Accounting Information Systems 1st Edition SavageTest Bank v v v v v v v
InstantAccess v
AccountingInformationSystems,1e(Savage) v v v v
Chapter 1 Accounting as Information
v v v v
All Chapters
v v
1) Accounting communicates to stakeholders v v v
A) minimally required public financial data. v v v v
B) the financial outcomes of operating, investing, and financing activities.
v v v v v v v v
C) the sales strategy for the operating, marketing, and sales activities.
v v v v v v v v v
D) black and white details about the economics of operating activities.
v v v v v v v v v
Answer: B
v v
Diff: 1
v
Learning Objective: 1.1 Explain how accounting affects both the demand for and supply of information.
v v v v v v v v v v v v v v
Section Reference: Why is Accounting Information Important?
v v v v v v
AACSB: Communication
v v
Bloom's: Comprehension v
AICPA: AC: Reporting
v v v
2) Accounting communicates the financial outcomes of a business's activities for
v v v v v v v v v
A) operating.
B) investing.
C) financing. se
D) All of these answer choices are correct.
v v v v v v
Answer: D
v v
ur
Diff: 1
v
Learning Objective: 1.1 Explain how accounting affects both the demand for and supply of information.
en
v v v v v v v v v v v v v v
Section Reference: Why is Accounting Information Important?
v v v v v v
AACSB: Communication
v v
is
Bloom's: Comprehension v
AICPA: AC: Reporting
w
v v v
3) In what way do management teams use accounting data?
v v v v v v v v
A) Management teams use accounting data to make business decisions. v v v v v v v v
B) Management teams use accounting data to make and execute plans. v v v v v v v v v
C) Management teams use economic and accounting data together to make decisions.v v v v v v v v v v
D) All of these answer choices are correct.
v v v v v v
Answer: D
v v
Diff: 1
v
Learning Objective: 1.1 Explain how accounting affects both the demand for and supply of information.
v v v v v v v v v v v v v v
Section Reference: Why is Accounting Information Important?
v v v v v v
AACSB: Analytic
v v
Bloom's: Comprehension v v
AICPA: AC: Risk Assessment, Analysis, and Management
v v v v v v v
1
,4) Which statement is TRUE? v v v
A) Accounting consists of rigid black and white rules. v v v v v v v
B) Accountants crunch numbers, not make decisions. v v v v v
C) Accounting helps support a prosperous society. v v v v v
D) Accountants focus on debits and credits, not business activities. v v v v v v v v
Answer: C
v v
Diff: 1
v
Learning Objective: 1.1 Explain how accounting affects both the demand for and supply of information.
v v v v v v v v v v v v v v
Section Reference: Why is Accounting Information Important?
v v v v v v
AACSB: Analytic
v v
Bloom's: Comprehension v
AICPA: N/A
v v
5) Which of the following is NOT a component of an information system?
v v v v v v v v v v v
A) Hardware
B) Software
C) Input
D) Network
Answer: C
v v
Diff: 1
v v
se
Learning Objective: 1.1 Explain how accounting affects both the demand for and supply of information.
v v v v v v v v v v v v v v
Section Reference: Why is Accounting Information Important?
v v v v v v
ur
AACSB: Analytic
v v
Bloom's: Knowledge
en
v v
AICPA: AC: Systems and Process Management
v v v v v v
is
6) Input to an information system consists of
v v v v v v
A) raw and unorganized data.
w
v v v
B) hardware and software. v v
C) reported information. v
D) processeddata. v
Answer: A
v v
Diff: 1
v
Learning Objective: 1.1 Explain how accounting affects both the demand for and supply of information.
v v v v v v v v v v v v v v
Section Reference: Why is Accounting Information Important?
v v v v v v
AACSB: Analytic
v v
Bloom's: Knowledge v v
AICPA: AC: Systems and Process Management
v v v v v v
7) Which of the following is a definition of output from an information system?
v v v v v v v v v v v v
A) Output is raw and unorganized data. v v v v v
B) Output is information produced by processing data.
v v v v v v
C) Output is database facts and figures. v v v v v
D) Output is information collected from users.
v v v v v
Answer: B
v v
2
,Diff: 1
v
Learning Objective: 1.1 Explain how accounting affects both the demand for and supply of information.
v v v v v v v v v v v v v v
Section Reference: Why is Accounting Information Important?
v v v v v v
AACSB: Analytic
v v
Bloom's: Comprehension v v
AICPA: AC: Systems and Process Management
v v v v v v
8) Which statement concerning data is TRUE?
v v v v v
A) Data is useless to a business until transformed into information.
v v v v v v v v v
B) Data is the output from an information system.
v v v v v v v
C) Data is organized into understandable formats.
v v v v v
D) Data is processed before being input into the information system.
v v v v v v v v v
Answer: A
v v
Diff: 1
v
Learning Objective: 1.1 Explain how accounting affects both the demand for and supply of information.
v v v v v v v v v v v v v v
Section Reference: Why is Accounting Information Important?
v v v v v v
AACSB: Analytic
v v
Bloom's: Comprehension v v
AICPA: AC: Systems and Process Management
v v v v v v
9) Which of the following activities would NOT result in a transaction in an accounting
v v v v v v v
se
v v v v v v
information system?
v v
ur
A) Sell goods to a customer on account
v v v v v v
B) Purchase supplies on credit
en
v v v
C) Prepay for six months of insurance v v v v v
D) Receivea customerorder v v v
is
Answer: D
v v
Diff: 2
w
v
Learning Objective: 1.1 Explain how accounting affects both the demand for and supply of information.
v v v v v v v v v v v v v v
Section Reference: Why is Accounting Information Important?
v v v v v v
AACSB: Analytic
v v
Bloom's: Application v v
AICPA: AC: Systems and Process Management
v v v v v v
3
, 10) Which of the following activities results in a transaction an accounting information system?
v v v v v v v v v v v v
A) Sell goods to a customer
v v v v
B) Submit an order to a vendor v v v v v
C) Create estimates for a customer v v v v
D) Receivea customerorder v v v
Answer: A
v v
Diff: 2 v
Learning Objective: 1.1 Explain how accounting affects both the demand for and supply of information.
v v v v v v v v v v v v v v
Section Reference: Why is Accounting Information Important?
v v v v v v
AACSB: Analytic
v v
Bloom's: Application v v
AICPA: AC: Systems and Process Management
v v v v v v
11) A business model is
v v v
A) a company's plan for operations.
v v v v
B) a company's plan for making a profit.
v v v v v v
C) a company's plan for identifying customers.
v v v v v
D) a company's plan for production.
v v v v
Answer: B
v v
Diff: 1 v
se
Learning Objective: 1.1 Explain how accounting affects both the demand for and supply of information.
v v v v v v v v v v v v v v
Section Reference: Why is Accounting Information Important?
v v v v v v
ur
AACSB: Analytic
v v
Bloom's: Knowledge
en
v v
AICPA: AC: Systems and Process Management
v v v v v v
is
12) What kind of business model should an entrepreneurial application developer consider for a new
v v v v v v v v v v v v v
smartphone game that will allow users to pay for additional capabilities and/or lives during the
w
v v v v v v v v v v v v v v v
game?
v
A) Franchise
B) Subscription
C) Freemium
D) Peer-to-peer
Answer: C
v v
Diff: 2
v v
Learning Objective: 1.1 Explain how accounting affects both the demand for and supply of information.
v v v v v v v v v v v v v v
Section Reference: Why is Accounting Information Important?
v v v v v v
AACSB: Analytic
v v
Bloom's: Application v v
AICPA: AC: Systems and Process Management
v v v v v v
4
InstantAccess v
AccountingInformationSystems,1e(Savage) v v v v
Chapter 1 Accounting as Information
v v v v
All Chapters
v v
1) Accounting communicates to stakeholders v v v
A) minimally required public financial data. v v v v
B) the financial outcomes of operating, investing, and financing activities.
v v v v v v v v
C) the sales strategy for the operating, marketing, and sales activities.
v v v v v v v v v
D) black and white details about the economics of operating activities.
v v v v v v v v v
Answer: B
v v
Diff: 1
v
Learning Objective: 1.1 Explain how accounting affects both the demand for and supply of information.
v v v v v v v v v v v v v v
Section Reference: Why is Accounting Information Important?
v v v v v v
AACSB: Communication
v v
Bloom's: Comprehension v
AICPA: AC: Reporting
v v v
2) Accounting communicates the financial outcomes of a business's activities for
v v v v v v v v v
A) operating.
B) investing.
C) financing. se
D) All of these answer choices are correct.
v v v v v v
Answer: D
v v
ur
Diff: 1
v
Learning Objective: 1.1 Explain how accounting affects both the demand for and supply of information.
en
v v v v v v v v v v v v v v
Section Reference: Why is Accounting Information Important?
v v v v v v
AACSB: Communication
v v
is
Bloom's: Comprehension v
AICPA: AC: Reporting
w
v v v
3) In what way do management teams use accounting data?
v v v v v v v v
A) Management teams use accounting data to make business decisions. v v v v v v v v
B) Management teams use accounting data to make and execute plans. v v v v v v v v v
C) Management teams use economic and accounting data together to make decisions.v v v v v v v v v v
D) All of these answer choices are correct.
v v v v v v
Answer: D
v v
Diff: 1
v
Learning Objective: 1.1 Explain how accounting affects both the demand for and supply of information.
v v v v v v v v v v v v v v
Section Reference: Why is Accounting Information Important?
v v v v v v
AACSB: Analytic
v v
Bloom's: Comprehension v v
AICPA: AC: Risk Assessment, Analysis, and Management
v v v v v v v
1
,4) Which statement is TRUE? v v v
A) Accounting consists of rigid black and white rules. v v v v v v v
B) Accountants crunch numbers, not make decisions. v v v v v
C) Accounting helps support a prosperous society. v v v v v
D) Accountants focus on debits and credits, not business activities. v v v v v v v v
Answer: C
v v
Diff: 1
v
Learning Objective: 1.1 Explain how accounting affects both the demand for and supply of information.
v v v v v v v v v v v v v v
Section Reference: Why is Accounting Information Important?
v v v v v v
AACSB: Analytic
v v
Bloom's: Comprehension v
AICPA: N/A
v v
5) Which of the following is NOT a component of an information system?
v v v v v v v v v v v
A) Hardware
B) Software
C) Input
D) Network
Answer: C
v v
Diff: 1
v v
se
Learning Objective: 1.1 Explain how accounting affects both the demand for and supply of information.
v v v v v v v v v v v v v v
Section Reference: Why is Accounting Information Important?
v v v v v v
ur
AACSB: Analytic
v v
Bloom's: Knowledge
en
v v
AICPA: AC: Systems and Process Management
v v v v v v
is
6) Input to an information system consists of
v v v v v v
A) raw and unorganized data.
w
v v v
B) hardware and software. v v
C) reported information. v
D) processeddata. v
Answer: A
v v
Diff: 1
v
Learning Objective: 1.1 Explain how accounting affects both the demand for and supply of information.
v v v v v v v v v v v v v v
Section Reference: Why is Accounting Information Important?
v v v v v v
AACSB: Analytic
v v
Bloom's: Knowledge v v
AICPA: AC: Systems and Process Management
v v v v v v
7) Which of the following is a definition of output from an information system?
v v v v v v v v v v v v
A) Output is raw and unorganized data. v v v v v
B) Output is information produced by processing data.
v v v v v v
C) Output is database facts and figures. v v v v v
D) Output is information collected from users.
v v v v v
Answer: B
v v
2
,Diff: 1
v
Learning Objective: 1.1 Explain how accounting affects both the demand for and supply of information.
v v v v v v v v v v v v v v
Section Reference: Why is Accounting Information Important?
v v v v v v
AACSB: Analytic
v v
Bloom's: Comprehension v v
AICPA: AC: Systems and Process Management
v v v v v v
8) Which statement concerning data is TRUE?
v v v v v
A) Data is useless to a business until transformed into information.
v v v v v v v v v
B) Data is the output from an information system.
v v v v v v v
C) Data is organized into understandable formats.
v v v v v
D) Data is processed before being input into the information system.
v v v v v v v v v
Answer: A
v v
Diff: 1
v
Learning Objective: 1.1 Explain how accounting affects both the demand for and supply of information.
v v v v v v v v v v v v v v
Section Reference: Why is Accounting Information Important?
v v v v v v
AACSB: Analytic
v v
Bloom's: Comprehension v v
AICPA: AC: Systems and Process Management
v v v v v v
9) Which of the following activities would NOT result in a transaction in an accounting
v v v v v v v
se
v v v v v v
information system?
v v
ur
A) Sell goods to a customer on account
v v v v v v
B) Purchase supplies on credit
en
v v v
C) Prepay for six months of insurance v v v v v
D) Receivea customerorder v v v
is
Answer: D
v v
Diff: 2
w
v
Learning Objective: 1.1 Explain how accounting affects both the demand for and supply of information.
v v v v v v v v v v v v v v
Section Reference: Why is Accounting Information Important?
v v v v v v
AACSB: Analytic
v v
Bloom's: Application v v
AICPA: AC: Systems and Process Management
v v v v v v
3
, 10) Which of the following activities results in a transaction an accounting information system?
v v v v v v v v v v v v
A) Sell goods to a customer
v v v v
B) Submit an order to a vendor v v v v v
C) Create estimates for a customer v v v v
D) Receivea customerorder v v v
Answer: A
v v
Diff: 2 v
Learning Objective: 1.1 Explain how accounting affects both the demand for and supply of information.
v v v v v v v v v v v v v v
Section Reference: Why is Accounting Information Important?
v v v v v v
AACSB: Analytic
v v
Bloom's: Application v v
AICPA: AC: Systems and Process Management
v v v v v v
11) A business model is
v v v
A) a company's plan for operations.
v v v v
B) a company's plan for making a profit.
v v v v v v
C) a company's plan for identifying customers.
v v v v v
D) a company's plan for production.
v v v v
Answer: B
v v
Diff: 1 v
se
Learning Objective: 1.1 Explain how accounting affects both the demand for and supply of information.
v v v v v v v v v v v v v v
Section Reference: Why is Accounting Information Important?
v v v v v v
ur
AACSB: Analytic
v v
Bloom's: Knowledge
en
v v
AICPA: AC: Systems and Process Management
v v v v v v
is
12) What kind of business model should an entrepreneurial application developer consider for a new
v v v v v v v v v v v v v
smartphone game that will allow users to pay for additional capabilities and/or lives during the
w
v v v v v v v v v v v v v v v
game?
v
A) Franchise
B) Subscription
C) Freemium
D) Peer-to-peer
Answer: C
v v
Diff: 2
v v
Learning Objective: 1.1 Explain how accounting affects both the demand for and supply of information.
v v v v v v v v v v v v v v
Section Reference: Why is Accounting Information Important?
v v v v v v
AACSB: Analytic
v v
Bloom's: Application v v
AICPA: AC: Systems and Process Management
v v v v v v
4
