Deck 1: Information Systems in Business

Question 1

Computer literacy involves skill in using spreadsheets.
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Answer 1

True

Question 2

When solving problems, the users of an information system must avoid using informal information.

Answer 2

False

Question 3

Information systems are broader in scope than information technologies.

Answer 3

True

Question 4

When repetitive transaction-processing operations are automated, human involvement is increasingly required.

Question 5

In a management information system (MIS)application, processes are usually methods for performing a task.

Question 6

Information literacy involves understanding the role of information in generating and using business intelligence.

Question 7

An effective financial information system should provide timely, accurate, and integrated information about the marketing mix, or 4Ps: price, promotion, place, and product.

Question 8

In the context of information systems jobs, a database administrator is responsible for developing an entire information system by writing computer programs.

Question 9

The main difference between an intranet and the Internet is that intranets are public and the Internet is private.

Question 10

Smartphones do not include Web-browsing features.

Question 11

Knowledge workers need both computer literacy and information literacy to be competitive in the workplace.

Question 12

In designing a management information system (MIS), the first task is to collect data and analyze it.

Question 13

To be useful, information must be able to integrate with other data and information.

Question 14

The threat of new entrants into the marketplace is high when duplicating a company's product or service is difficult.

Question 15

Rivalry among existing competitors is high when many competitors occupy the same marketplace position.

Question 16

Customers, competitors, and suppliers are examples of internal data sources of an information system.

Question 17

Computers can be used to grade exam answers and generate detailed reports comparing performance.

Question 18

In a management information system (MIS), the quality of information is determined by its usefulness to users, and its usefulness determines the success of an information system.

Question 19

An information system should collect data from both external and internal sources, although organizational objectives and the type of application also determine what sources to use.

Question 20

A logistics information system supports decisions related to providing reports and statistics on employee demographics.

Question 21

Networking technology is predicted to deteriorate in the future, making connecting computers more challenging.

Question 22

Business intelligence is a computer literacy skill.

Question 23

Which is an example of a video-sharing site?

A)Truecaller
B)YouTube
C)eBay
D)PayPal

Question 24

Protecting personal information is predicated to become more difficult in the future, due to computer criminals becoming more sophisticated.

Question 25

Some organizations add services, such as personalized recommendations, to reduce the threat of customers choosing substitute products or services.

Question 26

Cardless ATMs are an example of a recent transaction-processing technology.

Question 27

_____ help a person connect with friends, family, and colleagues online and meet people with similar interests and hobbies.

A)Tender portals
B)Social networking sites
C)Archives panels
D)Classified advertisements

Question 28

A grocery retailer offering club cards that give customers big discounts is one example of an overall cost leadership strategy.

Question 29

Business _____ provides historical, current, and predictive views of business operations and environments and gives organizations a competitive advantage in the marketplace.

A)intelligence
B)differentiation
C)indexing
D)exploration

Question 30

In the context of computer literacy and information literacy, which statement is true of knowledge workers?

A)They should know how to increase strategic dissonance.
B)They should know how data should be indexed and updated.
C)They should restrict themselves to the use of informal information.
D)They should avoid collecting data from external sources.

Question 31

In an automated payroll system, there is little need for managerial judgment in the task of printing and sending checks.

Question 32

The most common mobile device is a smartphone.

Question 33

_____ is a social networking and short-messaging service.

A)Twitter
B)Yahoo
C)Bing
D)Baidu

Question 34

_____ is understanding the role of information in generating and using business intelligence.

A)Information literacy
B)Business ability
C)Business mastery
D)Information retrieval

Question 35

Jack knows how to use word processors, spreadsheets, and presentation software. He also has a basic knowledge of hardware, software, and the Internet. Given this information, it can be concluded that Jack has _____ literacy.

A)network
B)computer
C)information
D)business

Question 36

Social networking sites can reduce organizations' costs by _____.

A)giving customers more access to all sorts of organizational information
B)limiting buyers' choices by offering services that make it difficult for customers to switch
C)providing an inexpensive medium for targeting a large customer base
D)customizing the organization's Web site and offering many options to customers

Question 37

Being able to use presentation software is a requirement of information literacy.

Question 38

Which statement is true of transaction-processing systems?

A)They focus on data collection and processing.
B)They focus on integrating hardware and software technologies.
C)They focus on integrating data, processes, and human elements.
D)They focus on maximizing human involvement.

Question 39

_____ is skill in using productivity software, such as word processors, spreadsheets, database management systems, and presentation software.

A)Network literacy
B)Business literacy
C)Information literacy
D)Computer literacy

Question 40

Information is the second most important resource in any organization.

Question 41

The purpose of an information system's _____ component is generating the most useful type of information for making decisions.

A)process
B)internal data
C)external data
D)database

Question 42

In designing a management information system (MIS), after defining the system's objectives, the next step is to _____.

A)provide information in a useful format
B)collect and analyze data
C)use information for decision making
D)integrate the hardware and software components

Question 43

Teletech, an international textile company, uses a database to store data on the number of products, suppliers, and sales personnel. The process component of the information system conducts analysis on the data to provide information about sales. Which can be used by Teletech to generate predictions for its next sales period?

A)Forecasting models
B)Estimation graphs
C)Modeling charts
D)Theoretical hypotheses

Question 44

In designing a management information system (MIS), the first task is to _____.

A)clearly define the system's objectives
B)collect data
C)analyze data
D)provided information in a useful format

Question 45

To be useful, information systems should _____.

A)use command line user interfaces
B)generate raw data, which can be used for decision making
C)produce information in different formats
D)not use rumors, unconfirmed reports, and stories

Question 46

Transaction-processing systems _____.

A)involve low volumes of data
B)require extensive managerial judgment
C)involve operations that are repetitive
D)require maximum human involvement

Question 47

In the context of the major components of an information system, which is a difference between information and data?

A)Unlike data, information is considered the input to an information system.
B)Unlike data, information can be collected in aggregated and disaggregated forms.
C)Unlike data, information by itself is difficult to use for making decisions.
D)Unlike data, information consists of facts that have been analyzed by the process component.

Question 48

The four Ms of resources in information systems are _____.

A)management, motivation, manpower, and monitoring
B)materials, money, modeling, and monitoring
C)manpower, machinery, materials, and money
D)manpower, monitoring, movement, and modeling

Question 49

_____ is a database management system (DBMS)that is suitable for a large organization.

A)Microsoft Access
B)FileMaker Pro
C)Oracle
D)Java

Question 50

Which is a software component of a management information system (MIS)?

A)Commercial programs
B)Barcode readers
C)Memory devices
D)Application servers

Question 51

Microsoft Access is an example of a(n)_____.

A)operational resource toolkit system
B)enterprise resource planning system
C)database management system
D)knowledge management system

Question 52

Which of the following statements is true of the data component of an information system?

A)Current data is collected for performance reports.
B)Disaggregated data reports overall performance during a particular sales quarter.
C)Aggregated data enables decision makers to focus on specific factors.
D)Future data is predicted for budgets or cash flow reports.

Question 53

In the context of the data component of an information system, external data sources include _____.

A)transaction data
B)personnel records
C)labor statistics
D)sales records

Question 54

The final task in designing a management information system (MIS)is _____.

A)collecting and analyzing internal and external data for accuracy and relevancy
B)providing information in a useful format for decision-making purposes
C)clearly defining the system's objectives
D)integrating hardware and software components

Question 55

Database management systems _____.

A)are used to create, organize, and manage databases
B)improve routing and delivery schedules of databases
C)are written for specific database applications
D)include transaction-processing reports for database analysis

Question 56

The _____ component of an information system consists of raw facts and by itself is difficult to use for making decisions.

A)cache
B)kernel
C)data
D)process

Question 57

In the context of the data component of an information system, internal data sources include _____.

A)personnel records
B)population statistics
C)economic conditions
D)government agencies

Question 58

The data component of an information system is:

A)the input to the information system.
B)a series of integrated files containing relevant facts.
C)a set of facts that have been analyzed by the process component.
D)the output of the information system.

Question 59

In a management information system, structuring the data component to define what type of data is collected and in what form is usually easy if an organization has _____.

A)defined its strategic goals, objectives, and critical factors
B)laid out the cause of any past failure due to conflicting objectives and indefinite targets
C)focused on its competitors in the market rather than on the critical success factors
D)employees who are aware of the current marketing strategies

Question 60

Which is essential for information to be useful?

A)Relevance
B)Summarization
C)Language independence
D)Data variability

Question 61

Which decision is supported by a financial information system (FIS)?

A)Determining portfolio structures
B)Choosing the best job candidate
C)Improving routing and delivery schedules
D)Analyzing sales personnel

Question 62

Decisions related to scheduling and assigning employees can be supported by a _____.

A)manufacturing information system
B)personnel information system
C)financial information system
D)logistics information system

Question 63

Which decision is supported by a logistics information system (LIS)?

A)Predicting an organization's future personnel needs
B)Minimizing capital investment risks
C)Determining portfolio structures
D)Selecting the best modes of transportation

Question 64

In the context of Porter's Five Forces Model, an organization limits buyers' choices by:

A)encouraging the use of the Internet to gather information about products.
B)launching duplicate products or services in the marketplace.
C)offering services that make it difficult for customers to switch.
D)charging market competitive rates for its products or services.

Question 65

Which information system is used to manage manufacturing resources?

A)An LIS.
B)An FIS.
C)An MFIS.
D)An HRIS.

Question 66

A _____, identified by Michael Porter, helps organizations make their products and services distinct from their competitors.

A)simulation strategy
B)leadership strategy
C)focus strategy
D)differentiation strategy

Question 67

According to Michael Porter, which strategy can be followed by an organization to successfully compete in the marketplace?

A)Groupthink
B)Brainstorming
C)Simulation
D)Focus

Question 68

_____ is high when customers have many choices and low when they have few choices.

A)Buyer power
B)Threat of new services
C)Rivalry among existing customers
D)Risk of substitute products

Question 69

Which statement is true of an intranet?

A)It is a network within an organization that uses Internet protocols and technologies.
B)It is a network that covers a wide area with the help of rented telecommunication lines.
C)It is a network where a computer is connected to the Internet and acts as a gateway for other devices.
D)It is a widely available public network of interconnected computer networks.

Question 70

In the context of Porter's Five Forces Model, which is a difference between buyer power and supplier power?

A)Buyer power is low when customers have many choices, whereas supplier power is low when customers have fewer options.
B)Buyer power is high when customers have few choices, whereas supplier power is high when customers have more options.
C)Buyer power is low when customers have many options, whereas supplier power is low when customers have more choices.
D)Buyer power is high when customers have many choices, whereas supplier power is high when customers have fewer options.

Question 71

Which system supports sales forecasting?

A)Logistics information systems
B)Personnel information systems
C)Marketing information systems
D)Financial information systems

Question 72

In the context of using information technologies for a competitive advantage, a top-line strategy focuses on:

A)helping different market segments achieve technological advancement.
B)improving efficiency by reducing overall costs.
C)refining operations by using latest technologies.
D)increasing revenue by selling existing products to new customers.

Question 73

In the context of IT jobs, a _____ must have knowledge and understanding of data warehouse and data-mining tools.

A)systems mining analyst
B)data design officer
C)web strategist
D)database administrator

Question 74

A personnel information system (PIS)helps in _____.

A)choosing the best job candidate
B)improving transportation budgeting
C)calculating product costs
D)determining portfolio structures

Question 75

In the context of using information technologies for a competitive advantage, which statement is true of a bottom-line strategy?

A)It focuses on improving efficiency by reducing overall costs.
B)It focuses on generating new revenue by offering new products and services.
C)It focuses on enhancing rivalry among existing competitors.
D)It focuses on helping different market segments achieve a cost advantage.

Question 76

Which statement is true of a personnel information system (PIS)in an organization?

A)It helps make decisions related to allocating human and financial resources.
B)It helps make decisions related to reducing the cost of transporting materials.
C)It helps make decisions related to increasing product quality.
D)It helps make decisions related to minimizing capital investment risks.

Question 77

Which decision is supported by a manufacturing information system (MFIS)?

A)Determination of portfolio structures
B)Analysis of price changes and discounts
C)Improvement of routing and delivery schedules
D)Monitoring of cost trends

Question 78

In the context of using information technologies for a competitive advantage, which statement is true of a top-line strategy?

A)It focuses on generating new revenue by offering new products and services.
B)It focuses on improving efficiency by reducing overall costs.
C)It focuses on refining operations by using latest technologies.
D)It focuses on helping different market segments achieve technological advancement.

Question 79

_____ strategy was identified by Michael Porter, a professor at Harvard Business School, for successfully competing in the marketplace.

A)Transformational leadership
B)Differentiation
C)Groupthink collaboration
D)Simulation

Question 80

A _____ provides reports and statistics on employee demographics.

A)manufacturing information system
B)marketing information system
C)logistics information system
D)personnel information system