Deck 1: Accounting Systems Insights

Question 1

Match the following enterprise system function with the correct definition.

-Input

A)Summarizing information to generate documents and reports
B)Sorting and storing information
C)Capturing information to store in the system

Answer 1

Capturing information to store in the system

Question 2

The Value Chain begins with which activity?

A)Selling items to customers
B)Creating the products
C)Purchasing items from vendors
D)Providing support to customers

Answer 2

C

Question 3

The three basic functions of an enterprise system are

A)Input, processing, and output
B)Processing, output, and reports
C)Business intelligence, processing, and output
D)Input, data, and reports

Answer 3

A

Question 4

Business processes are related activities performed by an enterprise to create value by transforming input into output.

Question 5

Which of the following are NOT part of the basic functions of an enterprise system?

A)Hiring
B)Output
C)Input
D)Processing

Question 6

What is the purpose of Enterprise Resource Planning (ERP)software?

A)Help identify the end of a product's life cycle
B)Identify new trends in consumer purchasing
C)Analyze an organization's sales projections
D)Help managers control organizational resources

Question 7

An integrated enterprise system allows different departments to use the same information.

Question 8

Match the following accounting cycles to the appropriate subsystems.

-Payroll Cycle

A)Operations/Production System
B)Supply Chain Management
C)Customer Relationship Management

Question 9

Which symbol is used by IT professionals to represent the enterprise network?

A)Cloud
B)Star
C)Circle
D)Square

Question 10

Match the following enterprise system function with the correct definition.

-Output

A)Summarizing information to generate documents and reports
B)Sorting and storing information
C)Capturing information to store in the system

Question 11

A Supply Chain Management (SCM)system is a subsystem of an Accounting System.

Question 12

Activities performed by various departments within a company are rarely interconnected.

Question 13

Match the following accounting cycles to the appropriate subsystems.

-Purchasing Cycle

A)Operations/Production System
B)Supply Chain Management
C)Customer Relationship Management

Question 14

When data is "hard keyed" into the program, which of the following is true?

A)Changing the data requires recreating (recording)the entire program.
B)Changing the data requires purchasing additional computer storage and may take days or weeks.
C)Changing the data is cost efficient and may be accomplished in a matter of minutes.
D)Changing the data is costly and may take days or weeks.

Question 15

Which transactions are related to the purchasing cycle?

A)Buying items from vendors
B)Paying employees
C)Selling items to customers
D)None of the above

Question 16

What is an alternative to "hard keyed" data?

A)If user requirements are correctly defined, the data will not change and may be "hard keyed."
B)Using variables in the program, such as cell addresses in a spreadsheet.
C)Alternatives to "hard keyed" data is not possible. All data must be "hard keyed."
D)Creating the program in a way that does not require data.

Question 17

An accounting system spans which of the following Value Chain components?

A)Support
B)Purchase
C)Customers
D)All the above except C

Question 18

An IT auditor must understand the terms and definitions used by accounting and IT professionals.

Question 19

Match the following accounting cycles to the appropriate subsystems.

-Sales Cycle

A)Operations/Production System
B)Supply Chain Management
C)Customer Relationship Management

Question 20

Match the following enterprise system function with the correct definition.

-Processing

A)Summarizing information to generate documents and reports
B)Sorting and storing information
C)Capturing information to store in the system

Question 21

Understanding accounting systems involves seeing the overall system. There is no need to focus on the details.

Question 22

What types of data does a Supply Chain Management system and an accounting system need to share? How does each system use that data?

Question 23

The Customer Module of a baseline accounting system includes creating purchase orders.

Question 24

A primary key is a unique identifer for a database table.

Question 25

To obtain a deep understanding of the underlying business of an enterprise system servers, you need to ask key questions. What are those questions?

Question 26

A primary key may be used to associate customer information (name, address, phone number, etc.)with a sales order.

Question 27

List the transaction cycles. What type of transactions are in each cycle?

Question 28

Accounting software often includes a navigation screen that represents the major modules within the accounting system.

Question 29

Which transactions are related to the sales cycle?

A)Paying employees
B)Selling items to customers
C)Buying items from vendors
D)None of the above

Question 30

You are an accountant and one of your clients is a small business that sells only over the Internet. How would you convince the owner to purchase an integrated enterprise system?

Question 31

What types of data does an operations/production system and an accounting system need to share? How does each system use that data?

Question 32

What purpose of the processing function of an enterprise system?

A)Summarize information
B)Capture information
C)Generate reports
D)Sort and store information

Question 33

A database may have two or more tables with the exact same name.

Question 34

You are an intern at a small mom-and-pop type corner grocery store. The owner's accountant is trying to talk the owners into purchasing an integrated enterprise system for small businesses. The owner thinks the accountant is just trying find a way to charge more money. How would you convince the owner each piece of the integrated enterprise system would help the business?

Question 35

Financial accounting focuses on providing accounting information to internal users, primarily management.

Question 36

The Vendors Module of a baseline accounting system relates to the sales cycle.

Question 37

The Banking Module of a baseline accounting system includes bill paying transactions.

Question 38

Business Intelligence tools use queries to extract data directly from the relational database, bypassing the OLAP cube and any accompanying delay.

Question 39

How does an enterprise system support people in the same company to perform different but related business activities? Please provide an example.

Question 40

An event that does not involve an exchange, for example accrued interest expense, does not need to be recorded in the accounting system.

Question 41

Which transactions are usually performed in the Customers module of the Baseline Accounting System?

A)Receive inventory
B)Create invoice
C)Create purchase order
D)Pay bills

Question 42

Match the following cycles with their corresponding accounting system module.

-Sales Cycle

A)Customers Module
B)Vendors Module
C)Banking Module
D)Financial Module
E)Employees Module

Question 43

The sales cycle corresponds to which module in the Baseline Accounting System?

A)Banking
B)Vendors
C)Customers
D)Employees

Question 44

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

Question 45

The Vendors module in the Baseline Accounting System corresponds to which transaction cycle?

A)Sales cycle
B)Financial cycle
C)Payroll cycle
D)Purchasing cycle

Question 46

What is the purpose of an onscreen entry form?

A)Onscreen entry forms allow you to perform data Analysis that is cumbersome in a relational database.
B)Onscreen entry forms provide predictive modeling to gain insights from data to improve business decisions.
C)Onscreen entry forms provide a familiar interface for entering information into a database.
D)Onscreen entry forms help ensure information is entered only once in the database.

Question 47

Which accounting software is designed for a large-scale company?

A)Oracle's PeopleSoft Enterprise
B)SAP Business All-In-One
C)Oracle's JD Edwards EnterpriseOne
D)SAP Business One

Question 48

To record a payment for inventory delivered, the information would be entered in a screen that looks similar to which paper form?

A)Sales receipt
B)Check
C)Invoice
D)Purchase order

Question 49

Data cubes allow you to view data in two dimensions.

Question 50

Which event is usually performed in the Financial modules of the Baseline Accounting System?

A)Make adjusting entries
B)Pay bills
C)Enter time
D)Create income statement

Question 51

Match the following cycles with their corresponding accounting system module.

-Payroll Cycle

A)Customers Module
B)Vendors Module
C)Banking Module
D)Financial Module
E)Employees Module

Question 52

Which event is part of the Sales Cycle?

A)Enter time
B)Make deposit
C)Create purchase order
D)Receive item

Question 53

Which event is part of the Purchasing Cycle?

A)Pay bill
B)Create invoice
C)Make deposit
D)Enter bill

Question 54

When looking at an accounting system using the aerial view, you see

A)Detailed information recorded in the accounting system
B)Information available on the tax reports for the Internal Revenue Services and other tax agencies
C)Accounting information available to internal users, primarily management
D)An enterprise-wide view of an organization showing the entire accounting system

Question 55

To record an inventory order, the information would be entered in a screen that looks similar to which paper form?

A)Sales receipt
B)Check
C)Invoice
D)Purchase order

Question 56

Which accounting software is typically used in a mid-sized enterprise?

A)Oracle's Peoplesoft Enterprise
B)SAP Business One
C)Peachtree
D)Quickbooks Enterprise

Question 57

Structured Query Language is used to query a relational database.

Question 58

When looking at an accounting system using the zoom view, you see

A)An enterprise-wide view of an organization showing the entire accounting system
B)Information available on the tax reports for the Internal Revenue Service and other tax agencies
C)Detailed information recorded in the accounting system
D)Accounting information available to internal users, primarily management

Question 59

Match the following cycles with their corresponding accounting system module.

-Financial Cycle

A)Customers Module
B)Vendors Module
C)Banking Module
D)Financial Module
E)Employees Module

Question 60

Match the following cycles with their corresponding accounting system module.

-Purchasing Cycle

A)Customers Module
B)Vendors Module
C)Banking Module
D)Financial Module
E)Employees Module

Question 61

What is the purpose of Business Intelligence Technologies?

A)Shadow the accounting system
B)Safeguard information
C)Extract data from databases
D)Find consumer patterns and insights

Question 62

Which of the following statements about data warehouses is false?

A)Data warehouses store vast amounts of enterprise data.
B)Data warehouses permit extensive data analytics to provide business intelligence tools for improved decision quality.
C)Data warehouses store current and historical data.
D)Data warehouses are not considered an information asset and do not need to be safeguarded.

Question 63

Identify the six modules in the baseline accounting system. Which transaction cycle is associated with each module? What type of transactions are associated with each module?

Question 64

What is the difference between the aerial view and zoom view of an accounting system?

Question 65

A database form is a

A)Database screen for data input
B)Database queries
C)Database screen for data output
D)Database searches

Question 66

In a relational database, how are tables connected?

A)By a query statement
B)By network addresses
C)By the tables names
D)By fields that are common in two or more tables

Question 67

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)Sales Prices
B)Cost
C)Item ID
D)Vendor ID

Question 68

When designing a database, which field would NOT belong in a table storing inventory information?

A)Cost
B)Part Number
C)Purchase Order
D)Sale Price

Question 69

In an accounting system database, which field belongs in a table containing customer information?

A)Street Address
B)Cost
C)Item Number
D)Invoice Number

Question 70

Which field below would NOT be stored in an order table?

A)Customer ID
B)Vendor ID
C)Order ID
D)ItemID

Question 71

A spreadsheet can be viewed as

A)A database form
B)A relational database
C)A flat database
D)A collection of related tables

Question 72

Which of the following is NOT considered an information asset?

A)Shadow data systems
B)Business intelligence applications
C)Electronic records
D)None of the above

Question 73

Which act requires publicly traded companies to assess the effectiveness of their internal controls and have an independent CPA firm audit this assessment?

A)Sarbanes-Oxley Act of 2002
B)The GAAP Act of 1932
C)Wheat Commission
D)Security Exchange Commission Act of 1934

Question 74

The following fields are common to tables storing customer, vendor, and employee information EXCEPT

A)City
B)Area Code
C)Cost
D)State

Question 75

When designing a database, which field would NOT belong in a table storing customer information?

A)First Name
B)Order Number
C)Zip Code
D)Street Address

Question 76

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.

Question 77

Spreadsheets containing data extracted from a relational database are called what?

A)Shadow data
B)Ghost data
C)Gray data
D)Intelligent

Question 78

What is data mining?

A)A type of OLAP cube
B)A method for safeguarding information asset
C)A business intelligence tool
D)All the above except C

Question 79

What is the purpose of a database query?

A)To search the database to answer a specific question
B)To connect related tables
C)To uniquely identify a record in a database table
D)To provide a format for viewing data

Question 80

In an accounting system database, which field belongs in a table containing inventory information?

A)Vendor ID
B)Purchase Order
C)City
D)Invoice Number