[TEST BANK] ACCOUNTING INFORMATION SYSTEMS, 15THEDITION BY ROMNEY, STEINBART, SUMMERS, WOOD 2 Chapter 1 Overview of Transaction Processing and Enterprise Resource 3 Planning Systems 2.1 Describe the four parts of the data processing cycle and the major ac

[TEST BANK] ACCOUNTING INFORMATION SYSTEMS, 15THEDITION BY ROMNEY, STEINBART, SUMMERS, WOOD 2 Chapter 1 Overview of Transaction Processing and Enterprise Resource 3 Planning Systems 2.1 Describe the four parts of the data processing cycle and the major activities in each. 1) Which of the following commonly initiates the data input process? A) a business activity B) automatic batch processing C) an accounting department source document D) a trial balance query Answer: A 2) A typical source document could be A) some type of paper document. B) a computer data entry screen. C) the company's financial statements. D) both A and B Answer: D 3) Which step below is not considered to be part of the data processing cycle? A) data input B) feedback from external sources C) data storage D) data processing Answer: B 4) John Pablo works in the accounting department of a multinational manufacturing company. His job includes updating accounts receivable based on sales orders and remittance advices. His responsibilities are part of the company's A) revenue cycle. B) expenditure cycle. C) financing cycle. D) production cycle. Answer: A 5) John Pablo works in the accounting department of a multinational manufacturing company. His job includes updating accounts payable based on purchase orders and checks. His responsibilities are part of the company's A) revenue cycle. 4 B) expenditure cycle. C) financing cycle. D) production cycle. Answer: B 6) Many small businesses choose to outsource their payroll activities to firms that specialize in providing payroll services. Dolores Yu operates a payroll processing business in Calabasas, California. When she sends bills out to her clients, her work is part of her firm's A) revenue cycle. B) expenditure cycle. C) financing cycle. D) production cycle. Answer: A 7) A delivery of inventory from a vendor, with whom a credit line is already established, would be initially recorded in which type of accounting record and as part of what transaction cycle? A) purchases journal; expenditure cycle B) general journal; expenditure cycle C) general ledger; expenditure cycle D) cash disbursements journal; production cycle Answer: A 9) Identify the four parts of the transaction processing cycle. A) data input, data storage, data processing, information output B) data input, data recall, data processing, information output C) data input, data recall, data transmission, information output D) data input, data recall, data transmission, data storage Answer: A