 
B) A single purchase of inventory is paid for with multiple payments. 
C) Inventory vendors send a monthly bill for merchandise delivered.The seller does not accept or allow installment payments. 
D) Some inventory purchases are paid for with multiple payments and some payments may apply to multiple purchases.

Question 10

Which is a true statement about the REA data model?

Accepted Answer

A) The REA data model classifies entities into three distinct categories. 
B) The term REA is an acronym that stands for resources,entities,and agents. 
C) Using an REA data model is not helpful when creating an R-E diagram. 
D) The term REA is an acronym that stands for resources,entities,and activities. 
A) The REA data model classifies entities into three distinct categories. 
B) The term REA is an acronym that stands for resources,entities,and agents. 
C) Using an REA data model is not helpful when creating an R-E diagram. 
D) The term REA is an acronym that stands for resources,entities,and activities.

Question 11

Which of the following graphical symbols represents a minimum cardinality of one and a maximum cardinality of one?

Accepted Answer

A) 
  
B) 
  
C) 
  
D) 
  
A) 
  
B) 
  
C) 
  
D)

Question 12

How many types of relationships are possible between entities?

Accepted Answer

A) One. 
B) Two. 
C) Three. 
D) Four. 
A) One. 
B) Two. 
C) Three. 
D) Four.

Question 13

REA models are usually depicted in which diagramming form?

Accepted Answer

A) Entity-relationship diagrams. 
B) Economics-relationship diagrams. 
C) Entity-resource diagrams. 
D) Stock-flow diagrams. 
A) Entity-relationship diagrams. 
B) Economics-relationship diagrams. 
C) Entity-resource diagrams. 
D) Stock-flow diagrams.

Question 14

With regards to the database design process,accountants may provide the greatest value to their organization by participating in

Accepted Answer

A) implementation and conversion. 
B) data modeling. 
C) database operation and maintenance. 
D) system auditing. 
A) implementation and conversion. 
B) data modeling. 
C) database operation and maintenance. 
D) system auditing.

Question 15

Which of the following transactions is represented by the diagram below?

Accepted Answer

A) Vendors send a bill for each inventory item purchased which is payable on receipt. 
B) A single purchase of inventory is paid for with multiple payments. 
C) Inventory vendors send a monthly bill for merchandise delivered.The seller does not accept or allow installment payments. 
D) Some inventory purchases are paid for with multiple payments and some payments may apply to multiple purchases. 
A) Vendors send a bill for each inventory item purchased which is payable on receipt. 
B) A single purchase of inventory is paid for with multiple payments. 
C) Inventory vendors send a monthly bill for merchandise delivered.The seller does not accept or allow installment payments. 
D) Some inventory purchases are paid for with multiple payments and some payments may apply to multiple purchases.

Question 16

Identify the item below that would be classified as an agent by the REA data model.

Accepted Answer

A) An IOU from a customer. 
B) The customer. 
C) A customer sale. 
D) A loan from a vendor. 
A) An IOU from a customer. 
B) The customer. 
C) A customer sale. 
D) A loan from a vendor.

Question 17

Helge Autoparts sells new and refurbished auto parts exclusively to auto dealers.Helge purchases inventory from distributors at trade conventions.Each time Helge makes a purchase,the company records the suppliers name,address,date,specific items purchased,price paid for each,and the total amount spent.Helge later researches the inventory items to set the customer price.The company assigns an inventory number to each item purchased and records the customer price for each item.Helge buys price tags and display supplies from Alwin Incorporated,a company that sells them at all trade conventions.All inventory and supplies purchases are immediately paid for with cash or with checks from a bank account in Helge's name.All cash received from sales are also deposited to the same bank account.Several times a year Helge rents display space at dealer conventions.A deposit is always required,and the entire fee is due the day the convention starts.Helge records the deposit and final payment,along with the convention's name and address,in the same worksheet on which purchases of inventory and supplies are recorded.
Consider Helge's processes regarding the purchasing inventory and supplies,renting display space,and paying for purchased items.In a well-designed REA diagram,what entities would reflect economic duality?

Accepted Answer

A) Purchases and Cash Disbursements 
B) Display Space Rental and Cash Disbursements 
C) Inventory and Purchases 
D) Cash and Cash Disbursements 
A) Purchases and Cash Disbursements 
B) Display Space Rental and Cash Disbursements 
C) Inventory and Purchases 
D) Cash and Cash Disbursements

Question 18

Describe the three basic rules that apply to the REA model pattern.

Accepted Answer

Each event is linked to at lea

Question 19

The process of defining a database so that it faithfully represents all aspects of the organization including its interactions with the external environment is called

Accepted Answer

A) data modeling. 
B) data designing. 
C) data development. 
D) data definition. 
A) data modeling. 
B) data designing. 
C) data development. 
D) data definition.

Question 20

Which of the following transactions is represented by the diagram below?

Accepted Answer

A) Vendors send a bill for each inventory item purchased which is payable on receipt. 
B) A single purchase of inventory is paid for with multiple payments. 
C) Inventory vendors send a monthly bill for merchandise delivered.The seller does not accept or allow installment payments. 
D) Some inventory purchases are paid for with multiple payments and some payments may apply to multiple purchases. 
A) Vendors send a bill for each inventory item purchased which is payable on receipt. 
B) A single purchase of inventory is paid for with multiple payments. 
C) Inventory vendors send a monthly bill for merchandise delivered.The seller does not accept or allow installment payments. 
D) Some inventory purchases are paid for with multiple payments and some payments may apply to multiple purchases.

Exam 17: Database Design Using the Rea Data Model

The maximum cardinality of any REA diagram relationship is

Describe data modeling.

Every company can have more than one banking relationships,and each bank can have a business relationship with more than one company.Thus,the cardinality that exists between company and bank is

The REA data model approach facilitates efficient operations by all the following except

Besides modeling entities as rectangles,there are no industry standards for entity-relationship diagrams.

Which of the following transactions is represented by the diagram below?

A relationship is diagrammed below using the [Min,Max] notation.Which of the diagrams below represents the same relationship using the "crow's feet" notation?

Which of the following statements is true about the development of an REA model?

Which of the following transactions is represented by the diagram below?

Which is a true statement about the REA data model?

Which of the following graphical symbols represents a minimum cardinality of one and a maximum cardinality of one?

How many types of relationships are possible between entities?

REA models are usually depicted in which diagramming form?

With regards to the database design process,accountants may provide the greatest value to their organization by participating in

Which of the following transactions is represented by the diagram below?

Identify the item below that would be classified as an agent by the REA data model.

Describe the three basic rules that apply to the REA model pattern.

The process of defining a database so that it faithfully represents all aspects of the organization including its interactions with the external environment is called

Which of the following transactions is represented by the diagram below?

Conceptual Foundations of Accounting Information Systems

Overview of Transaction Processing and Enterprise Resource Planning Systems

Systems Documentation Techniques

Relational Databases

Computer Fraud

Computer Fraud and Abuse Techniques

Control and Accounting Information Systems

Controls for Information Security

Confidentiality and Privacy Controls

Processing Integrity and Availability Controls

Auditing Computer-Based Information Systems

The Revenue Cycle: Sales to Cash Collections

The Expenditure Cycle: Purchasing to Cash Disbursements

The Production Cycle

The Human Resources Management and Payroll Cycle

General Ledger and Reporting System

Implementing an Rea Model in a Relational Database

Special Topics in Rea Modeling

Introduction to Systems Development and Systems Analysis

Ais Development Strategies

Systems Design, implementation, and Operation

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