Accounting Information Systems
Textbook Exam Questions
Course Introduction
Accounting Information Systems explores the intersection of accounting practices and modern information technology, emphasizing the design, implementation, and management of systems that collect, process, and report financial data. The course covers fundamental principles of accounting cycles, internal controls, and risk management, as well as the use of databases, Enterprise Resource Planning (ERP) systems, and emerging technologies such as cloud computing and data analytics. Students gain practical skills in software applications commonly used in accounting and learn to analyze how information systems support business decision-making, compliance, and overall organizational efficiency.
Recommended Textbook Cornerstones of Cost Accounting 1st Edition by Don
Available Study Resources on Quizplus
20 Chapters
2433 Verified Questions
2433 Flashcards
Source URL: https://quizplus.com/study-set/3829
R. Hansen
Page 2
Chapter 1: Introduction to Cost Management
Available Study Resources on Quizplus for this Chatper
115 Verified Questions
115 Flashcards
Source URL: https://quizplus.com/quiz/76398
Sample Questions
Q1) The chief accounting officer of an organization is the
A) vice president of finance.
B) internal auditor.
C) treasurer.
D) controller.
Answer: D
Q2) What can a company do to increase the likelihood of its employees being ethical in all their undertakings?
Answer: Companies can establish a culture and atmosphere of ethical business practices by rewarding those employees that are honest, fair, and act with integrity.They can establish their own code of professional conduct that sets out the organizational purpose, beliefs, values, and expectations of employees.The code of conduct should be known, visible, and enforced.Companies should hire certified professionals, when appropriate.Professions have codes of conduct and standards appropriate to their duties.Companies can incorporate ethical values into the selection criteria for employee recruitment.
To view all questions and flashcards with answers, click on the resource link above.
3
Chapter 2: Basic Cost Management Concepts
Available Study Resources on Quizplus for this Chatper
161 Verified Questions
161 Flashcards
Source URL: https://quizplus.com/quiz/76387
Sample Questions
Q1) _______________ is (are) a cost accounting system that uses only unit-based activity drivers to assign costs to cost objects.
A) Activity-based management
B) Activity-based costing system
C) Functional-based cost management system
D) Both a and b
Answer: C
Q2) Period costs do NOT include
A) order-getting costs.
B) order-making costs.
C) order-filling costs.
D) All of these are period costs.
Answer: B
Q3) Which of the following accounts would appear on the financial statements of ONLY a manufacturing firm?
A) bonds payable
B) materials inventory
C) prepaid insurance
D) retained earnings
Answer: B
To view all questions and flashcards with answers, click on the resource link above. Page 4
Chapter 3: Cost Behavior
Available Study Resources on Quizplus for this Chatper
132 Verified Questions
132 Flashcards
Source URL: https://quizplus.com/quiz/76385
Sample Questions
Q1) Which of the following costs is a variable cost?
A) supervisors' salaries
B) research and development
C) materials used in production
D) rent
Answer: C
Q2) The high-low method may give unsatisfactory results if
A) the data points all fall on a line.
B) volume of activity is heavy.
C) volume of activity is light.
D) the points are unrepresentative.
Answer: D
Q3) Mixed costs, by definition, contain both
A) product and period costs.
B) fixed and variable costs.
C) direct and indirect costs.
D) controllable and noncontrollable costs.
Answer: B
To view all questions and flashcards with answers, click on the resource link above. Page 5
Chapter 4: Activity-Based Costing
Available Study Resources on Quizplus for this Chatper
154 Verified Questions
154 Flashcards
Source URL: https://quizplus.com/quiz/76384
Sample Questions
Q1) Refer to Figure 4-21.Under this new approach using consumption ratios for labor related and machine hours, what allocation rate would be used to assign labor related costs? (round to 5 decimal places)
A) 0.85455
B) 0.60
C) 0.46875
D) 0.53125
Q2) For a labor-intensive manufacturing operation, which of the following would be the most appropriate activity driver?
A) machine hours
B) direct labor hours
C) number of employees
D) units of output
Q3) If activity-based costing is used, setups would be classified as a
A) unit-level activity.
B) batch-level activity.
C) product-level activity.
D) facility-level activity.
To view all questions and flashcards with answers, click on the resource link above.
6
Chapter 5: Product and Service Costing: Job-Order System
Available Study Resources on Quizplus for this Chatper
102 Verified Questions
102 Flashcards
Source URL: https://quizplus.com/quiz/76383
Sample Questions
Q1) Which of the following products would NOT use job-order costing?
A) houses
B) chemicals
C) ships
D) custom-built furniture
Q2) Refer to Figure 5-4.What is the total amount credited to Materials Inventory for Walter in 2011?
A) $480,000
B) $170,000
C) $140,000
D) $110,000
Q3) In a job-order costing system, if costs are incurred to rework a job due to inadequate training of personnel, these costs would be
A) debited to manufacturing overhead control.
B) debited to the job.
C) credited to manufacturing overhead control.
D) credited to the cost of goods sold.
Q4) Why are firms reluctant to use actual costing? How does normal costing solve the problems?
To view all questions and flashcards with answers, click on the resource link above. Page 7
Chapter 6: Process Costing
Available Study Resources on Quizplus for this Chatper
137 Verified Questions
137 Flashcards
Source URL: https://quizplus.com/quiz/76382
Sample Questions
Q1) Unit cost of materials for a department using the FIFO method of process costing is found by taking the total cost of materials issued to the department during the year divided by
A) units in process.
B) units started and completed.
C) total units manufactured.
D) equivalent units of output.
Q2) In process costing, costs are accounted for by A) year.
B) batch.
C) process.
D) job.
Q3) The two methods used to determine equivalent units of production are A) weighted average and FIFO.
B) weighted average and LIFO.
C) FIFO and LIFO.
D) FIFO and specific identification.
To view all questions and flashcards with answers, click on the resource link above. Page 8
Chapter 7: Allocating Costs of Support Departments and Joint Products
Available Study Resources on Quizplus for this Chatper
143 Verified Questions
143 Flashcards
Source URL: https://quizplus.com/quiz/76381
Sample Questions
Q1) _______________ are activities or variables within a producing department that provoke the incurrence of support costs.
A) Causal factors
B) Common costs
C) Cost objectives
D) Activity output
Q2) Deli Products produces two products, X and Y, in a single process.In 2011, the joint costs of this process were $25,000.In addition, 4,000 units of X and 6,000 units of Y were produced.Separable processing costs beyond the split-off point were X-$10,000; Y-$20,000.X sells for $10.00 per unit; Y sells for $7.50 per unit. What is the gross profit of product Y assuming the net realizable value method is used?
A) $13,636
B) $16,364
C) $30,000
D) $45,000
Q3) Describe the differences between the direct, sequential and reciprocal methods of allocating support department costs to production departments.
Q4) Compare and contrast the various methods of accounting for joint product costs.
Page 9
To view all questions and flashcards with answers, click on the resource link above.
Chapter 8: Budgeting for Planning and Control
Available Study Resources on Quizplus for this Chatper
167 Verified Questions
167 Flashcards
Source URL: https://quizplus.com/quiz/76380
Sample Questions
Q1) The expected cash collections of Freedom Manufacturing Company for March are
A) $90,000.
B) $69,600.
C) $64,500.
D) $114,600.
Q2) What is the actual cost of machining?
A) $24,970
B) $25,010
C) $25,050
D) none of these
Q3) Refer to Figure 8-8.The total actual costs for 2011 were
A) $13,550.
B) $10,650.
C) $13,600.
D) $13,510.
Q4) Volume variances examine differences between
A) the static budget and actual costs.
B) the flexible budget and static budget.
C) the static budget and the rolling budget.
D) none of these.
Page 10
To view all questions and flashcards with answers, click on the resource link above.
Chapter 9: Standard Costing: a Functional-Based Control Approach
Available Study Resources on Quizplus for this Chatper
86 Verified Questions
86 Flashcards
Source URL: https://quizplus.com/quiz/76379
Sample Questions
Q1) Which of the following equations measures the direct labor rate variance?
A) (SR ´ AH) - (SR ´ SH)
B) (AR ´ SH) - (SR ´ AH)
C) (AR ´ AH) - (SR ´ AH)
D) none of these
Q2) The standard cost sheet includes all of the following EXCEPT
A) the standard cost per unit.
B) the standard quantity allowed for actual production.
C) the standard price.
D) the standard quantity per unit.
Q3) Price/rate variances focus on the differences between
A) actual and standard inputs multiplied by actual prices.
B) actual and standard unit prices of an input multiplied by the actual quantity of inputs.
C) actual and standard inputs multiplied by standard prices.
D) actual and standard unit prices of an input multiplied by the budgeted quantity of inputs.
Q4) How are standards developed? What is the difference between ideal and currently attainable standards?
Q5) Compare and contrast mix and yield variances.
To view all questions and flashcards with answers, click on the resource link above. Page 11
Chapter 10: Decentralization: Responsibility Accounting, Performance
Evaluation, and Transfer Pricing
Available Study Resources on Quizplus for this Chatper
110 Verified Questions
110 Flashcards
Source URL: https://quizplus.com/quiz/76397
Sample Questions
Q1) The return on investment is computed as
A) operating income divided by sales.
B) operating income divided by average operating assets.
C) sales divided by average operating assets.
D) operating asset turnover divided by the operating income margin.
Q2) What is EVA for Division A?
A) $40,000
B) $25,000
C) $15,000
D) $28,000
Q3) The company uses the opportunity cost approach to transfer pricing.What is the minimum transfer price in Case 2?
A) $75
B) $74
C) $68
D) $58
Q4) How are information, responsibility, and accountability related?
Q5) Discuss the differences between centralized and decentralized decision making.Why would a firm decentralize its operations?
To view all questions and flashcards with answers, click on the resource link above. Page 12
Chapter 11: Strategic Cost Management
Available Study Resources on Quizplus for this Chatper
121 Verified Questions
121 Flashcards
Source URL: https://quizplus.com/quiz/76396
Sample Questions
Q1) ______________ is creating better customer value for the same or lower cost than competitors or creating equivalent value for lower cost than offered by competitors.
A) Strategic decision making
B) Strategic cost management
C) Competitive advantage
D) Total product
Q2) JIT manufacturing uses which of the following philosophies of quality control?
A) just-in-case (JIC)
B) acceptable quality level (AQL)
C) total quality control (TQC)
D) both a and c
Q3) Which of the following is NOT a stage of the production life-cycle viewpoint?
A) design
B) introduction
C) research
D) testing
Q4) Explain the difference between acceptable quality level and total quality control.
To view all questions and flashcards with answers, click on the resource link above.
Page 13
Chapter 12: Activity-Based Management
Available Study Resources on Quizplus for this Chatper
116 Verified Questions
116 Flashcards
Source URL: https://quizplus.com/quiz/76395
Sample Questions
Q1) If the actual activity was 20 setups and the actual fixed cost for inspections was $28,000 and the variable cost for inspections was $5,000, the total variance for inspections is
A) $2,000 favorable.
B) $2,000 unfavorable.
C) $1,000 favorable.
D) $1,000 unfavorable.
Q2) Setup time for a product is 12 hours.A firm that uses JIT and produces the same product has reduced setup time by 1 hour.Setup labor is $20 per hour.If the company wants to reduce non-value-added costs by 40 percent next year, the currently attainable standard for setup time would be
A) 7.6 hours.
B) 7.2 hours.
C) 6.6 hours.
D) 4.8 hours.
Q3) The value-added costs are
A) $5,000.
B) $-0-.
C) $30,000.
D) $75,000.
To view all questions and flashcards with answers, click on the resource link above. Page 14
Chapter 13: The Balanced Scorecard: Strategic-Based Control
Available Study Resources on Quizplus for this Chatper
92 Verified Questions
92 Flashcards
Source URL: https://quizplus.com/quiz/76394
Sample Questions
Q1) Which of the following would be a nonfinancial measure?
A) customer profitability
B) dissatisfied customers
C) return on investment
D) cost per unit
Q2) A major difference between activity-based responsibility accounting and strategic-based responsibility accounting is
A) only strategic-based responsibility accounting is linked to strategy.
B) only strategic-based responsibility accounting is focused on systemwide efficiency.
C) only strategic-based responsibility accounting includes the process perspective.
D) only strategic-based responsibility accounting reinforces team accountability.
Q3) _______________ are outcome measures that are a result of past efforts.
A) Objective measures
B) External measures
C) Financial measures
D) Lag measures
Q4) Compare and contrast activity-based measures and strategic-based measures.
To view all questions and flashcards with answers, click on the resource link above. Page 15
Chapter 14: Quality and Environmental Cost Management
Available Study Resources on Quizplus for this Chatper
157 Verified Questions
157 Flashcards
Source URL: https://quizplus.com/quiz/76393
Sample Questions
Q1) For the current year, external failure costs are what percentage of operating costs?
A) 4.25%
B) 2.75%
C) 2.50%
D) 1.50%
Q2) A defective product is one that does NOT
A) appeal to customers.
B) pass inspection.
C) satisfy customers.
D) conform to specifications.
Q3) In activity-based management, which quality cost would NOT be considered value-added?
A) recruiting
B) quality circles
C) supplier certification
D) inspection of materials
Q4) What does quality mean and how has improving quality increased firm value?
Q5) Define environmental costs and identify the four categories of environmental costs.Give an example of each category.
To view all questions and flashcards with answers, click on the resource link above. Page 16
Chapter 15: Lean Accounting and Productivity Measurement
Available Study Resources on Quizplus for this Chatper
137 Verified Questions
137 Flashcards
Source URL: https://quizplus.com/quiz/76392
Sample Questions
Q1) _______________ is the point at which technical and allocative efficiency are achieved.
A) Input trade-off efficiency
B) Productivity
C) Total productive efficiency
D) Financial productivity efficiency
Q2) What is the partial operational productivity measure for labor for 2012?
A) 2.400
B) 2.500
C) 3.300
D) 2.325
Q3) What is the labor productivity ratio for 2011?
A) 12.5
B) 10.0
C) 8.0
D) 6.0
Q4) Define what constitutes total productive efficiency, including a definition of technical efficiency and allocative efficiency.
Q5) Describe the objectives and characteristics of a Lean Manufacturing system.
Q6) Discuss the advantages and disadvantages of partial productivity measures. Page 17
To view all questions and flashcards with answers, click on the resource link above.
Page 18
Chapter 16: Cost-Volume-Profit Analysis
Available Study Resources on Quizplus for this Chatper
108 Verified Questions
108 Flashcards
Source URL: https://quizplus.com/quiz/76391
Sample Questions
Q1) Refer to Figure 16-1.What is the break-even point in units for Kringel?
A) 33,334 units
B) 100,000 units
C) 40,000 units
D) 200,000 units
Q2) What is the sales volume required to earn a profit of $9,000?
A) 3,300 units
B) 10,000 units
C) 7,300 units
D) 4,300 units
Q3) The break-even point is
A) the volume of activity where all fixed costs are recovered.
B) where fixed costs equal total variable costs.
C) where total revenues equal total costs.
D) where total costs equal total contribution margin.
Q4) On a profit-volume graph, the profit line intersects the horizontal axis at A) the origin.
B) the break-even point.
C) a volume of 1,000 units.
D) a point where profit is greater than zero.
To view all questions and flashcards with answers, click on the resource link above. Page 19
Chapter 17: Activity Resource Usage Model and Tactical
Decision Making
Available Study Resources on Quizplus for this Chatper
98 Verified Questions
98 Flashcards
Source URL: https://quizplus.com/quiz/76390
Sample Questions
Q1) Which of the joint products should be sold at split-off?
A) A
B) B
C) C
D) both A and B
Q2) Which of the following costs is NOT relevant for special decisions?
A) incremental costs
B) sunk costs
C) avoidable costs
D) all of the above costs are relevant for special decisions
Q3) If there is excess capacity, the minimum acceptable price for a special order must cover
A) variable costs associated with the special order.
B) variable and fixed manufacturing costs associated with the special order.
C) variable and incremental fixed costs associated with the special order.
D) variable costs and incremental fixed costs associated with the special order plus the contribution margin usually earned on regular units.
Q4) What are relevant costs? How do they relate to decision making?
Page 20
To view all questions and flashcards with answers, click on the resource link above.
Chapter 18: Pricing and Profitability Analysis
Available Study Resources on Quizplus for this Chatper
102 Verified Questions
102 Flashcards
Source URL: https://quizplus.com/quiz/76389
Sample Questions
Q1) Refer to Figure 18-1.What customer type has the least total cost per case ?
A) local pharmacies
B) drugstore chains
C) supermarket chains
D) gas station chains
Q2) Monopolistic competition is best defined as
A) a structure that has many buyers and sellers, but the products are differentiated on some basis.
B) a structure where customers are willing to pay a little more for the unique feature that appeals to them.
C) a structure that combines perfect competition and monopoly, but is closer to a competitive situation.
D) all of these.
Q3) _______________ is where a higher price is charged at the beginning of a product's life cycle.
A) Penetration pricing
B) Predatory pricing
C) Price skimming
D) Target costing
To view all questions and flashcards with answers, click on the resource link above.
Page 21
Chapter 19: Capital Investment
Available Study Resources on Quizplus for this Chatper
97 Verified Questions
97 Flashcards
Source URL: https://quizplus.com/quiz/76388
Sample Questions
Q1) A firm is considering a project with an annual cash flow of $80,000.The project would have a 10-year life, and the company uses a discount rate of 8 percent.Ignoring income taxes, what is the maximum amount the company could invest in the project and have the project still be acceptable (rounded)?
A) $800,000
B) $536,800
C) $406,420
D) $727,208
Q2) A firm is evaluating a project that has a net present value of $0 when a discount rate of 8 percent is used.A discount rate of 6 percent will result in a A) negative net present value.
B) positive net present value.
C) net present value of $0.
D) the question cannot be answered based upon the information provided.
Q3) What are the differences that affect capital investment decisions regarding advanced technology and environmental considerations?
To view all questions and flashcards with answers, click on the resource link above.
22
Chapter 20: Inventory Management: Economic Order
Quantity, Jit, and the Theory of Constraints
Available Study Resources on Quizplus for this Chatper
98 Verified Questions
98 Flashcards
Source URL: https://quizplus.com/quiz/76386
Sample Questions
Q1) American Supply Company has an economic order quantity for item A of 200 units.The annual demand for the product is 5,000 units, and the cost of placing an order is $8.If the company operates 200 days a year and the lead time for the item is five days, what is the reorder point if a safety stock of 50 units is maintained?
A) 4 days
B) 175 units
C) 25 units
D) 50 units
Q2) Which of the following costs are considered in the EOQ model?
A) ordering costs
B) selling costs
C) carrying costs
D) both a and c
Q3) Which of the following elements could be determined by using the economic order quantity formula?
A) the optimum size of production run
B) reorder point
C) safety stock
D) annual demand
23
To view all questions and flashcards with answers, click on the resource link above.