At present, we think that cybercrime is:
a) Falling
b) Random
c) Rising
d) Flat
Answer:
Which of these is a business reporting language often used in recording or transmitting
accounting data?
a) XBRL
b) XFile
c) ABC
d) Accounting Live
Answer:
The advantages of around-the-computer auditing include:
a) The emphasis which is placed on testing data processing exceptions
b) Use of live data
c) The minimal disturbance of a company’s records
d) both b and c
Answer:
The most time-consuming path in a PERT network is called the:
a) Slack path
b) Completion path
c) Critical path
d) none of the above
Answer:
Within database systems, a control that restricts user access to precisely designated data
sets and files is called a(an):
a) Layered password
b) Open password
c) Closed password
d) Server password
Answer:
All of the following are benefits of XBRL except:
a) Companies can file financial information in one format, avoiding the errors that may
come from reentering data multiple times
b) The SEC accepts XBRL-format for electronic filing of financial statement reports
c) XBRL permits the automatic and reliable exchange of financial information across
many software formats and technologies, including the Internet
d) all of the above are benefits of XBRL
e) none of the above are benefits of XBRL
Answer:
Which of the following is the most important reason to use POS systems, OCR systems,
or MICR systems?
a) To use the latest information technology
b) To avoid data transcription
c) To create an extra layer of IT infrastructure
d) To decrease dependency on foreign oil
Answer:
For control purposes, the quantities of materials ordered may be omitted from the copy
of the purchase order which is:
a) Forwarded to the accounting department
b) Retained in the purchasing department’s files
c) Returned to the requisitioner
d) Forwarded to the receiving department
Answer:
When assessing a company’s internal control structure policies and procedures, the
primary consideration is whether they
a) Prevent management override
b) Relate to the control environment
c) Reflect management’s philosophy and operating style
d) Affect the financial statement assertions
Answer:
Tape and disk output controls are primarily concerned with:
a) The storage space problem
b) Building control totals
c) Validating checksums
d) The encoding process
Answer:
An organization’s working capital consists of:
a) Its checking accounts
b) Both checking and savings accounts
c) Bank accounts and other liquid assets
d) Coin and currency only
Answer:
Which punctuation mark delineates the separation between a calculated field name and
the formula for that field?
a) Colon
b) Space
c) Asterisk
d) Dash
Answer:
A technique for controlling identification numbers (part number, employee number,
etc.) is:
a) Self-checking (check) digits
b) Echo checks
c) Parity control
d) File protection
Answer:
Which of these best describes prototyping as used in practice?
a) Reiterative process
b) One-time trial
c) Top management exercise
d) all of these describe prototyping
Answer:
The basic unit of information on a computer file of accounting data is a(n):
a) Inventory part number
b) Data field
c) Computer record
d) Bit
Answer:
One form of access security is determining authentic users by “what they know.” Which
of the following would be an example of such authentication?
a) Verifying a password
b) Biometric tests such as retina scans
c) Requesting that the user provide an employee identification card
d) Requiring the user to show a valid driver’s license
Answer:
Regarding a company’s audit trail, which of the following statements is true?
a) Because of the complexities involved in establishing an audit trail, a good audit trail
normally makes it more difficult for an individual to follow the flow of a company’s
business transactions through the company’s information system
b) In actuality, the audit trail established within a company’s information system is an
unimportant element of the company’s internal control system
c) When a company’s audit trail becomes more difficult to follow, this causes an
increase in the risk of errors or irregularities taking place in the processing of
accounting transactions and not being detected
d) A company’s policies and procedures manual should not be part of its audit trail since
confidential information is included within this manual
Answer:
An example of a URL is:
a) .gov
b) 100.100.100.100
c) www.wiley.com
d) <B>Title</B>
Answer:
The financial accounting cycle ends with:
a) The production of financial statements
b) Closing journal entries
c) The production of an adjusted trial balance
d) Development of cash forecasts
Answer:
A laptop computer is an example of a PDA.
Answer:
POS devices, bar code readers, and OCR devices are examples of:
a) Input devices
b) Output devices
c) Processing devices
d) Transaction devices
Answer:
All of the following are true about XBRL tags except:
a) Tags are “extensible”
b) Tags describe the data
c) Tags tell how to display data
d) Tags are now permanently standardized across industries
Answer:
Which of the following statements best describes a business process?
a) It is a collection of activities in an organization that creates value
b) The nature and type of processes might vary from industry to industry
c) It is an activity that increases and/or decreases dollar amounts on the financial
statements
d) It is an economic event in the life of an organization
Answer:
A business continuity plan (BCP) includes which of the following?
a) Backups for hardware
b) Procedures to follow in the event of an emergency
c) Who is in charge during the emergency
d) none of the above
e) Backups, procedures and who is in charge are all part of a BCP
Answer:
The Rreport Wwizard can create reports containing grouped data.
Answer:
All of the following are ways to thwart computer viruses except:
a) Acquire a vaccine or anti-virus program
b) Do not download computer games from questionable sources
c) Maintain complete backup files
d) Buy shrink-wrapped software from reputable sources
Answer:
A company uses the account code 669 for maintenance expense. However, one of the
company’s clerks often codes maintenance expense as 996. The highest account code in
the system is 750. What would be the best internal control check to build into the
company’s computer program to detect this error?
a) A check for this type of error would have to be made before the information was
transmitted to the data processing center
b) Valid-character test
c) Sequence test
d) Valid-code test
Answer:
The steering committee in a systems study:
a) Consists entirely of outside consultants
b) Represents management in a systems study
c) Should include external auditors
d) Is typically composed entirely of end users
Answer:
Which of the following technologies are now used in conjunction with automated
production process systems to increase efficiencies?
a) Radio frequency technology
b) Bar code scanners
c) FRIDs and advanced electronic tags
d) all of the above
e) none of the above
Answer:
In the Internet address www.Name.com.X, the term X usually stands for:
a) A country
b) A city
c) An abbreviation such as “gov”
d) A transmission protocol
Answer:
A system flowchart is a block diagram that:
a) Is used only by auditors
b) Is used primarily when document flowcharts cannot be used
c) Depicts the flow of computer systems in an organization
d) Depicts the flow of data through a computerized accounting information system
Answer:
This is the document flowcharting symbol used to represent an online file:
Answer:
Sorting records is unlike indexing records in that:
a) Sorting physically rewrites records on disks whereas indexing does not
b) Sorting requires a primary key whereas indexing does not
c) Indexing requires a separate database file whereas sorting does not
d) none of these
Answer:
Which of these is not a common selection criterion when choosing an AIS?
a) Performance capabilities of each proposed system
b) Compatibility of each proposed system with existing systems
c) Vendor stability and support
d) The costs and benefits of each proposed system
e) all of these are common selection criteria
Answer:
The Sarbanes-Oxley Act includes a provision that prohibits corporations from making
personal loans to executives.
Answer:
A “turnkey” computer system is a complete set of computer hardware and software that
allows the user to avoid technical decisions and to begin operating quickly.
Answer:
Reports can be modified after they are created.
Answer:
The term “extended ERP systems” refers to ERP systems that have been expanded to
include “front office” capabilities.
Answer:
XBRL allows users to extract and compare financial data from many different
companies.
Answer:
The term “enrollment” refers to the initial reading in a biometric authentication.
Answer:
It is not possible to save a table in Microsoft Access unless you also identify a primary
record key.
Answer:
Subsidiary ledgers are frequently maintained for accounts receivable and inventory
accounts.
Answer:
The critical path represents the longest path through a PERT network diagram.
Answer:
The SEC will not accept XBRL formatted data in electronically filed financial reports.
Answer:
With a job costing system it is not possible to keep track of costs for each item or group
of items produced.
Answer:
SQL is an example of a database query language.
Answer:
It is relatively easy to prevent hackers from unauthorized access to data and programs.
Answer:
BASF is one of the world’s largest telephone companies.
Answer:
An example of a “one-to-many” relationship is ‘students to classes.”
Answer:
An advantage of an ERP system is that, once implemented, maintenance costs are
neglible.
Answer:
All electronic commerce takes place over the Internet.
Answer:
Using Microsoft Access, the “PgUp” button can be used to access the previous record in
a form.
Answer: