Information Technology for Business Exam
Questions
Course Introduction
Information Technology for Business explores how modern digital technologies drive efficiency, innovation, and decision-making within organizations. The course introduces key concepts in information systems, hardware and software platforms, data management, networking, and cybersecurity, emphasizing their strategic applications in business contexts. Students learn how businesses leverage IT to optimize operations, enhance communication, enable e-commerce, and gain competitive advantages while understanding the challenges associated with technology adoption, data privacy, and ethical considerations. Practical case studies and emerging trends equip students with the skills to align technology solutions with business goals.
Recommended Textbook
Experiencing MIS 3rd Edition by David
M. Kroenke
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Page 2
Chapter 1: The Importance of MIS
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Sample Questions
Q1) In order to protect your password,you should never ________.
A) use the password more than three times in a day
B) write down your password
C) use virtual key boards to enter your password
D) create passwords containing multiple words
Answer: B
Q2) Patricia is the marketing manager at a manufacturing firm.She develops ideas and plans with her subordinates and provides and receives critical feedback.Here,Patricia is displaying ________ skills.
A) collaboration
B) experimentation
C) systems thinking
D) abstraction
Answer: A
Q3) A computer is the most essential component of an information system.
A)True
B)False
Answer: False
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Chapter 2: Business Processes, Information, and Information Systems
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Sample Questions
Q1) The fact that Jeff Parks works 9 hours per day is an example of ________.
A) a repository
B) a database
C) information
D) data
Answer: D
Q2) The ________ component of the IS framework provides instructions for people.
A) procedure
B) software
C) information
D) data
Answer: A
Q3) A collection of databases is an example of a repository.
A)True
B)False
Answer: True
Q4) The higher you rise in management,the more information you will need to ignore.
A)True
B)False
Answer: True
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Chapter 3: Organizational Strategy, Information Systems, and Competitive Advantage
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Sample Questions
Q1) Differentiate between value and margin.
Answer: Porter defined value as the amount of money that a customer is willing to pay for a resource,product,or service.The difference between the value that an activity generates and the cost of the activity is called the margin.A business with a differentiation strategy will add cost to an activity only as long as the activity has a positive margin.
Q2) Manufacturing systems that include linkages,use ________ to plan production.
A) prior profits and losses
B) sales forecasts
C) competitor's information
D) software packages
Answer: B
Q3) According to Porter,to be effective the organization's goals,objectives,culture,and activities must be consistent with the ________.
A) organization's structure
B) organization's competitors
C) organization's strategy
D) organization's workforce
Answer: C
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Chapter 4: Hardware and Software
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Sample Questions
Q1) Differentiate between an operating system and an application program.
Q2) Which of the following operating systems is generally used by the scientific community and not business users?
A) Windows
B) Linux
C) Mac OS
D) Unix
Q3) To execute an instruction,data is moved from the main memory to CPU via the
A) bus
B) operating system
C) cache
D) application
Q4) A ________ is 1,024 bytes.
A) K
B) MB
C) GB
D) TB
Q5) What is virtualization?
Q6) Briefly describe how a computer works.
Page 6
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Chapter 5: Database Processing
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Sample Questions
Q1) Columns are also called fields.
A)True
B)False
Q2) Which of the following is a DBMS product from Microsoft?
A) MySQL
B) SQL Server
C) DB2
D) Sybase ASE
Q3) What is the function of a database application system?
Q4) Databases are self-describing because they contain not only data,but also data about the data in the database.
A)True
B)False
Q5) What is a database application?
Q6) A table is also called a ________.
A) record
B) row
C) file
D) column
Q7) Explain enterprise DBMS products.
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Chapter 6: Data Communications
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Q1) The most popular protocol for WAN is the IEEE 802.3 protocol.
A)True
B)False
Q2) A(n)________ is a unique name that is affiliated with a public IP address.
A) tag
B) protocol
C) domain name
D) assigned name
Q3) Cable modems provide high speed data transmission using phone lines.
A)True
B)False
Q4) The computers in two separate company sites must be connected using a ________.
A) LAN
B) WAN
C) NIC
D) MAC
Q5) Routers convert digital data into analog signals.
A)True
B)False
Q6) Explain Transmission Control Protocol (TCP).
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Chapter 7: Business Process Management
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Sample Questions
Q1) Which of the following is true for personal information systems?
A) Personal information systems that support a particular department are sometimes called departmental information systems.
B) Because one is the sole user of the new system, if new procedures are required, one needs professional help to get the job done.
C) Such systems have only one user and hence procedures need not be documented or formalized in any way.
D) The solutions to problems in a personal information system usually involve more than one department.
Q2) The summation of all the problems of information silos leads to ________.
A) diseconomies of scope
B) increased costs for the organization
C) diminishing marginal returns
D) reduced organizational innovation
Q3) What is ERP?
Q4) What problems do information silos cause?
Q5) What cause the challenges that occur while implementing new enterprise systems?
Q6) What is business process reengineering?
Q7) What are the ways of eliminating duplicate data?
Page 9
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Chapter 8: E-Commerce, Web 20, and Social Networking
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Q1) Being linked to a network of highly regarded contacts is a form of social ________.
A) credential
B) consciousness
C) mobility
D) commerce
Q2) Disintermediation reduces market efficiency.
A)True
B)False
Q3) With Social CRM,business control the messages,offers,and support that customers receive based on the value of the customer.
A)True
B)False
Q4) According to McAfee,Enterprise 2.0 workers want to be able to navigate content structures such as lists and tables of content.
A)True
B)False
Q5) What is e-commerce?
Q6) What is an e-commerce auction? Give an example of an e-commerce company.
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Chapter 9: Business Intelligence and Information Systems for Decision Making
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Sample Questions
Q1) Data warehouses cannot purchase external data from outside resources.
A)True
B)False
Q2) What is dirty data?
Q3) A terabyte is larger than a petabyte in terms of computer storage.
A)True
B)False
Q4) Generally,it is better to have data that is too coarse a granularity than data that is too fine.
A)True
B)False
Q5) What is the difference between a megabyte and a gigabyte?
Q6) Explain clickstream data.
Q7) The facts about data,such as its source,format,assumptions,constraints,and the like,are called ________.
A) metadata
B) folksonomies
C) microdata
D) data packets
Q8) What is unsupervised data mining? Page 11
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Chapter 10: Information Systems Development
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Sample Questions
Q1) Because of the significant risks involved,organizations should avoid this conversion style if possible.
A) plunge
B) parallel
C) pilot
D) phased
Q2) In a pilot installation,a new system is installed in phases across the organization.
A)True
B)False
Q3) User involvement is redundant throughout the systems development process.
A)True
B)False
Q4) What is systems development? How is it different from program development?
Q5) Explain how diseconomies of scale can affect systems development.
Q6) The third phase of the systems development life cycle is the component design phase.
A)True
B)False
Q7) What is meant by technical feasibility and organizational feasibility?
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Chapter 11: Information Systems Management
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Sample Questions
Q1) The IT department's principal manager is the ________.
A) CIO
B) CEO
C) CTO
D) COO
Q2) Who coined the term 'agile enterprise' and what did they mean by it?
Q3) Small-scale project managers and large-scale project managers do the same jobs,just on more or less complex projects.
A)True
B)False
Q4) The responsibilities of the CIO are the same as those of the CTO.
A)True
B)False
Q5) What are a user's responsibilities in relation to the IT department?
Q6) Reliability in an information system,by definition,means that work can be processed without problems all of the time.
A)True
B)False
Q7) How can one justify IS and IT projects?
Q8) What are tangible and intangible benefits?
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Chapter 12: Information Security Management
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Q1) Because encryption keys can get lost or destroyed,a copy of the key should be stored with a trusted third party.This safety procedure is sometimes called ________.
A) key escrow
B) white hat
C) key encryption
D) biometric authentication
Q2) Differentiate between symmetric and asymmetric encryption.
Q3) Which of the following is a technical safeguard against security threats?
A) passwords
B) backup and recovery
C) compliance
D) identification and authorization
Q4) ________ simply take computers with wireless connections through an area and search for unprotected wireless networks.
A) Drive-by sniffers
B) Spoofers
C) Hackers
D) Phishers
Q5) What are firewalls? What types of firewalls are commonly used?
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Chapter 13: Improving Your Collaboration Skills
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Sample Questions
Q1) Describe the role of workflow control in achieving collaboration.
Q2) Which of the following statements about collaboration is true?
A) Iterations should be avoided for the smooth functioning of the collaborative process.
B) Group members should not review each others' work negatively.
C) Multiple iterations and feedback improve collaboration.
D) Collaboration is more effective if it takes place at the final stage of a project.
Q3) Collaboration always involves feedback and iteration.
A)True
B)False
Q4) A successful collaborative team will not have conflicts.
A)True
B)False
Q5) Which of the following is true about conflicts in a collaborative environment?
A) Collaborative work is possible only in the absence of conflicts.
B) A team formed of rational people will not have conflicts.
C) Personal criticism of a team member is a method of productive conflict.
D) Unwillingness to engage in conflicts will lead to failure.
Q6) What is the importance of having a good content management system?
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Chapter 14: Using Collaboration Information Systems
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Sample Questions
Q1) Surveys are an effective way to obtain team opinions.
A)True
B)False
Q2) In version control systems,shared documents are placed into a shared directory called a ________.
A) work lab
B) library
C) workspace
D) Groove
Q3) Which of the following is an example of synchronous communication?
A) email
B) voice mail
C) multiparty text chat
D) discussion forum
Q4) In ________,one group member posts an entry,an idea,a comment,or a question,and other group members respond to it later,at their convenience.
A) multiparty text chat
B) team survey
C) Microsoft Groove chat
D) a discussion forum
Page 17
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Chapter 15: Information Systems and Decision Making
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Sample Questions
Q1) ________ are designed to support strategic decision-making.
A) Knowledge management systems
B) Management information systems
C) Transaction processing information systems
D) Executive information systems
Q2) Spreadsheets and financial modeling tools help decision makers to analyze alternatives in the ________ step of the decision-making process.
A) choice
B) implementation
C) intelligence gathering
D) alternatives formulation
Q3) Automated information systems exist to enhance,support,or supplement,the work done by people,and humans do the bulk of the work.
A)True
B)False
Q4) An unstructured decision process is one for which there is no agreed-on decision-making method.
A)True
B)False
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Chapter 16: Knowledge Management and Expert Systems
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Sample Questions
Q1) Define any three challenges of content management.
Q2) Which of the following knowledge management alternatives allow employees or customers to post queries seeking solutions to problems they have with a company's products?
A) discussion groups
B) podcasts
C) expert systems
D) blogs
Q3) The world's largest and most popular document search engine is ________.
A) Yahoo
B) Bing
C) Google
D) AltaVista
Q4) Knowledge management boosts revenues by getting products and services to market faster.
A)True
B)False
Q5) Perishability of documents is one of the complications of content management.
A)True
B)False
Page 19
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Chapter 17: Introduction to Microsoft Excel
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Q1) In Excel,the option to change the page orientation is located on the ________ tab.
A) Page Layout
B) View
C) Review
D) Add-ins
Q2) Orientation refers to whether the worksheet is printed upright or sideways on the page.
A)True
B)False
Q3) In Excel,the Review tab can be used for ________.
A) creating more complex formulas
B) filtering and sorting data in the spreadsheet
C) tracking changes and making comments
D) formatting the page, often for printing
Q4) In Excel,the entire row or column can be selected by clicking on the name of the row or column.
A)True
B)False
Q5) Explain the process of inserting rows and columns in Microsoft Excel.
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Chapter 18: Preparing a Computer Budget Using Excel
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Q1) ________ is the time it takes the data to rotate under the read/write head.
A) Rotational delay
B) Spin-up time
C) Seek time
D) Seek circle
Q2) For an LCD monitor,the distance between pixels is referred to as dot pitch.
A)True
B)False
Q3) Which of the following enables the fast processing of data once the data resides in the main memory of a computer?
A) CD-ROM
B) DVD
C) CPU
D) LCD
Q4) Briefly describe the variations in optical disks.
Q5) What is the significance of the main memory in the functioning of a computer?
Q6) Unlike magnetic disks,optical disks are volatile;they do not maintain their contents when not powered.
A)True
B)False
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Chapter 19: Database Design
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Q1) Which of the following is true for data models?
A) An identifier's value is associated with every entity in the data model.
B) An attribute is some thing that the users want to track.
C) Entities have attributes that describe characteristics of the entity.
D) The relationships between entities are known as attributes.
Q2) The data model contains a description of the data.However,the model does not depict the relationships among the data.
A)True
B)False
Q3) The general goal of normalization is to ________.
A) create a copy of an existing table
B) construct tables such that every table has a similar topic
C) convert two or more tables into a single table
D) construct tables such that every table has a single topic
Q4) Normalization is the process of combining two or more poorly structured tables into a single structured table.
A)True
B)False
Q5) Explain the role of users in designing a database.
Q6) What are the different types of relationships represented in a data model?
Page 22
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Chapter 20: Using Microsoft Access 2010
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Q1) Explain the procedure for creating a database using Microsoft Access.
Q2) An underlined attribute is the primary key and an italicized attribute is a foreign key.
A)True
B)False
Q3) All modern DBMS products can process the ________ query language.
A) SQL
B) MySQL
C) DB10
D) HTML
Q4) Before using a DBMS,the user should have created a(n)________.
A) data model
B) database
C) identifier
D) attribute
Q5) In Microsoft Access,the description of fields is used to ________.
A) document the details of each field
B) define rules for how each field should behave
C) define how the fields should behave in case of exceptions
D) characterize the fields in terms of their data types
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Chapter 21: Using Excel and Access Together
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Q1) In Excel,the underscore character is used to connect the words in a name range.
A)True
B)False
Q2) Access queries can be imported to Microsoft Excel.
A)True
B)False
Q3) The process of transferring data from one computer system to another is referred to as ________.
A) auto transfer
B) export/import
C) data shift
D) reallocation
Q4) Explain the procedure for creating graphs in Microsoft Excel.
Q5) Access queries cannot be used to calculate averages of table values.
A)True
B)False
Q6) In Excel and Access,import/export does not maintain an active connection to the source of the data.
A)True
B)False
Page 24
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Chapter 22: Remote, Nomadic, and Mobile Systems
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Sample Questions
Q1) Client virtualization is also called ________.
A) network virtualization
B) memory virtualization
C) desktop virtualization
D) storage virtualization
Q2) Which of the following is the most likely consequence of communication at a distance?
A) Routine work will move to the highest bidders.
B) Recreational travel will occupy a smaller proportion of the travel industry.
C) Management and managers will have to become multicultural.
D) Experts such as lecturers will have smaller audiences.
Q3) With nomadic access,users access networks while travelling from site to site.
A)True
B)False
Q4) Webinars are an example of action at a distance.
A)True
B)False
Q5) Drones and other unoccupied military equipment are examples of remote systems.
A)True
B)False
25
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Chapter 23: Functional Processes, Applications, and Systems
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Q1) What are the major functions of accounting applications?
Q2) Employee assessment includes the publication of standard job and skill descriptions as well as support for employee performance evaluations.
A)True
B)False
Q3) Managing customers is not a function of sales process applications.
A)True
B)False
Q4) Applications such as lead-tracking applications are information systems.
A)True B)False
Q5) All companies view inventories primarily as assets. A)True B)False
Q6) Functional business processes support a single organizational function. A)True B)False
Q8) What are functional processes and functional applications? Page 26
Q7) Explain the major functions of sales and marketing applications.
Q9) Explain just-in-time (JIT)inventory policy.
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Chapter 24: Enterprise Resource Planning (ERP)Systems
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Q1) An ERP solution includes a database design as well as initial configuration data,but not the company's operational data.
A)True
B)False
Q2) What is the nature of the architecture used to create SAP's products?
A) cloud-based architecture
B) service-oriented architecture
C) client-server architecture
D) thin client architecture
Q3) Explain briefly the steps of implementing ERP systems.
Q4) Give a brief description of Epicor's ERP products.
Q5) The differences between as-is processes and the blueprint can be reconciled after the ERP system had been implemented.
A)True
B)False
Q6) Explain how organizations of different sizes use ERP differently.
Q7) Oracle and SAP serve the smallest and midsized organizations.
A)True
B)False
Q8) Explain ERP application programs.
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Chapter 25: Supply Chain Management
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Q1) The Automated Clearing House system among banks is an example of an interorganizational process.
A)True
B)False
Q2) Erratic consumer demand is the major reason for the bullwhip effect.
A)True
B)False
Q3) The bullwhip effect explains the amplification of demand at various stages in the supply chain.
A)True
B)False
Q4) An interorganizational process is one in which process activities occur in two or more independent organizations.
A)True
B)False
Q5) What are interorganizational business processes?
Q6) The only source of revenue in the supply chain is the customer.
A)True
B)False
Q7) Explain the bullwhip effect with an example.
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Chapter 26: Processing Social Capital: Facebook, Twitter, and User-Generated Content (UGC)
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Q1) Anyone can find and join Facebook,a social networking Web site.Facebook is an example of a(n)________ social networking group.
A) exclusive
B) invitation
C) public
D) private
Q2) Organizations that use social networking vendors despite their capability to develop their own social networking Web site are not vulnerable to the success and policies of these vendors.
A)True
B)False
Q3) A(n)________ group cannot be found by searching,and members must be invited to join.
A) by invitation
B) private
C) public
D) exclusive
Q4) Web sites that produce ratings and surveys are examples of UGC applications.
A)True
B)False
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Chapter 27: Database Marketing
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Q1) RFM scores can be used to concentrate the efforts of salespeople.
A)True
B)False
Q2) In RFM analysis,an R score of 5 shows that ________.
A) the customer has not made recent purchases
B) the customer has bought the most expensive item
C) the customer has frequently ordered costly items
D) the customer has purchased high end items lately
Q3) In market-basket terminology,the ratio of confidence to the base probability of buying an item is called ________.
A) cohesion
B) support
C) confidence
D) lift
Q4) What is the basic idea of the decision tree technique?
A) to analyze and rank customers according to their purchasing patterns
B) to select attributes that are most useful for classifying entities on some criterion
C) to determine annual sales patterns
D) to capture, store, analyze, and display geospatial data
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Chapter 28: Reporting Systems and OLAP
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Q1) Each OLAP cube in a report is a characteristic of the measures in the OLAP report.
A)True
B)False
Q2) Reports that are prepared in response to data entered by users are termed
A) query reports
B) static reports
C) dynamic reports
D) OLAP reports
Q3) What is an OLAP cube?
Q4) Connecting to data sources is a part of report management.
A)True
B)False
Q5) How does a reporting system obtain the necessary data to generate reports?
Q6) Which of the following types of reports is an example of a push report?
A) static report
B) dynamic report
C) query report
D) OLAP report
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Chapter 29: Geographic Information Systems
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Q1) GIS employs special purpose hardware for capturing geospatial data.
A)True
B)False
Q2) The best geometric model for the surface of the earth is a(n)________.
A) ovoid
B) ellipsoid
C) paraboloid
D) spheroid
Q3) Vector maps lose their fidelity when their size is doubled.
A)True
B)False
Q4) Operations personnel commonly use GIS data.
A)True
B)False
Q5) Not all flat maps involve distortion.
A)True
B)False
Q6) Differentiate between raster and vector maps.
Q7) How does the Military Grid Coordinate System (MGRS)work?
Q8) What is the procedure component of GIS?
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Chapter 30: Business Process Management
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Q1) Which of the following statements is true regarding SOA principles?
A) All service requestors are computer programs.
B) Checking customer credit is not an encapsulated activity.
C) Service providers reject improperly formatted service requests.
D) Accepting order processes does not depend on receiving a service request.
Q2) A substantial change in the business environment like the onset of a recession might mean that checking credit becomes unnecessary.
A)True
B)False
Q3) Service-oriented architecture is a methodology that is confused and contorted and results in high expense when modified.
A)True
B)False
Q4) XML,SOAP,and WSDL eliminate the need for proprietary SOA services designs and make it much easier for programs to interact with one another.
A)True
B)False
Q5) How does BPM relate to SDLC?
Q6) How do process designers improve business processes?
Page 34
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Chapter 31: Systems Development Project Management
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Sample Questions
Q1) A well-managed project will never face problems of diseconomies of scale.
A)True
B)False
Q2) Larger projects with longer development intervals will find it easier to keep to the baseline or plan.
A)True
B)False
Q3) Users must take responsibility for managing requirements changes and for avoiding requirements creep.
A)True
B)False
Q4) In the PMBOK® Guide,________ refer to different stages in the life of a project.
A) configuration controls
B) knowledge areas
C) process groups
D) resource zones
Q5) What is the PMBOK ® Guide for project management? List the components of the grid in PMBOK ® Guide 2004.
Q6) What are the biggest challenges for managing a large-scale systems development project?
Page 35
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Chapter 32: Outsourcing
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Sample Questions
Q1) Outsourcing does not offer the hiring company an easy exit from the agreement with the vendor.Why?
Q2) Instead of buying and maintaining its own computers,Timber and Tools has leased time from a cloud vendor.This is an example of how ________ can be outsourced.
A) computer hardware
B) software
C) entire applications
D) entire business functions
Q3) Which of the following is a disadvantage of outsourcing?
A) It results in high implementation risk.
B) It makes it impossible for the company to ensure a certain level of quality.
C) It could result in the CIO becoming superfluous.
D) It takes up too much management time.
Q4) Outsourcing ________.
A) allows the organization greater control
B) guarantees quality and risk reduction
C) allows companies to obtain part-time services
D) allows for an easy exit
Q5) What are the management advantages of outsourcing?
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Chapter 33: International MIS
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Sample Questions
Q1) The bullwhip effect is a phenomenon in which the variability in the size and timing of orders increases at each stage of the supply chain.
A)True
B)False
Q2) If a distributed database divides the database into nonoverlapping segments,it is called a(n)________ database.
A) mirrored.
B) replicated
C) independent
D) partitioned
Q3) International companies that have a single database must declare a single language for the company.
A)True
B)False
Q4) Differences in language,culture,norms,and expectations compound the difficulties of international process management.
A)True
B)False
Q5) How does the global economy change competitive strategy?
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