Question 1

A control that limits the risk of network break-ins is the coding of data that makes data unreadable to those without the appropriate key.This process does not stop the breaches, but will make the data useless.

Accepted Answer

Encryption

Question 2

The Point-of-sales POS) systems capture all relevant sales data at the point of sale - the cash register.The data that is captured includes all of the following, except:

Accepted Answer

Ordering for low-inventory items

Question 3

This section of the common forms used as the standard format in EDI data transmission contains data about the file or transmission and identify the end of a particular transaction.

Accepted Answer

Header and Trailer Data

Question 4

This type of highly integrated IT system, inter-company, computer-to-computer, communicates sales documents electronically with a standard business format.

Accepted Answer

Electronic data interchange

Question 5

Availability risks of e-commerce, or e-business, include all of the following, except:

Accepted Answer

Incomplete audit trail

Question 6

Because it can be expensive to develop and maintain a system that links two companies directly, the companies often use a third-party network.This third-party network provides other valuable services such as translation and encryption of the EDI data and authentication of a valid and authorized training partner.These third-party networks are called:

Accepted Answer

Value Added Networks

Question 7

This type of highly integrated IT system processes sales at a cash register in retail stores.

Accepted Answer

Point of sale

Question 8

The standard format used with electronic data interchange EDI) allows all vendors and buyers to speak the same language.This group has developed the standard format for the common documents used in the sales process:

Accepted Answer

American National Standards Institute

Question 9

The standard format for common forms used in the United States for electronic data interchange EDI) data transmission is divided into three parts.Which of the following is one of those "parts"?

Accepted Answer

Labeling Interchanges

Question 10

This occurs when the IT system automatically makes a list of users and the actions they take within the IT system.

Accepted Answer

Transaction Logging

Question 11

The advantages of e-commerce, or e-business, include all of the following, except:

Accepted Answer

Repudiation of sales transactions

Question 12

The risks of e-commerce, or e-business, include all of the following, except:

Accepted Answer

Accuracy

Question 13

The purposeful and organized changing of business processes to make the processes more efficient is known as:

Accepted Answer

Business process reengineering

Question 14

Features that assist management and accountants, as the result of the point-of-sale systems, include all of the following, except:

Accepted Answer

List prices can be changed by the check-out clerks to take advantage of any price changes.

Question 15

EDI systems have many advantages within the revenue and cash collection processes.Which of the following is not one of those benefits?

Accepted Answer

Trading partners gaining access to data.

Question 16

This term refers to moving the current accounting period's cut-off date forward to include sales that correctly occur in a future period.This activity occurs so that the selling company can inflate their sales in the current period.

Accepted Answer

Leaving sales open

Question 17

Important characteristics of electronic data interchange EDI) include all of the following, except:

Accepted Answer

Sales register is used to record all transactions.

Question 18

Financial Stewardship can be ensured in the revenue process by establishing and maintaining which of the following?

Accepted Answer

All of the above

Question 19

The process of user identification to ensure that only authorized users are accessing the IT system, which occurs through the use of user ID, password, and other unique identifiers, is called:

Accepted Answer

Authentication

Question 20

Which of the following is NOT an example of a programmed input validation check that would help to detect and prevent keying errors?

Accepted Answer

Input checks

Quiz 8: Revenue and Cash Collection Processes