Test Bank Complete_
Accounting Information Systems, Global Edition 15th Edition, (2020)
By Marshall Romney (Author), Paul Steinbart (Author)
All Chapters 1-24| 6 Units| Latest Version With Verified Answers| Rated A+
From: [Bestmaxsolutions.stuvia
,PART I: CONCEPTUAL FOUNDATIONS OF ACCOUNTING INFORMATION SYSTEMS __________ 3
Chapter 1: Accounting Information Systems: An Overview _________________________________ 3
Chapter 2: Overview Of Transaction Processing And Enterprise Resource Planning Systems _____ 58
Chapter 3: Systems Documentation Techniques ________________________________________ 94
PART II: DATA ANALYTICS ____________________________________________________ 138
Chapter 4: Relational Databases ____________________________________________________ 138
Chapter 5: Introduction To Data Analytics In Accounting ________________________________ 186
Chapter 6: Transforming Data ______________________________________________________ 209
Chapter 7: Data Analysis And Presentation ___________________________________________ 239
PART III: CONTROL OF ACCOUNTING INFORMATION SYSTEMS _______________________ 259
Chapter 8: Fraud And Errors _______________________________________________________ 259
Chapter 9: Computer Fraud And Abuse Techniques _____________________________________ 292
Chapter 10: Control And Accounting Information Systems _______________________________ 328
Chapter 11: Controls For Information Security _________________________________________ 373
Chapter 12: Confidentiality And Privacy Controls_______________________________________ 410
Chapter 13: Processing Integrity And Availability Controls _______________________________ 435
PART IV: ACCOUNTING INFORMATION SYSTEMS APPLICATIONS _____________________ 469
Chapter 14: The Revenue Cycle: Sales To Cash Collections _______________________________ 469
Chapter 15: The Expenditure Cycle: Purchasing To Cash Disbursements ____________________ 510
Chapter 16: The Production Cycle ___________________________________________________ 552
Chapter 17: The Human Resources Management And Payroll Cycle ________________________ 588
Chapter 18: General Ledger And Reporting System _____________________________________ 619
PART V: THE REA DATA MODEL ________________________________________________ 649
Chapter 19: Database Design Using The REA Data Model ________________________________ 649
Chapter 20: Implementing An REA Model In A Relational Database ________________________ 685
Chapter 21: Special Topics In REA Modeling ___________________________________________ 723
PART VI: THE SYSTEMS DEVELOPMENT PROCESS __________________________________ 762
Chapter 22: Introduction To Systems Development And Systems Analysis __________________ 762
Chapter 23: AIS Development Strategies _____________________________________________ 812
Chapter 24: Systems Design, Implementation, And Operation ____________________________ 858
,PART I: CONCEPTUAL FOUNDATIONS OF ACCOUNTING INFORMATION SYSTEMS
Chapter 1: Accounting Information Systems: An Overview
Marshall Romney: Accounting Information Systems, Global Edition 15th Edition, (2020) Test Bank
1. Distinguish Data From Information, Discuss The Characteristics Of Useful Information,
And Explain How To Determine The Value Of Information.
1) Which Of The Following Statements Below Shows The Contrast Between Data And
Information?
A) Data Is The Primary Output Of An Accounting Information System.
B) Information Is The Primary Output Of An Accounting Information System.
C) Data Is More Useful In Decision Making Than Information.
D) Data And Information Are The Same.
ANSWER: B
Information Is The Processed And Organized Form Of Data That Is Meaningful To The
User. While Data Can Be Seen As Raw Facts And Figures, Information Has Context And
Significance For Decision-Making, And Thus It Is Considered The Primary Output Of
An Accounting Information System.
Concept: The Concept Of Information
Objective: Learning Objective 1
Difficulty: Easy
AACSB: Analytical Thinking
2) When A Subsystem's Goals Are Inconsistent With The Goals Of Another Subsystem
Or With The System As A Whole, It Creates
A) System Inconsistence.
B) System Conflict.
C) Goal Inconsistence.
D) Goal Conflict.
,ANSWER: D
Goal Conflict Occurs When The Objectives Of Different Subsystems Within A Larger
System Do Not Align, Which Can Negatively Affect The Overall Performance Of The
System. This Misalignment Creates Inefficiencies And Issues In Achieving The Overall
Organizational Goals.
Concept: The Concept Of Information
Objective: Learning Objective 1
Difficulty: Easy
AACSB: Analytical Thinking
3) When A Subsystem Achieves Its Goals While Contributing To The Organization's
Overall Goal, It Is Called
A) System Match.
B) System Congruence.
C) Goal Congruence.
D) Goal Match.
ANSWER: C
Goal Congruence Refers To A Situation Where Individual Subsystem Goals Are Aligned
With The Larger Goals Of The Organization, Ensuring That The Organization Moves
Forward Cohesively And Efficiently.
Concept: The Concept Of Information
Objective: Learning Objective 1
Difficulty: Easy
AACSB: Analytical Thinking
4) Information Is Best Described As
A) Raw Facts About Transactions.
B) Data That Has Been Organized And Processed So That It Is Meaningful To The
User.
,C) Facts That Are Useful When Processed In A Timely Manner.
D) The Same Thing As Data.
ANSWER: B
Information Differs From Data In That It Is Data That Has Been Processed And
Organized In A Way That Gives It Meaning. This Allows Users To Understand The
Context And Make Informed Decisions.
Concept: The Concept Of Information
Objective: Learning Objective 1
Difficulty: Easy
AACSB: Analytical Thinking
5) The Value Of Information Can Best Be Determined By
A) Its Usefulness To Decision Makers.
B) Its Relevance To Decision Makers.
C) The Benefits Associated With Obtaining The Information Minus The Cost Of
Producing It.
D) The Extent To Which It Optimizes The Value Chain.
ANSWER: C
The Value Of Information Is Not Only Determined By Its Usefulness Or Relevance, But
By The Cost-Benefit Analysis. If The Benefits Of Acquiring The Information Outweigh
The Costs Of Producing It, The Information Has High Value. This Is Known As The
Cost-Benefit Principle.
Concept: The Concept Of Information
Objective: Learning Objective 1
Difficulty: Moderate
AACSB: Analytical Thinking
6) An Accounting Information System (AIS) Processes _____To Provide Users
With_____
,A) Data; Information
B) Data; Transactions
C) Information; Data
D) Data; Benefits
ANSWER: A
An Accounting Information System (AIS) Processes Raw Data (Such As Financial
Transactions) And Transforms It Into Meaningful And Organized Information For
Decision-Making And Reporting Purposes.
Concept: The Concept Of Information
Objective: Learning Objective 1
Difficulty: Easy
AACSB: Analytical Thinking
7) ______Information Reduces Uncertainty, Improves Decision Makers' Ability To Make
Predictions, Or Confirms Expectations.
A) Timely
B) Reliable
C) Relevant
D) Complete
ANSWER: C
Relevant Information Is Critical In Reducing Uncertainty And Helping Decision-Makers
Make Predictions Or Verify Assumptions. The Relevance Of Information Ensures It Is
Useful For Specific Decisions And Objectives.
Concept: Information Needs And Business Processes
Objective: Learning Objective 1
Difficulty: Easy
AACSB: Analytical Thinking
, 8) Information That Is Free From Error Or Bias And Accurately Represents The Events
Or Activities Of The Organization Is
A) Relevant.
B) Accurate.
C) Verifiable.
D) Timely.
ANSWER: B
Accuracy Refers To Information Being Error-Free And Reflective Of The True State Of
Affairs. It Is Essential For The Credibility Of The Data And Its Effectiveness In
Decision-Making.
Concept: The Concept Of Information
Objective: Learning Objective 1
Difficulty: Easy
AACSB: Analytical Thinking
9) Information That Does Not Omit Important Aspects Of The Underlying Events Or
Activities That It Measures Is
A) Complete.
B) Accessible.
C) Relevant.
D) Timely.
ANSWER: A
Complete Information Includes All Necessary Details And Does Not Omit Critical
Components, Ensuring That The Decision-Makers Have The Full Picture Of The
Situation, Thus Making More Informed Decisions.
Concept: The Concept Of Information
Objective: Learning Objective 1
Difficulty: Easy
AACSB: Analytical Thinking
Accounting Information Systems, Global Edition 15th Edition, (2020)
By Marshall Romney (Author), Paul Steinbart (Author)
All Chapters 1-24| 6 Units| Latest Version With Verified Answers| Rated A+
From: [Bestmaxsolutions.stuvia
,PART I: CONCEPTUAL FOUNDATIONS OF ACCOUNTING INFORMATION SYSTEMS __________ 3
Chapter 1: Accounting Information Systems: An Overview _________________________________ 3
Chapter 2: Overview Of Transaction Processing And Enterprise Resource Planning Systems _____ 58
Chapter 3: Systems Documentation Techniques ________________________________________ 94
PART II: DATA ANALYTICS ____________________________________________________ 138
Chapter 4: Relational Databases ____________________________________________________ 138
Chapter 5: Introduction To Data Analytics In Accounting ________________________________ 186
Chapter 6: Transforming Data ______________________________________________________ 209
Chapter 7: Data Analysis And Presentation ___________________________________________ 239
PART III: CONTROL OF ACCOUNTING INFORMATION SYSTEMS _______________________ 259
Chapter 8: Fraud And Errors _______________________________________________________ 259
Chapter 9: Computer Fraud And Abuse Techniques _____________________________________ 292
Chapter 10: Control And Accounting Information Systems _______________________________ 328
Chapter 11: Controls For Information Security _________________________________________ 373
Chapter 12: Confidentiality And Privacy Controls_______________________________________ 410
Chapter 13: Processing Integrity And Availability Controls _______________________________ 435
PART IV: ACCOUNTING INFORMATION SYSTEMS APPLICATIONS _____________________ 469
Chapter 14: The Revenue Cycle: Sales To Cash Collections _______________________________ 469
Chapter 15: The Expenditure Cycle: Purchasing To Cash Disbursements ____________________ 510
Chapter 16: The Production Cycle ___________________________________________________ 552
Chapter 17: The Human Resources Management And Payroll Cycle ________________________ 588
Chapter 18: General Ledger And Reporting System _____________________________________ 619
PART V: THE REA DATA MODEL ________________________________________________ 649
Chapter 19: Database Design Using The REA Data Model ________________________________ 649
Chapter 20: Implementing An REA Model In A Relational Database ________________________ 685
Chapter 21: Special Topics In REA Modeling ___________________________________________ 723
PART VI: THE SYSTEMS DEVELOPMENT PROCESS __________________________________ 762
Chapter 22: Introduction To Systems Development And Systems Analysis __________________ 762
Chapter 23: AIS Development Strategies _____________________________________________ 812
Chapter 24: Systems Design, Implementation, And Operation ____________________________ 858
,PART I: CONCEPTUAL FOUNDATIONS OF ACCOUNTING INFORMATION SYSTEMS
Chapter 1: Accounting Information Systems: An Overview
Marshall Romney: Accounting Information Systems, Global Edition 15th Edition, (2020) Test Bank
1. Distinguish Data From Information, Discuss The Characteristics Of Useful Information,
And Explain How To Determine The Value Of Information.
1) Which Of The Following Statements Below Shows The Contrast Between Data And
Information?
A) Data Is The Primary Output Of An Accounting Information System.
B) Information Is The Primary Output Of An Accounting Information System.
C) Data Is More Useful In Decision Making Than Information.
D) Data And Information Are The Same.
ANSWER: B
Information Is The Processed And Organized Form Of Data That Is Meaningful To The
User. While Data Can Be Seen As Raw Facts And Figures, Information Has Context And
Significance For Decision-Making, And Thus It Is Considered The Primary Output Of
An Accounting Information System.
Concept: The Concept Of Information
Objective: Learning Objective 1
Difficulty: Easy
AACSB: Analytical Thinking
2) When A Subsystem's Goals Are Inconsistent With The Goals Of Another Subsystem
Or With The System As A Whole, It Creates
A) System Inconsistence.
B) System Conflict.
C) Goal Inconsistence.
D) Goal Conflict.
,ANSWER: D
Goal Conflict Occurs When The Objectives Of Different Subsystems Within A Larger
System Do Not Align, Which Can Negatively Affect The Overall Performance Of The
System. This Misalignment Creates Inefficiencies And Issues In Achieving The Overall
Organizational Goals.
Concept: The Concept Of Information
Objective: Learning Objective 1
Difficulty: Easy
AACSB: Analytical Thinking
3) When A Subsystem Achieves Its Goals While Contributing To The Organization's
Overall Goal, It Is Called
A) System Match.
B) System Congruence.
C) Goal Congruence.
D) Goal Match.
ANSWER: C
Goal Congruence Refers To A Situation Where Individual Subsystem Goals Are Aligned
With The Larger Goals Of The Organization, Ensuring That The Organization Moves
Forward Cohesively And Efficiently.
Concept: The Concept Of Information
Objective: Learning Objective 1
Difficulty: Easy
AACSB: Analytical Thinking
4) Information Is Best Described As
A) Raw Facts About Transactions.
B) Data That Has Been Organized And Processed So That It Is Meaningful To The
User.
,C) Facts That Are Useful When Processed In A Timely Manner.
D) The Same Thing As Data.
ANSWER: B
Information Differs From Data In That It Is Data That Has Been Processed And
Organized In A Way That Gives It Meaning. This Allows Users To Understand The
Context And Make Informed Decisions.
Concept: The Concept Of Information
Objective: Learning Objective 1
Difficulty: Easy
AACSB: Analytical Thinking
5) The Value Of Information Can Best Be Determined By
A) Its Usefulness To Decision Makers.
B) Its Relevance To Decision Makers.
C) The Benefits Associated With Obtaining The Information Minus The Cost Of
Producing It.
D) The Extent To Which It Optimizes The Value Chain.
ANSWER: C
The Value Of Information Is Not Only Determined By Its Usefulness Or Relevance, But
By The Cost-Benefit Analysis. If The Benefits Of Acquiring The Information Outweigh
The Costs Of Producing It, The Information Has High Value. This Is Known As The
Cost-Benefit Principle.
Concept: The Concept Of Information
Objective: Learning Objective 1
Difficulty: Moderate
AACSB: Analytical Thinking
6) An Accounting Information System (AIS) Processes _____To Provide Users
With_____
,A) Data; Information
B) Data; Transactions
C) Information; Data
D) Data; Benefits
ANSWER: A
An Accounting Information System (AIS) Processes Raw Data (Such As Financial
Transactions) And Transforms It Into Meaningful And Organized Information For
Decision-Making And Reporting Purposes.
Concept: The Concept Of Information
Objective: Learning Objective 1
Difficulty: Easy
AACSB: Analytical Thinking
7) ______Information Reduces Uncertainty, Improves Decision Makers' Ability To Make
Predictions, Or Confirms Expectations.
A) Timely
B) Reliable
C) Relevant
D) Complete
ANSWER: C
Relevant Information Is Critical In Reducing Uncertainty And Helping Decision-Makers
Make Predictions Or Verify Assumptions. The Relevance Of Information Ensures It Is
Useful For Specific Decisions And Objectives.
Concept: Information Needs And Business Processes
Objective: Learning Objective 1
Difficulty: Easy
AACSB: Analytical Thinking
, 8) Information That Is Free From Error Or Bias And Accurately Represents The Events
Or Activities Of The Organization Is
A) Relevant.
B) Accurate.
C) Verifiable.
D) Timely.
ANSWER: B
Accuracy Refers To Information Being Error-Free And Reflective Of The True State Of
Affairs. It Is Essential For The Credibility Of The Data And Its Effectiveness In
Decision-Making.
Concept: The Concept Of Information
Objective: Learning Objective 1
Difficulty: Easy
AACSB: Analytical Thinking
9) Information That Does Not Omit Important Aspects Of The Underlying Events Or
Activities That It Measures Is
A) Complete.
B) Accessible.
C) Relevant.
D) Timely.
ANSWER: A
Complete Information Includes All Necessary Details And Does Not Omit Critical
Components, Ensuring That The Decision-Makers Have The Full Picture Of The
Situation, Thus Making More Informed Decisions.
Concept: The Concept Of Information
Objective: Learning Objective 1
Difficulty: Easy
AACSB: Analytical Thinking
