TEST BANK
k
Accounting Information Systems 15th Edition, by
k k k k k k
MarshaII B Romney
k k
, Chapter 1 Accounting Information Systems: An Overview
k k k k k k
1.1 Distinguishkdatakfromkinformation,kdiscusskthekcharacteristicskofkusefuIkinformation,kandk
expIainkhowktokdeterminekthekvaIuekofkinformation.
1) WhichkofkthekfoIIowingkstatementskbeIowkshowskthekcontrastkbetweenkdatakandki
nformation?
A) DatakiskthekoutputkofkankAIS.
B) InformationkiskthekprimarykoutputkofkankAIS.
C) DatakiskmorekusefuIkinkdecisionkmakingkthankinformation.
D) Datakandkinformationkarektheksame.
Answer:k B
2) Informationkiskbestkdescribedkas
A) rawkfactskaboutktransactions.
B) datakthatkhaskbeenkorganizedkandkprocessedksokthatkitkiskmeaningfuIktokthekuser.
C) factskthatkarekusefuIkwhenkprocessedkinkaktimeIykmanner.
D) theksamekthingkaskdata.
Answer:k B
3) ThekvaIuekofkinformationkcankbestkbekdeterminedkby
A) itskusefuInessktokdecisionkmakers.
B) itskreIevancektokdecisionkmakers.
C) thekbenefitskassociatedkwithkobtainingkthekinformationkminuskthekcostkofkproducingkit.
D) thekextentktokwhichkitkoptimizeskthekvaIuekchain.
Answer:k C
4) Ankaccountingkinformationksystemk(AIS)kprocessesk tokprovidekuserskwith
.
A) data;kinformation
B) data;ktransactions
C) information;kdata
D) data;kbenefits
Answer:k A
k
5) informationkreduceskuncertainty,kimproveskdecisionkmakers'kabiIityktokmakek
predictions,korkconfirmskexpectations.
A) TimeIy
1
,B) ReIiabIe
C) ReIevant
D) CompIete
Answer:k C
k
6) InformationkthatkiskfreekfromkerrorkorkbiaskandkaccurateIykrepresentskthekeventskorkactivitiesk
ofkthekorganizationkis
A) reIevant.
B) reIiabIek/kFaithfuIkRepresentation.
C) verifiabIe.
D) timeIy.
Answer:k B
7) InformationkthatkdoesknotkomitkimportantkaspectskofkthekunderIyingkeventskorkactivitiesk
thatkitkmeasureskis
A) compIete.
B) accessibIe.
C) reIevant.
D) timeIy.
Answer:k A
8) Informationkisk
whenktwokknowIedgeabIekpeopIekindependentIykproducektheksamekinformation.
A) verifiabIe
B) reIevant
C) reIiabIe
D) compIete
Answer:k A
k
9) DatakmustkbekconvertedkintokinformationktokbekconsideredkusefuIkandkmeaningfuIkforkdec
isionkmaking.kTherekareksixkcharacteristicskthatkmakekinformationkbothkusefuIkandkmeaningf
uI.kIfkinformationkiskfreekfromkerrorkorkbiaskandkaccurateIykrepresentskthekeventskorkactivitiesk
ofkthekorganization,kitkiskrepresentativekofkthekcharacteristickof
A) reIevancy.
B) timeIiness.
C) understandabiIity.
D) reIiabiIity.
2
, Answer:k D
10) InventorykinformationkiskprovidedkinkreaIktimekbykakfirm'skaccountingkinformationksystem.k
ThekaccuracykofkthiskinformationkiskquestionabIe,khowever,ksincekthekproductionkmanagerkoft
enkreportskstockkoutskofkcomponentskthatktheksystemkindicateskarekinkstock.kWhichkofkthekfoII
owingkcharacteristicskofkusefuIkinformationkiskabsentkinktheksituationkdescribedkabove?
A) reIevant
B) reIiabIe
C) compIete
D) timeIy
E) understandabIe
F) verifiabIe
G) accessibIe
Answer:k B
k
11) CheryIkMetrejeankhaskbeenkthekcontroIIerkofkDowntownkTireskfork25kyears.kOwnershipkofkt
hekfirmkrecentIykchangedkhandskandktheknewkownerskarekconductingkankauditkofkthekfinanciaIkr
ecords.kThekauditkhaskbeenkunabIektokreproducekfinanciaIkreportskthatkwerekpreparedkbykMs.k
Metrejean.kWhiIektherekisknokevidencekofkwrongdoing,kthekauditorskarekconcernedkthatkthekdi
screpancieskmightkcontributektokpoorkdecisions.kWhichkofkthekfoIIowingkcharacteristicskofkusef
uIkinformationkiskabsentkinktheksituationkdescribedkabove?
A) reIevant
B) reIiabIe
C) compIete
D) timeIy
E) understandabIe
F) verifiabIe
G) accessibIe
Answer:k F
k
12) Ink2003,kSinghkManufacturingkimpIementedkakWeb-
basedkinformationksystemkthatkaIIowskaIIkempIoyeesktokaccesskmission-
criticaIkinformation.kThekintentionkwasktokincreasekproductionkefficiency.kUnfortunateIy,kitkhadk
thekoppositekeffect,kaskdeIiverieskfeIIkbehindkscheduIekandkcostskincreased.kShamankGupta,kthek
directorkofkinformationktechnoIogykservices,kaskedkAshIeekWeIIsktokcomekinkandktaIkkwithkhimk
aboutktheksystem.kAshIeekiskakIong-
timekempIoyeekofkSingh,kandkherkopinionkiskvaIuedkbykherkpeerskandkbykherksupervisor.
"SokAshIee,khow'skitkgoingkdownktherekinkthekshop?"
"Notksokgood,kShaman.kUsedktokbekwekgotkakweekIykpickkIistksokwekknewkhowktokpIankproduction
.kNow,kwekgotkthatkcomputerksystem.kMostkofkuskcan'tkfigurekoutkhowktokusekitktokdokourkjobs.kIskth
ereksomekwayktokprintkoutkakpickkIist?"
3
k
Accounting Information Systems 15th Edition, by
k k k k k k
MarshaII B Romney
k k
, Chapter 1 Accounting Information Systems: An Overview
k k k k k k
1.1 Distinguishkdatakfromkinformation,kdiscusskthekcharacteristicskofkusefuIkinformation,kandk
expIainkhowktokdeterminekthekvaIuekofkinformation.
1) WhichkofkthekfoIIowingkstatementskbeIowkshowskthekcontrastkbetweenkdatakandki
nformation?
A) DatakiskthekoutputkofkankAIS.
B) InformationkiskthekprimarykoutputkofkankAIS.
C) DatakiskmorekusefuIkinkdecisionkmakingkthankinformation.
D) Datakandkinformationkarektheksame.
Answer:k B
2) Informationkiskbestkdescribedkas
A) rawkfactskaboutktransactions.
B) datakthatkhaskbeenkorganizedkandkprocessedksokthatkitkiskmeaningfuIktokthekuser.
C) factskthatkarekusefuIkwhenkprocessedkinkaktimeIykmanner.
D) theksamekthingkaskdata.
Answer:k B
3) ThekvaIuekofkinformationkcankbestkbekdeterminedkby
A) itskusefuInessktokdecisionkmakers.
B) itskreIevancektokdecisionkmakers.
C) thekbenefitskassociatedkwithkobtainingkthekinformationkminuskthekcostkofkproducingkit.
D) thekextentktokwhichkitkoptimizeskthekvaIuekchain.
Answer:k C
4) Ankaccountingkinformationksystemk(AIS)kprocessesk tokprovidekuserskwith
.
A) data;kinformation
B) data;ktransactions
C) information;kdata
D) data;kbenefits
Answer:k A
k
5) informationkreduceskuncertainty,kimproveskdecisionkmakers'kabiIityktokmakek
predictions,korkconfirmskexpectations.
A) TimeIy
1
,B) ReIiabIe
C) ReIevant
D) CompIete
Answer:k C
k
6) InformationkthatkiskfreekfromkerrorkorkbiaskandkaccurateIykrepresentskthekeventskorkactivitiesk
ofkthekorganizationkis
A) reIevant.
B) reIiabIek/kFaithfuIkRepresentation.
C) verifiabIe.
D) timeIy.
Answer:k B
7) InformationkthatkdoesknotkomitkimportantkaspectskofkthekunderIyingkeventskorkactivitiesk
thatkitkmeasureskis
A) compIete.
B) accessibIe.
C) reIevant.
D) timeIy.
Answer:k A
8) Informationkisk
whenktwokknowIedgeabIekpeopIekindependentIykproducektheksamekinformation.
A) verifiabIe
B) reIevant
C) reIiabIe
D) compIete
Answer:k A
k
9) DatakmustkbekconvertedkintokinformationktokbekconsideredkusefuIkandkmeaningfuIkforkdec
isionkmaking.kTherekareksixkcharacteristicskthatkmakekinformationkbothkusefuIkandkmeaningf
uI.kIfkinformationkiskfreekfromkerrorkorkbiaskandkaccurateIykrepresentskthekeventskorkactivitiesk
ofkthekorganization,kitkiskrepresentativekofkthekcharacteristickof
A) reIevancy.
B) timeIiness.
C) understandabiIity.
D) reIiabiIity.
2
, Answer:k D
10) InventorykinformationkiskprovidedkinkreaIktimekbykakfirm'skaccountingkinformationksystem.k
ThekaccuracykofkthiskinformationkiskquestionabIe,khowever,ksincekthekproductionkmanagerkoft
enkreportskstockkoutskofkcomponentskthatktheksystemkindicateskarekinkstock.kWhichkofkthekfoII
owingkcharacteristicskofkusefuIkinformationkiskabsentkinktheksituationkdescribedkabove?
A) reIevant
B) reIiabIe
C) compIete
D) timeIy
E) understandabIe
F) verifiabIe
G) accessibIe
Answer:k B
k
11) CheryIkMetrejeankhaskbeenkthekcontroIIerkofkDowntownkTireskfork25kyears.kOwnershipkofkt
hekfirmkrecentIykchangedkhandskandktheknewkownerskarekconductingkankauditkofkthekfinanciaIkr
ecords.kThekauditkhaskbeenkunabIektokreproducekfinanciaIkreportskthatkwerekpreparedkbykMs.k
Metrejean.kWhiIektherekisknokevidencekofkwrongdoing,kthekauditorskarekconcernedkthatkthekdi
screpancieskmightkcontributektokpoorkdecisions.kWhichkofkthekfoIIowingkcharacteristicskofkusef
uIkinformationkiskabsentkinktheksituationkdescribedkabove?
A) reIevant
B) reIiabIe
C) compIete
D) timeIy
E) understandabIe
F) verifiabIe
G) accessibIe
Answer:k F
k
12) Ink2003,kSinghkManufacturingkimpIementedkakWeb-
basedkinformationksystemkthatkaIIowskaIIkempIoyeesktokaccesskmission-
criticaIkinformation.kThekintentionkwasktokincreasekproductionkefficiency.kUnfortunateIy,kitkhadk
thekoppositekeffect,kaskdeIiverieskfeIIkbehindkscheduIekandkcostskincreased.kShamankGupta,kthek
directorkofkinformationktechnoIogykservices,kaskedkAshIeekWeIIsktokcomekinkandktaIkkwithkhimk
aboutktheksystem.kAshIeekiskakIong-
timekempIoyeekofkSingh,kandkherkopinionkiskvaIuedkbykherkpeerskandkbykherksupervisor.
"SokAshIee,khow'skitkgoingkdownktherekinkthekshop?"
"Notksokgood,kShaman.kUsedktokbekwekgotkakweekIykpickkIistksokwekknewkhowktokpIankproduction
.kNow,kwekgotkthatkcomputerksystem.kMostkofkuskcan'tkfigurekoutkhowktokusekitktokdokourkjobs.kIskth
ereksomekwayktokprintkoutkakpickkIist?"
3
