Accounting Information Systems 11th Edition Bodnar Hopwood Richard B. Dull (Test Bank, For All Chapters 100% Original Verified,A + Grade)
Accounting Information Systems, 11e (Bodnar/Hopwood) Chapter 1 Accounting Information Systems: An Overview 1) A system is a collection of related resources designed to help a company achieve specified objectives. Answer: TRUE Diff: 1 Learning Obj.: 1 2) Accounting information systems are designed to gather and utilize information which may cost more to provide than it is worth to the user. Answer: FALSE Diff: 2 Learning Obj.: 1 3) The basic goal of accounting information systems is to convert financial data into information. Answer: TRUE Diff: 1 Learning Obj.: 1 4) Quick-response systems are essential to the total quality performance movement in business. Answer: TRUE Diff: 1 Learning Obj.: 4 5) All data processed and information stored in an accounting information system are mandatory for financial reporting purposes. Answer: FALSE Diff: 2 Learning Obj.: 1 6) A typical CRM contains one common database in which all departments with customer contact can access and update. Answer: TRUE Diff: 1 Learning Obj.: 3 7) 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. Answer: TRUE Diff: 1 Learning Obj.: 4
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8) An extended enterprise brings suppliers and customers together in order to meet customer demand while minimizing supplier costs. Answer: FALSE Diff: 1 Learning Obj.: 4 9) Procurement and firm infrastructure are examples of primary business processes. Answer: FALSE Diff: 3 Learning Obj.: 1 10) Good documentation means that records should be maintained by all parties involved in a transaction. Answer: TRUE Diff: 1 Learning Obj.: 1 11) Some organizations that use computers to process transactional data must have an information system function. Answer: FALSE Diff: 2 Learning Obj.: 2 12) The operations function allows specialization in areas such as operating systems and software and communications technology. Answer: FALSE Diff: 3 Learning Obj.: 2 13) Cloud computing describes the increasing trend for data processing capabilities to be provided as a service via the Internet. Answer: TRUE Diff: 1 Learning Obj.: 4 14) Most batch processing environments are JIT environments. Answer: FALSE Diff: 2 Learning Obj.: 3 15) XBRL is a language that facilitates the exchange of financial statements over the Internet. Answer: TRUE Diff: 2 Learning Obj.: 4
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16) External users of accounting information include stockholders, investors, creditors, government agencies, customers and vendors, competitors, labor unions, and the public at large. Answer: TRUE Diff: 1 Learning Obj.: 1 17) A decision support system (DSS) is tailored to the strategic information needs of top-level management. Answer: FALSE Diff: 1 Learning Obj.: 3 18) The AIS benefits of information technology include automation, information organization, and communication. Answer: TRUE Diff: 1 Learning Obj.: 3 19) AIS application architecture currently focuses on automating the traditional accounting cycle. Answer: FALSE Diff: 2 Learning Obj.: 3 20) MRP and MRP II software was created to aid in Supply Chain Management (SCM). Answer: TRUE Diff: 2 Learning Obj.: 3 21) In CIM systems, computers control management-designed parts of the manufacturing process. Answer: FALSE Diff: 2 Learning Obj.: 3 22) Flexible manufacturing systems can be reprogrammed to produce entirely different products. Answer: TRUE Diff: 1 Learning Obj.: 4 23) 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. Answer: FALSE Diff: 2 Learning Obj.: 4
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24) ERPs should reduce data duplication, increase communication between functional areas, and reduce complications of software updates. Answer: TRUE Diff: 2 Learning Obj.: 3 25) ERPs can either be industry-specific or based around "best practices" of various sized companies. Answer: TRUE Diff: 1 Learning Obj.: 3 26) ERPs are inexpensive and relatively easy to implement. Answer: FALSE Diff: 1 Learning Obj.: 3 27) ERP II adds an Enterprise Application Suite (EAS) to aid in the communication between functional areas. Answer: FALSE Diff: 2 Learning Obj.: 3 28) Business processes are always triggered by some economic event, and all have clearly defined starting and ending points. Answer: TRUE Diff: 2 Learning Obj.: 1 29) A key characteristic and benefit of business processes is that they are always limited to one functional area of the information system. Answer: FALSE Diff: 2 Learning Obj.: 1 30) Analyzing a company's value chain aids in the identification of a company's competitive advantages. Answer: TRUE Diff: 2 Learning Obj.: 1 31) Operational transaction cycles have traditionally grouped activities of a business into six common operational processes. Answer: FALSE Diff: 2 Learning Obj.: 1 4 Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall
32) Transactions are used by auditors to verify account balances and internal controls. Answer: TRUE Diff: 2 Learning Obj.: 1 33) The internal audit function and the accounting functions should not be segregated in order to increase a company's internal control. Answer: FALSE Diff: 2 Learning Obj.: 1 34) The director of internal auditing should report directly to the controller of the company. Answer: FALSE Diff: 2 Learning Obj.: 1 35) The treasurer is responsible for the budgeting and tax planning aspects of a business. Answer: FALSE Diff: 2 Learning Obj.: 1 36) The essence of cloud computing is that data storage is maintained by the end-user. Answer: FALSE Diff: 1 Learning Obj.: 4 37) 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. Answer: TRUE Diff: 2 Learning Obj.: 2 38) An information center is a support facility for end users in an organization. Answer: TRUE Diff: 1 Learning Obj.: 2 39) DBMS is the hands-on use of computers by end users. Answer: FALSE Diff: 2 Learning Obj.: 4 40) Quick Response code is a three-dimensional bar code. Answer: FALSE Diff: 1 Learning Obj.: 4 5 Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall