TEST BANK COMPLETE_
Accounting Information Systems: Connecting Careers,
Systems, And Analytics 1st Edition, (2022)
By Arline A. Savage, Danielle Brannock & Alicja Foksinska
All Chapters 1-19| 4 Units| Latest Version With Verified Answers| Rated A+
,Part i: foundations of ais _______________________________________________________ 3
Chapter 1: accounting as information __________________________________________________ 3
Chapter 2: risks and risk assessments _________________________________________________ 50
Chapter 3: risk management and internal controls ______________________________________ 89
Chapter 4: software and systems ___________________________________________________ 131
Chapter 5: data storage and analysis ________________________________________________ 180
Chapter 6: designing systems and databases __________________________________________ 217
Chapter 7: emerging and disruptive technologies ______________________________________ 260
Chapter 8: documenting systems and processes _______________________________________ 303
Part ii: business processes ____________________________________________________ 355
Chapter 9: human resources and payroll processes _____________________________________ 355
Chapter 10: purchasing and payments process ________________________________________ 397
Chapter 11: conversion processes ___________________________________________________ 450
Chapter 12: marketing, sales, and collection processes __________________________________ 500
Chapter 13: financial reporting processes _____________________________________________ 557
Part iii: risk assurance _______________________________________________________ 600
Chapter 14: information systems and controls _________________________________________ 600
Chapter 15: fraud ________________________________________________________________ 640
Chapter 16: cybersecurity _________________________________________________________ 685
Part iv: technology and analytics ______________________________________________ 733
Chapter 17: data analytics _________________________________________________________ 733
Chapter 18: data visualization ______________________________________________________ 779
Chapter 19: audit assurance _______________________________________________________ 816
,Part i: foundations of ais
Chapter 1: accounting as information
Savage: accounting information systems: connecting careers, systems, and analytics 1st edition, (2022)
1) accounting communicates to stakeholders
A) minimally required public financial data.
B) the financial outcomes of operating, investing, and financing activities.
C) the sales strategy for the operating, marketing, and sales activities.
D) black and white details about the economics of operating activities.
ANSWER:> b
Accounting primarily communicates the financial outcomes of a company's operations,
investments, and financing activities to stakeholders. These outcomes are critical for
decision-making and understanding a company’s overall financial health.
Accounting plays a vital role in presenting how a business has performed across different
activities, rather than just providing minimal data or focusing solely on sales or specific
operational details.
Diff: 1
Learning objective: 1.1 explain how accounting affects both the demand for and supply of
information.
Section reference: why is accounting information important? Aacsb: communication
Bloom's: comprehension aicpa: ac: reporting
2) accounting communicates the financial outcomes of a business's activities for
A) operating.
B) investing.
C) financing.
D) all of these answer choices are correct.
ANSWER:> d
,Accounting provides a comprehensive picture of a business's financial outcomes across
all major areas: operating, investing, and financing. All these activities are integral to
understanding the financial performance of a business.
To understand a company's financial standing, one must look at how it performs in all of
these areas, not just a single aspect like operations or investments.
Diff: 1
Learning objective: 1.1 explain how accounting affects both the demand for and supply of
information.
Section reference: why is accounting information important? Aacsb: communication
Bloom's: comprehension aicpa: ac: reporting
3) in what way do management teams use accounting data?
A) management teams use accounting data to make business decisions.
B) management teams use accounting data to make and execute plans.
C) management teams use economic and accounting data together to make decisions.
D) all of these answer choices are correct.
ANSWER:> d
Management teams rely on accounting data in various ways—making decisions,
executing strategies, and assessing both economic and financial information together for
effective decision-making.
Accounting data is essential in the decision-making process, allowing managers to make
informed choices about business strategy and operations.
Diff: 1
Learning objective: 1.1 explain how accounting affects both the demand for and supply of
information.
Section reference: why is accounting information important? Aacsb: analytic
Bloom's: comprehension
Aicpa: ac: risk assessment, analysis, and management
4) which statement is true?
A) accounting consists of rigid black and white rules.
,B) accountants crunch numbers, not make decisions.
C) accounting helps support a prosperous society.
D) accountants focus on debits and credits, not business activities.
ANSWER:> c
Accounting plays a crucial role in supporting the economy by ensuring transparency,
trust, and proper financial management, contributing to a prosperous society.
While accountants do work with debits and credits, their role is far broader, and they
contribute significantly to societal economic health through their work in financial
reporting and decision support.
Diff: 1
Learning objective: 1.1 explain how accounting affects both the demand for and supply of
information.
Section reference: why is accounting information important? Aacsb: analytic
Bloom's: comprehension aicpa: n/a
5) which of the following is not a component of an information system?
A) hardware
B) software
C) input
D) network
ANSWER:> c
Input is not considered a component of the information system itself. Rather, input is one
of the elements that the system processes. The components of an information system are
hardware, software, and network.
Information systems rely on structured components, such as hardware and software, to
process and produce meaningful outputs from data inputs.
Diff: 1
Learning objective: 1.1 explain how accounting affects both the demand for and supply of
information.
, Section reference: why is accounting information important? Aacsb: analytic
Bloom's: knowledge
Aicpa: ac: systems and process management
6) input to an information system consists of
A) raw and unorganized data.
B) hardware and software.
C) reported information.
D) processed data.
ANSWER:> a
Input refers to raw, unorganized data that is fed into the system for processing. The
system's purpose is to organize and transform this data into useful information.
Raw data needs to be processed before it can be used meaningfully by businesses or
stakeholders.
Diff: 1
Learning objective: 1.1 explain how accounting affects both the demand for and supply of
information.
Section reference: why is accounting information important? Aacsb: analytic
Bloom's: knowledge
Aicpa: ac: systems and process management
7) which of the following is a definition of output from an information system?
A) output is raw and unorganized data.
B) output is information produced by processing data.
C) output is database facts and figures.
D) output is information collected from users.
ANSWER:> b
Output refers to the meaningful information that results from processing data. This is
what is used for decision-making or reporting purposes.
Accounting Information Systems: Connecting Careers,
Systems, And Analytics 1st Edition, (2022)
By Arline A. Savage, Danielle Brannock & Alicja Foksinska
All Chapters 1-19| 4 Units| Latest Version With Verified Answers| Rated A+
,Part i: foundations of ais _______________________________________________________ 3
Chapter 1: accounting as information __________________________________________________ 3
Chapter 2: risks and risk assessments _________________________________________________ 50
Chapter 3: risk management and internal controls ______________________________________ 89
Chapter 4: software and systems ___________________________________________________ 131
Chapter 5: data storage and analysis ________________________________________________ 180
Chapter 6: designing systems and databases __________________________________________ 217
Chapter 7: emerging and disruptive technologies ______________________________________ 260
Chapter 8: documenting systems and processes _______________________________________ 303
Part ii: business processes ____________________________________________________ 355
Chapter 9: human resources and payroll processes _____________________________________ 355
Chapter 10: purchasing and payments process ________________________________________ 397
Chapter 11: conversion processes ___________________________________________________ 450
Chapter 12: marketing, sales, and collection processes __________________________________ 500
Chapter 13: financial reporting processes _____________________________________________ 557
Part iii: risk assurance _______________________________________________________ 600
Chapter 14: information systems and controls _________________________________________ 600
Chapter 15: fraud ________________________________________________________________ 640
Chapter 16: cybersecurity _________________________________________________________ 685
Part iv: technology and analytics ______________________________________________ 733
Chapter 17: data analytics _________________________________________________________ 733
Chapter 18: data visualization ______________________________________________________ 779
Chapter 19: audit assurance _______________________________________________________ 816
,Part i: foundations of ais
Chapter 1: accounting as information
Savage: accounting information systems: connecting careers, systems, and analytics 1st edition, (2022)
1) accounting communicates to stakeholders
A) minimally required public financial data.
B) the financial outcomes of operating, investing, and financing activities.
C) the sales strategy for the operating, marketing, and sales activities.
D) black and white details about the economics of operating activities.
ANSWER:> b
Accounting primarily communicates the financial outcomes of a company's operations,
investments, and financing activities to stakeholders. These outcomes are critical for
decision-making and understanding a company’s overall financial health.
Accounting plays a vital role in presenting how a business has performed across different
activities, rather than just providing minimal data or focusing solely on sales or specific
operational details.
Diff: 1
Learning objective: 1.1 explain how accounting affects both the demand for and supply of
information.
Section reference: why is accounting information important? Aacsb: communication
Bloom's: comprehension aicpa: ac: reporting
2) accounting communicates the financial outcomes of a business's activities for
A) operating.
B) investing.
C) financing.
D) all of these answer choices are correct.
ANSWER:> d
,Accounting provides a comprehensive picture of a business's financial outcomes across
all major areas: operating, investing, and financing. All these activities are integral to
understanding the financial performance of a business.
To understand a company's financial standing, one must look at how it performs in all of
these areas, not just a single aspect like operations or investments.
Diff: 1
Learning objective: 1.1 explain how accounting affects both the demand for and supply of
information.
Section reference: why is accounting information important? Aacsb: communication
Bloom's: comprehension aicpa: ac: reporting
3) in what way do management teams use accounting data?
A) management teams use accounting data to make business decisions.
B) management teams use accounting data to make and execute plans.
C) management teams use economic and accounting data together to make decisions.
D) all of these answer choices are correct.
ANSWER:> d
Management teams rely on accounting data in various ways—making decisions,
executing strategies, and assessing both economic and financial information together for
effective decision-making.
Accounting data is essential in the decision-making process, allowing managers to make
informed choices about business strategy and operations.
Diff: 1
Learning objective: 1.1 explain how accounting affects both the demand for and supply of
information.
Section reference: why is accounting information important? Aacsb: analytic
Bloom's: comprehension
Aicpa: ac: risk assessment, analysis, and management
4) which statement is true?
A) accounting consists of rigid black and white rules.
,B) accountants crunch numbers, not make decisions.
C) accounting helps support a prosperous society.
D) accountants focus on debits and credits, not business activities.
ANSWER:> c
Accounting plays a crucial role in supporting the economy by ensuring transparency,
trust, and proper financial management, contributing to a prosperous society.
While accountants do work with debits and credits, their role is far broader, and they
contribute significantly to societal economic health through their work in financial
reporting and decision support.
Diff: 1
Learning objective: 1.1 explain how accounting affects both the demand for and supply of
information.
Section reference: why is accounting information important? Aacsb: analytic
Bloom's: comprehension aicpa: n/a
5) which of the following is not a component of an information system?
A) hardware
B) software
C) input
D) network
ANSWER:> c
Input is not considered a component of the information system itself. Rather, input is one
of the elements that the system processes. The components of an information system are
hardware, software, and network.
Information systems rely on structured components, such as hardware and software, to
process and produce meaningful outputs from data inputs.
Diff: 1
Learning objective: 1.1 explain how accounting affects both the demand for and supply of
information.
, Section reference: why is accounting information important? Aacsb: analytic
Bloom's: knowledge
Aicpa: ac: systems and process management
6) input to an information system consists of
A) raw and unorganized data.
B) hardware and software.
C) reported information.
D) processed data.
ANSWER:> a
Input refers to raw, unorganized data that is fed into the system for processing. The
system's purpose is to organize and transform this data into useful information.
Raw data needs to be processed before it can be used meaningfully by businesses or
stakeholders.
Diff: 1
Learning objective: 1.1 explain how accounting affects both the demand for and supply of
information.
Section reference: why is accounting information important? Aacsb: analytic
Bloom's: knowledge
Aicpa: ac: systems and process management
7) which of the following is a definition of output from an information system?
A) output is raw and unorganized data.
B) output is information produced by processing data.
C) output is database facts and figures.
D) output is information collected from users.
ANSWER:> b
Output refers to the meaningful information that results from processing data. This is
what is used for decision-making or reporting purposes.
