1
AIS Final Questions with Correct Answers for
Specific Exam Mail
1. The information systems audit objective that pertains to source data being
processed into some form of output is known as
A) overall security.
B) program development.
C) program modifications.
D) processing.
Ans: D) processing.
2. In organizations with at least basic segregation of duties, the credit
manager reports to the ________ and the treasurer reports to the ________.
A) controller; vice president of finance
B) treasurer; controller
C) marketing manager; vice president of finance
D) treasurer; vice president of finance
Ans: D) treasurer; vice president of finance
4. What is the primary objective of the revenue cycle?
A) to maximize revenue and minimize expense
Pretest - Stuvia US
,2
B) to reduce outstanding accounts receivable balances through increased
cash sales
C) to provide the right product in the right place at the right time at the right
price
D) to sell as much product as possible and/or to maximize service billings
Ans: C) to provide the right product in the right place at the right time at the
right price
3. The revenue cycle is a recurring set of business activities and related
information processing operations associated with providing goods and
services to customers and collecting cash in payment for those sales. The
basic activities in the revenue cycle are: order entry soliciting and processing
customer activities filling customer orders and shipping merchandise invoicing
customers and maintaining customer accounts collections the cashier
handles remittances and deposits them in the bank; accounts receivable
personnel credits customer accounts for the payments received.
Ans: The revenue cycle is a reoccurring set of business activities and related
information processing operations associated with providing goods and
services to customers and collecting cash in payment for those sales? With
whom is the primary external exchange of information?
5. Which of the following is not a basic activity of the revenue cycle?
A) sales order entry
B) shipping
C) receiving
D) billing
Pretest - Stuvia US
,3
Ans: C) receiving
6. When a customer places an order (on account) for a certain product,
what should be done before the order is checked for inventory availability?
A) The customer's available credit should be checked.
B) The sales order should be created and written to a file.
C) Shipping should be notified of an order in process.
D) A picking list should be generated for the warehouse.
Ans: A) The customer's available credit should be checked
7. Responding to customer inquiries and general customer service is an
important aspect in the revenue cycle. Since customer service is so
important, software programs have been created to help manage this
function. These special software packages are called
A) EDI systems.
B) POS systems.
C) VMI systems.
D) CRM systems.
Ans: D) CRM systems.
8. The best solution for maintaining accurate automated perpetual inventory
system is to use
Pretest - Stuvia US
, 4
A) closed-loop verification when inventory is received from vendors and
recorded.
B) point of sale devices integrated with inventory records.
C) periodic physical counts to reconcile with perpetual inventory records.
D) RFID tags.
Ans: D) RFID tags.
9. Two documents usually accompany goods shipped to a customer. What
are the two documents?
A) a bill of lading and an invoice
B) a packing slip and a bill of lading
C) an invoice and a packing slip
D) an invoice and a sales order
9. Two documents usually accompany goods shipped to a customer. What
are the two documents?
A) a bill of lading and an invoice
B) a packing slip and a bill of lading
C) an invoice and a packing slip
D) an invoice and a sales order
Ans: B) a packing slip and a bill of lading
Pretest - Stuvia US
AIS Final Questions with Correct Answers for
Specific Exam Mail
1. The information systems audit objective that pertains to source data being
processed into some form of output is known as
A) overall security.
B) program development.
C) program modifications.
D) processing.
Ans: D) processing.
2. In organizations with at least basic segregation of duties, the credit
manager reports to the ________ and the treasurer reports to the ________.
A) controller; vice president of finance
B) treasurer; controller
C) marketing manager; vice president of finance
D) treasurer; vice president of finance
Ans: D) treasurer; vice president of finance
4. What is the primary objective of the revenue cycle?
A) to maximize revenue and minimize expense
Pretest - Stuvia US
,2
B) to reduce outstanding accounts receivable balances through increased
cash sales
C) to provide the right product in the right place at the right time at the right
price
D) to sell as much product as possible and/or to maximize service billings
Ans: C) to provide the right product in the right place at the right time at the
right price
3. The revenue cycle is a recurring set of business activities and related
information processing operations associated with providing goods and
services to customers and collecting cash in payment for those sales. The
basic activities in the revenue cycle are: order entry soliciting and processing
customer activities filling customer orders and shipping merchandise invoicing
customers and maintaining customer accounts collections the cashier
handles remittances and deposits them in the bank; accounts receivable
personnel credits customer accounts for the payments received.
Ans: The revenue cycle is a reoccurring set of business activities and related
information processing operations associated with providing goods and
services to customers and collecting cash in payment for those sales? With
whom is the primary external exchange of information?
5. Which of the following is not a basic activity of the revenue cycle?
A) sales order entry
B) shipping
C) receiving
D) billing
Pretest - Stuvia US
,3
Ans: C) receiving
6. When a customer places an order (on account) for a certain product,
what should be done before the order is checked for inventory availability?
A) The customer's available credit should be checked.
B) The sales order should be created and written to a file.
C) Shipping should be notified of an order in process.
D) A picking list should be generated for the warehouse.
Ans: A) The customer's available credit should be checked
7. Responding to customer inquiries and general customer service is an
important aspect in the revenue cycle. Since customer service is so
important, software programs have been created to help manage this
function. These special software packages are called
A) EDI systems.
B) POS systems.
C) VMI systems.
D) CRM systems.
Ans: D) CRM systems.
8. The best solution for maintaining accurate automated perpetual inventory
system is to use
Pretest - Stuvia US
, 4
A) closed-loop verification when inventory is received from vendors and
recorded.
B) point of sale devices integrated with inventory records.
C) periodic physical counts to reconcile with perpetual inventory records.
D) RFID tags.
Ans: D) RFID tags.
9. Two documents usually accompany goods shipped to a customer. What
are the two documents?
A) a bill of lading and an invoice
B) a packing slip and a bill of lading
C) an invoice and a packing slip
D) an invoice and a sales order
9. Two documents usually accompany goods shipped to a customer. What
are the two documents?
A) a bill of lading and an invoice
B) a packing slip and a bill of lading
C) an invoice and a packing slip
D) an invoice and a sales order
Ans: B) a packing slip and a bill of lading
Pretest - Stuvia US
