ACCT 351
ACC351 Exam 3 Questions and Answers
100% Verified 2025-2026 Update
Controls to mitigate inaccurate or invalid master data in the revenue cycle -Correct
Answers ✔-Data processing integrity controls, restriction of access to master data,
review of all changes to master data
Controls to mitigate poor performance in the revenue cycle -Correct Answers ✔-
managerial reports
Controls to mitigate unauthorized disclosure of sensitive information in the
revenue cycle -Correct Answers ✔-Access controls, encryption, tokenization of
customer personal information
Name five threats in the Sales Order entry process -Correct Answers ✔-
Incomplete/inaccurate orders, invalid orders, uncollectible accounts, stockouts or
excess inventory, loss of customer
What do you call the unknown technologies or spreadsheet processes throughout
the accounting cycle that the IT department does not know about? -Correct
Answers ✔-Shadow IT
Name two spreadsheet risks -Correct Answers ✔-unauthorized access, data loss
Name four general threats throughout the revenue cycle -Correct Answers ✔-
inaccurate or invalid master data, unauthorized disclosure of sensitive information,
loss or destruction of data, poor performance
ACCT 351
,ACCT 351
What are the four sub-processes (activities) the book identifies as part of the
revenue cycle? -Correct Answers ✔-Sales order entry, Shipping, Billing,
Cash collections
What are the key decisions in the revenue process? -Correct Answers ✔-To what
extent can and should products be customized to individual customers' needs and
desires?
How much inventory should be carried, and where should that inventory be
located?
How should merchandise be delivered to customers? Should the company perform
the shipping function itself or outsource it to a third party that specializes in
logistics?
What are the optimal prices for each product or service
Should credit be extended to customers? If so, what credit terms should be offered?
How much credit should be extended to individual customers?
How can customer payment be processed to maximize cash flow?
Name the spreadsheet control that is automated as part of the Version Control
process -Correct Answers ✔-Backups
Spreadsheet control that grants permission to open the file may be prevented at the
file level. -Correct Answers ✔-Access controls
Controls to mitigate the threat of incomplete/inaccurate orders in the sales order
entry process -Correct Answers ✔-data entry edit controls, restriction of access to
master data
ACCT 351
, ACCT 351
Recurring set of business activities and related information processing operations
(cycle) associated with providing goods and services to customers and collecting
cash in payment for those sales, conduct business with customers. -Correct
Answers ✔-Revenue Cycle
Controls to mitigate the threat of invalid orders in the sales order entry process -
Correct Answers ✔-signatures
Controls to mitigate the threat of uncollectible accounts in the sales order entry
process -Correct Answers ✔-credit limits, aging of AR, authorization to approve
new customers
Controls to mitigate the threat of stockouts or excess inventory in the sales order
entry process -Correct Answers ✔-perpetual inventory, barcode system, training,
periodic physical counts, sales forecasts and activity reports
Controls to mitigate the threat of loss of customers in the sales order entry process
-Correct Answers ✔-CRM systems, self-help websites, customer service ratings
Name three threats in the Shipping process -Correct Answers ✔-Picking the wrong
items or quantity, theft of inventory, shipping errors
Controls to mitigate the threat of picking the wrong items or quantity in the
Shipping process -Correct Answers ✔-RFID or barcode, reconciliation of pick list
to sales order details
ACCT 351
ACC351 Exam 3 Questions and Answers
100% Verified 2025-2026 Update
Controls to mitigate inaccurate or invalid master data in the revenue cycle -Correct
Answers ✔-Data processing integrity controls, restriction of access to master data,
review of all changes to master data
Controls to mitigate poor performance in the revenue cycle -Correct Answers ✔-
managerial reports
Controls to mitigate unauthorized disclosure of sensitive information in the
revenue cycle -Correct Answers ✔-Access controls, encryption, tokenization of
customer personal information
Name five threats in the Sales Order entry process -Correct Answers ✔-
Incomplete/inaccurate orders, invalid orders, uncollectible accounts, stockouts or
excess inventory, loss of customer
What do you call the unknown technologies or spreadsheet processes throughout
the accounting cycle that the IT department does not know about? -Correct
Answers ✔-Shadow IT
Name two spreadsheet risks -Correct Answers ✔-unauthorized access, data loss
Name four general threats throughout the revenue cycle -Correct Answers ✔-
inaccurate or invalid master data, unauthorized disclosure of sensitive information,
loss or destruction of data, poor performance
ACCT 351
,ACCT 351
What are the four sub-processes (activities) the book identifies as part of the
revenue cycle? -Correct Answers ✔-Sales order entry, Shipping, Billing,
Cash collections
What are the key decisions in the revenue process? -Correct Answers ✔-To what
extent can and should products be customized to individual customers' needs and
desires?
How much inventory should be carried, and where should that inventory be
located?
How should merchandise be delivered to customers? Should the company perform
the shipping function itself or outsource it to a third party that specializes in
logistics?
What are the optimal prices for each product or service
Should credit be extended to customers? If so, what credit terms should be offered?
How much credit should be extended to individual customers?
How can customer payment be processed to maximize cash flow?
Name the spreadsheet control that is automated as part of the Version Control
process -Correct Answers ✔-Backups
Spreadsheet control that grants permission to open the file may be prevented at the
file level. -Correct Answers ✔-Access controls
Controls to mitigate the threat of incomplete/inaccurate orders in the sales order
entry process -Correct Answers ✔-data entry edit controls, restriction of access to
master data
ACCT 351
, ACCT 351
Recurring set of business activities and related information processing operations
(cycle) associated with providing goods and services to customers and collecting
cash in payment for those sales, conduct business with customers. -Correct
Answers ✔-Revenue Cycle
Controls to mitigate the threat of invalid orders in the sales order entry process -
Correct Answers ✔-signatures
Controls to mitigate the threat of uncollectible accounts in the sales order entry
process -Correct Answers ✔-credit limits, aging of AR, authorization to approve
new customers
Controls to mitigate the threat of stockouts or excess inventory in the sales order
entry process -Correct Answers ✔-perpetual inventory, barcode system, training,
periodic physical counts, sales forecasts and activity reports
Controls to mitigate the threat of loss of customers in the sales order entry process
-Correct Answers ✔-CRM systems, self-help websites, customer service ratings
Name three threats in the Shipping process -Correct Answers ✔-Picking the wrong
items or quantity, theft of inventory, shipping errors
Controls to mitigate the threat of picking the wrong items or quantity in the
Shipping process -Correct Answers ✔-RFID or barcode, reconciliation of pick list
to sales order details
ACCT 351
