Final Examination Essay

1. The essential steps in performing a governances study atomic number 18 (in order of occurrence) a) Analysis, design, implementation and initial operation, watch outup b) Design, planning, followup, analysis, and implementation c) Planning, system specification, analysis, deed, implementation d) Planning, analysis, design, implementation, and followup2. Which of the following is intended to solve the problem that fiscal info used in one application is non easily transferable to other applications?a) XMPb)ERPc) XBRLd) XMLP3.Information systems visitors atomic number 18a) Auditors who be concerned with analyzing risks associated with computerized learning systemsb) Individuals who often prevail closely with financial scrutiniseorsc) Auditors who have a haulage of technical expertise related to entropy technologyd) all of the higher up4. Which of the following is non an world power of client/server computing?a) Alter info stored elsewhere on the networkb) Process a transaction that may affect data stored on both client and server computersc) Query or manipulate the w arhoused data on the serverd) Increased networking capabilities between different bear down formats on dual systems5. Software that enables employmentes and government agencies to transmit and manipulate financial data on an organization-wide basis better(p) describesa. communion softwareb. CAD softwarec. Enterprise resource planning (ERP) softwared. Programming software6. exclusively of the following are computer programming languages excepta. Javab. HTMLc. C++d. COBOLe. ERP7. Data flow diagramsa)Accomplish the same purpose as system flowchartsb)Are different from system flowcharts since they focus on a logical run across of the information systemc)Are useless for planning a new systemd)Are neer used in analyzing an existing system8. All of the following are restraints for end-user computing excepta) Formally evaluate heroic projectsb) Formalize documentation stand ardsc) Limit the number of employees authorized to create end-user applicationsd) all of the higher up are classical controls9. The textbook identified seven reasons why documentation of an AIS is important. For which of the following reasons would the user guides, procedure manual of armss and operating operating instructions be most important?a) Depicting how the system worksb) Training usersc) Designing new systemsd) Standardizing communications with others10. bank line organizations are recognizing the value of sales data and are purchasing software solutions to gather, give, and use these data to provide better service and promote customer loyalty. These software solutions are calleda) Customer relations data solutionsb) Customer relationship management solutionsc) Sales data management solutionsd) no(prenominal) of the above11. Which of the following statements best describes business process outsourcing? a) A company focuses on its core business processes and contracts with another firm to do the other processes b) Companies frequently outsource core business processes c) Due to networked enterprises and advanced technology, more(prenominal) employees may work from their homes or alternate locations d) Initially, companies engaged in business process outsourcing to offer employees more opportunities to travel and more career choices for advancement12. Networked enterprises and globalization have enabled a new business model called business-without-boundaries. Which of the following statements describes this business model? a) Companies no pineer have all of their employees in one location b) It is called offshoring and companies contract with firms in other countries to do such business processes as human resources, payroll, and accounting c) Companies are under a great deal of scrutiny to manage costs and generate revenue so they contract with foreign firms to do various business processes at a lower cost to the company d) all of the above st atements describe this model13. Which of the following is not a concern of the financing process? a) Effective specie managementb) Optimizing an organizations cost of capitalc) Minimizing an organizations borrowingsd) Projecting cash flows14. Business process reengineering efforts sometimes fail because a. Management gets similarly involved in the processe) Management is too optimistic regarding its expectations from its implementation b. Management support can never overcome employee resistance c. Employees will never accept change15. Which of the following technologies are now used in conjunction with automated production process systems to increase efficiencies?a) Radio frequency technologyb)Bar code scannersc) RF IDs and advanced electronic tagsd)all of the abovee)none of the above16. According to the chapter, which of these statements is most consummate?a)Most computer abuse is performed as retaliation against employersb) Very smaller computer crime is committed for person al gainc) Some computer abuse is performed simply to visualise a challenged) We catch most computer abusers with good accounting controls17.Which of the following is probably the principal(a) reason accountants should be concerned about computer crime and abuse?a)They world power lose their personal credit line if they dont detect computer crime or abuse in their organizationb)They might lose their professional credibility and license if computer crime or abuse continues for a long time in their organization and they do not detect itc)They are responsible for designing, implementing, and monitoring the control procedures for AISsd)none of the above18.One of the major crimes identified by the Computer Fraud and Abuse Act of 1986 is intent to lawlessly obtain information or tangible property through the use of computers. Which of the following methods might do this type of crime if the perpetrator can change data before, during, or after they are entered into a computer system? a) Salami techniqueb)Data diddlingc)Shoulder surfingd)Trojan horse program19.Regarding a companys visit trail, which of the following statements is true?a) Because of the Gordianities involved in establishing an audit trail, a good audit trail commonly makes it more difficult for an individual to follow the flow of a companys business proceeding through thecompanys information systemb) In actuality, the audit trail established at heart a companys information system is an unimportant element of the companys privileged control system When a companys audit trail becomes more difficult to follow, this causes an increase in the risk of errors or irregularities taking place in the bear on of accounting transactions and not being detectedc) A companys policies and procedures manual should not be part of its audit trail since confidential information is included at heart this manual20.Which of the following statements is true regarding timely exertion reports?a. In umteen companies, t hese reports are the major means of providing information to management concerning the actual operations of the companies natural control systemsb. These reports should only include monetary datac. Since these reports fail to provide feedback to management on the operations of previously implemented internal control procedures, other techniques are needed to provide this feedback to managersd. The complexity that a computer introduces into a companys information system will typically prevent the preparedness of timely performance reports for the companys management21. _________________ describes the policies, plans, and procedures implemented by a firm to cherish its assets. a) Internal controlb) SAS No. 94c) SOX, Section 404d) Enterprise risk management22. General controls within IT environments that affect personnel include a) Use of computer accountsb) Separation of dutiesc) Informal knowledge of employeesd) all of the above affect personnel23. Which of the following best descr ibes a fundamental control weaknessoften associated with automated data processing systems? a. Automated data processing equipment is more subject to systems error than manual processing is subject to human error b. Automated data processing equipment processes and records similar transactions in a similar manner c. Automated data processing procedures for detection of invalid and unusual transactions are less effective than manual control procedures d. Functions that would normally be separated in a manual system are combined in an automated data processing system24. The textbook identifies a number of issues that should be considered when developing a security policy. One of the issues is identify threats. Which of the following is not an prototype of this issue? a) What assets need to be protectedb) What are the sources of potential security problemsc) External threats are viruses, worms, retaliations from source employees d) Internal threats are misuse of assets by employees a nd embezzlement25 Which of these is not a phase in the life cycle of an information system?a) Planningb) Analysisc) Controld) Implementation26. A poorly-planned information system can result ina)Employee resistance and even sabotageb)Inflexible systems that are hard to maintain or modifyc)Systems that solve the wrong problemsd)all of these27.Which of the following is not a general objective in the design of an information system? a)A system should provide information which is timely and relevant for decision make by management and operating personnel b)The output of a system should be highly accuratec)A system should have sufficient efficiency to accommodate levels of normal activity any additional capacity proves too costly in the long run d)A system should be as simple as permitted so that its structure and operation can be easily understood and its procedures easily accomplished e)A system should be flexible to accommodate changes of a reasonable magnitude when necessitate28. A computerized AIS is harder to audit than a manual system for all of the following reasons except a) The file information is not human legibleb) The volume of transaction records and master file records is usually much larger in computerized systems than in manual systems c) An audit trail does not exist in a computerized AISd) Computerized systems often use remote real-time data processing, thus complicating the tracing of transaction records to their sources29. Which of the following is not one of the groups of SOX compliance requirements? a) requirements to use an IT listener to evaluate controlsb) regulations governing executive reporting and conductc) rules about financial statement reportingd) audit committee/corporate governance requirements30. Three common techniques auditors use to test computer programs are a) rivulet data, integrated test facilities, and parallel simulation b) Test data, edit checks, and integrated test facilitiesc) Test data, program change control, and parallel simulation d) Program change control, edit checks, and parallel simulation31. The term data encryption refers toa) Storing data in safe places called cryptsb) Transforming data into secret codesc) Scrambling data in random slipway that cannot be unscrambled d) none of these32. The term key in the context of data encryption refers to e) A somatogenetic key similar to a house keyf) A logical key similar to the primitive key of a data fileg) A mathematical function used for encryption purposese) A computer function key that can be found on keyboards33. All of the following are benefits of XBRL excepta) Companies can file financial information in one format, avoiding the errors that may come from reentering data multiple times b) The SEC accepts XBRL-format for electronic filing of financial statement reports c) XBRL permits the automatic and reliable switch of financial information across all software formats and technologies, including the Internet f) all of the abov e are benefits of XBRLd) none of the above are benefits of XBRL34.All of these are reasons why databases are important to AISs excepta) AIS databases store valuable informationb) Many AISs are large and and then potentially unwieldyc) The databases of some organizations are very complexd) The hard disk space used to store AIS databases is comparatively expensiveg) all of these are reasons why databases are important to AISs35.A major advantage of relational databases isa)All records are stored togetherb)No pointers are usedc)An expandible index is usedd)It closely resembles a flat file36. In recent years many businesses have formed a common information source within their business organization called a database. One of the advantages of building databases is the simultaneous updating of files with common data elements. Another major advantage of the database design is that a) Database systems can be used in microcomputers as well as on large computers b) Database systems are simp le to install and maintainc) Database systems are generally less expensive than separate file precaution systemsd) Less duplication of data occurs with a database systeme) Fewer skilled people are required to run a database system than any other system1. The process of data normalization refers to)a Eliminating data errors and other problems from normal data b)Scaling data to values between zero and onec)Storing data in normal storage media such as hard disksd)none of these38. Database management systems are important to accountants becausea) They automate file storage tasks and enable managers to generate worthwhile financial reportsb They eliminate data redundancy)b) They are unique data structures which accountants have never used before )c) They are easy to develop and therefore save money)d) They are energy efficient39. Which of these is true about finding data in multimedia databases? a) It is not possible to face them because graphics have no text keys for searching b) It i s not possible to search them because audio objects have no text keys for searching )c It is possible to search for items in them because such characteristics as speaker or subject can be used as search parameters