Question 1: The process by which a financial transaction is recorded so that its flow through the system can be followed is called:
a. Financial shadowing
b. Managerial trace technique
c. Concatenation
d. Audit trail
Question 2: The essential steps in performing a systems study are (in order of occurrence):
a. Analysis, design, implementation and initial operation, follow up
b. Design, planning, follow up, analysis, and implementation
c. Planning, system specification, analysis, production, implementation
d. Planning, analysis, design, implementation, and follow up
Question 3: What is the first step to be performed by most organizations in their accounting cycles?
a. Recording business transactions in a journal
b. Preparing a trial balance
c. Recording closing entries in a journal
d. Preparing transaction source documents
e. None of the above
Question 4: Another name for an Internet domain address is its:
a. URL
b. ISP
c. email address
d. IETF
Question 5: Retail sales on the Internet:
a. Are growing rapidly
b. Were growing at first, but are now declining
c. Are not possible on the Internet
d. Have only been achieved by major retailers such as Wal-Mart
Question 6: This company is one of the largest "auction houses" on the web:
a. Wal-Mart
b. Sears, Roebuck
c. E-Bay
d. Forester
Question 7: The purpose of a company firewall is to:
a. Guard against spoofing
b. Assist the IETF
c. Deny computer hackers access to sensitive data
d. All of the above
Question 8: A system that enables users to input data directly into a computer, typically from a remote site, is conventionally called a(n):
a) Remote input system
b) On line job entry system
c) Remote site input system
d) None of these
Question 9: A general ledger:
a. Is a chronological listing of an organization's transactions
b. Is a listing of an organization's transactions, organized by account
c. Does not include every account in an organization's chart of accounts
d. Is the same thing as a transaction listing
Question 10: The financial accounting cycle ends with:
a. The production of financial statements
b. Closing journal entries
c. The production of an adjusted trial balance
d. Development of cash forecasts
Question 11: Information overload:
a. Refers to a problem that can result when an AIS produces too many reports
b. Refers to the situation that occurs when a company's database is too large
c. Almost always results when an AIS is computerized
d. Cannot be avoided in the Information Age
Question 12: Which of the following is not an example of a source document?
a. Receiving report
b. Purchase order
c. Sales order
d. Aging report
Question 13: The sales process begins with:
a. Placing an order with a vendor
b. A customer order for goods or services
c. Production of goods or services
d. Delivery of goods or services
Question 14: The primary objective in processing revenues is to:
a. Sell as many goods as possible
b. Achieve timely and efficient cash collection
c. Maximize an organization's sales orders
d. Only sell goods to customers who can pay their bills
Question 15: An important input to the sales process is:
a. A customer sales order
b. The cash forecast
c. Aged accounts receivable information
d. A receiving report