Type:
Test Bank
Resource:
WILKINSON - Accounting Information System
Edition:
4th Edition
Author(s):
Joseph W. Wilkinson Michael J. Cerullo Vasant Raval Bernard Wong-On-Wing
CHAPTER 1 1-1. a. b. c. d. e. 1-2. a. b. c. d. e. 1-3.
Which of the following is not a reason for accounting students to study accounting information systems? Accounting information systems are intimately related to the entire accounting curriculum. Accountants are closely involved with accounting information systems during their careers. Accounting information systems are becoming more computerized and difficult to understand without close study. Accounting information systems are incorporating new developments that are presenting opportunities for accountants. All of the above reasons are valid. Which of the following is not a feature of the information age? Service firms and not-for-profit organizations tend to outnumber farming and manufacturing enterprises. Changes tend to occur at a more leisurely pace. An increasing proportion of firms process their information with the aid of computers. Firms tend to encounter increasing pressures from such sources as government agencies and consumer groups. An increasing number of firms face global competition.
a. b. c. d. e.
Which of the following descriptions least encompasses the full meaning of the term "accounting"? The language of business An information system Financial information related to the functioning of an entity Bookkeeping Activities involving recording, processing, analyzing, and reporting
1-4. a. b. c. d. e.
Which of the following least describes the field of accounting? Physical operations Language of business System for summarizing all economic activities Recording of economic data Information for decision making
1-5. a. b. c. d. e.
One definition of accounting is that it is essentially a(n): information system. part of the basic field bounded by the concept of information. application of the general theory of information to the problem of efficient economic operations. b and c, above. a, b, and c, above.
1-6. a. b. c. d. e.
Information is related to data in which of the following ways? Information and data are identical. Information represents the inputs of an information system, while data are the outputs, Information represents the outputs of an information system, while data are the inputs. Data is information made meaningful and more valued through processing. Data is information transformed into understandable intelligence and rendered useful for achieving desired objectives.
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1-7. a. b. c. d. e.
Which of the following is not a category of data collected by the typical business firm? Routine data from internal operations Routine data from external sources Non-routine data from external sources Non-routine data arising from managerial decisions All are categories of collected data
Into which category of data does each of the following items in Questions 1-8 through 1-12 fit? a. Routine data from internal operations b. Routine data from external sources c. Non-routine data from external sources d. Non-routine data arising from managerial decisions e. A category not listed above 1-8.
Interest rates on federal bonds?
1-9.
Quantities of raw materials issued into the production process of the firm?
1-10.
Amounts owed to suppliers, as shown on invoices received via the daily mail?
1-11.
Standard overhead manufacturing rate per direct labor hour?
1-12.
Dollar amounts of sales made to customers?
1-13.
Which of the following is not an input to a typical merchandising firm's accounting information system? Sales order Merchandise reorder request form Packing slip with received merchandise Check for supplier Employee time card
a. b. c. d. e. 1-14. a. b. c. d. e. 1-15. a. b. c. d. e.
Which of the following is not an output from the formal accounting information system of a typical retail grocery store? Paycheck for employee Income statement for firm Sales order Sales analysis of firm's product sales Deposit slip reflecting the day's receipts Which of the following is not a characteristic that is common to all accounting information systems? Data conversion functions Information outputs Communication network Input stage Automated resources
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1-16. a. b. c. d. e.
Which of the following statements is the best definition of an accounting information system? An integrated framework that coordinates resources needed to convert inputs into outputs to achieve objectives A framework by which resources are coordinated to convert data into information in order to achieve objectives A framework of resources whereby desired objectives are achieved A framework involving people and computers whereby information is generated from data. A framework that coordinates resources needed to convert information into data in order to achieve objectives
1-17. a. b. c. d. e.
An accounting information system of an enterprise may best be described as the: structured framework that transforms economic data into needed quantitative information. computer-based system that uses information to operate the enterprise. social network of employees who gather information for use by them and the managers. organization structure of the enterprise. general and only information system of the enterprise.
1-18.
Which of the following is the least important objective of the accounting information system of a firm? To provide information for historical perspective To provide information supporting day-to-day operations To provide information for decision making To provide information pertaining to stewardship All are equally important objectives
a. b. c. d. e. 1-19. a. b. c. d. e. 1-20.
The system that is financially oriented and that has the most pervasive scope, in that it extends to all the activities of the firm and provides information to every type of user, is the: management information system data processing system. accounting information system. financial accounting system. personnel information system.
a. b. c. d. e.
Which of the following is not a characteristic that is common to all accounting information systems? Data-related activities Information processing Transaction processing Inputs Automated resources
1-21. a. b. c. d. e.
Which of the following is not a type of information system? An automated information system A computer-based information system A manual information system A data-driven information system An accounting information system
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1-22. a. b. c. d. e.
The systems development phase that precedes the systems design phase is the: systems planning phase. systems analysis phase. systems justification and selection phase. systems implementation phase. systems operation.
1-23. a. b. c. d. e.
Important components common to all information systems are: automated devices that process data. human operators and users. production schedules. cash registers. stockholders.
1-24. a. b. c. d. e.
Which of the following is not a characteristic of all the accounting transactions of a firm? Economic event Measurable in financial terms Reflected in the firm's accounts and financial statements Initiated by an exchange between the firm and an external party Affects the firm's assets and/or equities.
1-25. a. b. c. d. e.
Which of the following is not a basic type of external transaction? Sale of products Purchase of merchandise Preparation of paychecks for employees Receipt of cash from customers Disbursement of cash to suppliers
1-26. a. b. c. d. e.
Which of the following functions is not a purpose of a firm's transaction processing systems? To record economic events measurable in financial terms To devise codes that facilitate the processing of accounting transactions To generate purchase orders and other operational documents To process accounting transactions arising from external sources To aid in preparing financial statements pertaining to the firm
1-27.
The information subsystem that provides the framework which is primarily concerned with the day-to-day operations is known as the: management information system. accounting information system. transaction processing system. informal information system. decision support system.
a. b. c. d. e. 1-28. a. b. c. d. e.
Which of the following are external users of information generated by the information system of a corporation? Managers Stockholders Employees a and b b and c
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1-29. a. b. c. d. e.
Which of the following are not users of accounting information system outputs? Customers Suppliers Owners Managers All are users
1-30. a. b. c. d. e.
Demand deposit accounting transactions are peculiar to: manufacturing firms. merchandising firms. insurance firms. banking and savings firms. nonprofit firms.
1-31. a. b. c. d. e.
Which of the following is not a systems development phase? Planning Analysis Modification Design Implementation
1-32. a. b. c. d. e.
Information processing is performed mainly by the __________ of a manufacturing firm. accounting information system production information system management information system marketing information system informal information system
1-33.
Which of the following examples of information generated by a firm would be least needed by its external users? Taxable income of the firm Economic order quantities of merchandise items sold by the firm Prices of merchandise sold by the firm Prospective earnings of the firm Salaries and benefits paid to top management of the firm
a. b. c. d. e. 1-34. a. b. c. d. e.
A management information system is designed to ensure that management possesses the information it needs to carry out its functions through the integrated actions of: data collection, processing, and reporting activities. a computerized information retrieval and decision making system. statistical and analytical review techniques. production-budgeting and sales forecasting activities. accounting cycles.
1-35. a. b. c. d. e.
The management information system of a firm: is identical with the accounting information system. requires the presence of computers. provides financial information to all users. serves the operational and decision making needs of managers is a subsystem of the accounting information system.
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1-36. a. b. c. d. e.
Which of the following statements is true? The accounting information system and the management information system are in effect identical. The accounting information system provides information to external users rather than to managers of a firm. The accounting information system can be viewed as being the entire formal information system of a firm. The marketing information system can be viewed as being the entire formal information system of a firm. The accounting information system is a central part of the management information system, an important portion of a firm's formal information system.
1-37. a. b. c. d. e.
Which of the following is least likely to be an information system function? Data control Data management Data collection Data generation Data processing
1-38. a. b. c. d. e.
Which of the following is not one of the five major functions (tasks) of an information system? Data collection Data processing Data retrieval Data control/security Information generation
1-39. a. b. c. d. e.
Which of the following steps is not generally performed as a part of the data collection function? Data capture Data measurement Data recording Data transcription Data validation
1-40. Information system activities or tasks may be classified in terms of three stages--input, processing, and output. An activity that is normally associated with the output stage is: a. batching. b. recording. c. validating. d. reporting. e. classifying. 1-41. A functional step that is normally associated with the input stage of an accounting information systems is: a. calculating. b. recording. c. reporting. d. filing. e. reconciling.
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1-42. a. b. c. d. e.
The primary functions (stages) of a computerized accounting information system include: input, processing, and output. input, processing, output, and data management. input, processing, output, and control input, processing, output, data management, and control. sorting, summarizing, and reporting.
1-43. a. b. c. d. e.
Which of the following steps is generally performed earliest in a procedure? Data validation Data classification Data transcription Data capture Data transmission
1-44. a. b. c. d. e.
Which of the following steps is least considered to be a part of the data processing function? Sorting Programming Batching Calculating Transcribing
1-45. a. b. c. d. e.
Which of the following steps is more likely to be performed during both the data collection and data processing function? Validating Transcribing Recording Sorting Data capture
1-46. a. b. c. d. e.
Which of the following statements is incorrect? Collected data usually undergo a series of processing steps, Collected data may be processed in batches. Data may be classified and summarized during the data processing function. New data may not be created during the data processing function. Processed data are often stored for later retrieval.
1-47.
Which of the following is not a processing step performed by the formal information system of a typical merchandising firm? Calculate total of today's cash receipts. Count and inspect received merchandise. Prepare analysis of this week's sales. Post receipts of merchandise to inventory records. Sort employee time cards.
a. b. c. d. e. 1-48. a. b. c. d. e.
Which of the following topics is least likely to be in the common body of knowledge for accountants? Transaction processing systems Information needs for managerial decision makers Programming languages for data base systems Internal controls Uses of computers in accounting applications
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1-49. a. b. c. d. e.
Which of the following terms does not relate to data management? Data base Updating Monitoring Retrieving Filing
1-50. a. b. c. d. e.
Which of the following functions has the primary purpose of ensuring the accuracy of data? Data processing Data control Data management Data collection Information generation
1-51. a. b. c. d. e.
Rendering reports more understandable and usable by managers is one aspect of which step in the information generation function? Reporting Translating Transcribing Communicating Transmitting
1-52. a. b. c. d. e.
Which of the following procedural sequences appears to be most logical? Recording, batching, reporting, classifying, sorting, analyzing Storing, recording, classifying, reporting, storing, retrieving Recording, classifying, sorting, storing, retrieving, reporting Transmitting, storing, retrieving, calculating, reporting, sorting Recording, transcribing, sorting, reducing, storing, reporting
1-53. a. b. c. d. e.
Which of the following roles can the accountant fulfill with respect to information systems? Designer User Evaluator b and c a, b and c
1-54.
Which of the following are heavily involved in generating score-keeping information for financial statements? Managerial accountants Tax specialists Auditors Financial accountants Systems designers
a. b. c. d. e. 1-55. a. b. c. d. e.
Which of the following are mainly involved in providing information to managers that can be used in making decisions? Managerial accountants Tax specialists Financial accountants Systems designers Auditors
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1-56. a. b. c. d. e.
Which of the following is least likely to arise in the future? Increasing use of computers in business firms Increasing use of information technology in business operations Increasing distinction between accounting and non-accounting information Increasing scope of accounting information system within business firms Increased use of decision models to aid decision making
1-57. a. b. c. d. e.
Which of the following express an opinion concerning the efficiency and effectiveness with which a firm's system-related resources are being used? Financial accountants Tax specialists Accounting managers Auditors Systems designers
1-58. a. b. c. d. e.
Two fundamental models employed by the accounting information systems are the: data model and the information model. accounting model and the information model asset model and the equity model. financial accounting model and the managerial accounting model. cost accounting model and the tax accounting model.
1-59. a. b. c. d. e.
Which of the following models would not be classified as a managerial accounting model? Cost-volume-profit model Funds-flow statement model Cost-variance analysis model Capital budgeting model Cash-flow forecasting model
1-60. a. b. c. d. e.
Which type(s) of information is (are) provided by the accounting information system? Attention-directing information Scorekeeping information Decision-making information a and b, above a, b, and c, above
1-61. a. b. c. d. e.
Which of the following roles is least likely to be assumed by current accountants? Users of computer-generated information Auditors of financial statements and records Operators of computer systems Designers of computerized controls and security measures Preparers of managerial reports
1-62. 1. 2. 3. 4. 5.
Listed below are the steps in the systems development life cycle. What is the correct sequence? Systems analysis Systems implementation Systems planning Systems operation Systems design
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The correct sequence of steps in the systems development life cycle is: a. 1-3-5-2-4 b. 3-1-5-2-4 c. 1-5-3-2-4 d. 3-1-5-4-2 e. 5-1-3-2-4 1-63. a. b. c. d. e. **1-64. a. b. c. d. e.
The systems development phase that precedes the systems operation phase is the: systems planning phase. systems analysis phase. systems design phase. systems justification and selection phase. systems implementation phase. An accounting information system (AIS) is distinguished from a management information system (MIS) by the fact that: an AIS deals with financial information while a MIS handles all other information. an AIS may be either manual or computer-based while a MIS is computer-based. an AIS is a subsystem within a MIS. an AIS is control-oriented while a MIS is used exclusively for planning. information produced by an AIS is used only by financial people while information produced by a MIS is used throughout the organization.
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1-1. 1-2. 1-3. 1-4. 1-5. 1-6. 1-7. 1-8. 1-9. 1-10. 1-11. 1-12. 1-13. 1-14. 1-15. 1-16. 1-17. 1-18. 1-19. 1-20. 1-21. 1-22. 1-23. 1-24. 1-25. 1-26. 1-27. 1-28. 1-29. 1-30. 1-31. 1-32. 1-33. 1-34. 1-35. 1-36. 1-37. 1-38. 1-39. 1-40.
E B D A E C E C A B D B D C E B A A C E D B B D C B C B E D C C B A D E D C D D
1-41. 1-42. 1-43. 1-44. 1-45. 1-46. 1-47. 1-48. 1-49. 1-50. 1-51. 1-52. 1-53. 1-54. 1-55. 1-56. 1-57. 1-58. 1-59. 1-60. 1-61. 1-62. 1-63. 1-64.
B D D B A D B C C B D C E D A C D D B E C B E C
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CHAPTER 2 2-1. a. b. c. d. e.
Which of the following is not a system? A building A restaurant Human body A business firm Financial accounting
2-2. a. b. c. d. e.
Which of the following is not a system? A river Fireworks A state government A baseball team A network of highways
2-3. a. b. c. d. e.
Which of the following is not a characteristic of systems? Computers Objectives Environment Constraints Feedback
2-4. a. b. c. d. e.
Which of the following is not a characteristic of systems? Controls Money Subsystems Input-process-output Environment
2-5. a. b. c. d. e.
The environment of a business firm includes all of the following except: the industry. its creditors. its customers. the purchasing department. its suppliers.
2-6. a. b. c. d. e.
Which of the following statements is not correct? Most industrial age firms use hierarchic structures. Most government organizations use flat structures. Knowledge-intensive organizations use matrix structures. Consulting firms use network structures. All of the above are correct.
2-7. a. b. C. d. e.
Which of the following terms least applies to most systems? Unity Common purpose Simplicity Interdependent parts Orderly functioning
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