Test Bank for Accounting Information Systems The Crossroads of Accounting and IT 1st Edition Which of the following professionals is the most important group an IT auditor must be able to communicate? A) Accounting and Human Resource professionals B) IT and Sales professionals C) Accounting and IT professionals D) Sales and Human Resource professionals When data is "hard keyed" into the program, which of the following is true? A) Changing the data is cost efficient and may be accomplished in a matter of minutes B) Changing the data is costly and may take days or weeks C) Changing the data requires purchasing additional computer storage and may take days or weeks D) Changing the data requires recreating (recoding) the entire program What is an alternative to "hard keyed" data? A) Using variables in the program, such as cell addresses in a spreadsheet B) Creating the program in a way that does not require data C) If user requirements are correctly defined, the data will not change and may be `hard keyed.` D) Alternatives to `hard keyed` data is not possible All data must be `hard keyed.` The three basic functions of an enterprise system are A) Processing, Output, and Reports B) Input, Data, and Reports C) Input, Processing, and Output D) Business Intelligence, Processing, and Output What is the main benefit of a company giving vendors access to the enterprise system? A) To suggest new products to sell B) To help test the system security C) To provide suggestions on improving the enterprise system D) To coordinate inventory deliveries What is the purpose of Enterprise Resource Planning (ERP) software? A) Identify new trends in consumer purchasing B) Help managers control organizational resources C) Help identify the end of a product`s life cycle D) Analyze an organization`s sales projections An accounting system spans which of the following Value Chain components? A) Support B) Purchase C) Customers D) All the above except C Which of the following data is shared between a Supply Chain Management system and an accounting system? A) The sale price of the finished product B) The current inventory levels of the raw materials C) The product delivery costs D) The number of hours employees worked to create the product Which of the following data is shared between a operations/production system and an accounting system? A) The cost of the raw materials B) The monthly sales levels C) The current inventory levels of the finished product D) Customer information Which of the following data is shared between a Customer relationship management system and an accounting system? A) Employee information B) The advertising costs C) The cost of goods sold D) Vendor information The purchasing cycle consists of transactions between which entities? A) A company and vendors B) A company and employees C) A company and customers D) A company and a bank Which of the following is the best way to protect information assets? A) Limit the number of users that can access the data at the same time to people B) Implement policies and procedures for data deletion (destruction) C) Limit the amount of time a user may access the data D) Require an ID and password to access data in the databases When looking at an accounting system using the aerial view, you see A) Accounting information available to internal users, primarily management B) Detailed information recorded in the accounting system C) An enterprise-wide view of an organization showing the entire accounting system D) Information available on the tax reports for the Internal Revenue Service and other tax agencies When looking at an accounting system using the zoom view, you see A) Accounting information available to internal users, primarily management B) Detailed information recorded in the accounting system C) An enterprise-wide view of an organization showing the entire accounting system D) Information available on the tax reports for the Internal Revenue Service and other tax agencies The module in the Baseline Accounting System consists of transactions such as the purchasing of goods or services from a vendor A) Customers B) Banking C) Employees D) Vendors Which transactions are usually performed in the Customers module of the Baseline Accounting System? A) Pay Bills B) Create Purchase Order C) Create Invoice D) Receive Inventory The module consists of transactions for payroll A) Customers B) Banking C) Employees D) Vendors Which event is part of the Purchasing Cycle? A) Enter Bill B) Pay Bill C) Make Deposit D) Create Invoice Which event is part of the Sales Cycle? A) Receive Item B) Enter Time C) Make Deposit D) Create Purchase Order When making adjusting entries, you are using the module in the base line accounting system A) Reporting B) Financial C) Banking D) Company The reports module produces for the following people except A) Investors B) Managers C) Accountants D) Customers What modules comprise a baseline accounting system? A) Vendors, Employees, Sales, Banking, Financial, and Reports B) Inventory, Employees, Sales, Banking, Financial, and Reports C) Inventory, Employees, Sales, Banking, Accounting, and Reports D) Vendors, Employees, Customers, Banking, Financial, and Reports To record a payment for inventory delivered, the information would be entered in a screen that looks similar to which paper form? A) Check B) Sales Receipt C) Purchase Order D) Invoice To record an inventory order, the information would be entered in a screen that looks similar to which paper form? A) Check B) Sales Receipt C) Purchase Order D) Invoice What is the purpose of an onscreen entry form? A) Onscreen entry forms help ensure information is entered only once in the database B) Onscreen entry forms provide a familiar interface for entering information into a database C) Onscreen entry forms allow you perform data analysis that is cumbersome in a relational database D) Onscreen entry forms provide predictive modeling to gain insights from data to improve business decisions Which accounting software is designed for a large-scale company? A) SAP Business All-in-One B) SAP Business One C) Oracle`s JD Edwards EnterpriseOne D) Oracle`s PeopleSoft Enterprise Which of the following professionals is the most important group an IT auditor must be able to communicate? A) Accounting and Human Resource professionals B) IT and Sales professionals C) Accounting and IT professionals D) Sales and Human Resource professionals When data is "hard keyed" into the program, which of the following is true? A) Changing the data is cost efficient and may be accomplished in a matter of minutes B) Changing the data is costly and may take days or weeks C) Changing the data requires purchasing additional computer storage and may take days or weeks D) Changing the data requires recreating (recoding) the entire program What is an alternative to "hard keyed" data? A) Using variables in the program, such as cell addresses in a spreadsheet B) Creating the program in a way that does not require data C) If user requirements are correctly defined, the data will not change and may be `hard keyed.` D) Alternatives to `hard keyed` data is not possible All data must be `hard keyed.` The three basic functions of an enterprise system are A) Processing, Output, and Reports B) Input, Data, and Reports C) Input, Processing, and Output D) Business Intelligence, Processing, and Output What is the main benefit of a company giving vendors access to the enterprise system? A) To suggest new products to sell B) To help test the system security C) To provide suggestions on improving the enterprise system D) To coordinate inventory deliveries What is the purpose of Enterprise Resource Planning (ERP) software? A) Identify new trends in consumer purchasing B) Help managers control organizational resources C) An enterprise-wide view of an organization showing the entire accounting system D) Information available on the tax reports for the Internal Revenue Service and other tax agencies When looking at an accounting system using the zoom view, you see A) Accounting information available to internal users, primarily management B) Detailed information recorded in the accounting system C) An enterprise-wide view of an organization showing the entire accounting system D) Information available on the tax reports for the Internal Revenue Service and other tax agencies The module in the Baseline Accounting System consists of transactions such as the purchasing of goods or services from a vendor A) Customers B) Banking C) Employees D) Vendors Which transactions are usually performed in the Customers module of the Baseline Accounting System? A) Pay Bills B) Create Purchase Order C) Create Invoice D) Receive Inventory The module consists of transactions for payroll A) Customers B) Banking C) Employees D) Vendors Which event is part of the Purchasing Cycle? A) Enter Bill B) Pay Bill C) Make Deposit D) Create Invoice Which event is part of the Sales Cycle? A) Receive Item B) Enter Time C) Make Deposit D) Create Purchase Order When making adjusting entries, you are using the module in the base line accounting system A) Reporting B) Financial C) Banking D) Company The reports module produces for the following people except A) Investors B) Managers C) Accountants D) Customers What modules comprise a baseline accounting system? A) Vendors, Employees, Sales, Banking, Financial, and Reports B) Inventory, Employees, Sales, Banking, Financial, and Reports C) Inventory, Employees, Sales, Banking, Accounting, and Reports D) Vendors, Employees, Customers, Banking, Financial, and Reports To record a payment for inventory delivered, the information would be entered in a screen that looks similar to which paper form? A) Check B) Sales Receipt C) Purchase Order D) Invoice To record an inventory order, the information would be entered in a screen that looks similar to which paper form? A) Check B) Sales Receipt C) Purchase Order D) Invoice What is the purpose of an onscreen entry form? A) Onscreen entry forms help ensure information is entered only once in the database B) Onscreen entry forms provide a familiar interface for entering information into a database C) Onscreen entry forms allow you perform data analysis that is cumbersome in a relational database D) Onscreen entry forms provide predictive modeling to gain insights from data to improve business decisions Which accounting software is designed for a large-scale company? A) SAP Business All-in-One B) SAP Business One C) Oracle`s JD Edwards EnterpriseOne D) Oracle`s PeopleSoft Enterprise When designing a database, which field would not belong in a table storing customer information? A) Zip Code B) Street Address C) Last Name D) Order Number When designing a database, which field would not belong in a table storing inventory information? A) Part Number B) Purchase Order C) Sale Price D) Cost When designing an accounting database, where should you begin? A) With the outcome in mind B) The accounting software C) The paper forms D) The development phase of the software development life cycle In an accounting system database, which field belongs in a table containing customer information? A) Item Number B) Street Address C) Invoice Number D) Cost A is a collection of related database tables A) Field B) Relational Database C) Operational Database D) Primary Key In an accounting system database, which field belongs in a table containing inventory information? A) Invoice Number B) Purchase Order C) Vendor ID D) City The following field names are part of a table for a company's inventory Which field name could be the primary key for this table? A) Vendor ID B) Item ID C) Cost D) Sales Price In a relational database, how are tables connected? A) By fields that are common in two or more tables B) By the table names C) By a query statement D) By network addresses The following fields are common to tables storing customer, vendor, and employee information except? A) Area Code B) City C) State D) Cost Which field below would not be stored in an order table? A) Order ID B) Item ID C) Vendor ID D) Customer ID What is the purpose of a database query? A) To provide a format for viewing data B) To search the database to answer a specific question C) To connect related tables D) To uniquely identify a record in a database table How much time accountants spend using spreadsheets? A) 30% B) 50% C) 80% D) 90% Spreadsheets containing data extracted from a relational database are called what? A) Ghost Data B) Intelligent Data C) Shadow Data D) Gray Data Online Analytical Processing (OLAP) cubes allow you to A) View the same data from just one perspective B) Manipulate data in a spreadsheet C) View the same data from different perspectives D) Add data to the database Which act requires publicly traded companies to assess the effectiveness of their internal controls and have an independent CPA firm audit this assessment? A) Wheat Commission B) Sarbanes-Oxley Act of 2002 C) Security Exchange Commission Act of 1934 D) The GAAP Act of 1932 What is the purpose of security and controls over information assets? A) Security and controls are to prevent fraud, unauthorized access, modification, destruction, or disclosure of information assets B) Security and controls are to prevent data analysis C) Security and controls are to frustrate employees with legitimate need to access information assets D) Security and controls are to ensure all the information assets are available to all employees To find patterns in data you would use A) A spreadsheet application B) Business intelligence applications C) Flat file D) All the above except C What are the three key factors to consider for a successful accounting system? A) People, Processes, and Technology B) People, Budget, and Time C) Processes, Budget, and Time D) Time, Processes, and Technology Which of the following agents is internal to a company? A) Investor B) Customer C) Employee D) Vendor Which of the following is not a phase in the SDLC? A) Buy B) Design C) Plan D) Sell Which of the following processes are performed in the Designing Phase of the SDLC? A) Identify the requirements for the new system B) Test the new system C) Identify the new business processes D) Install the new system The staffing process occurs in which phase of the SDLC? A) Plan Phase B) Analyze Phase C) Build/Buy Phase D) Deploy Phase Analyzing the impact an accounting system will have on people should occur in which phase of the SDLC? A) Planning B) Analyze C) Design D) Deploy IT is the design or blueprint for an enterprise's information technology A) Infrastructure B) Architecture C) Technology D) Network An IT auditor must understand the terms and definitions used by accounting and IT professionals True False A Supply Chain Management (SCM) system is a subsystem of an Accounting System True False Only internal users, for example accountants, directors, and executives, may use an integrated enterprise system True False An integrated enterprise system allows different departments to use the same information True False Enterprise Resource Planning (ERP) software focuses on integrating information flows across an entire enterprise True False The enterprise-wide view of accounting enables the accountant to see how the accounting system interacts with other subsystems in the enterprise system True False The Customer Module of a baseline accounting system includes creating purchase orders True False The Financial Module of a baseline accounting system includes payroll transactions True False The database is a key component of an accounting system True False A database may have two or more tables with the exact same name True False Understanding how the data will be used is essential when designing a database True False A database record is a collection of related database tables True False A primary key may be used to associate customer information (name, address, phone number, etc.) with a sales order True False Database queries search the database to answer a specific question and extract information from one or more tables True False Spreadsheet software can be used to perform analysis on data the cannot be done within a relational database True False Business Intelligence tools use queries to extract data directly from the relational database, bypassing the OLAP cube and any accompanying delay True False Data cubes allow you to view data in two dimensions True False Private companies (companies that are not publicly traded) are not required to have their internal controls assessed by an independent CPA firm True False IT infrastructure is the design of an organization's information technology True False An IT audit includes auditing the System Development Life Cycle (SDLC) True False ... is the most important group an IT auditor must be able to communicate? A) Accounting and Human Resource professionals B) IT and Sales professionals C) Accounting and IT professionals D) Sales and. .. company and a bank Which of the following is the best way to protect information assets? A) Limit the number of users that can access the data at the same time to people B) Implement policies and. .. company and a bank Which of the following is the best way to protect information assets? A) Limit the number of users that can access the data at the same time to people B) Implement policies and