Deck 13: Developing and Implementing Effective Accounting Information Systems

Question 1

The information needs of operating managers are normally easier to determine than those of top managers because their decision making tends to be better defined and narrower in scope.

Answer 1

True

Question 2

The last phase of the systems analysis is suggesting possible solutions to solve the systems problems.

Answer 2

True

Question 3

The three major types of organizational goals discussed in the chapter are 1)general systems goals, 2)computer goals, and 3)salary goals.

Answer 3

False

Question 4

Top management involvement is critical to the success of a systems study.

Question 5

Accountants do not have to worry much about systems studies-they are rarely affected by them.

Question 6

Most systems development life cycles consist of mutually exclusive activities, with little overlap between the stages.

Question 7

A study team should approach a systems study with a narrow point of view in order to focus directly on the system and not be distracted by peripheral issues.

Question 8

An important deliverable from the analysis portion of a systems study is the final systems analysis report, which should be sent to the company's steering committee.

Question 9

When a waitress delivers food late to a customer because the kitchen is backed up, the "late food" is an example of a symptom while the "kitchen being backed up" is the real cause of the problem.

Question 10

The first stage in the systems development life cycle is planning the systems study itself.

Question 11

One way to help ensure a systems study uses a "broad point of view" is to assemble an interdisciplinary study team.

Question 12

An important first step in the systems analysis phase of a systems study is a preliminary investigation of the system under study.

Question 13

The first stage in the systems development life cycle is analyzing the company's current system.

Question 14

The members of a systems study team should be from the same discipline or area so that they can work together well.

Question 15

Employee behavioral problems are rarely important in systems analysis and design work because most systems are computer-based, not human-based.

Question 16

The search for more efficient ways to serve customers is an important reason why business organizations perform systems studies.

Question 17

Studies of AIS outputs should not be concerned with non-monetary figures-these are mostly irrelevant to accountants.

Question 18

It is not important to satisfy top management goals when creating a new information system because most such systems are used by operating employees, not top managers.

Question 19

Systems survey work include gathering data on an existing information system or observing the current system in operation.

Question 20

The information needs of top managers tend to be the most detailed, and focus on short range planning and budgeting.

Question 21

Prototyping is an approach to systems design whereby a design team develops a simplified shell of working software for a proposed information system.

Question 22

An example of "legal feasibility" is whether or not a proposed computer system can comply with state and federal statutes.

Question 23

The term "cost/benefit" is most closely associated with the economic feasibility of a proposed accounting information system.

Question 24

In designing an AIS, system developers should design the outputs of the system first, not the inputs.

Question 25

When comparing computer vendor proposals, the reputations of these vendors should also be evaluated.

Question 26

For a system to be totally feasible, all feasibility areas must be considered in the
process.

Question 27

PERT is an acronym for "Project Expert and Resource Technique."

Question 28

A "schedule feasibility" evaluation is not conducted by a study team if a company already has an automated system.

Question 29

The purpose of PERT is to coordinate the activities in a project, such as a systems implementation project.

Question 30

One implementation problem is installing a new system that is not adequately documented or tested.

Question 31

Unless the human element of a systems change is considered, the best designed system "on paper" will often be an operational failure when it is implemented.

Question 32

Systems study work ends when the follow?up analysis shows that no further adjustments need to be made to the newly implemented system.

Question 33

The implementation and initial operation phase of a systems study is also known as the "action" phase of a systems study.

Question 34

An advantage of prototyping is that models are usually developed without the aid of a computer.

Question 35

The "slack time" for a PERT activity represents the amount of time the activity can be delayed without delaying the entire project.

Question 36

"Schedule feasibility" refers to whether or not computer vendors can provide bids in a timely manner.

Question 37

A PERT network diagram reflects the logical sequence of systems implementation activities.

Question 38

In selecting a vendor finalist, a steering committee can use a point-scoring analysis to evaluate the proposals of alternate vendors.

Question 39

One thing that can go wrong during systems implementation is implementing a system that has not been completely tested.

Question 40

The critical path represents the longest path through a PERT network diagram.

Question 41

Which of these statements is true?

A)Accountants do not need to bother with systems studies-they are mostly performed by IT specialists
B)System studies enable bright accountants to express ideas for improving a system
C)Systems studies rarely involve accounting information systems
D)all of these are true

Question 42

The terms "parallel conversion" and "direct conversion" are different terms for the same thing.

Question 43

Which of these is not a phase in the life cycle of an information system?

A)Planning
B)Analysis
C)Control
D)Implementation

Question 44

During systems implementation, "converting computer files" is only necessary if the files are currently in manual formats.

Question 45

Which of the following is least likely to be a member of a study team?

A)CEO of a company
B)Internal auditor or accountant
C)IT specialist
D)Middle-level manager who uses the system

Question 46

The tasks involved in "system maintenance" are normally performed by external vendors, and rarely by a company's internal information systems department.

Question 47

Controls are rarely established during the implementation of a new computer system-this must wait for the first audit of the system.

Question 48

The four phases of the systems development life cycle end with this phase:

A)Analysis
B)Design
C)Implementation, follow-up, and maintenance
D)Development

Question 49

Gantt charts are the same as PERT charts.

Question 50

When using outsourcing, a company needing data processing services hires an outside organization to handle all or part of these services.

Question 51

Outsourcing facilitates downsizing.

Question 52

A "turnkey" computer system is a complete set of computer hardware and software that allows the user to avoid technical decisions and to begin operating quickly.

Question 53

A possible advantage of outsourcing is that it frees corporate assets for other projects.

Question 54

According to the chapter, which of these comes closest in meaning to the term "systems approach?"

A)Narrow point of view
B)Broad point of view
C)Focus on achieving those goals important to computerized systems
D)Focus first and foremost on computerization

Question 55

A disadvantage of outsourcing is that a company can lose control of its IT systems and data processing.
:

Question 56

Outsourcing can help a company avoid seasonal fluctuations in its business.

Question 57

As part of the systems follow?up work, an implementation team can watch employees perform their work activities to ascertain whether the employees are executing their assigned job functions correctly.

Question 58

Which of these is most likely to be the first task in a systems study?

A)Systems analysis
B)Systems design
C)Preliminary investigation
D)any of these are possible-it depends upon the system under study

Question 59

At the conclusion of the initial follow-up study, the implementation team will prepare a report called a post-implementation review report.

Question 60

Project management software allows users to perform "what-if" analysis< font_face=symbol > < /font > for example, to determine how different work schedules might lower the time to install a new computer system.

Question 61

The most important factor in planning for a major change in a computer-based system is:

A)The organization of the IT department
B)The ability of the systems programmers to write appropriate software
C)The selection of the most advanced computer equipment
D)Giving the systems people a free hand in all changes
E)The participation of top management in the planning process

Question 62

Which of the following types of survey instrument best allows employees to answer in their own words?

A)Open-ended questionnaire
B)Closed-ended questionnaire
C)Multiple-choice questionnaire
D)Fill-in-the-blank questionnaire

Question 63

Systems design usually comes after:

A)Systems analysis
B)Systems funding
C)Systems deletion
D)Systems implementation

Question 64

A waitress brings cold food to a customer, who complains.Which of these is most likely to be the cause of the problem and not a symptom of this problem?

A)The angry customer
B)An irritable waitress
C)The cold food itself
D)The inability of the kitchen staff to keep up with many orders at once

Question 65

Compared to top management's system information goals, obtaining the information needs of operating management is normally:

A)Easier
B)More difficult
C)No different
D)Not required

Question 66

Which of these is not a common dimension in a feasibility study?

A)Technical
B)Operational
C)Schedule
D)all of these are common dimensions

Question 67

One mistake that a study team can make when performing a systems analysis is to:

A)Perform a preliminary investigation first
B)Have employees participate in the systems study work
C)Utilize a "systems approach" in performing the systems study
D)Ignore the strong points of the present system

Question 68

The systems goals of a company's operating management include:

A)Cost awareness
B)Relevant output
C)Flexible structure
D)all of the above
E)none of the above

Question 69

In conducting a feasibility study, operational feasibility refers to whether:

A)A proposed system is attainable given the existing technology
B)A manager can coordinate and control the activities of the systems department
C)An adequate computer site exists for the proposed system
D)The proposed system will produce economic benefits that exceed its costs
E)The system can be used effectively within the operating environment of an organization

Question 70

Which of these are the five feasibility areas that a design team should examine?

A)Technical, legal, social, economic, schedule
B)Economic, software, legal, hardware, schedule
C)Organizational, hardware, operational, legal, economic
D)Schedule, economic, operational, technical, legal

Question 71

Which of the following is an objective of a systems survey?

A)To understand management information needs
B)To understand the human element and gain cooperation from people involved with the system
C)To enlist management participation and cooperation
D)all of the above are objectives of a systems survey

Question 72

A student fails a course at his university.Which of these is most likely to be the cause of the problem and not a symptom of this problem?

A)An angry student
B)The student gets placed on probation
C)The student's mother pays an angry visit to the dean of students
D)The student did not study for the course

Question 73

Which of these is not a general systems goal?

A)Relevant output
B)Cost awareness
C)Flexible structure
D)Higher salaries

Question 74

Which of the following is not a general objective in the design of an information system?

A)A system should provide information that is timely and relevant for decision making by management and operating personnel
B)The output of a system should be highly accurate
C)A system should have sufficient capacity to accommodate levels of normal activity; any additional capacity proves too costly in the long run
D)A system should be as simple as permitted so that its structure and operation can be easily understood and its procedures easily accomplished
E)A system should be flexible to accommodate changes of a reasonable magnitude when required

Question 75

Once all facts and data have been collected in the systems survey, which of the following activities can begin?

A)The preliminary investigation
B)Appointment of a steering committee
C)Performing the data analysis
D)Performing the systems implementation

Question 76

Which of these is not a logical procedure that is followed in the systems analysis phase of a systems study?

A)Defining the problems)in the current system
B)Identifying the company's strategy
C)Performing a systems survey to acquire information about the current system
D)Suggesting possible solutions to solve the company's problems)
E)all of the above are systems analysis procedures

Question 77

A poorly-planned information system can result in:

A)Employee resistance and even sabotage
B)Inflexible systems which are hard to maintain or modify
C)Systems that solve the wrong problems
D)all of these are true

Question 78

________ is a common method of reviewing a company's internal control procedures:

A)Using an informant
B)Consulting historical records
C)Getting top management's opinions
D)Checking samples of system inputs and outputs

Question 79

Which of these is the second phase when performing a systems study?

A)Systems analysis
B)Systems design
C)Preliminary investigation
D)Systems audit

Question 80

The steering committee in a systems study:

A)Consists entirely of outside consultants
B)Represents top management
C)Should always include staff auditors
D)Is typically composed entirely of end users