TEST BANK COMPLETE_
ACCOUNTING INFORMATION SYSTEMS 10TH EDITION,
BY JAMES HALL (AUTHOR)
ALL CHAPTERS 1-16| 5 UNITS| LATEST VERSION WITH VERIFIED ANSWERS| RATED A+
,PART I: OVERVIEW OF ACCOUNTING INFORMATION SYSTEMS ________________ 3
CHAPTER 1—THE INFORMATION SYSTEM: AN ACCOUNTANT’S PERSPECTIVE ____ 3
CHAPTER 2—INTRODUCTION TO TRANSACTION PROCESSING __________________ 35
CHAPTER 3—ETHICS, FRAUD, AND INTERNAL CONTROL ________________________ 66
PART II: TRANSACTION CYCLES AND BUSINESS PROCESSES ________________ 110
CHAPTER 4—THE REVENUE CYCLE ___________________________________________ 110
CHAPTER 5—THE EXPENDITURE CYCLE PART I: PURCHASES AND CASH
DISBURSEMENTS PROCEDURES _______________________________________________ 138
CHAPTER 6—THE EXPENDITURE CYCLE PART II: PAYROLL PROCESSING AND
FIXED ASSET PROCEDURES ___________________________________________________ 166
CHAPTER 7—THE CONVERSION CYCLE________________________________________ 191
CHAPTER 8—FINANCIAL REPORTING, AND MANAGEMENT REPORTING SYSTEMS
______________________________________________________________________________ 219
PART III: ADVANCED TECHNOLOGIES IN ACCOUNTING INFORMATION ______ 245
CHAPTER 9—DATABASE MANAGEMENT SYSTEMS _____________________________ 245
CHAPTER 10—THE REA APPROACH TO BUSINESS PROCESS MODELING_________ 271
CHAPTER 11—ENTERPRISE RESOURCE PLANNING SYSTEMS ___________________ 289
CHAPTER 12—ELECTRONIC COMMERCE SYSTEMS ____________________________ 314
PART IV: SYSTEMS DEVELOPMENT ACTIVITIES ____________________________ 346
CHAPTER 13— SYSTEMS DEVELOPMENT AND PROGRAM CHANGE ACTIVITIES _ 346
PART V: COMPUTER CONTROLS AND IT AUDITING __________________________ 370
CHAPTER 14—AUDITING IT CONTROLS PART I: SARBANES-OXLEY AND IT
GOVERNANCE ________________________________________________________________ 370
CHAPTER 15—AUDITING IT CONTROLS PART II: SECURITY AND ACCESS _______ 404
CHAPTER 16—AUDITING IT CONTROLS PART III: SYSTEMS DEVELOPMENT,
PROGRAM CHANGES, AND APPLICATION AUDITING ___________________________ 429
,PART I: OVERVIEW OF ACCOUNTING INFORMATION SYSTEMS
CHAPTER 1—THE INFORMATION SYSTEM: AN ACCOUNTANT’S PERSPECTIVE
JAMES HALL: ACCOUNTING INFORMATION SYSTEMS 10TH EDITION, TEST
BANK
TRUE/FALSE
1. AN INFORMATION SYSTEM IS A SET OF INTERRELATED COMPONENTS
THAT COLLECT, PROCESS, STORE, AND DISTRIBUTE INFORMATION TO
SUPPORT DECISION-MAKING AND CONTROL.
ANSWER:> TRUE PTS: 1
2. THE PRIMARY PURPOSE OF AN ACCOUNTING INFORMATION SYSTEM
(AIS) IS TO MANAGE DATA FROM BOTH FINANCIAL AND NON-FINANCIAL
TRANSACTIONS.
ANSWER:> TRUE PTS: 1
3. AN ACCOUNTING INFORMATION SYSTEM IS ONLY USED BY
ACCOUNTANTS AND AUDITORS.
ANSWER:> FALSE PTS: 1
4. AIS TYPICALLY INCLUDES BOTH MANUAL AND AUTOMATED PROCESSES
TO RECORD TRANSACTIONS.
ANSWER:> TRUE PTS: 1
,5. IN AN AIS, DATA STORAGE IS ESSENTIAL FOR MAINTAINING HISTORICAL
RECORDS AND ENABLING DATA RETRIEVAL WHEN NEEDED.
ANSWER:> TRUE PTS: 1
6. THE ROLE OF THE ACCOUNTING INFORMATION SYSTEM IS RESTRICTED
TO FINANCIAL REPORTING AND COMPLIANCE PURPOSES.
ANSWER:> FALSE PTS: 1
7. A DATABASE IS A CRITICAL COMPONENT OF THE ACCOUNTING
INFORMATION SYSTEM, AS IT ALLOWS FOR EFFICIENT STORAGE,
RETRIEVAL, AND MANIPULATION OF DATA.
ANSWER:> TRUE PTS: 1
8. THE KEY OBJECTIVE OF AN AIS IS TO PRODUCE FINANCIAL STATEMENTS
ONLY.
ANSWER:> FALSE PTS: 1
9. AN ACCOUNTANT’S ROLE IN AN INFORMATION SYSTEM INCLUDES
UNDERSTANDING HOW THE SYSTEM SUPPORTS BUSINESS PROCESSES AND
DECISION-MAKING.
ANSWER:> TRUE PTS: 1
10. TRANSACTION PROCESSING SYSTEMS (TPS) ARE NOT PART OF AN
ACCOUNTING INFORMATION SYSTEM.
,ANSWER:> FALSE PTS: 1
11. A WELL-DESIGNED AIS ENHANCES THE EFFECTIVENESS AND
EFFICIENCY OF ACCOUNTING PROCESSES.
ANSWER:> TRUE PTS: 1
12. THE PRIMARY USERS OF ACCOUNTING INFORMATION SYSTEMS ARE
EXTERNAL STAKEHOLDERS SUCH AS INVESTORS AND CREDITORS.
ANSWER:> FALSE PTS: 1
13. AIS CAN HELP IN THE DETECTION OF FRAUD BY ENSURING ACCURATE
RECORDING AND VALIDATION OF FINANCIAL TRANSACTIONS.
ANSWER:> TRUE (PTS: 1
14. SECURITY AND CONTROL ARE NOT CRITICAL IN THE DESIGN AND
OPERATION OF AN ACCOUNTING INFORMATION SYSTEM.
ANSWER:> FALSE PTS: 1
15. THE DATA FLOW IN AN ACCOUNTING INFORMATION SYSTEM CAN BE
MODELED USING FLOWCHARTS OR DATA FLOW DIAGRAMS.
ANSWER:> TRUE PTS: 1
16. ACCOUNTING INFORMATION SYSTEMS CANNOT BE INTEGRATED WITH
OTHER BUSINESS SYSTEMS, SUCH AS INVENTORY OR PAYROLL SYSTEMS.
ANSWER:> FALSE PTS: 1
, 17. ONE GOAL OF AN AIS IS TO PROVIDE MANAGEMENT WITH THE
INFORMATION REQUIRED TO MAKE INFORMED DECISIONS ABOUT
ORGANIZATIONAL OPERATIONS.
ANSWER:> TRUE PTS: 1
18. IN AN AIS, THE TRANSACTION PROCESSING SYSTEM (TPS) CAPTURES
AND RECORDS FINANCIAL TRANSACTIONS.
ANSWER:> TRUE PTS: 1
19. ALL ACCOUNTING INFORMATION SYSTEMS MUST COMPLY WITH
LEGAL AND REGULATORY STANDARDS, SUCH AS THE SARBANES-OXLEY
ACT.
ANSWER:> TRUE PTS: 1
20. THE SUCCESS OF AN AIS IS SOLELY DEPENDENT ON THE TECHNOLOGY
USED, NOT THE USERS OR THE PROCESSES INVOLVED.
ANSWER:> FALSE PTS: 1
MULTIPLE CHOICE
1. THE PRIMARY PURPOSE OF AN ACCOUNTING INFORMATION SYSTEM
(AIS) IS TO:
A. PROCESS TRANSACTIONS FOR MANAGEMENT DECISION-MAKING
B. RECORD FINANCIAL DATA FOR COMPLIANCE
C. ENSURE ACCURACY IN FINANCIAL REPORTING
ACCOUNTING INFORMATION SYSTEMS 10TH EDITION,
BY JAMES HALL (AUTHOR)
ALL CHAPTERS 1-16| 5 UNITS| LATEST VERSION WITH VERIFIED ANSWERS| RATED A+
,PART I: OVERVIEW OF ACCOUNTING INFORMATION SYSTEMS ________________ 3
CHAPTER 1—THE INFORMATION SYSTEM: AN ACCOUNTANT’S PERSPECTIVE ____ 3
CHAPTER 2—INTRODUCTION TO TRANSACTION PROCESSING __________________ 35
CHAPTER 3—ETHICS, FRAUD, AND INTERNAL CONTROL ________________________ 66
PART II: TRANSACTION CYCLES AND BUSINESS PROCESSES ________________ 110
CHAPTER 4—THE REVENUE CYCLE ___________________________________________ 110
CHAPTER 5—THE EXPENDITURE CYCLE PART I: PURCHASES AND CASH
DISBURSEMENTS PROCEDURES _______________________________________________ 138
CHAPTER 6—THE EXPENDITURE CYCLE PART II: PAYROLL PROCESSING AND
FIXED ASSET PROCEDURES ___________________________________________________ 166
CHAPTER 7—THE CONVERSION CYCLE________________________________________ 191
CHAPTER 8—FINANCIAL REPORTING, AND MANAGEMENT REPORTING SYSTEMS
______________________________________________________________________________ 219
PART III: ADVANCED TECHNOLOGIES IN ACCOUNTING INFORMATION ______ 245
CHAPTER 9—DATABASE MANAGEMENT SYSTEMS _____________________________ 245
CHAPTER 10—THE REA APPROACH TO BUSINESS PROCESS MODELING_________ 271
CHAPTER 11—ENTERPRISE RESOURCE PLANNING SYSTEMS ___________________ 289
CHAPTER 12—ELECTRONIC COMMERCE SYSTEMS ____________________________ 314
PART IV: SYSTEMS DEVELOPMENT ACTIVITIES ____________________________ 346
CHAPTER 13— SYSTEMS DEVELOPMENT AND PROGRAM CHANGE ACTIVITIES _ 346
PART V: COMPUTER CONTROLS AND IT AUDITING __________________________ 370
CHAPTER 14—AUDITING IT CONTROLS PART I: SARBANES-OXLEY AND IT
GOVERNANCE ________________________________________________________________ 370
CHAPTER 15—AUDITING IT CONTROLS PART II: SECURITY AND ACCESS _______ 404
CHAPTER 16—AUDITING IT CONTROLS PART III: SYSTEMS DEVELOPMENT,
PROGRAM CHANGES, AND APPLICATION AUDITING ___________________________ 429
,PART I: OVERVIEW OF ACCOUNTING INFORMATION SYSTEMS
CHAPTER 1—THE INFORMATION SYSTEM: AN ACCOUNTANT’S PERSPECTIVE
JAMES HALL: ACCOUNTING INFORMATION SYSTEMS 10TH EDITION, TEST
BANK
TRUE/FALSE
1. AN INFORMATION SYSTEM IS A SET OF INTERRELATED COMPONENTS
THAT COLLECT, PROCESS, STORE, AND DISTRIBUTE INFORMATION TO
SUPPORT DECISION-MAKING AND CONTROL.
ANSWER:> TRUE PTS: 1
2. THE PRIMARY PURPOSE OF AN ACCOUNTING INFORMATION SYSTEM
(AIS) IS TO MANAGE DATA FROM BOTH FINANCIAL AND NON-FINANCIAL
TRANSACTIONS.
ANSWER:> TRUE PTS: 1
3. AN ACCOUNTING INFORMATION SYSTEM IS ONLY USED BY
ACCOUNTANTS AND AUDITORS.
ANSWER:> FALSE PTS: 1
4. AIS TYPICALLY INCLUDES BOTH MANUAL AND AUTOMATED PROCESSES
TO RECORD TRANSACTIONS.
ANSWER:> TRUE PTS: 1
,5. IN AN AIS, DATA STORAGE IS ESSENTIAL FOR MAINTAINING HISTORICAL
RECORDS AND ENABLING DATA RETRIEVAL WHEN NEEDED.
ANSWER:> TRUE PTS: 1
6. THE ROLE OF THE ACCOUNTING INFORMATION SYSTEM IS RESTRICTED
TO FINANCIAL REPORTING AND COMPLIANCE PURPOSES.
ANSWER:> FALSE PTS: 1
7. A DATABASE IS A CRITICAL COMPONENT OF THE ACCOUNTING
INFORMATION SYSTEM, AS IT ALLOWS FOR EFFICIENT STORAGE,
RETRIEVAL, AND MANIPULATION OF DATA.
ANSWER:> TRUE PTS: 1
8. THE KEY OBJECTIVE OF AN AIS IS TO PRODUCE FINANCIAL STATEMENTS
ONLY.
ANSWER:> FALSE PTS: 1
9. AN ACCOUNTANT’S ROLE IN AN INFORMATION SYSTEM INCLUDES
UNDERSTANDING HOW THE SYSTEM SUPPORTS BUSINESS PROCESSES AND
DECISION-MAKING.
ANSWER:> TRUE PTS: 1
10. TRANSACTION PROCESSING SYSTEMS (TPS) ARE NOT PART OF AN
ACCOUNTING INFORMATION SYSTEM.
,ANSWER:> FALSE PTS: 1
11. A WELL-DESIGNED AIS ENHANCES THE EFFECTIVENESS AND
EFFICIENCY OF ACCOUNTING PROCESSES.
ANSWER:> TRUE PTS: 1
12. THE PRIMARY USERS OF ACCOUNTING INFORMATION SYSTEMS ARE
EXTERNAL STAKEHOLDERS SUCH AS INVESTORS AND CREDITORS.
ANSWER:> FALSE PTS: 1
13. AIS CAN HELP IN THE DETECTION OF FRAUD BY ENSURING ACCURATE
RECORDING AND VALIDATION OF FINANCIAL TRANSACTIONS.
ANSWER:> TRUE (PTS: 1
14. SECURITY AND CONTROL ARE NOT CRITICAL IN THE DESIGN AND
OPERATION OF AN ACCOUNTING INFORMATION SYSTEM.
ANSWER:> FALSE PTS: 1
15. THE DATA FLOW IN AN ACCOUNTING INFORMATION SYSTEM CAN BE
MODELED USING FLOWCHARTS OR DATA FLOW DIAGRAMS.
ANSWER:> TRUE PTS: 1
16. ACCOUNTING INFORMATION SYSTEMS CANNOT BE INTEGRATED WITH
OTHER BUSINESS SYSTEMS, SUCH AS INVENTORY OR PAYROLL SYSTEMS.
ANSWER:> FALSE PTS: 1
, 17. ONE GOAL OF AN AIS IS TO PROVIDE MANAGEMENT WITH THE
INFORMATION REQUIRED TO MAKE INFORMED DECISIONS ABOUT
ORGANIZATIONAL OPERATIONS.
ANSWER:> TRUE PTS: 1
18. IN AN AIS, THE TRANSACTION PROCESSING SYSTEM (TPS) CAPTURES
AND RECORDS FINANCIAL TRANSACTIONS.
ANSWER:> TRUE PTS: 1
19. ALL ACCOUNTING INFORMATION SYSTEMS MUST COMPLY WITH
LEGAL AND REGULATORY STANDARDS, SUCH AS THE SARBANES-OXLEY
ACT.
ANSWER:> TRUE PTS: 1
20. THE SUCCESS OF AN AIS IS SOLELY DEPENDENT ON THE TECHNOLOGY
USED, NOT THE USERS OR THE PROCESSES INVOLVED.
ANSWER:> FALSE PTS: 1
MULTIPLE CHOICE
1. THE PRIMARY PURPOSE OF AN ACCOUNTING INFORMATION SYSTEM
(AIS) IS TO:
A. PROCESS TRANSACTIONS FOR MANAGEMENT DECISION-MAKING
B. RECORD FINANCIAL DATA FOR COMPLIANCE
C. ENSURE ACCURACY IN FINANCIAL REPORTING
