Accounting Information Systems, 2e (Kay/Ovlia)
Chapter 6 Integrated Enterprise Systems and Cloud Computing
Objective 1
1) Technological advances in the past 15 to 20 years make it very difficult to integrate the
accounting system with other systems.
2) Silo systems were usually built on platforms (hardware and operating systems) that best fit an
individual department needs.
3) The Internet permits remote sites to use a central database less efficiently.
4) Each time data is rekeyed, it presents another opportunity for errors to enter the system.
5) A computer system that does not connect or communicate with any other computer system is
called a ________.
6) ________ connect stand-along personal computers.
7) Custom programs that connected separate systems is sometimes called ________.
8) Integrated enterprise systems provide an opportunity to use the shared data to create ________
and ________ to monitor enterprise performance.
9) The first computer systems were
A) Connected with other systems using spaghetti code
B) Stand-alone silo systems
C) Connected to other systems using local area networks
D) Connected to other systems wirelessly
10) For optimal effectiveness, the accounting system needs to be
A) Running in a stand-alone environment
B) Integrated throughout the enterprise
C) Inaccessible to accountants
D) Unsecured so that anyone can access the data
11) In the 1960s and 1970s, stand-alone systems within a company were often connected using
A) Spaghetti code
B) Local area networks
C) Wireless networks
D) Flash drive networks
12) In the early 1980s, data was shared between personal computers using
A) Flash drives
B) Local area networks
C) Floppy disks
D) Wireless networks
13) An automated work flow automates
A) Information flow among enterprise segments and other enterprises at remote sites
B) The flow of documents among employees
C) The flow of information among software modules and functional areas
D) The flow of data to databases
14) Automated business processes automate
A) Information flow among enterprise segments and other enterprises at remote sites
B) The flow of documents amount employees
C) The flow of information among software modules and functional areas
D) The flow of data to databases
15) The integrated enterprise system offers a business process management system by combining
all the following EXCEPT
A) Change management
B) Automated workflow
C) Internet technologies
D) Automated business processes
16) Why does an accounting system need to be integrated throughout an enterprise?
17) What are the tiers in a silo computer system?
18) What is a stand-alone, or silo, computer system?
19) Trace the path from stand-alone systems to integrated enterprise systems.
20) What is a client server?
21) What is a local area network (LAN)?
22) What is a client server architecture?
23) Why did many companies install new integrated enterprise systems at the turn of the
millennium?
24) Provide an example of how the integrated enterprise system technology permits data to flow
through functional areas as it passes through the value chain.
1) A well-designed integrated enterprise system offers live information that facilitates business
agility.
2) Overestimating implementation costs is a leading cause of project failures.
3) Integrated systems can improve all the following EXCEPT
A) Communication
B) Coordination of activities
C) Reduction of duplication
D) Shifting to functional silos
4) One of the benefits of an integrated enterprise system is
A) Having to change how business operations are conducted
B) The need to customize the integrated enterprise system to meet specific organizational needs
C) The integration of best practices which facilitate compliance with regulatory and accounting
requirements
D) Managing the change that individuals within the organization experience as a result of the
newly integrated system
5) Business Process Management involves
A) Customizing the accounting system to meet current business practices
B) Writing code to connect multiple heterogeneous systems
C) Managing the change that individuals within the organization experience as the result of
moving to an new system
D) Changing how business operations are conducted
6) What are the benefits of an integrated enterprise system?
7) What are the challenges of an integrated enterprise system?
Objective 3
1) In a three-tier architecture, the database tier and application tier are considered the front-end.
2) The firewall program is like a communication policeman monitoring traffic to and from the
servers, preventing unauthorized access.
3) Typically, firewalls are not constructed between each tier of the three-tier architecture.
4) In three-tier architecture, the database tier and application tier are considered the ________.
5) In a three-tier architecture, the user tier is called the ________.
6) The ________ executes commands to add, update, retrieve, and delete data from the database.
7) The user interface may be text-based or a ________.
8) A ________ is a program on the router, an electronic device that routes data being transferred
on the network.
9) Which tier below is NOT considered part of the integrated enterprise system architecture?
A) Firewall tier
B) User tier
C) Database tier
D) Application tier
10) The most important function of a firewall is
A) Connect the three tiers within the integrated enterprise system
B) Prevent unauthorized access to data
C) Monitor network traffic to and from the server
D) Allow the data to flow free throughout the system
11) A firewall does all the following EXCEPT
A) Monitor network traffic to and from the server
B) Route data being transferred through the network
C) Prevent unauthorized access to data
D) Allow the data to flow freely through the system
12) What does the user tier consist of?
A) Centralized database
B) Front-end client computers
C) Applications, such as Oracle Financial
D) Firewall program
13) Which component in an integrated enterprise system is responsible for preventing
unauthorized access?
A) Graphical User Interface (GUI)
B) RDBMS
C) Firewall
D) Client computer
14) Describe the IT architecture of an integrated enterprise system.
15) Why are firewalls placed between each tier of the integrated enterprise system?
16) What is a firewall?
Objective 4
1) Integrated enterprise systems, such as SAP, are able to integrate with customer systems to
share data with customers.
2) SAP software is used around the globe by large companies to integrate supply chain,
operations, sales, human resources, and accounting functions.
3) SAP uses a navigation pane with tabs that correspond to the modules in the baseline
accounting system.
4) The SAP A/R Invoice is used to bill items received from a vendor.
5) When a system allows the copying information from an existing document, such as a purchase
order, it saves time and reduces the opportunity for error.
6) When items are received from a vendor, SAP Business All-in-One requires someone to
7) With SAP, it is not necessary to enter adjusting journal entries into the system. SAP calculates
the values automatically at year end.
8) Some integrated enterprise system providers may also have additional modules to use in
budgeting and cost accounting functions.
9) The integrated database management system offers the enterprise additional reporting
capabilities that could not be offered before the era of integrated systems.
10) Access to the SAP system is determined by the ________ assigned to a specific employee.
11) ________ is designed for midsize businesses wanting an integrated enterprise system.
12) ________ is designed for small and midsize businesses seeking an integrated solution that
goes beyond accounting-only software.
13) SAP Business All-in-One for midsize companies uses a ________ with traffic light alerts to
track the order status from order placement, picking, and delivery.
14) The SAP purchasing module corresponds to the ________ module in the baseline accounting
model.
15) To record items received, SAP uses a form called a ________.
16) Table names in MS SQL Server start with the prefix [dbo] which stands for ________.
17) ________ includes business intelligence software to provide additional analysis for improved
decision making.
18) Integrated enterprise system are capable of doing all of the following EXCEPT
A) Integrate with vendor systems to share data with vendors
B) Integrate enterprise modules to share data among the modules
C) Integrate with competitor systems to gain a competitive advantage
D) Integrate with customer systems to share data with customers
19) The SAP Business One is designed for small and mid-size businesses wanting which of the
following?
A) Just an integrated enterprise system
B) A solution that goes beyond accounting-only software
C) A customized integrated enterprise system
D) None of the above
20) The sales cycle starts with the customer and ends with
A) The receipt of goods
B) The delivery of goods
C) The payment of cash
D) The collection of cash
21) In SAP customer payment is recorded on a deposit form which is accessed in the
A) Business Partners tab
B) Administration tab
C) Sales tab
D) Banking tab
22) In SAP Business All-in-One, the customer cockpit uses traffic light alerts to track the order
status from
A) Order placement, picking, and delivery
B) Order placement, delivery, and payment
C) Order fulfillment, delivery, and payment
D) Order fulfillment, picking, and payment
23) What does SAP call the sales cycle?
A) Order-to-pay
B) Procure-to-pay
C) Order-to-cash
D) Goods-to-cash
24) Which form below is NOT one of the forms used in the SAP purchasing module?
A) A/P Invoice
B) Purchase Order
C) A/P PO
D) Goods Receipt PO
25) The Goods Receipt PO form corresponds to the ________ event in the baseline module.
A) Enter bills
B) Receive items
C) Create purchase order
D) Count inventory
26) When SAP Business All-In-One performs a three-way match in the purchasing module, what
is NOT used?
A) The goods received
B) PO
C) A/P Invoice
D) A/R Invoice
27) SAP provides two formats for employees to enter time. They are
A) Weekly and monthly
B) Daily and monthly
C) Daily and weekly
D) Hourly and daily
28) In integrated enterprise systems the financial module is sometimes called the
A) Banking module
B) Finance module
C) General ledger module
D) Journal module
29) SAP provides the ability to create reports using all of the following EXCEPT
A) Query wizard
B) Predefined reports
C) MS Excel
D) Manual calculations
30) Why do you need to learn about SAP or SAP Business One?
31) What SAP products are available for small and mid-sized companies?
32) Using the SAP purchasing module, explain how a workflow can be integrated into a system.
33) How do employees add their time worked to the database using SAP?
1) Cloud computing uses remote computing facilities owned by third parties to run software
applications and store files.
2) The cloud is typically accessed over an intranet.
3) With IaaS, an enterprise rents programming languages, operating systems, networks, and
storage needed for deploying or developing applications.
4) With SaaS, an enterprise rents the data storage, hardware, servers, and networks needed to
support their operations.
5) When you enter data into a cloud-based system, the data is not stored in a database.
6) Cloud server farms are frequently located ________.
7) The ________ cloud service level lets an enterprise out source IT equipment as needed to
support operations, including data storage, hardware, servers, and networks.
8) The ________ cloud service level lets an enterprise out source the platform (programing
languages, operating systems, networks, servers, and storage) needed to deploy or develop
applications (software).
9) The ________ cloud service level lets an enterprise out source software applications.
10) Which cloud service level lets an enterprise rent data storage, hardware, servers, and
networks while the provider houses, runs, and maintains them?
A) PaaS (Platform-as-a-Service)
B) SaaS (Software-as-a-Service)
C) IaaS (Infrastructure-as-a-Service)
D) CaaS (Cloud-as-a-Service)
11) Which cloud service level lets an enterprise rent programming languages, operating systems,
networks, servers, and storage needed to deploy or develop applications?
A) PaaS (Platform-as-a-Service)
B) SaaS (Software-as-a-Service)
C) IaaS (Infrastructure-as-a-Service)
D) CaaS (Cloud-as-a-Service)
12) Which cloud service level lets an enterprise rent software applications?
A) PaaS (Platform-as-a-Service)
B) SaaS (Software-as-a-Service)
C) IaaS (Infrastructure-as-a-Service)
D) CaaS (Cloud-as-a-Service)
13) Which of the following is NOT a cloud service level?
A) PaaS (Platform-as-a-Service)
B) SaaS (Software-as-a-Service)
C) IaaS (Infrastructure-as-a-Service)
D) CaaS (Cloud-as-a-Service)
14) Loss of control over when new upgrades and technologies are applied to the cloud can be
categorized as which type of challenge to cloud computing?
A) Security
B) Data
C) Investment
D) Mobility
15) Define the IaaS (Infrastructure-as-a-Service) level of cloud computing.
16) Define the PaaS (Platform-as-a-Service level of cloud computing.
17) Define the SaaS (Software-as-a-Service) level of cloud computing.
18) What are the investment, security, accessibility, data, and mobility benefits of cloud
computing?
19) What are the investment, security, accessibility, data, and mobility challenges of cloud
computing?