Question 1

Which of the following is true of a network?

Accepted Answer

A) It connects a computer's hardware to the software. 
B) It does not link computers. 
C) It is the same as software. 
D) It allows different computers to share the same information. 
A) It connects a computer's hardware to the software. 
B) It does not link computers. 
C) It is the same as software. 
D) It allows different computers to share the same information.

Question 2

Which of the following is a disadvantage of enterprise resource planning (ERP)systems?

Accepted Answer

A) It is not beneficial to large corporations. 
B) It is not supported by cloud computing. 
C) Its implementation requires a large commitment of time and people. 
D) It uses separate software systems,such as sales and payroll. 
A) It is not beneficial to large corporations. 
B) It is not supported by cloud computing. 
C) Its implementation requires a large commitment of time and people. 
D) It uses separate software systems,such as sales and payroll.

Question 3

List and describe two features of an effective accounting information system.

Accepted Answer

The features of an effective accounting

Question 4

In a manual accounting information system,reports and financial statements must be created using Word documents,Excel spreadsheets,or PowerPoint.

Accepted Answer

A) True 
 B)False

Question 5

Which of the following activities is handled by selecting the "Make payment" action of QuickBooks?

Accepted Answer

A) entering sales receipts 
B) selecting bills to be paid 
C) recording a bill that has been received 
D) recording customer payments 
A) entering sales receipts 
B) selecting bills to be paid 
C) recording a bill that has been received 
D) recording customer payments

Question 6

Golden Corporation had the following transactions:
 $\begin{array}{|l|l|}\hline Oct~ 1&\text{Purchased merchandise inventory on account with credit terms of 1 / 1}0 , \mathrm { n } / 30 \text{ from Rice Co. \$ 2,100.}\\hline
10&\text{Purchased office supplies on account from MET Co., \$ 250. Terms were n/EOM.}\\hline
26&\text{Purchased furniture on account with credit terms of 2 / 10} , \mathrm { n } / 60 \text{ from Ocean Co., \$ 1,700.}\\hline\\hline
\end{array}$ Use the following purchases journal to record the preceding transactions.The company uses a perpetual inventory system.

Accepted Answer

@#IMG-DLM&_TB5020_00

Question 7

Depreciation expense is recorded in a ________.

Accepted Answer

A) cash payments journal 
B) sales journal 
C) cash receipts journal 
D) general journal 
A) cash payments journal 
B) sales journal 
C) cash receipts journal 
D) general journal

Question 8

Unlike the sales journal,entries in the cash receipts journal are posted monthly to the accounts receivable subsidiary ledger and daily to the general ledger.

Accepted Answer

A) True 
 B)False

Question 9

Most small businesses have computerized all of their accounting.

Accepted Answer

A) True 
 B)False

Question 10

An accounting information system is said to have good control characteristics,if it ________.

Accepted Answer

A) works smoothly with the business's employees and organizational structure 
B) safeguards a business's assets and reduces the likelihood of fraud and errors 
C) provides information that will improve decision making and reduce uncertainty 
D) accommodates changes in the business over time 
A) works smoothly with the business's employees and organizational structure 
B) safeguards a business's assets and reduces the likelihood of fraud and errors 
C) provides information that will improve decision making and reduce uncertainty 
D) accommodates changes in the business over time

Question 11

The main computer where data are stored,which can be accessed from many different computers,is known as software.

Accepted Answer

A) True 
 B)False

Question 12

In a cash receipts journal,________.

Accepted Answer

A) cash sales are recorded in the Accounts Receivable CR column and the Cash DR column 
B) collections on account are recorded in the Accounts Receivable DR column and the Cash DR column 
C) the miscellaneous cash receipt transactions are ignored 
D) the cash sales are recorded in the Sales Revenue CR column 
A) cash sales are recorded in the Accounts Receivable CR column and the Cash DR column 
B) collections on account are recorded in the Accounts Receivable DR column and the Cash DR column 
C) the miscellaneous cash receipt transactions are ignored 
D) the cash sales are recorded in the Sales Revenue CR column

Question 13

For each of the following transactions,state which special journal should be used to record the transaction.In addition,state which columns will be used.
Transaction 1: Freeworld Co.paid $1,500 for monthly utilities,on the date the bill was received.
Which special journal?
Which columns are used to record the transaction?
Transaction 2: Wideworld Co.purchased office supplies on account.
Which special journal?
Which columns are used to record the transaction?
Transaction 3: Wonderworld Co.sold $5,000 of merchandise inventory to A.Allen,on account.The cost of the merchandise inventory was $3,200.The company uses a perpetual inventory system.
Which special journal?
Which columns are used to record the transaction?
Transaction 4: Oneworld Co.borrowed $10,000 from World National Bank.
Which special journal?
Which columns are used to record the transaction?

Accepted Answer

Transaction 1: Freeworld Co.paid $1,500

Question 14

In a purchases journal,the total of the ________ column is not posted to the general ledger.

Accepted Answer

A) Merchandise Inventory DR 
B) Other Accounts DR,Amount 
C) Accounts Payable CR 
D) Office Supplies DR 
A) Merchandise Inventory DR 
B) Other Accounts DR,Amount 
C) Accounts Payable CR 
D) Office Supplies DR

Question 15

Which of the following is an accounting information system activity that can be classified as a payroll business transaction?

Accepted Answer

A) approval of new employees 
B) receipt of customer payment 
C) processing of vendor invoices 
D) payment for goods or services 
A) approval of new employees 
B) receipt of customer payment 
C) processing of vendor invoices 
D) payment for goods or services

Question 16

Which of the following is true of a sales journal prepared under the perpetual inventory system?

Accepted Answer

A) It includes a Cost of Goods Sold DR,Merchandise Inventory CR column. 
B) It records both cash and credit sales transactions. 
C) All transactions recorded in a sales journal also are entered in the general journal. 
D) It cannot be used with a perpetual inventory system. 
A) It includes a Cost of Goods Sold DR,Merchandise Inventory CR column. 
B) It records both cash and credit sales transactions. 
C) All transactions recorded in a sales journal also are entered in the general journal. 
D) It cannot be used with a perpetual inventory system.

Question 17

A source document provides the evidence and data for accounting transactions.

Accepted Answer

A) True 
 B)False

Question 18

In a perpetual inventory system,which of the following are debit columns in a typical cash payments journal?

Accepted Answer

A) Merchandise Inventory column and Cash column 
B) Other Accounts column and Accounts Payable column 
C) Merchandise Inventory column and Accounts Payable column 
D) Other Accounts column and Cash column 
A) Merchandise Inventory column and Cash column 
B) Other Accounts column and Accounts Payable column 
C) Merchandise Inventory column and Accounts Payable column 
D) Other Accounts column and Cash column

Question 19

When using QuickBooks,the Vendors tab is used to record a bill that has been received.

Accepted Answer

A) True 
 B)False

Question 20

Which of the following is NOT included in the purchases journal?

Accepted Answer

A) purchases of merchandise inventory for cash 
B) purchase of merchandise inventory on account 
C) purchase of office supplies on credit 
D) purchase of equipment on account 
A) purchases of merchandise inventory for cash 
B) purchase of merchandise inventory on account 
C) purchase of office supplies on credit 
D) purchase of equipment on account

Which of the following is true of a network?

Which of the following is a disadvantage of enterprise resource planning (ERP)systems?

List and describe two features of an effective accounting information system.

In a manual accounting information system,reports and financial statements must be created using Word documents,Excel spreadsheets,or PowerPoint.

Which of the following activities is handled by selecting the "Make payment" action of QuickBooks?

Depreciation expense is recorded in a ________.

Unlike the sales journal,entries in the cash receipts journal are posted monthly to the accounts receivable subsidiary ledger and daily to the general ledger.

Most small businesses have computerized all of their accounting.

An accounting information system is said to have good control characteristics,if it ________.

The main computer where data are stored,which can be accessed from many different computers,is known as software.

In a cash receipts journal,________.

In a purchases journal,the total of the ________ column is not posted to the general ledger.

Which of the following is an accounting information system activity that can be classified as a payroll business transaction?

Which of the following is true of a sales journal prepared under the perpetual inventory system?

A source document provides the evidence and data for accounting transactions.

In a perpetual inventory system,which of the following are debit columns in a typical cash payments journal?

When using QuickBooks,the Vendors tab is used to record a bill that has been received.

Which of the following is NOT included in the purchases journal?

Introduction to Managerial Accounting

Job Order Costing

Process Costing

Cost Management Systems: Activity-Based, just-In-Time, and Quality Management Systems

Cost-Volume-Profit Analysis

Variable Costing

Master Budgets

Flexible Budgets and Standard Cost Systems

Responsibility Accounting and Performance Evaluation

Short-Term Business Decisions

Capital Investment Decisions

Filters

Exam 15: Accounting Information Systems

Which of the following is true of a network?

Which of the following is a disadvantage of enterprise resource planning (ERP)systems?

List and describe two features of an effective accounting information system.

In a manual accounting information system,reports and financial statements must be created using Word documents,Excel spreadsheets,or PowerPoint.

Which of the following activities is handled by selecting the "Make payment" action of QuickBooks?

Depreciation expense is recorded in a ________.

Unlike the sales journal,entries in the cash receipts journal are posted monthly to the accounts receivable subsidiary ledger and daily to the general ledger.

Most small businesses have computerized all of their accounting.

An accounting information system is said to have good control characteristics,if it ________.

The main computer where data are stored,which can be accessed from many different computers,is known as software.

In a cash receipts journal,________.

In a purchases journal,the total of the ________ column is not posted to the general ledger.

Which of the following is an accounting information system activity that can be classified as a payroll business transaction?

Which of the following is true of a sales journal prepared under the perpetual inventory system?

A source document provides the evidence and data for accounting transactions.

In a perpetual inventory system,which of the following are debit columns in a typical cash payments journal?

When using QuickBooks,the Vendors tab is used to record a bill that has been received.

Which of the following is NOT included in the purchases journal?

Introduction to Managerial Accounting

Job Order Costing

Process Costing

Cost Management Systems: Activity-Based, just-In-Time, and Quality Management Systems

Cost-Volume-Profit Analysis

Variable Costing

Master Budgets

Flexible Budgets and Standard Cost Systems

Responsibility Accounting and Performance Evaluation

Short-Term Business Decisions

Capital Investment Decisions

Filters