Question 1

Which of the following statements is false?

Accepted Answer

A)  Retail stores do not have a production cycle. 
B)  Financial institutions have installment-loan cycles. 
C)  A service company does not have an inventory system. 
D)  Every organization should implement every transaction cycle module. 
A)  Retail stores do not have a production cycle. 
B)  Financial institutions have installment-loan cycles. 
C)  A service company does not have an inventory system. 
D)  Every organization should implement every transaction cycle module. D

Question 2

Define the concept of a system.

Accepted Answer

A system is a set of two or more components that are somehow interrelated and interact together to achieve a specific goal.

Question 3

The transaction cycle approach leads to efficient processing of a large number of transactions because

Accepted Answer

A)  transaction cycles are easier to computerize. 
B)  a large number of transactions within a given cycle can be categorized into a relatively small number of distinct types. 
C)  the transaction cycle approach represents the natural order of business. 
D)  transaction cycles are easy to understand. 
A)  transaction cycles are easier to computerize. 
B)  a large number of transactions within a given cycle can be categorized into a relatively small number of distinct types. 
C)  the transaction cycle approach represents the natural order of business. 
D)  transaction cycles are easy to understand. B

Question 4

Transaction cycles can be summarized on a high level as "give-get" transactions.An example of "give-get" in the expenditure cycle would be

Accepted Answer

A)  give cash, get cash. 
B)  give cash, get goods. 
C)  give cash, get labor. 
D)  give goods, get cash. 
A)  give cash, get cash. 
B)  give cash, get goods. 
C)  give cash, get labor. 
D)  give goods, get cash.

Question 5

Which of the following is not an example of how an AIS adds value to an organization?

Accepted Answer

A)  All employees at a hospital can access and update patient records from any computer terminal in the hospital. 
B)  A customer service representative can find a customer's account data, purchase history, payment history, and salesperson's name while on the phone with the customer, to resolve issues quickly. 
C)  Suppliers are able to access sales data directly from the point-of-sale system of a retailer and deliver inventory automatically when needed. 
D)  Client tax files are encrypted and made available on the CPA firm's network to any employee with an access code. 
A)  All employees at a hospital can access and update patient records from any computer terminal in the hospital. 
B)  A customer service representative can find a customer's account data, purchase history, payment history, and salesperson's name while on the phone with the customer, to resolve issues quickly. 
C)  Suppliers are able to access sales data directly from the point-of-sale system of a retailer and deliver inventory automatically when needed. 
D)  Client tax files are encrypted and made available on the CPA firm's network to any employee with an access code.

Question 6

Identify the components of an accounting information system.

Accepted Answer

A well-designed AIS consists o

Question 7

Information that reduces uncertainty,improves decision makers' ability to make predictions,or confirms or corrects their prior expectations,is said to be

Accepted Answer

A)  complete. 
B)  relevant. 
C)  reliable. 
D)  timely. 
A)  complete. 
B)  relevant. 
C)  reliable. 
D)  timely.

Question 8

A well-designed AIS can improve the decision-making function within the organization.Which statement below would describe a limitation,rather than a benefit,of an efficient AIS?

Accepted Answer

A)  An AIS reduces uncertainty, and therefore accounting information can provide a basis for choosing among alternative courses of action. 
B)  An AIS identifies situations requiring management action. 
C)  An AIS provides to its users an abundance of information without any filtering or condensing of such information. 
D)  An AIS provides information about the results of previous decisions which provides decision makers with feedback that can be used in future decision making. 
A)  An AIS reduces uncertainty, and therefore accounting information can provide a basis for choosing among alternative courses of action. 
B)  An AIS identifies situations requiring management action. 
C)  An AIS provides to its users an abundance of information without any filtering or condensing of such information. 
D)  An AIS provides information about the results of previous decisions which provides decision makers with feedback that can be used in future decision making.

Question 9

Robinson Crusoe has formed a business that sells carved gourmet coconuts.He has hired five employees.The most senior is Friday,who manages the carving process.Monday is the newest employee.She collects the coconuts.Tuesday,as you might expect,takes calls from curstomers,oops,I mean customers,who are unhappy with their coconuts.Wednesday tosses finished coconuts into the sea,whereupon they drift to the wholesaler.Thursday sends smoke signals to the wholesaler extolling the virtues of the latest production run of nuts that are drifting across the bay.Which of the following functions in the value chain is Tuesday performing?

Accepted Answer

A)  Inbound logistics 
B)  Operations 
C)  Outbound logistics 
D)  Marketing and sales 
E)  Service 
A)  Inbound logistics 
B)  Operations 
C)  Outbound logistics 
D)  Marketing and sales 
E)  Service

Question 10

Which of the following is a primary activity in the value chain?

Accepted Answer

A)  infrastructure 
B)  technology 
C)  purchasing 
D)  marketing and sales 
A)  infrastructure 
B)  technology 
C)  purchasing 
D)  marketing and sales

Question 11

Inventory information is provided in real time by a firm's accounting information system.The accuracy of this information is questionable,however,since the production manager often reports stock outs of components that the system indicates are in stock.Which of the following characteristics of useful information is absent in the situation described above?

Accepted Answer

A)  Relevant 
B)  Reliable 
C)  Complete 
D)  Timely 
E)  Understandable
F) Verifiable
G) Accessible 
A)  Relevant 
B)  Reliable 
C)  Complete 
D)  Timely 
E)  Understandable
F) Verifiable
G) Accessible

Question 12

Discuss the components of a supply chain.

Accepted Answer

The supply chain shows how an organizati

Question 13

Discuss the seven characteristics of useful information.

Accepted Answer

The seven characteristics of useful info

Question 14

Who of the following is not a stakeholder with whom an accounting information system typically communicates directly?

Accepted Answer

A)  Wall Street industry analyst 
B)  Venture capitalist 
C)  Company that supplies raw materials 
D)  Company that purchases finished goods for resale to consumers 
A)  Wall Street industry analyst 
B)  Venture capitalist 
C)  Company that supplies raw materials 
D)  Company that purchases finished goods for resale to consumers

Question 15

Which of the following is a true statement?

Accepted Answer

A)  Business strategy directly influences AIS, but not information technology. 
B)  Information technology directly influences organizational culture, but not business strategy. 
C)  Organizational culture directly influences business strategy, but not AIS. 
D)  AIS directly influences information technology, but not business strategy. 
A)  Business strategy directly influences AIS, but not information technology. 
B)  Information technology directly influences organizational culture, but not business strategy. 
C)  Organizational culture directly influences business strategy, but not AIS. 
D)  AIS directly influences information technology, but not business strategy.

Question 16

An accounting information system must be able to perform which of the following tasks?

Accepted Answer

A)  collect transaction data 
B)  process transaction data 
C)  provide adequate controls 
D)  all of the above 
A)  collect transaction data 
B)  process transaction data 
C)  provide adequate controls 
D)  all of the above

Question 17

The value chain concept is composed of two types of activities known as

Accepted Answer

A)  primary and support. 
B)  primary and secondary. 
C)  support and value. 
D)  technology and support. 
A)  primary and support. 
B)  primary and secondary. 
C)  support and value. 
D)  technology and support.

Question 18

An accounting information system (AIS)processes ________ to provide users with ________.

Accepted Answer

A)  data; information 
B)  data; transactions 
C)  information; data 
D)  data; benefits 
A)  data; information 
B)  data; transactions 
C)  information; data 
D)  data; benefits

Question 19

The American Institute of Certified Public Accountants (AICPA)has recognized the importance of AIS and the major impact information technology has on the area of accounting.To recognize individual CPAs who have met educational and experiential requirements in this area,the group formally created the designation known as

Accepted Answer

A)  the Certified Management Accountant. 
B)  the Certified Information Technology Professional. 
C)  the Certified Internal Auditor. 
D)  the Certified Data Processing Professional. 
A)  the Certified Management Accountant. 
B)  the Certified Information Technology Professional. 
C)  the Certified Internal Auditor. 
D)  the Certified Data Processing Professional.

Question 20

The AIS must include controls to ensure

Accepted Answer

A)  safety and availability of data. 
B)  marketing initiatives match corporate goals. 
C)  information produced from data is accurate. 
D)  both A and C 
A)  safety and availability of data. 
B)  marketing initiatives match corporate goals. 
C)  information produced from data is accurate. 
D)  both A and C

Which of the following statements is false?

Define the concept of a system.

The transaction cycle approach leads to efficient processing of a large number of transactions because

Transaction cycles can be summarized on a high level as "give-get" transactions.An example of "give-get" in the expenditure cycle would be

Which of the following is not an example of how an AIS adds value to an organization?

Identify the components of an accounting information system.

Information that reduces uncertainty,improves decision makers' ability to make predictions,or confirms or corrects their prior expectations,is said to be

A well-designed AIS can improve the decision-making function within the organization.Which statement below would describe a limitation,rather than a benefit,of an efficient AIS?

Which of the following is a primary activity in the value chain?

Discuss the components of a supply chain.

Discuss the seven characteristics of useful information.

Who of the following is not a stakeholder with whom an accounting information system typically communicates directly?

Which of the following is a true statement?

An accounting information system must be able to perform which of the following tasks?

The value chain concept is composed of two types of activities known as

An accounting information system (AIS)processes to provide users with .

The AIS must include controls to ensure

Overview of Transaction Processing and Erp Systems

Systems Documentation Techniques

Relational Databases

Computer Fraud

Computer Fraud and Abuse Techniques

Control and Accounting Information Systems

Information Systems Controls for System Reliability Part 1: Information Security

Information Systems Controls for Systems Reliability Part 2: Confidentiality and Privacy

Information Systems Controls for Systems Reliability Part 3: Processing Integrity and Availability

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

The Rea Data Model

Implementing an Rea Model in a Relational Database

Special Topics in Rea Modeling

Introduction to Systems Development Systems Analysis

Ais Development Strategies

Systems Design, implementation, and Operation

Filters

Exam 1: Accounting Information Systems: an Overview

Which of the following statements is false?

Define the concept of a system.

The transaction cycle approach leads to efficient processing of a large number of transactions because

Transaction cycles can be summarized on a high level as "give-get" transactions.An example of "give-get" in the expenditure cycle would be

Which of the following is not an example of how an AIS adds value to an organization?

Identify the components of an accounting information system.

Information that reduces uncertainty,improves decision makers' ability to make predictions,or confirms or corrects their prior expectations,is said to be

A well-designed AIS can improve the decision-making function within the organization.Which statement below would describe a limitation,rather than a benefit,of an efficient AIS?

Which of the following is a primary activity in the value chain?

Discuss the components of a supply chain.

Discuss the seven characteristics of useful information.

Who of the following is not a stakeholder with whom an accounting information system typically communicates directly?

Which of the following is a true statement?

An accounting information system must be able to perform which of the following tasks?

The value chain concept is composed of two types of activities known as

An accounting information system (AIS)processes ________ to provide users with ________.

The AIS must include controls to ensure

Overview of Transaction Processing and Erp Systems

Systems Documentation Techniques

Relational Databases

Computer Fraud

Computer Fraud and Abuse Techniques

Control and Accounting Information Systems

Information Systems Controls for System Reliability Part 1: Information Security

Information Systems Controls for Systems Reliability Part 2: Confidentiality and Privacy

Information Systems Controls for Systems Reliability Part 3: Processing Integrity and Availability

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

The Rea Data Model

Implementing an Rea Model in a Relational Database

Special Topics in Rea Modeling

Introduction to Systems Development Systems Analysis

Ais Development Strategies

Systems Design, implementation, and Operation

Filters

An accounting information system (AIS)processes to provide users with .