BUAD 342 Exam/ Practice Questions with Correct Verified
Answers – Updated 2024/ Rated A+
What Are Some Key Information Processing Steps? –
ANSWER - 1.(Capturing) and Recording Source Data
2.Maintaining Reference Data
3.Generating Outputs/ Reports
An open purchase order is - ANSWER - is an order that has been accepted by the vendor, but the goods
and/or services have not yet been received by the purchaser
-authorizes the purchaser to take delivery of goods or services once they arrive.
Open Purchase Order - ANSWER - If the vendor accepts the conditions of the order, then we say that the
negotiation has resulted in
overall objective of the procure to pay process is - ANSWER - to provide needed resources for the
organization's order to cash and conversion processes at an optimal time (at the point when they are
needed in an effort to reduce process cycle times, waste and costs).
Batch processing - ANSWER - - Transaction data is collected and stored for processing at a scheduled
time or when a specified amount of data has been collected. (So master files that updated with
transaction totals are not always up to date.) Examples:
•Payroll
•Credit Card Transaction
•Customer Billing
•Customer Statements
pg. 1
,Maintaining reference data - ANSWER - Keeping current and accurate reference data about resources
owned or used, external parties with whom an organization does business, employees who work for an
organization, and locations where activities take place. In business, things are ever changing. Customers
move, vendors change their product lines and prices, etc. That requires an organization to monitor
stored data and keep it current.
reporting - ANSWER - Generating relevant, timely and accurate outputs for information customers both
inside the organization (e.g., management and other decision makers) and outside the organization (e.g.,
regulatory agencies, stockholders, creditors, etc.). _________arguably the most demanding of these
information processes, provides information and measurements to support organization critical activities
such as planning, controlling, and evaluating.
THE NATURE OF BASIC INFORMATION PROCESSING - How is data captured and how does it flow from
place to place? - ANSWER - Organizations get data from a large variety of sources these days. When talk
about operational data, source document data flows are important.
Source document data flows are used to capture detail data about business events then move data from
one point to another. Source documents often serve as supporting documentation for any subsequent
information processing. Examples of source documents include sales orders, purchase orders, customer
orders, sales invoices, vendor invoices, deposit slips, shipping documents, receiving reports, remittance
advices, purchase requisitions, checks, bills of lading, etc.
Volume - ANSWER - More data- The amount of data being created is vast compared to traditional data
sources. More of our own data (archive, junk, log files), added free or public data, premium service data.
Velocity - ANSWER - Speed at which new data arrives. Data is being generated extremely fast —now
more streaming data projects which allows the potential of near real time analysis.
Variety - ANSWER - Differences in types/sources of data - (structured, unstructured, and semi-
structured).
For-profit organizations - ANSWER - organizations strive to generate a profit (revenue in excess of
expenses). These profits can be reinvested into the company or distributed to owners and/or
shareholders.
pg. 2
, take several legal forms such as unincorporated (sole proprietorships or partnerships), corporations (C
Corporations and S Corporations) and limited liability companies (LLC).
objective of the procure to pay process - ANSWER - Acquire only those goods or services that an
organization needs and can afford.
• Purchase items from reliable vendors.
• Purchase high quality items, or at least items of the desired quality.
• Obtain the desired items at the best possible price.
• Purchase only those items that are properly authorized and are for legitimate company purposes.
• Have resources available and in useful condition when they are needed by the company.
Receive only those items ordered, and receive all the items ordered.
• Control and safeguard items received so they are not lost, stolen, or damaged.
• Pay only for items actually received and pay in a timely manner to the appropriate party.
There are many iterations of the procure to pay process. Organizations can acquire a wide variety of
goods and services categories including:2 - ANSWER - Human resources / labor (e.g., people's time and
skills).
Financial resources or financial instruments.
Supplies.
pg. 3
Answers – Updated 2024/ Rated A+
What Are Some Key Information Processing Steps? –
ANSWER - 1.(Capturing) and Recording Source Data
2.Maintaining Reference Data
3.Generating Outputs/ Reports
An open purchase order is - ANSWER - is an order that has been accepted by the vendor, but the goods
and/or services have not yet been received by the purchaser
-authorizes the purchaser to take delivery of goods or services once they arrive.
Open Purchase Order - ANSWER - If the vendor accepts the conditions of the order, then we say that the
negotiation has resulted in
overall objective of the procure to pay process is - ANSWER - to provide needed resources for the
organization's order to cash and conversion processes at an optimal time (at the point when they are
needed in an effort to reduce process cycle times, waste and costs).
Batch processing - ANSWER - - Transaction data is collected and stored for processing at a scheduled
time or when a specified amount of data has been collected. (So master files that updated with
transaction totals are not always up to date.) Examples:
•Payroll
•Credit Card Transaction
•Customer Billing
•Customer Statements
pg. 1
,Maintaining reference data - ANSWER - Keeping current and accurate reference data about resources
owned or used, external parties with whom an organization does business, employees who work for an
organization, and locations where activities take place. In business, things are ever changing. Customers
move, vendors change their product lines and prices, etc. That requires an organization to monitor
stored data and keep it current.
reporting - ANSWER - Generating relevant, timely and accurate outputs for information customers both
inside the organization (e.g., management and other decision makers) and outside the organization (e.g.,
regulatory agencies, stockholders, creditors, etc.). _________arguably the most demanding of these
information processes, provides information and measurements to support organization critical activities
such as planning, controlling, and evaluating.
THE NATURE OF BASIC INFORMATION PROCESSING - How is data captured and how does it flow from
place to place? - ANSWER - Organizations get data from a large variety of sources these days. When talk
about operational data, source document data flows are important.
Source document data flows are used to capture detail data about business events then move data from
one point to another. Source documents often serve as supporting documentation for any subsequent
information processing. Examples of source documents include sales orders, purchase orders, customer
orders, sales invoices, vendor invoices, deposit slips, shipping documents, receiving reports, remittance
advices, purchase requisitions, checks, bills of lading, etc.
Volume - ANSWER - More data- The amount of data being created is vast compared to traditional data
sources. More of our own data (archive, junk, log files), added free or public data, premium service data.
Velocity - ANSWER - Speed at which new data arrives. Data is being generated extremely fast —now
more streaming data projects which allows the potential of near real time analysis.
Variety - ANSWER - Differences in types/sources of data - (structured, unstructured, and semi-
structured).
For-profit organizations - ANSWER - organizations strive to generate a profit (revenue in excess of
expenses). These profits can be reinvested into the company or distributed to owners and/or
shareholders.
pg. 2
, take several legal forms such as unincorporated (sole proprietorships or partnerships), corporations (C
Corporations and S Corporations) and limited liability companies (LLC).
objective of the procure to pay process - ANSWER - Acquire only those goods or services that an
organization needs and can afford.
• Purchase items from reliable vendors.
• Purchase high quality items, or at least items of the desired quality.
• Obtain the desired items at the best possible price.
• Purchase only those items that are properly authorized and are for legitimate company purposes.
• Have resources available and in useful condition when they are needed by the company.
Receive only those items ordered, and receive all the items ordered.
• Control and safeguard items received so they are not lost, stolen, or damaged.
• Pay only for items actually received and pay in a timely manner to the appropriate party.
There are many iterations of the procure to pay process. Organizations can acquire a wide variety of
goods and services categories including:2 - ANSWER - Human resources / labor (e.g., people's time and
skills).
Financial resources or financial instruments.
Supplies.
pg. 3
