TEST BANK FOR INTRODUCTION TO
DATA ANALYTICS FOR ACCOUNTING
2ND EDITION BY VERNON
RICHARDSON 2025/2026 A+
1|Page
,TABLE OF CONTENTS
Chapter 1 Ask the Question: Using Data Analytics to Address Accounting Questions
Chapter 2 Master the Data: An Introduction to Accounting Data
Chapter 3 Master the Data: Data Types Used in Accounting
Chapter 4 Master the Data: Preparing Data for Analysis
Chapter 5 Perform the Analysis: Types of Data Analytics
Chapter 6 Perform the Analysis: Descriptive Analytics
Chapter 7 Perform the Analysis: Diagnostic Analytics
Chapter 8 Perform the Analysis: Predictive Analytics
Chapter 9 Perform the Analysis: Prescriptive Analytics
Chapter 10 Share the Story
Chapter 11 Capstone Projects Using the AMPS Model
Chapter 12 Financial Statement Analysis
Chapter 13 Managerial Accounting Analytics
2|Page
, Chapter 01
TRUE/FALSE - Write 'T' If The Statement Is True And 'F' If The Statement Is False.
1) Data Analytics Is The Process Of Evaluating Data With The Purpose Of Drawing Conclusions To
Address Business Questions.
⊚ True
⊚ False
2) The Process Of Data Analytics Aims To Transform Raw Information Into Data To Create Value.
⊚ True
⊚ False
3) Data Analytics Has The Potential To Transform The Manner In Which Companies Run Their
Businesses, However It Is Not Practical In The Near Future.
⊚ True
⊚ False
4) Auditors Can Use Social Media To Hear What Customers Are Saying About A Company And Compare This
To Inventory Obsolescence And Other Estimates.
⊚ True
⊚ False
5) Data Analytics Allows Auditors To Glean Insights That Are Beneficial To The Client, Without
Breeching Independence.
⊚ True
⊚ False
3|Page
, 6) The Predictive Analytics Is An Important Aspect Of Data Analytics For Auditors, But Is Not Applicable For
Tax Accountants.
⊚ True
⊚ False
7) The I In IMPACT Cycle Represents Identify The Question.
⊚ True
⊚ False
8) The M In IMPACT Cycle Represents Master The Data.
⊚ True
⊚ False
9) The P In IMPACT Cycle Represents Predict The Results.
⊚ True
⊚ False
10) The A In IMPACT Cycle Represents Analyze The Data.
⊚ True
⊚ False
11) The C In IMPACT Cycle Represents Continuously Track.
⊚ True
⊚ False
12) The T In IMPACT Cycle Represents Track Outcomes.
4|Page
DATA ANALYTICS FOR ACCOUNTING
2ND EDITION BY VERNON
RICHARDSON 2025/2026 A+
1|Page
,TABLE OF CONTENTS
Chapter 1 Ask the Question: Using Data Analytics to Address Accounting Questions
Chapter 2 Master the Data: An Introduction to Accounting Data
Chapter 3 Master the Data: Data Types Used in Accounting
Chapter 4 Master the Data: Preparing Data for Analysis
Chapter 5 Perform the Analysis: Types of Data Analytics
Chapter 6 Perform the Analysis: Descriptive Analytics
Chapter 7 Perform the Analysis: Diagnostic Analytics
Chapter 8 Perform the Analysis: Predictive Analytics
Chapter 9 Perform the Analysis: Prescriptive Analytics
Chapter 10 Share the Story
Chapter 11 Capstone Projects Using the AMPS Model
Chapter 12 Financial Statement Analysis
Chapter 13 Managerial Accounting Analytics
2|Page
, Chapter 01
TRUE/FALSE - Write 'T' If The Statement Is True And 'F' If The Statement Is False.
1) Data Analytics Is The Process Of Evaluating Data With The Purpose Of Drawing Conclusions To
Address Business Questions.
⊚ True
⊚ False
2) The Process Of Data Analytics Aims To Transform Raw Information Into Data To Create Value.
⊚ True
⊚ False
3) Data Analytics Has The Potential To Transform The Manner In Which Companies Run Their
Businesses, However It Is Not Practical In The Near Future.
⊚ True
⊚ False
4) Auditors Can Use Social Media To Hear What Customers Are Saying About A Company And Compare This
To Inventory Obsolescence And Other Estimates.
⊚ True
⊚ False
5) Data Analytics Allows Auditors To Glean Insights That Are Beneficial To The Client, Without
Breeching Independence.
⊚ True
⊚ False
3|Page
, 6) The Predictive Analytics Is An Important Aspect Of Data Analytics For Auditors, But Is Not Applicable For
Tax Accountants.
⊚ True
⊚ False
7) The I In IMPACT Cycle Represents Identify The Question.
⊚ True
⊚ False
8) The M In IMPACT Cycle Represents Master The Data.
⊚ True
⊚ False
9) The P In IMPACT Cycle Represents Predict The Results.
⊚ True
⊚ False
10) The A In IMPACT Cycle Represents Analyze The Data.
⊚ True
⊚ False
11) The C In IMPACT Cycle Represents Continuously Track.
⊚ True
⊚ False
12) The T In IMPACT Cycle Represents Track Outcomes.
4|Page
