ACCESS Test Bank for Introduction to Data Analytics for Accounting 2nd Editio
j j j j j j j j j j j
n Richardson j
Richardson,jTerrell,jTeeterj–jIntroductionjtojDatajAnalyticsjforjAccounting,j2ndj Editionj–jChapterj1
Chapter 1 End-of-Chapter Assignment Solutions
j j j j
Multiple Choice Questions
j j
1. (LOj1-2)jWhichjisjthejlowestjleveljofjcriticaljthinkingjskillsjinjBloom’sjTaxonomy?
a. Create
b. Remember
c. Apply
d. Analyze
2. (LOj1-2)jWhichjisjthejhighestjleveljofjcriticaljthinkingjskillsjinjBloom’sjTaxonomy?
a. Create
b. Apply
c. Analyze
d. Understand
3. (LOj1-
2)jWhichjisjthejappropriatejorderingjofjcriticaljthinkingjskillsjinjBloom’sjTaxonom
y,jwherejthej“>”jsymboljmeansjhigherjorderjskills?
a. Rememberj>jApply
b. Applyj>jAnalyze
c. Analyzej>jEvaluate
d. Createj>jAnalyze
4. (LOj1-3)jWhichjstepjofjthejAMPSjmodeljmostjappropriatelyjaddressesjthejaxiom,
“Yourjdatajwon’tjspeakjunlessjyoujaskjitjthejrightjdatajanalyticsjquestions”?
a. AskjthejQuestion
b. MasterjthejData
c. PerformjthejAnalysis
d. SharejthejStory
5. (LOj1-
3)jWhichjstepjofjthejAMPSjmodeljmostjappropriatelyjaddressesjthejquestionjofjthejbes
tjwayjtojcommunicatejdatajanalyticsjfindingsjwithjajdecisionjmaker?
a. AskjthejQuestion
b. MasterjthejData
c. PerformjthejAnalysis
d. SharejthejStory
6. (LOj1-
3)jWhatjtypejofjquestionjisjpredictingjwhetherjajcompanyjwilljgojbankruptjinjthejcomin
gjtwojyears?
a. Whatjhappened?jWhatjisjhappening?
b. Whyjdidjitjhappen?jWhatjarejthejrootjcausesjofjpastjresults?
c. Willjitjhappenjinjthejfuture?jWhatjisjthejprobabilityjsomethingjwilljha
ppen?jIsjitjforecastable?
©jMcGrawjHilljLLC.jAlljrightsjreserved.jNojreproductionjorjdistributionjwithoutjthejpriorjwrittenjconsentjofjMcGrawjHilljLLC.
1-1
mynursytest.store
,ACCESS Test Bank for Introduction to Data Analytics for Accounting 2nd Editio
j j j j j j j j j j j
n Richardson j
Richardson,jTerrell,jTeeterj–jIntroductionjtojDatajAnalyticsjforjAccounting,j2ndj Editionj–jChapterj1
d. Whatjshouldjwejdojbasedjonjwhatjwejexpectjwilljhappen?jHowjdojwe
optimizejourjperformancejbasedjonjpotentialjconstraints?”
7. (LOj1-
3)jWhatjtypejofjquestionjisjchoosingjtojtakejcertainjtaxjdeductionsjbasedjonjthejwayjm
anagersjbelievejtaxjlegislationjwilljchangejinjthejnearjfuture?
a. Whatjhappened?jWhatjisjhappening?
b. Whyjdidjitjhappen?jWhatjarejthejrootjcausesjofjpastjresults?
c. Willjitjhappenjinjthejfuture?jWhatjisjthejprobabilityjsomethingjwilljhappen?jIsjitj
forecastable?
d. Whatjshouldjwejdojbasedjonjwhatjwejexpectjwilljhappen?j Howjdojwe
optimizejourjperformancejbasedjonjpotentialjconstraints?”
8. (LOj1-
3)jWhatjtypejofjquestionjisjfindingjthejdetailjtojmorejclearlyjunderstandjwhyjnetjincom
ejisjdecreasingjwhenjrevenuesjarejincreasing?
a. Whatjhappened?jWhatjisjhappening?
b. Whyjdidjitjhappen?jWhatjarejthejrootjcausesjofjpastjresults?
c. Willjitjhappenjinjthejfuture?jWhatjisjthejprobabilityjsomethingjwilljhappen?jIsjitj
forecastable?
d. Whatjshouldjwejdojbasedjonjwhatjwejexpectjwilljhappen?jHowjdojwe
optimizejourjperformancejbasedjonjpotentialjconstraints?”
9. (LOj1-
4)jWhatjvisualizationjtypejisjmostjappropriatejforjevaluatingjthejrelationshipsjbetweenj
values?
a. Barjchart
b. Piejchart
c. Histogram
d. Scatterplot
10. (LOj1-5)jWhichjofjthejfollowingjsoftwarejtoolsjspecializejinjdatajvisualizations?
a. SPSSjandjPowerjQuery
b. AlteryxjandjTableaujPrep
c. PowerjBIjandjTableau
d. RjandjPython
Discussion Questions
j
1. (LOj1-
1)jThejcomputerjisjbetterjatjautomated,jrepetitivejtasksjsincejitjcanjbejprogra
mmed.j Thejcomputerjisjalsojnotjsubjectjtojfatiguejandjcanjprocessjmassiveja
mountsjofjdatajeasierjthanjajhumanjcan.j Mostjofjthejvalue-
addedjtasksjandjhigherjorderjthinkingjskills,jsuchjasjanalyzing,jevaluatingjandj
creating,jarejperformedjbetterjbyjhumanjaccountantsjbecausejtheyjarejnotje
asilyjprogrammedjbyjajsetjofjfixedjrules.j Thejability
©jMcGrawjHilljLLC.jAlljrightsjreserved.jNojreproductionjorjdistributionjwithoutjthejpriorjwrittenjconsentjofjMcGrawjHilljLLC.
1-2
mynursytest.store
, ACCESS Test Bank for Introduction to Data Analytics for Accounting 2nd Editio
j j j j j j j j j j j
n Richardson j
Richardson,jTerrell,jTeeterj–jIntroductionjtojDatajAnalyticsjforjAccounting,j2ndj Editionj–jChapterj1
tojrecognizejtradeoffs,jevaluatingjalternatives,jandjevaluatingjadjhocjfactsjarejal
ljbetterjperformedjbyjhumans.
2. (LOj1-
2)jThejskillsjtaughtjinjthejintroductionjtojfinancialjaccountingjwerejthejlowerj
orderjthinkingjskillsj(notedjinjBloom’sjTaxonomy)jsuchjasjremembering,jund
erstandingjandjapplying.j Applicationjofjjournaljentries,jcomputingjtrialjbala
nces,jrecordingjtransactions,jbankjreconciliation,jetc.jarejalljexamplesjofjlow
erjorderjskills.
3. (LOj1-
3)jAccountantsjunderstandjthejtradeoffsjbetweenjrelevantjdatajandjreliablej
dataj(suchjasjthatjdatajwhichjmightjexhibitjmorejrepresentationaljfaithfulnes
s).
Accountantsjalsojunderstandjthejtradeoffsjbetweenjunstructuredjandjstructur
edjdata,jdatajinternaljorjexternaljtojthejcompany,jandjevenjthejpotentialjcostjofj
acquiringjandjprocessingjthejdatajasjcomparedjtojthejpotentialjvaluejprovidedjb
yjusejofjthejdata.
4. (LOj1-
3)jMasteringjthejdatajincludesjaccessing,jcleaning,jandjtransformingjthejdataj
tojpreparejthejdatajforjanalysis.
5. (LOj1-
3)jDatajanalyticsjmightjbejviewedjasjsuccessivelyjpeelingjthejlayerjofjanjonion.j
Byjpeelingjthejfirstjlayerjofjthejonion,jyoujnowjarejablejtojseejthejnextjlayerjandj
evaluatejitjandjremovejitjtojgetjtojthejthirdjlayer,jetc.j Oftenjtimes,jthejAMPSjm
odeljmustjbejperformedjmultiplejtimes,jrefiningjthejquestionj(AskjthejQuestio
n),jpossiblyjconsideringjdifferentjtypesjofjdataj(MasterjthejData),jperformingja
dditionaljanalysisj(PerformjthejAnalysis)jandjretellingjthejstoryjinjeachjiterationj
(SharingjthejStory)jbeforejthejissue/problem/challengejcanjbejfinallyjaddresse
djwithjsomejconfidence.
6. (LOj1-
3)jDescriptivejanalysisjreportsjwhatjhappened.j Generally,jevaluatingjthejreve
nuesjandjearningsjperformancejstartsjwithjdescriptivejanalysisjandjcontinuesj
withjdiagnosticjanalysisjtojunderstandj“Whyjitjhappened?”.
7. (LOj1-4,jLOj1-
5)jDatajacquisitionjandjpreparationjsoftwarejtoolsjlikejSQLjandjAlteryxjworkjt
ojgetjthejdatajreadyjforjanalysis.j Datajvisualizationjsoftwarejtoolsjworkjtojbot
hjanalyzejdataj(asjpartjofj"PerformjthejAnalysis"jinjthejAMPSjmodel)jandjtojco
mmunicatejresultsj(asjpartjofj"SharejthejStory"jinjthejAMPSjmodel).
Brief Exercises
j
1. (LO1-1,jLO1-2):jMatchjthejdatajanalyticsjtermjtojitsjdatajanalyticsjdefinition:
©jMcGrawjHilljLLC.jAlljrightsjreserved.jNojreproductionjorjdistributionjwithoutjthejpriorjwrittenjconsentjofjMcGrawjHilljLLC.
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mynursytest.store
j j j j j j j j j j j
n Richardson j
Richardson,jTerrell,jTeeterj–jIntroductionjtojDatajAnalyticsjforjAccounting,j2ndj Editionj–jChapterj1
Chapter 1 End-of-Chapter Assignment Solutions
j j j j
Multiple Choice Questions
j j
1. (LOj1-2)jWhichjisjthejlowestjleveljofjcriticaljthinkingjskillsjinjBloom’sjTaxonomy?
a. Create
b. Remember
c. Apply
d. Analyze
2. (LOj1-2)jWhichjisjthejhighestjleveljofjcriticaljthinkingjskillsjinjBloom’sjTaxonomy?
a. Create
b. Apply
c. Analyze
d. Understand
3. (LOj1-
2)jWhichjisjthejappropriatejorderingjofjcriticaljthinkingjskillsjinjBloom’sjTaxonom
y,jwherejthej“>”jsymboljmeansjhigherjorderjskills?
a. Rememberj>jApply
b. Applyj>jAnalyze
c. Analyzej>jEvaluate
d. Createj>jAnalyze
4. (LOj1-3)jWhichjstepjofjthejAMPSjmodeljmostjappropriatelyjaddressesjthejaxiom,
“Yourjdatajwon’tjspeakjunlessjyoujaskjitjthejrightjdatajanalyticsjquestions”?
a. AskjthejQuestion
b. MasterjthejData
c. PerformjthejAnalysis
d. SharejthejStory
5. (LOj1-
3)jWhichjstepjofjthejAMPSjmodeljmostjappropriatelyjaddressesjthejquestionjofjthejbes
tjwayjtojcommunicatejdatajanalyticsjfindingsjwithjajdecisionjmaker?
a. AskjthejQuestion
b. MasterjthejData
c. PerformjthejAnalysis
d. SharejthejStory
6. (LOj1-
3)jWhatjtypejofjquestionjisjpredictingjwhetherjajcompanyjwilljgojbankruptjinjthejcomin
gjtwojyears?
a. Whatjhappened?jWhatjisjhappening?
b. Whyjdidjitjhappen?jWhatjarejthejrootjcausesjofjpastjresults?
c. Willjitjhappenjinjthejfuture?jWhatjisjthejprobabilityjsomethingjwilljha
ppen?jIsjitjforecastable?
©jMcGrawjHilljLLC.jAlljrightsjreserved.jNojreproductionjorjdistributionjwithoutjthejpriorjwrittenjconsentjofjMcGrawjHilljLLC.
1-1
mynursytest.store
,ACCESS Test Bank for Introduction to Data Analytics for Accounting 2nd Editio
j j j j j j j j j j j
n Richardson j
Richardson,jTerrell,jTeeterj–jIntroductionjtojDatajAnalyticsjforjAccounting,j2ndj Editionj–jChapterj1
d. Whatjshouldjwejdojbasedjonjwhatjwejexpectjwilljhappen?jHowjdojwe
optimizejourjperformancejbasedjonjpotentialjconstraints?”
7. (LOj1-
3)jWhatjtypejofjquestionjisjchoosingjtojtakejcertainjtaxjdeductionsjbasedjonjthejwayjm
anagersjbelievejtaxjlegislationjwilljchangejinjthejnearjfuture?
a. Whatjhappened?jWhatjisjhappening?
b. Whyjdidjitjhappen?jWhatjarejthejrootjcausesjofjpastjresults?
c. Willjitjhappenjinjthejfuture?jWhatjisjthejprobabilityjsomethingjwilljhappen?jIsjitj
forecastable?
d. Whatjshouldjwejdojbasedjonjwhatjwejexpectjwilljhappen?j Howjdojwe
optimizejourjperformancejbasedjonjpotentialjconstraints?”
8. (LOj1-
3)jWhatjtypejofjquestionjisjfindingjthejdetailjtojmorejclearlyjunderstandjwhyjnetjincom
ejisjdecreasingjwhenjrevenuesjarejincreasing?
a. Whatjhappened?jWhatjisjhappening?
b. Whyjdidjitjhappen?jWhatjarejthejrootjcausesjofjpastjresults?
c. Willjitjhappenjinjthejfuture?jWhatjisjthejprobabilityjsomethingjwilljhappen?jIsjitj
forecastable?
d. Whatjshouldjwejdojbasedjonjwhatjwejexpectjwilljhappen?jHowjdojwe
optimizejourjperformancejbasedjonjpotentialjconstraints?”
9. (LOj1-
4)jWhatjvisualizationjtypejisjmostjappropriatejforjevaluatingjthejrelationshipsjbetweenj
values?
a. Barjchart
b. Piejchart
c. Histogram
d. Scatterplot
10. (LOj1-5)jWhichjofjthejfollowingjsoftwarejtoolsjspecializejinjdatajvisualizations?
a. SPSSjandjPowerjQuery
b. AlteryxjandjTableaujPrep
c. PowerjBIjandjTableau
d. RjandjPython
Discussion Questions
j
1. (LOj1-
1)jThejcomputerjisjbetterjatjautomated,jrepetitivejtasksjsincejitjcanjbejprogra
mmed.j Thejcomputerjisjalsojnotjsubjectjtojfatiguejandjcanjprocessjmassiveja
mountsjofjdatajeasierjthanjajhumanjcan.j Mostjofjthejvalue-
addedjtasksjandjhigherjorderjthinkingjskills,jsuchjasjanalyzing,jevaluatingjandj
creating,jarejperformedjbetterjbyjhumanjaccountantsjbecausejtheyjarejnotje
asilyjprogrammedjbyjajsetjofjfixedjrules.j Thejability
©jMcGrawjHilljLLC.jAlljrightsjreserved.jNojreproductionjorjdistributionjwithoutjthejpriorjwrittenjconsentjofjMcGrawjHilljLLC.
1-2
mynursytest.store
, ACCESS Test Bank for Introduction to Data Analytics for Accounting 2nd Editio
j j j j j j j j j j j
n Richardson j
Richardson,jTerrell,jTeeterj–jIntroductionjtojDatajAnalyticsjforjAccounting,j2ndj Editionj–jChapterj1
tojrecognizejtradeoffs,jevaluatingjalternatives,jandjevaluatingjadjhocjfactsjarejal
ljbetterjperformedjbyjhumans.
2. (LOj1-
2)jThejskillsjtaughtjinjthejintroductionjtojfinancialjaccountingjwerejthejlowerj
orderjthinkingjskillsj(notedjinjBloom’sjTaxonomy)jsuchjasjremembering,jund
erstandingjandjapplying.j Applicationjofjjournaljentries,jcomputingjtrialjbala
nces,jrecordingjtransactions,jbankjreconciliation,jetc.jarejalljexamplesjofjlow
erjorderjskills.
3. (LOj1-
3)jAccountantsjunderstandjthejtradeoffsjbetweenjrelevantjdatajandjreliablej
dataj(suchjasjthatjdatajwhichjmightjexhibitjmorejrepresentationaljfaithfulnes
s).
Accountantsjalsojunderstandjthejtradeoffsjbetweenjunstructuredjandjstructur
edjdata,jdatajinternaljorjexternaljtojthejcompany,jandjevenjthejpotentialjcostjofj
acquiringjandjprocessingjthejdatajasjcomparedjtojthejpotentialjvaluejprovidedjb
yjusejofjthejdata.
4. (LOj1-
3)jMasteringjthejdatajincludesjaccessing,jcleaning,jandjtransformingjthejdataj
tojpreparejthejdatajforjanalysis.
5. (LOj1-
3)jDatajanalyticsjmightjbejviewedjasjsuccessivelyjpeelingjthejlayerjofjanjonion.j
Byjpeelingjthejfirstjlayerjofjthejonion,jyoujnowjarejablejtojseejthejnextjlayerjandj
evaluatejitjandjremovejitjtojgetjtojthejthirdjlayer,jetc.j Oftenjtimes,jthejAMPSjm
odeljmustjbejperformedjmultiplejtimes,jrefiningjthejquestionj(AskjthejQuestio
n),jpossiblyjconsideringjdifferentjtypesjofjdataj(MasterjthejData),jperformingja
dditionaljanalysisj(PerformjthejAnalysis)jandjretellingjthejstoryjinjeachjiterationj
(SharingjthejStory)jbeforejthejissue/problem/challengejcanjbejfinallyjaddresse
djwithjsomejconfidence.
6. (LOj1-
3)jDescriptivejanalysisjreportsjwhatjhappened.j Generally,jevaluatingjthejreve
nuesjandjearningsjperformancejstartsjwithjdescriptivejanalysisjandjcontinuesj
withjdiagnosticjanalysisjtojunderstandj“Whyjitjhappened?”.
7. (LOj1-4,jLOj1-
5)jDatajacquisitionjandjpreparationjsoftwarejtoolsjlikejSQLjandjAlteryxjworkjt
ojgetjthejdatajreadyjforjanalysis.j Datajvisualizationjsoftwarejtoolsjworkjtojbot
hjanalyzejdataj(asjpartjofj"PerformjthejAnalysis"jinjthejAMPSjmodel)jandjtojco
mmunicatejresultsj(asjpartjofj"SharejthejStory"jinjthejAMPSjmodel).
Brief Exercises
j
1. (LO1-1,jLO1-2):jMatchjthejdatajanalyticsjtermjtojitsjdatajanalyticsjdefinition:
©jMcGrawjHilljLLC.jAlljrightsjreserved.jNojreproductionjorjdistributionjwithoutjthejpriorjwrittenjconsentjofjMcGrawjHilljLLC.
1-3
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