AIS Test Exam 2025 With 100% Correct
Answers
Data - CORRECT ANSWER✔✔Facts that are recorded and stored. Insufficient for decision
making.
Information - CORRECT ANSWER✔✔Processed data, used in decision making.
Information Overload - CORRECT ANSWER✔✔Having too much information, making it more
difficult to make a decision.
What is a system? - CORRECT ANSWER✔✔a set of 2 or more interrelated components
interacting to achieve a goal
What makes information useful? Necessary characteristics: - CORRECT ANSWER✔✔Relevant:
makes a different in decision making.
Materiality: no errors or omissions in the information.
Faithful representation: no bias, true information.
What enhances useful information? - CORRECT ANSWER✔✔Timely: enhances relevance. Having
info available to a decision maker before it loses its capacity to influence decisions.
Understandable: The quality of info.
Verifiable: consensus among measurers that the info represents what it purports to represent.
Comparability: enhances relevance and faithful representation.
, Business Process - CORRECT ANSWER✔✔a set of related activities, performed by a person or
machine to accomplish a specific goal. Systems working towards Organization Goals. EX:
Financing-Revenue-Expenditure-Production-HR-Financing- Loops around.
Business Transaction - CORRECT ANSWER✔✔Give-Get Exchanges
Between 2 entities
measured in economic terms
Accounting Information Systems - CORRECT ANSWER✔✔Collect, Process, Store, and Report
Data and Info
Accounting = Language of business
AIS = information providing vehicle
Components of an AIS - CORRECT ANSWER✔✔people using system
procedures and instructions
data
software
information technology infrastructure (like computers, networks, etc)
internal control and security (to safeguard the system and its data)
AIS and Business Functions - CORRECT ANSWER✔✔Collect and store data about: activities,
resources, and personnel
Transform data into information. Allows management to: plan, execute, control and evaluate
Provide adequate control to safeguard the assets and data
What value does AIS add? - CORRECT ANSWER✔✔Improves all the following:
quality (while reducing costs)
Answers
Data - CORRECT ANSWER✔✔Facts that are recorded and stored. Insufficient for decision
making.
Information - CORRECT ANSWER✔✔Processed data, used in decision making.
Information Overload - CORRECT ANSWER✔✔Having too much information, making it more
difficult to make a decision.
What is a system? - CORRECT ANSWER✔✔a set of 2 or more interrelated components
interacting to achieve a goal
What makes information useful? Necessary characteristics: - CORRECT ANSWER✔✔Relevant:
makes a different in decision making.
Materiality: no errors or omissions in the information.
Faithful representation: no bias, true information.
What enhances useful information? - CORRECT ANSWER✔✔Timely: enhances relevance. Having
info available to a decision maker before it loses its capacity to influence decisions.
Understandable: The quality of info.
Verifiable: consensus among measurers that the info represents what it purports to represent.
Comparability: enhances relevance and faithful representation.
, Business Process - CORRECT ANSWER✔✔a set of related activities, performed by a person or
machine to accomplish a specific goal. Systems working towards Organization Goals. EX:
Financing-Revenue-Expenditure-Production-HR-Financing- Loops around.
Business Transaction - CORRECT ANSWER✔✔Give-Get Exchanges
Between 2 entities
measured in economic terms
Accounting Information Systems - CORRECT ANSWER✔✔Collect, Process, Store, and Report
Data and Info
Accounting = Language of business
AIS = information providing vehicle
Components of an AIS - CORRECT ANSWER✔✔people using system
procedures and instructions
data
software
information technology infrastructure (like computers, networks, etc)
internal control and security (to safeguard the system and its data)
AIS and Business Functions - CORRECT ANSWER✔✔Collect and store data about: activities,
resources, and personnel
Transform data into information. Allows management to: plan, execute, control and evaluate
Provide adequate control to safeguard the assets and data
What value does AIS add? - CORRECT ANSWER✔✔Improves all the following:
quality (while reducing costs)
