

Business Information Systems
Test Bank
Course Introduction
Business Information Systems explores the integration of information technology and business operations, emphasizing the strategic role of computerized systems in organizational decision-making and efficiency. This course covers fundamental concepts such as databases, enterprise resource planning, e-commerce, and data analytics, providing students with an understanding of how information systems support business processes, enhance productivity, and create competitive advantages. Through real-world case studies and practical applications, students learn to analyze user requirements, design effective solutions, and evaluate the impact of emerging technologies on global businesses.
Recommended Textbook
Processes Systems and Information An Introduction to MIS 2nd Edition by
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12 Chapters
1271 Verified Questions
1271 Flashcards
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Page 2
Earl H. McKinney Jr
Chapter 1: The Importance of Mis
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101 Verified Questions
101 Flashcards
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Sample Questions
Q1) What changes must a company make if its value chain's margin is negative?
A) The value must be decreased.
B) The costs of the value chain need to be increased.
C) The number of stages in the generic chain must be increased.
D) The value must be increased so that it exceeds the cost.
Answer: D
Q2) Porter defined value as the amount of money that a customer is willing to pay for a resource,product,or service.
A)True
B)False
Answer: True
Q3) In the value chain,the primary activity of customer service is to assist customers in their use of the product,and thus maintain and enhance the product's value.
A)True
B)False
Answer: True
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3

Chapter 2: Business Processes, information Systems, and Information
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108 Verified Questions
108 Flashcards
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Sample Questions
Q1) A(n)________ is referred to as a sequence of activities for accomplishing a function.
A) value chain
B) information system
C) business process
D) repository
Answer: C
Q2) Explain the reasons for the need of sufficient data.
Answer: Data needs to be sufficient for the purpose for which it is generated,but just barely so.We are inundated with data; one of the critical decisions that each of us has to make each day is what data to ignore.The higher an individual rises into management,the more data he/she will be given and,because there is only so much time,the more data he/she will need to ignore.So,data should be sufficient,but just barely.
Q3) A storage disk is an example of the ________ component of an information system.
A) procedure
B) data
C) software
D) hardware
Answer: D
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Chapter 3: Hardware, software, and Networks
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119 Verified Questions
119 Flashcards
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Sample Questions
Q1) Which of the following is an example of a horizontal-market application software?
A) a software developed by the IRS for its own needs
B) ArtRage, the iPad application
C) AutoCad
D) Microsoft Excel
Answer: D
Q2) Which of the following is a feature of open source projects?
A) The source code of the program cannot be modified.
B) The machine code of the program can be easily understood by humans.
C) The source code of the program is available to the public.
D) The source code cannot be obtained from the open source project's Web site.
Answer: C
Q3) A(n)________ is a notation used to define a data element,for display or other purposes,in Web pages.
A) HTML tag
B) IP address
C) domain
D) WNIC
Answer: A
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Page 5

Chapter 4: Database Processing
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110 Verified Questions
110 Flashcards
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Sample Questions
Q1) When using the relational model to represent two tables,one must ________.
A) add a foreign key to one of the tables
B) have more than two identifiers in the model
C) establish only N:M relationships between the tables
D) use metadata instead of foreign keys
Q2) Changing a relationship from one-to-many to many-to-many in a functional database is simply a matter of changing the N:N notation to N:M.
A)True
B)False
Q3) A line in an E-R diagram is used to represent the attributes of the entities.
A)True
B)False
Q4) A foreign key is essential in relational databases to represent the relationship between two tables.
A)True
B)False
Q5) Explain the role of users in the database development process.
Q6) Metadata refers to entities of a database that users want to process.
A)True
B)False
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Chapter 5: Using Is to Improve Processes
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109 Flashcards
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Sample Questions
Q1) Information systems can improve a process by adding or improving the data flow between activities in the same or different processes.
A)True
B)False
Q2) A managerial technology development process decides if a particular technology will be purchased or developed by the company.
A)True
B)False
Q3) ________ means that a computer does an activity or a part of an activity that was once done by a person.
A) Memorization
B) Iteration
C) Recursion
D) Automation
Q4) IS can improve a process by improving the control of activities in the process.
A)True
B)False
Q5) What are inbound logistics processes? Explain with the help of an example.
Q6) What are managerial processes?
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Chapter 6: Supporting Processes With Erp Systems
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113 Verified Questions
113 Flashcards
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Sample Questions
Q1) Intel has the largest market share in the enterprise resource planning industry.
A)True
B)False
Q2) Businesses have been using information systems to support their processes well before the Internet was invented.
A)True
B)False
Q3) All the enterprise resource planning products of Microsoft Dynamics are well integrated with Microsoft Office and Microsoft's development languages.
A)True
B)False
Q4) ________ is SAP's high-level application language that is used to enhance the functionality of an SAP implementation.
A) Siebel
B) SQL
C) ABAP
D) R/3
Q5) What are the benefits of using an enterprise resource planning (ERP)system?
Q6) How can the problem of information silos be solved?
Page 8
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Chapter 7: Supporting the Procurement Process With Sap
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98 Verified Questions
98 Flashcards
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Sample Questions
Q1) Which of the following is a major concern for organizations having departments that build their own systems?
A) information silos
B) centralized database
C) itemized bills
D) integrated systems
Q2) SAP can reduce the lead time in procurement processes due to its ability to
A) perform gap analysis
B) share real-time data
C) perform manual processes
D) decentralize information
Q3) The ________ effect occurs when companies order more supplies than are needed due to a sudden change in demand.
A) just-in-time
B) roll-up
C) bullwhip
D) Doppler
Q4) Describe how 3D printing technologies impact an organization's procurement process.
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Chapter 8: Supporting the Sales Process With Sap
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100 Verified Questions
100 Flashcards
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Sample Questions
Q1) Clearinghouses match buyers and sellers by using an IS version of a standard auction.
A)True
B)False
Q2) According to the U.S.Census Bureau,merchant companies are companies that
A) arrange for the sale of goods without owning them
B) outsource their sales process
C) buy goods and resell them
D) sell services provided by others
Q3) An organization that follows a common sales process packs its products for delivery only after the invoice has been sent to the customer.
A)True
B)False
Q4) Differentiate between auctions and clearinghouses.
Q5) The Promotion process is a customer-facing process that SAP can support.
A)True
B)False
Q6) Describe CRM processes and SCM processes.
Q7) Explain how the implementation of SAP changes a typical sales process.
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Chapter 9: Collaboration and Is
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98 Verified Questions
98 Flashcards
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Sample Questions
Q1) Describe collaboration.
Q2) A Gmail account is essential to edit a document stored in Google Drive.
A)True
B)False
Q3) The project management team at Lebel Inc.creates multiple versions of a document after successive iterations.In order to retrieve the required version in the least time,the team must create a document containing project ________.
A) cookie data
B) metadata
C) procedures
D) contributors
Q4) Collaboration is an iterative process.
A)True
B)False
Q5) How does collaboration lead to growth in team capability?
Q6) Which of the following is an efficiency objective of collaboration?
A) to meet time and cost limits
B) to have a meaningful experience
C) to make a successful deliverable
D) to grow in team capability

Page 11
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Chapter 10: Social Media and Is
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98 Flashcards
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Sample Questions
Q1) Traditional capital refers to investments into resources such as factories,machines,manufacturing equipment,and the like.
A)True
B)False
Q2) What is meant by "the strength of a relationship" in the context of social capital? How can an organization use social media to strengthen its relationships?
Q3) When a user uploads a photo or video in Facebook,he is executing a procedure.
A)True
B)False
Q4) Web sites such as Twitter and LinkedIn are examples of social media.
A)True
B)False
Q5) A social media information system only supports the creation of user-generated content.
A)True
B)False
Q6) Social media is changing the way people communicate.
A)True
B)False

Page 12
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Chapter 11: Business Intelligence and Is
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105 Verified Questions
105 Flashcards
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Sample Questions
Q1) In an RFM analysis,what will be the M score of a customer who spends the least amount of money,when rated on a scale of 1 to 5?
A) 5
B) 1
C) 0
D) 2
Q2) A digital dashboard is a(n)________.
A) electronic input device used in business intelligence systems
B) information system that is used to enter data into databases
C) visualization that is customized for a particular user
D) digital device in the central processing unit of a BI system
Q3) In BI terms,operational databases are often referred to as ________.
A) data warehouses
B) online transactional processing systems
C) data matrices
D) online analytical processing systems
Q4) An RFM analysis considers how recently a customer has ordered and how much the customer has spent.
A)True
B)False

Page 13
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Chapter 12: Mis Management Processes: Process
Management, systems Development, and Security
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112 Verified Questions
112 Flashcards
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Sample Questions
Q1) Which of the following is a valid difference between a password and user name?
A) A password is used to encode information, whereas a user name is used to decode information.
B) Unlike a password, a user name is more complex.
C) A user name identifies the user, whereas a password authenticates the user.
D) A user name is common among users, whereas a password is unique.
Q2) Why is it essential to assess the feasibility of a new information system?
A) to restrict projects that are not too challenging
B) to determine the most suitable vendor for a project
C) to begin the systems development process
D) to avoid paying more for a project that is worth less
Q3) Drive-by sniffers often target protected wireless networks to monitor and intercept the wireless traffic at will.
A)True
B)False
Q4) Which of the following is a technique for intercepting computer communications?
A) phishing
B) sniffing
C) keystroke logging
D) pretexting
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