WGU D217 ACCOUNTING INFORMATION
SYSTEMS OA EXAM 2026 QUESTIONS,
VERIFIED ANSWERS
Section 1: AIS Fundamentals (Questions 1-15)
1. What is the primary purpose of an Accounting Information System (AIS)?
• A) To manage human resources data
• B) To collect, process, store, and report financial transaction data
• C) To replace the need for external auditors
• D) To generate marketing reports
Answer: B — AIS specifically handles financial transaction data for decision-making and
reporting.
2. Which subsystem produces reports for external users such as investors and tax
authorities?
• A) Management Reporting System (MRS)
• B) Financial Reporting System (FRS)
• C) Transaction Processing System (TPS)
• D) Decision Support System (DSS)
Answer: B — The FRS outputs external financial statements (income statement, balance
sheet, cash flow).
,3. Which subsystem provides information to internal management for operational
and strategic decisions?
• A) Financial Reporting System
• B) Management Reporting System
• C) General Ledger System
• D) Revenue Cycle System
Answer: B — MRS produces budgets, variance reports, and performance metrics for
internal use.
4. What type of transaction triggers the Transaction Processing System (TPS)?
• A) A customer inquiry
• B) A budget adjustment
• C) A financial transaction (economic event affecting assets/equities)
• D) A marketing campaign launch
Answer: C — The TPS captures economic events like sales, purchases, and payments.
5. Which of the following is an example of a financial transaction?
• A) Hiring a new employee
• B) Purchasing a computer on credit
• C) Updating a customer's address
• D) Creating a new product description
,Answer: B — A purchase on credit affects assets (equipment) and liabilities (accounts
payable).
6. What are the three primary cycles within the TPS?
• A) Revenue, Expenditure, and Conversion
• B) Planning, Budgeting, and Forecasting
• C) Sales, Marketing, and Distribution
• D) Input, Processing, and Output
Answer: A — Revenue (sales/cash receipts), Expenditure (purchases/payments), and
Conversion (production/payroll).
7. Which characteristic of useful information is missing when a manager receives a
sales report from six months ago?
• A) Accuracy
• B) Completeness
• C) Timeliness
• D) Relevance
Answer: C — Information must be available when needed; outdated information lacks
timeliness.
, 8. A marketing fax that lacks a return address or contact person fails which
characteristic?
• A) Timeliness
• B) Completeness
• C) Accuracy
• D) Relevance
Answer: B — Incomplete information cannot be acted upon effectively.
9. What is a Master File in an AIS context?
• A) A temporary file for daily transactions
• B) A permanent file containing account data updated by transactions
• C) A backup of the general ledger
• D) A log of system errors
Answer: B — Master files (e.g., customer, vendor, inventory master) store core entity
data.
10. What problem is common in the flat-file approach to data management?
• A) Faster data retrieval
• B) Data redundancy and exclusive data ownership
• C) Enhanced data security
• D) Easier data sharing across departments
SYSTEMS OA EXAM 2026 QUESTIONS,
VERIFIED ANSWERS
Section 1: AIS Fundamentals (Questions 1-15)
1. What is the primary purpose of an Accounting Information System (AIS)?
• A) To manage human resources data
• B) To collect, process, store, and report financial transaction data
• C) To replace the need for external auditors
• D) To generate marketing reports
Answer: B — AIS specifically handles financial transaction data for decision-making and
reporting.
2. Which subsystem produces reports for external users such as investors and tax
authorities?
• A) Management Reporting System (MRS)
• B) Financial Reporting System (FRS)
• C) Transaction Processing System (TPS)
• D) Decision Support System (DSS)
Answer: B — The FRS outputs external financial statements (income statement, balance
sheet, cash flow).
,3. Which subsystem provides information to internal management for operational
and strategic decisions?
• A) Financial Reporting System
• B) Management Reporting System
• C) General Ledger System
• D) Revenue Cycle System
Answer: B — MRS produces budgets, variance reports, and performance metrics for
internal use.
4. What type of transaction triggers the Transaction Processing System (TPS)?
• A) A customer inquiry
• B) A budget adjustment
• C) A financial transaction (economic event affecting assets/equities)
• D) A marketing campaign launch
Answer: C — The TPS captures economic events like sales, purchases, and payments.
5. Which of the following is an example of a financial transaction?
• A) Hiring a new employee
• B) Purchasing a computer on credit
• C) Updating a customer's address
• D) Creating a new product description
,Answer: B — A purchase on credit affects assets (equipment) and liabilities (accounts
payable).
6. What are the three primary cycles within the TPS?
• A) Revenue, Expenditure, and Conversion
• B) Planning, Budgeting, and Forecasting
• C) Sales, Marketing, and Distribution
• D) Input, Processing, and Output
Answer: A — Revenue (sales/cash receipts), Expenditure (purchases/payments), and
Conversion (production/payroll).
7. Which characteristic of useful information is missing when a manager receives a
sales report from six months ago?
• A) Accuracy
• B) Completeness
• C) Timeliness
• D) Relevance
Answer: C — Information must be available when needed; outdated information lacks
timeliness.
, 8. A marketing fax that lacks a return address or contact person fails which
characteristic?
• A) Timeliness
• B) Completeness
• C) Accuracy
• D) Relevance
Answer: B — Incomplete information cannot be acted upon effectively.
9. What is a Master File in an AIS context?
• A) A temporary file for daily transactions
• B) A permanent file containing account data updated by transactions
• C) A backup of the general ledger
• D) A log of system errors
Answer: B — Master files (e.g., customer, vendor, inventory master) store core entity
data.
10. What problem is common in the flat-file approach to data management?
• A) Faster data retrieval
• B) Data redundancy and exclusive data ownership
• C) Enhanced data security
• D) Easier data sharing across departments
