WGU D217 ACCOUNTING INFORMATION SYSTEMS
OA EXAM 2026 QUESTIONS, VERIFIED ANSWERS
1. Which condition of the Safe Harbor Agreement addresses the privacy
concern related to the purposes for which an organization collects and
uses information?
Security
Data Integrity
Enforcement
Notice
2. What is the primary reason management may reject the proposal to
upgrade the ERP system?
External audit recommendations
Increased IT controls
Internal control objectives
Cost-effectiveness
3. Describe the role of the sales amount in the credit approval process.
The sales amount is only considered after credit is approved.
The sales amount is irrelevant to credit approvals.
The sales amount helps determine the creditworthiness of a
customer by assessing their purchasing capacity.
The sales amount is used to calculate profit margins.
4. An IS auditor involved as a team member in the detailed system design
phase of a system under development would be most concerned with:
User acceptance test schedules
, Internal control procedures
Adequacy of the user training program
Clerical processes for resubmission of rejected items
5. If a company fails to send a purchase order to a vendor, what potential
issues could arise in the procurement process?
Automatic approval of the order by the vendor.
Miscommunication regarding order details and potential
delays in receiving goods.
Immediate payment to the vendor.
Reduction in inventory costs.
6. What is the primary responsibility of management under the Sarbanes-
Oxley Act regarding internal controls?
Implementing controls to prevent and detect fraud.
Training employees on financial reporting standards.
Preparing financial statements for external review.
Conducting external audits of financial statements.
7. In a scenario where a company needs to quickly implement a new
software solution for order entry, which type of system would be most
appropriate, and why?
A turnkey system, because it is ready for immediate
implementation without the need for extensive customization.
A custom-built system, as it allows for tailored features specific
to the company's needs.
An open-source system, since it can be modified freely by the
company's IT team.
, A legacy system, because it has been proven effective in the
past.
8. If an organization fails to provide clear notice of the purposes for which
it collects information, what potential consequence could it face under
the Safe Harbor Agreement?
Legal repercussions for non-compliance.
No consequences as long as data is encrypted.
Increased customer trust and loyalty.
Enhanced data collection capabilities.
9. Describe the role of questionnaires in the control testing process as
outlined in the Sarbanes-Oxley Act.
Questionnaires are only used for fraud detection.
Questionnaires are used to collect financial data from
management.
Questionnaires guide auditors in assessing the effectiveness of
internal controls.
Questionnaires replace the need for physical audits.
10. What are considered fixed assets in an organization?
Inventory
Buildings
Accounts Receivable
Cash
11. What are the essential stages involved in the data warehousing
process?
, Modeling data, extracting data, cleansing data, transforming
data, loading data
Extracting data, modeling data, reporting data, cleansing data,
loading data
Collecting data, analyzing data, storing data, reporting data,
deleting data
Gathering data, organizing data, evaluating data, reporting data,
archiving data
12. Interpret the significance of providing clear notice to individuals about
the purposes of information collection as stated in the Safe Harbor
Agreement.
It ensures transparency and allows individuals to understand
how their information will be used.
It provides a legal framework for data sharing.
It allows organizations to collect more data without consent.
It limits the organization's liability in case of data breaches.
13. What is the primary benefit of separating the systems development
function into new systems development and systems maintenance
groups?
Reduced costs of development
Faster system implementation
Increased user satisfaction
Improved systems documentation
14. How does the reasonable assurance modifying assumption relate to
the decision-making process regarding the ERP system upgrade?
It states that increased IT controls are always beneficial.
OA EXAM 2026 QUESTIONS, VERIFIED ANSWERS
1. Which condition of the Safe Harbor Agreement addresses the privacy
concern related to the purposes for which an organization collects and
uses information?
Security
Data Integrity
Enforcement
Notice
2. What is the primary reason management may reject the proposal to
upgrade the ERP system?
External audit recommendations
Increased IT controls
Internal control objectives
Cost-effectiveness
3. Describe the role of the sales amount in the credit approval process.
The sales amount is only considered after credit is approved.
The sales amount is irrelevant to credit approvals.
The sales amount helps determine the creditworthiness of a
customer by assessing their purchasing capacity.
The sales amount is used to calculate profit margins.
4. An IS auditor involved as a team member in the detailed system design
phase of a system under development would be most concerned with:
User acceptance test schedules
, Internal control procedures
Adequacy of the user training program
Clerical processes for resubmission of rejected items
5. If a company fails to send a purchase order to a vendor, what potential
issues could arise in the procurement process?
Automatic approval of the order by the vendor.
Miscommunication regarding order details and potential
delays in receiving goods.
Immediate payment to the vendor.
Reduction in inventory costs.
6. What is the primary responsibility of management under the Sarbanes-
Oxley Act regarding internal controls?
Implementing controls to prevent and detect fraud.
Training employees on financial reporting standards.
Preparing financial statements for external review.
Conducting external audits of financial statements.
7. In a scenario where a company needs to quickly implement a new
software solution for order entry, which type of system would be most
appropriate, and why?
A turnkey system, because it is ready for immediate
implementation without the need for extensive customization.
A custom-built system, as it allows for tailored features specific
to the company's needs.
An open-source system, since it can be modified freely by the
company's IT team.
, A legacy system, because it has been proven effective in the
past.
8. If an organization fails to provide clear notice of the purposes for which
it collects information, what potential consequence could it face under
the Safe Harbor Agreement?
Legal repercussions for non-compliance.
No consequences as long as data is encrypted.
Increased customer trust and loyalty.
Enhanced data collection capabilities.
9. Describe the role of questionnaires in the control testing process as
outlined in the Sarbanes-Oxley Act.
Questionnaires are only used for fraud detection.
Questionnaires are used to collect financial data from
management.
Questionnaires guide auditors in assessing the effectiveness of
internal controls.
Questionnaires replace the need for physical audits.
10. What are considered fixed assets in an organization?
Inventory
Buildings
Accounts Receivable
Cash
11. What are the essential stages involved in the data warehousing
process?
, Modeling data, extracting data, cleansing data, transforming
data, loading data
Extracting data, modeling data, reporting data, cleansing data,
loading data
Collecting data, analyzing data, storing data, reporting data,
deleting data
Gathering data, organizing data, evaluating data, reporting data,
archiving data
12. Interpret the significance of providing clear notice to individuals about
the purposes of information collection as stated in the Safe Harbor
Agreement.
It ensures transparency and allows individuals to understand
how their information will be used.
It provides a legal framework for data sharing.
It allows organizations to collect more data without consent.
It limits the organization's liability in case of data breaches.
13. What is the primary benefit of separating the systems development
function into new systems development and systems maintenance
groups?
Reduced costs of development
Faster system implementation
Increased user satisfaction
Improved systems documentation
14. How does the reasonable assurance modifying assumption relate to
the decision-making process regarding the ERP system upgrade?
It states that increased IT controls are always beneficial.
