SOLUTION MANUAL for Accounting Information Systems 4th Edition by Vernon Richardson, Chengyee Janie Chang, Rod E. Smith All Chapters Fully Covered| Verified Questions & Accurate Solutions for Exam Preparations| A+ GRADED

SOLUTION MANUAL for Accounting Information
Systems 4th Edition by Vernon Richardson, Chengyee
Janie Chang, Rod E. Smith
All Chapters Fully Covered| Verified Questions & Accurate
Solutions for Exam Preparations| A+ GRADED




Page | 1

, Chapter 1: Accounting Information Systems and Firm Value Multi

ple Choice Questions

1. (LO 1-1) Accounting information systems

a. are always computerized.

b. report only financially related information.
aq aq




c. are information systems that record, process, and report on transactions to provide financial and
aq aq



nonfinancial information for decision making and control.

d. require a CITP designation to understand.

Correct Answer: C



2. (LO 1-1) Which of the following is a characteristic of relevance?

a. Materiality

b. Timeliness

c. Verifiable

d. Cost to generate Correct Answer: A



3. (LO 1-

2) Which of the following is considered to be mandatory information required by a regulatory body?

a. 10-Q submission to the Securities and Exchange Commission
aq




b. The cost to produce a Samsung Galaxy

c. The number of organic bananas that are sold at Whole Foods on July 28
aq aq




d. The cost to build an all-new Starbucks restaurant in Shenzhen, China Correct Answer: A
aq aq




4. (LO 1-4) The correct order of events in the value chain is

a. Inbound logistics ➛Operations ➛Service.

b. Inbound logistics ➛Outbound logistics ➛Marketing and sales.
aq




Page | 2

,c. Inbound logistics ➛Operations ➛Outbound logistics.
aq




d. Inbound logistics ➛Operations ➛Marketing and Sales.
aq




Correct Answer: C



5. (LO 1-8) Which system contributes information on direct labor to a cost accounting system?
aq




a. Supply chain management system (SCMS)
aq




b. Financial reporting system (FRS)

c. Customer Relational Management System (CRM)

d. Human resource management system (HRMS) Correct Answer: D
aq




6. (LO 1-7) A supply chain

a. supplies jewelry chains.

b. refers to the flow of materials, information, payments, and services.

c. is similar in function and purpose to the value chain.

d. does not apply to a service firm like an accounting firm.

Correct Answer: B



7. -(LO-1-7)-Customer-relationship management-software-does-not include-information-about
aq aq




a. current-customers.

b. prospective-customers.

c. former-customers.

d. current-employees.

Correct-Answer:-D



8. (LO-1-
6)-An-information-system-that-measures-and-records-accounting-transactions-and-reports-them in-the-
aq



finan-cial-statements-is-called-a

a. financial-reporting-system-(FRS).
Page-|-3

, b. enterprise-system (ES). aq




c. manufacturing-system-(MS).

d. cost-accounting system.
aq




Correct-Answer:-A



9. (LO-1-
3) What-is-the-name-of-the-position-for-a-person-responsible-for-determining Information-needs-of-a-
aq



busi-ness-and-designing-a-system-to-meet-those-needs?

a. Chief-information-officer

b. Controller

c. IT-auditor

d. Systems-analyst-Correct-Answer:-D



10. (LO-1-
9)-The-balance-sheet account-most-likely-affected-by-an-AIS-investment-in-supply-chain-
aq



managem-ent-software-would-be

a. inventories.

b. fixed-assets.

c. cash-and-cash-equivalents.

d. unearned revenue.
aq




Correct-Answer:-A



11. (LO-1-7)-The-software/system-that-helps-make-sure-the-retail-firm-doesn‘t-have-a stockout is
aq aq




a. supply-chain management- software.
aq




b. customer-relationship-management-software.

c. enterprise-systems.

d. human-resource-systems.

Correct-Answer:-A


Page-|-4