90) Sue Pang enters sales data directly into the computer-input program using a keyboard. The
type of system Sue is using is a(n)
A) automatic identification system.
B) manual data entry system.
C) point-of-sale system.
91) In an electronic input system requiring human intervention, the main processing phases and
their proper sequence are
A) (1) data input and (2) data editing.
B) (1) data editing and (2) data input.
C) (1) data input and editing, and (2) transfer to the host application system.
D) (1) data input, (2) transfer to the host application system, and (3) data editing.
92) A customer pumps gas at a local convenience store. The customer pays for the gasoline by
inserting a credit card into the gasoline pump. This is an example of a(n)
A) networked vending machine.
B) point-of-sale system.
C) automatic identification system.
D) electronic data interface system.
93) A batch processing system would work best when processing
A) inventory.
B) payroll.
C) accounts receivable.
D) accounts payable.
94) The first step in a batch-processing environment using sequential file updating is
A) preparing general ledger reports.
B) updating the master file.
C) preparing the transaction file.
D) updating the general ledger.
95) In a system using batch processing with sequential file updating, at what point is the general
ledger updated?
A) After all master files are updated
B) After each transaction batch is entered
C) After all transactions are entered
D) After each transaction batch is edited
96) When preparing the transaction file in a batch processing with sequential file system, the edit
program
A) builds a transaction file from processed batch input.
B) performs batch balancing procedures.
C) ensures all documents are accounted for prior to processing.
D) accumulates revised batch-control totals for the input data.
97) When a system sorts edited data immediately before a master file update in a batch-oriented
system, the operation sequence for editing and sorting is called
A) sort and edit.
B) edit and sort.
C) sort and update.
D) edit and update.
98) Alberta Products Company updates their accounts receivable master file each day. The EDP
department uses the son-father-grandfather retention of master files. A computer operator
accidentally destroyed the most recent accounts receivable master file by using the purchase
transaction file to update it. The operator now has today’s correct transaction file. How can the
operator reconstruct the accounts receivable master file for the update?
A) Process yesterday’s son against today’s transaction file.
B) Process yesterday’s grandfather against yesterday’s transaction file.
C) Process yesterday’s father against yesterday’s transaction file.
D) Process yesterday’s son against yesterday’s transaction file.
99) The master file in a computer system is equivalent to which one of the following manual
system features?
A) Subsidiary ledger
B) Journal
C) Register
D) Log
100) For a general ledger accounting system to be properly maintained, data must be
A) collected.
B) recorded.
C) properly classified and entered into appropriate records for further summations.
D) All of these answers are correct.
101) In a general ledger file update, all entries into the general ledger are
A) first documented using a journal voucher.
B) updated by each user department as necessary.
C) dumped and not processed if any invalid data is found in any entry.
D) first documented using a journal voucher, then are used to build a journal voucher file.
102) Computer processing of accounting data is typically composed of
A) producing preliminary reports and then final listings after submission of corrections.
B) five steps which occur in four separate and distinct cycles.
C) seven steps (following the typical accounting cycle).
D) a series of mathematical algorithms.
103) In a general ledger accounting system, the link created between the general ledger accounts
and the report(s) in which they appear is called
A) a line locator.
B) line coding.
C) soft coding.
D) hard coding.
104) The type of file updating which should be used in a DBMS system using batch processing
is
A) random-access.
B) sequential-access.
C) automatic.
D) peer-to-peer.
105) In a cash remittance processing, the open-items accounts receivable file serves as the
A) billing data.
B) credit sales journal.
C) accounts receivable control account.
D) subsidiary accounts receivable ledger.
106) An electronic processing system can be used
A) only in a batch environment.
B) with real-time, on-line processing.
C) in either a batch or real-time, on-line processing environment.
D) in situations where documentation is not a priority.
107) The type of OLRS system in which users do not input, but only request information, is a(n)
A) data entry system.
B) inquiry/response system.
C) file processing system.
D) transaction processing system.
108) Which application would not be ideally suited to processing by an OLRS system?
A) Payroll
B) On-line reservations
C) Inventory control
D) Customer accounts
109) A technology that is not typically used in a real-time sales system is
A) bar coding.
B) sequential file processing.
C) a POS system.
D) an EDI ordering system.
110) A retail sales Point-of-Sale terminal
A) records cash and charge sales.
B) updates inventory records.
C) provides data for posting to daily sales records.
D) All of these answers are correct.
111) Automatic identification of products is greatly enhanced by
A) using UPC as a base.
B) employing JIT processing.
C) manually prepared price tags affixed by receiving personnel upon delivery.
D) transaction tagging using each manufacturer’s unique inventory control numbers.
112) In a real-time sales system, which transaction-processing step below would not be
performed entirely by using EDI?
A) Receiving and translating an incoming customer order
B) Sending an acknowledgement of the incoming order
C) Sending the customer a three-ring bound catalogue using the U.S. mail
D) Transmitting an advanced shipping notice to the customer
113) Output systems can be manual, electronic, or something in between. Irrespective of the
media used in an output system, output distribution should be controlled using a
A) distribution register.
B) transaction register.
C) check register.
114) Presented below is a list of terms relating to accounting information systems, followed by
definitions of those terms.
Required: Match the letter next to each definition with the appropriate term. Each answer will be
used only once.
________ 1. Key verification
________ 2. Valid code check
________ 3. OLRS
________ 4. Output distribution register
________ 5. Tagging
________ 6. Check digit
________ 7. Output controls
________ 8. Son-father-grandfather retention
________ 9. Table lookup
________ 10. Batch processing
A. Designed to check that processing results in valid output and that outputs are distributed
properly to users
B. On-line real-time system
C. Source documents are accumulated into groups for periodic processing
D. A table-lookup procedure in which the table file consists of valid data codes
E. Audit-oriented information that is included with original transaction data when they are
recorded
F. A control procedure to ensure the accuracy of the key-transcribed input data
G. A log maintained to control the disposition of outputs and reports
H. An extra digit added to a code number which is verified by applying mathematical
calculations to the individual digits in the code number
I. An edit program that compares the value of a field to the acceptable values contained in a
table file
J. Retaining the old master and the transaction file for backup over the new master file
115) Presented below is a list of terms relating to accounting information systems, followed by
definitions of those terms.
Required: Match the letter next to each definition with the appropriate term. Each answer will be
used only once.
________ 1. Key verification
________ 2. Real-time
________ 3. On-line, real time computing
________ 4. Input document control form
________ 5. Tagging
________ 6. Program data editing
________ 7. Valid code check
________ 8. Transaction processing system
________ 9. Table lookup
________ 10. POS system
A. A table-lookup procedure in which the table file consists of valid data codes
B. A system that processes input data immediately after they are input and can provide
immediate output to users
C. Technology that enhances the traditional cash register to allow it to function as a source data-
entry device for sales transactions
D. A computer environment where immediate or fast-response processing occurs
E. Audit-oriented information that is included with original transaction data when they are
recorded.
F. A control procedure to ensure the accuracy of the key-transcribed input data
G. Documents batch control totals for batches of input data transmitted between user
departments and the data processing department
H. A software technique used to screen data prior to computer processing
I. An edit program that compares the value of a field to the acceptable values contained in a
table file
J. A system that collects and processes transactions and provides immediate output concerning
processing
116) Base your answer using the following version of the Modulus 11-check digit found in
Chapter 6.
For a four-digit account number:
1. Multiply each digit separately by the corresponding digit in the sequence: 5, 4, 3, 2.
2. Add results of digit multiplication in Step 1, digit-by-digit.
3. Subtract Step 2 results from the next highest multiple of 11.
4. The Step 3 result is the check digit.
Required: Calculate the check digit for each of the following account numbers:
a. 8369
b. 2386
117) Base your answer using the following version of Modulus 11-check digit found in Chapter
6.
For a four-digit account number:
1. Multiply each digit separately by the corresponding digit in the sequence: 5, 4, 3, 2.
2. Add results of digit multiplication in Step 1, digit-by-digit.
3. Subtract Step 2 results from the next highest multiple of 11.
4. The Step 3 result is the check digit.
Required: Calculate the check digit for each of the following account numbers:
a. 2596
b. 7428
118) The following input is in an accounts receivable application:
Account number Gross amount
5864 8362
1438 7866
2289 6483
9822 8968
2877 5214
Required: Calculate the appropriate (a) record count; (b) financial total; and (c) hash total.
119) The following input is in an accounts payable application:
Account number Gross amount
6289 9482
3276 4860
1280 7298
9764 9062
1283 5775
Required: Calculate the appropriate (a) record count; (b) financial total; and (c) hash total.
120) For each of the following situations, indicate the program data editing technique that is
appropriate to detect the error:
a. A system user transposed digits when entering a customer’s account number.
b. An input clerk input the wrong sales territory number for employee number 35 in a sales
commissions payable program.
c. The data processing department failed to process all the items in a batch.
121) For each of the following situations, indicate the program data editing technique that is
appropriate to detect the error:
a. Calgary Mountain Equipment Company uses prenumbered sales orders. The company is not
sure that it can account for all sales orders for the week of October 21, 200X.
b. The amount of a check in a vouchers payable program was negative.
c. A data entry clerk failed to complete customer address information in a batch of sales orders.
122) Describe how random-access file updating differs from sequential file updating.
123) Describe how a son-father-grandfather master file retention system works. Describe how a
master file destroyed in an update can be restored using this retention system.
124) Discuss the components necessary to operate a real-time sales system.
125) What are the benefits of program data editing?
126) Discuss how batch totals are prepared and used. Explain how the use of batch totals and
data transfer logs helps to establish segregation of duties between user departments and the data
processing department.