For the following terms find the correct definition below and place the letter of that
response in the blank space next to the term. Each definition is used only once there are
four terms that are not used.
1) ______ scalable
2) ______ mashups
3) ______ hosted solution
4) ______ supply chain management (SCM) software
5) ______ bolt-ons
6) ______ ERP
7) ______ business application suites
8) ______ portals
9) ______ value-added reseller (VAR)
10) ______ business intelligence (BI) tools
11) ______ integrated accounting software programs
12) _______back-office
13) ______ PRM software
14) ______ enterprise application integration (EAI)
Definitions:
A. Technology that allows extended ERP systems to interface with individuals inside
and outside an organization
B. Describes a situation where an organization chooses to use cloud computing services
rather than buy software outright
C. Allows companies with legacy applications and databases to integrate and continue
to use those systems
D. Dashboard that collects data from several sources both inside and outside the firm
E. Software that interfaces with suppliers and customers
F. Refers to internal functions and processing within an organization
G. A key success factor for business process reengineering
H. Softwareto gather, maintain, and use data to provide better customer service and
customer loyalty
I. Two important features of this type of technology are its integration and a central
database
J. Process to improve overall customer value and to increase the profitability of the
products or services that the organization offers
K. This is the concept that an organization’s software can grow as the business grows
L. When companies have production or work completed in countries like India, China,
Canada, Mexico, or Malaysia
M. Another term for enterprise resource planning software
N. Software that processes all types of accounting transactions
O. Software that helps managers get the most information from their CRM
P. Software that enhances the working relationship of a company with its strategic
partners
Q. When a company has an ERP and they choose to add a module from another vendor
R. A qualified software installer
Answer:
Freije Refrigeration Company has an inventory of raw materials and parts consisting of
thousands of different items which are of small dollar value individually but significant
in total. A fundamental control requirement of Freije’s inventory system is that:
a) Perpetual inventory records be maintained for all inventory items
b) The taking of physical inventories be conducted on a cycle basis rather than at
year-end
c) The storekeeping function not be combined with the production and inventory
record-keeping functions
d) Material requisitions be approved by an officer of the company
Answer:
ERPs often require BPR because:
a) Business processes must change to accommodate the system
b) Employees cannot breath on their own
c) They are so expensive
d) They require a centralized database
Answer:
An invoice could be created with Microsoft Access by creating a form for the sales data
and a subform for the items sold data.
Answer:
Logical access to the computer system would be best controlled by:
a) Intrusion alarm systems
b) Complex operating systems
c) Restrictions on physical access to online terminals
d) Password codes
Answer:
All of the following are normally associated with the Internet except:
a) IP addresses
b) URL addresses
c) http
d) MICR coding
Answer:
Which of these would be considered suspicious activities under current SAR rules?
a) Money laundering
b) Bribing officials
c) Transferring money to suspected terrorists
d) all of these
Answer:
Which of the following is not one of the groups of SOX compliance requirements?
a) Requirements to use an IT auditor to evaluate controls
b) Regulations governing executive reporting and conduct
c) Rules about financial statement reporting
d) Audit committee/corporate governance requirements
Answer:
A system that uses inexpensive or diskless microcomputers instead of more expensive
models to save money on system acquisition and maintenance costs describes which
component of a client/server system?
a) Data-management component
b) Application-logic component
c) Thin-client system
d) Presentation component
Answer:
In Access, the terms ‘size,” “data type,” and “input mask” are mostly closely associated
with:
a) A table
b) A record
c) A data field
d) A database
Answer:
Application software that enables businesses and government agencies to maintain,
transmit and manipulate financial data on an organization-wide basis best describes:
a) Communication software
b) CAD software
c) Enterprise resource planning (ERP) software
d) Programming software
Answer:
Which of the following is not normally used as a control total to check the validity of
data processing activities?
a) Edit tests
b) Batch totals
c) Record counts
d) Hash totals
Answer:
Inputs to the financing process include:
a) Remittance advices, deposit slips, checks, and stock market data
b) Remittance advices, deposit slips, checks, and receiving reports
c) Deposit slips, checks, receiving reports, and purchase requisitions
d) Deposit slips, checks, purchase requisitions, and financial institution profiles
Answer:
To perform a range test of the “hours worked” data field for an employee, you should
store the term “Between 0 and 40” in which of these properties in Access?
a) Text
b) Testing procedure
c) Validation rule
d) Validation text
Answer:
When we talk about “front-office” capabilities of today’s ERP systems, we are referring
to which of the following?
a) The payroll functions
b) The human resource functions
c) The administrative functions
d) none of the above
Answer:
Which of the following control procedures provides physical protection for a company’s
cash asset?
a) Majority of authorized cash disbursements made by check
b) Daily cash receipts deposited intact at bank
c) Voucher system for cash disbursements
d) all of the above
Answer:
A hosted (cloud) ERP system is an example of which component of an ERP?
a) Internet portal
b) Bolt-on component
c) Configuration
d) Database
Answer:
Forms are not capable of which of the following?
a) Read-only display
b) Auto-complete features
c) Validating input
d) Preventing all entry errors
Answer:
Which of the following personnel policies would be the most useful in mitigating fraud
or embezzlement?
a) Fidelity bonds for key employees
b) Careful hiring procedures for key employees
c) Having a Code of Conduct
d) Required vacations for key employees
Answer:
Which one of these design feasibility areas is typically performed by accountants?
a) Economic
b) Organizational
c) Hardware
d) Schedule
e) Social
Answer:
Which of the following audit techniques is likely to require the most technical expertise
on the part of an auditor?
a) Test data
b) Integrated test facility
c) Evaluation of program change control
d) Parallel simulation
Answer:
Which of these is an example of a data query language?
a) ABC
b) SQL
c) DDL
d) JPG
Answer:
The four phases of the systems development life cycle end with this phase:
a) Analysis
b) Design
c) Implementation, follow-up, and maintenance
d) Development
Answer:
Through-the-computer auditing uses all of the following except:
a) Confirmation sampling
b) Test data
c) Tests of program authorization
d) Embedded audit modules
Answer:
Which of these is not a basis for authenticating a person and validating his or her
identity?
a) Something they have (such as a key)
b) Something they know (such as a password)
c) Something they are (such a fingerprint)
d) Something they can do (such as a walking gait)
e) all of these are methods for authenticating users
Answer:
Which of the following is not a processing control?
a) Record counts
b) Control totals
c) Hash totals
d) Check digits
Answer:
According to the chapter, which of these statements is most accurate?
a) Almost all cybercrime is committed for personal gain
b) Very little cybercrime is committed for personal gain
c) Most cybercrime is just as easily described as “embezzlement”
d) We actually know very little about cybercrime
Answer:
Lean manufacturing involves:
a) Decreasing production
b) Using nonmonetary measures of performance
c) Eliminating wasteful processes
d) all of the above
Answer:
Those control procedures that are designed to remedy problems discovered through
detective controls are called:
a) Corrective controls
b) Preventive controls
c) Before-the-fact controls
d) Management-by-exception controls
Answer:
Which of the following data flow diagram symbols is correctly identified?
a) External entity
b) Internal entity
c) Communication link (e.g., a satellite connection)
d) Data store (file)
Answer:
Which of the following describes “cloud computing”?
a) It is a is a way of using business applications over the Internet
b) It is an internal business process over the organizations intranet
c) It is an internal business process over the organizations extranet
d) none of these
Answer:
A computerized AIS is harder to audit than a manual system for all of the following
reasons except:
a) The file information is not human readable
b) The volume of transaction records and master file records is usually much larger in
computerized systems than in manual systems
c) An audit trail does not exist in a computerized AIS
d) Computerized systems often use remote real-time data processing, thus complicating
the tracing of transaction records to their sources
Answer:
A subform is:
a) A subordinate form within a form
b) A smaller, independent form compared to another form
c) A specialized form used to create a report
d) none of these
Answer:
Risks of using an integrated test facility include:
a) Failure to remove fake transactions from the client’s system
b) High costs of building the facility
c) Discovery of many control weaknesses
d) none of the above
Answer:
Control totals are used as a basic method for detecting data errors. Which of the
following is not a control figure used as a control total in automated accounting
systems?
a) Non-financial totals
b) Check-digit totals
c) Hash totals
d) Financial totals
Answer:
A computer virus may lie dormant in a system until software is copied and run on
non-licensed machines.
Answer:
The acronym CRM stands for “computer resource management.”
Answer:
Most systems development life cycles consist of mutually exclusive activities, with
little overlap between the stages.
Answer:
A computer network spanning a small area such as a single building is a WAN.
Answer:
Documentation can help train new users of an accounting information system.
Answer:
As part of the systems follow-up work, an implementation team can watch employees
perform their work activities to ascertain whether the employees are executing their
assigned job functions correctly.
Answer:
Experts suggest that policies on computer abuse are ineffective, and therefore should
not be used to help educate employees about computer abuse.
Answer:
The starting point for an audit trail of a payroll system might be an employee time card.
Answer:
The acronym CRM stands for “computerized relationship module.”
Answer:
Define computer virus.
Answer:
What are process maps? Are they useful to accountants? If so, how?
Answer:
A cash disbursements journal is an example of a special journal.
Answer:
Embedded audit modules and audit hooks are examples of continuous auditing
techniques.
Answer:
Test of program length is one approach to detecting the existence of a Trojan Horse.
Answer:
The terms kilobyte, megabyte, terabyte, andgigabyte are correctly ordered by size or
capacity.
Answer:
In Access, you can create a “report” that displays the name and address of only a single
vendor.
Answer:
AISs are only concerned with financial information.
Answer: