Deck 1: Accounting Information Systems: An Overview

Question 1

Procurement and firm infrastructure are examples of primary business processes.

Answer 1

False

Question 2

A typical CRM contains one common database in which all departments with customer contact can access and update.

Answer 2

True

Question 3

Good documentation means that records should be maintained by all parties involved in a transaction.

Answer 3

True

Question 4

A company can use QR codes to provide a convenient way to direct customers to its Web site by embedding them in advertising,such as magazines or in-store displays.

Question 5

MRP and MRP II software was created to aid in Supply Chain Management (SCM).

Question 6

A system is a collection of related resources designed to help a company achieve specified objectives.

Question 7

AIS application architecture currently focuses on automating the traditional accounting cycle.

Question 8

Cloud computing describes the increasing trend for data processing capabilities to be provided as a service via the Internet.

Question 9

Accounting information systems are designed to gather and utilize information which may cost more to provide than it is worth to the user.

Question 10

External users of accounting information include stockholders,investors,creditors,government agencies,customers and vendors,competitors,labor unions,and the public at large.

Question 11

Quick-response systems are essential to the total quality performance movement in business.

Question 12

The operations function allows specialization in areas such as operating systems and software and communications technology.

Question 13

The AIS benefits of information technology include automation,information organization,and communication.

Question 14

All data processed and information stored in an accounting information system are mandatory for financial reporting purposes.

Question 15

Most batch processing environments are JIT environments.

Question 16

Some organizations that use computers to process transactional data must have an information system function.

Question 17

A decision support system (DSS)is tailored to the strategic information needs of top-level management.

Question 18

The basic goal of accounting information systems is to convert financial data into information.

Question 19

An extended enterprise brings suppliers and customers together in order to meet customer demand while minimizing supplier costs.

Question 20

XBRL is a language that facilitates the exchange of financial statements over the Internet.

Question 21

ERPs are inexpensive and relatively easy to implement.

Question 22

The internal audit function and the accounting functions should not be segregated in order to increase a company's internal control.

Question 23

An information center is a support facility for end users in an organization.

Question 24

ERP II adds an Enterprise Application Suite (EAS)to aid in the communication between functional areas.

Question 25

ERPs should reduce data duplication,increase communication between functional areas,and reduce complications of software updates.

Question 26

DBMS is the hands-on use of computers by end users.

Question 27

The treasurer is responsible for the budgeting and tax planning aspects of a business.

Question 28

Operational transaction cycles have traditionally grouped activities of a business into six common operational processes.

Question 29

Transactions are used by auditors to verify account balances and internal controls.

Question 30

The director of internal auditing should report directly to the controller of the company.

Question 31

Business processes are always triggered by some economic event,and all have clearly defined starting and ending points.

Question 32

A key characteristic and benefit of business processes is that they are always limited to one functional area of the information system.

Question 33

The process management approach aids in the management and improvement of a company's processes in order to increase customer satisfaction while ignoring the company's cost structure.

Question 34

Analyzing a company's value chain aids in the identification of a company's competitive advantages.

Question 35

In CIM systems,computers control management-designed parts of the manufacturing process.

Question 36

ERPs can either be industry-specific or based around "best practices" of various sized companies.

Question 37

Quick Response code is a three-dimensional bar code.

Question 38

A steering committee consists of high-level members of user functions such as manufacturing and marketing,as well as the head of the information system function and several of his or her staff.

Question 39

The essence of cloud computing is that data storage is maintained by the end-user.

Question 40

Flexible manufacturing systems can be reprogrammed to produce entirely different products.

Question 41

The philosophy that one should do the right thing the first time is better known as TQM or TQP.

Question 42

Microsoft sponsors the Web Trust^TM seal of approval to certain Web sites that meet their security and integrity criteria.

Question 43

The source for most information used by lower-level managers is largely ________.

Question 44

EDI is a key component to quick-response technology systems.

Question 45

ANSI X.12 is a public EDI standard.

Question 46

RFID tags are used for tracking objects within a quick-response system.

Question 47

There are ________ major categories of information systems within an organization.

Question 48

The SEC requires that all companies must file their financial reports electronically using XBRL.

Question 49

A philosophy of ________ design fosters a set of attitudes and an approach to systems development that consciously considers the organizational context.

Question 50

Lean manufacturing focuses on eliminating waste from the entire value chain.

Question 51

FedWire is a retail EFT system used for telephone wire transfers and payments.

Question 52

Electronic data interchange (EDI)is the direct computer-to-end-user exchange of business documents via a communications network.

Question 53

E-waste refers to dollars spent on unsuccessful implementations and technologies.

Question 54

The purpose of the ________ approach is to assist in the orderly development of effective systems.

Question 55

Many companies prefer business process ________ because they find it more cost-effective than designing their own system from the ground up.

Question 56

Only active RFID tags transmit signals containing digital information to receivers.

Question 57

Middle management uses ________ information in an organization.

Question 58

A just-in-time manufacturing system is one form of lean manufacturing.

Question 59

A systems development project consists of ________ general phases.

Question 60

Green IT states system design should include a plan for recycling and reusing system components.

Question 61

The ISO 9001 is a(n)________-management standard published by the International Standards Organization.

Question 62

The linking of applications in a suite is facilitated through a(n)________ ________ ________.

Question 63

A simple way of viewing the company's activities in a manner suited to analyzing its competitive advantages is known as the ________ ________.

Question 64

A common violation of the ________ principle is the delegation of both accounting and financial responsibilities to the same individual or department.

Question 65

Events related to the acquisition of goods and services from other entities and the settlement of related obligations are in the ________ cycle; events related to the transformation of resources into goods and services are in the ________ cycle.

Question 66

The controller is the executive in charge of ________ activities of the organization,while the treasurer supervises the ________ activities.

Question 67

The ________ is the head of the information systems function in an organization.

Question 68

A business process is an interrelated set of tasks that involve data,________ units,and a logical time sequence.

Question 69

________ ________ ________ combines functional information systems in a single software package and a single database.

Question 70

A(n)________ ________ ________ system encompasses the planning and management of all activities involved in sourcing,procurement,conversion,and logistics management activities.

Question 71

A(n)________ ________ ________ system manages all contact with customers.

Question 72

________ software assists management in managing inventories and scheduling production.

Question 73

The ________ management approach involves the application of knowledge,skills,tools,techniques and systems to manage and improve organizational processes to better meet customers' needs and maximize profitability.

Question 74

ERP II adds collaborative ________ to ERP.

Question 75

A group of loosely connected companies that work together to maximize the value of their economic outputs is a(n)________ ________.

Question 76

In ________ ________ ________,computers take control of the entire production process (CIM)but also can be reprogrammed so the same processes can produce entirely different products.

Question 77

The IT benefits for AISs are ________,________,and ________.

Question 78

Application ________ involves the process of ensuring the suite of organization's applications work together in order to meet organizational goals and objectives.

Question 79

Enterprise ________ suite uses a group of individual packages that work with each other on a Web browser as opposed to one large ERP software package.

Question 80

A(n)________ information system is tailored to the strategic information needs of top-level management.