[TEST BANK] ACCOUNTING
INFORMATION SYSTEMS, 15TH
EDITION BY ROMNEY,
STEINBART, SUMMERS, WOOD
, Chapteru1u AccountinguInformationuSystems:uAnuOverview
1.1 Distinguishudataufromuinformation,udiscussutheucharacteristicsuofuusefuluinformation,uan
duexplainuhowutoudetermineutheuvalueuofuinformation.
1) Whichuofutheufollowingustatementsubelowushowsutheucontrastubetweenudatauan
duinformation?
A) DatauisutheuoutputuofuanuAIS.
B) InformationuisutheuprimaryuoutputuofuanuAIS.
C) Datauisumoreuusefuluinudecisionumakinguthanuinformation.
D) Datauanduinformationuareutheusame.
Answer:u B
2) Informationuisubestudescribeduas
A) rawufactsuaboututransactions.
B) datauthatuhasubeenuorganizeduanduprocessedusouthatuituisumeaningfulutoutheuuser.
C) factsuthatuareuusefuluwhenuprocesseduinuautimelyumanner.
D) theusameuthinguasudata.
Answer:u B
3) Theuvalueuofuinformationucanubestubeudetermineduby
A) itsuusefulnessutoudecisionumakers.
B) itsurelevanceutoudecisionumakers.
C) theubenefitsuassociateduwithuobtainingutheuinformationuminusutheucostuofuproducinguit.
D) theuextentutouwhichuituoptimizesutheuvalueuchain.
Answer:u C
4) Anuaccountinguinformationusystemu(AIS)uprocessesu touprovideuusersuwith
.
A) data;uinformation
B) data;utransactions
C) information;udata
D) data;ubenefits
Answer:u A
u
5) informationureducesuuncertainty,uimprovesudecisionumakers'uabilityutoumak
eupredictions,uoruconfirmsuexpectations.
A) Timely
1
,B) Reliable
C) Relevant
D) Complete
Answer:u C
u
6) Informationuthatuisufreeufromuerroruorubiasuanduaccuratelyurepresentsutheueventsuoruactivitie
suofutheuorganizationuis
A) relevant.
B) reliableu/uFaithfuluRepresentation.
C) verifiable.
D) timely.
Answer:u B
7) Informationuthatudoesunotuomituimportantuaspectsuofutheuunderlyingueventsuoruactivitie
suthatuitumeasuresuis
A) complete.
B) accessible.
C) relevant.
D) timely.
Answer:u A
8) Informationuisu
whenutwouknowledgeableupeopleuindependentlyuproduceutheusameuinformation.
A) verifiable
B) relevant
C) reliable
D) complete
Answer:u A
u
9) Dataumustubeuconverteduintouinformationutoubeuconsidereduusefuluandumeaningfuluforud
ecisionumaking.uThereuareusixucharacteristicsuthatumakeuinformationubothuusefuluandumean
ingful.uIfuinformationuisufreeufromuerroruorubiasuanduaccuratelyurepresentsutheueventsuoruacti
vitiesuofutheuorganization,uituisurepresentativeuofutheucharacteristicuof
A) relevancy.
B) timeliness.
C) understandability.
D) reliability.
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, Answer:u D
10) Inventoryuinformationuisuprovideduinurealutimeubyuaufirm'suaccountinguinformationusyste
m.uTheuaccuracyuofuthisuinformationuisuquestionable,uhowever,usinceutheuproductionumanag
eruoftenureportsustockuoutsuofucomponentsuthatutheusystemuindicatesuareuinustock.uWhichuof
utheufollowingucharacteristicsuofuusefuluinformationuisuabsentuinutheusituationudescribeduabo
ve?
A) relevant
B) reliable
C) complete
D) timely
E) understandable
F) verifiable
G) accessible
Answer:u B
u
11) CheryluMetrejeanuhasubeenutheucontrolleruofuDowntownuTiresuforu25uyears.uOwnershipuo
futheufirmurecentlyuchangeduhandsuandutheunewuownersuareuconductinguanuaudituofutheufinan
cialurecords.uTheuaudituhasubeenuunableutoureproduceufinancialureportsuthatuwereupreparedub
yuMs.uMetrejean.uWhileuthereuisunouevidenceuofuwrongdoing,utheuauditorsuareuconcerneduth
atutheudiscrepanciesumightucontributeutoupoorudecisions.uWhichuofutheufollowingucharacterist
icsuofuusefuluinformationuisuabsentuinutheusituationudescribeduabove?
A) relevant
B) reliable
C) complete
D) timely
E) understandable
F) verifiable
G) accessible
Answer:u F
u
12) Inu2003,uSinghuManufacturinguimplementeduauWeb-
baseduinformationusystemuthatuallowsualluemployeesutouaccessumission-
criticaluinformation.uTheuintentionuwasutouincreaseuproductionuefficiency.uUnfortunately,uituha
dutheuoppositeueffect,uasudeliveriesufellubehinduscheduleuanducostsuincreased.uShamanuGupta,u
theudirectoruofuinformationutechnologyuservices,uaskeduAshleeuWellsutoucomeuinuandutalkuwith
uhimuaboututheusystem.uAshleeuisuaulong-
timeuemployeeuofuSingh,uanduheruopinionuisuvaluedubyuherupeersuandubyuherusupervisor.
"SouAshlee,uhow'suitugoingudownuthereuinutheushop?"
"Notusougood,uShaman.uUsedutoubeuweugotuauweeklyupickulistusouweuknewuhowutouplanuproduc
tion.uNow,uweugotuthatucomputerusystem.uMostuofuusucan'tufigureuoutuhowutouuseuitutoudououruj
obs.uIsuthereusomeuwayutouprintuoutuaupickulist?"
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INFORMATION SYSTEMS, 15TH
EDITION BY ROMNEY,
STEINBART, SUMMERS, WOOD
, Chapteru1u AccountinguInformationuSystems:uAnuOverview
1.1 Distinguishudataufromuinformation,udiscussutheucharacteristicsuofuusefuluinformation,uan
duexplainuhowutoudetermineutheuvalueuofuinformation.
1) Whichuofutheufollowingustatementsubelowushowsutheucontrastubetweenudatauan
duinformation?
A) DatauisutheuoutputuofuanuAIS.
B) InformationuisutheuprimaryuoutputuofuanuAIS.
C) Datauisumoreuusefuluinudecisionumakinguthanuinformation.
D) Datauanduinformationuareutheusame.
Answer:u B
2) Informationuisubestudescribeduas
A) rawufactsuaboututransactions.
B) datauthatuhasubeenuorganizeduanduprocessedusouthatuituisumeaningfulutoutheuuser.
C) factsuthatuareuusefuluwhenuprocesseduinuautimelyumanner.
D) theusameuthinguasudata.
Answer:u B
3) Theuvalueuofuinformationucanubestubeudetermineduby
A) itsuusefulnessutoudecisionumakers.
B) itsurelevanceutoudecisionumakers.
C) theubenefitsuassociateduwithuobtainingutheuinformationuminusutheucostuofuproducinguit.
D) theuextentutouwhichuituoptimizesutheuvalueuchain.
Answer:u C
4) Anuaccountinguinformationusystemu(AIS)uprocessesu touprovideuusersuwith
.
A) data;uinformation
B) data;utransactions
C) information;udata
D) data;ubenefits
Answer:u A
u
5) informationureducesuuncertainty,uimprovesudecisionumakers'uabilityutoumak
eupredictions,uoruconfirmsuexpectations.
A) Timely
1
,B) Reliable
C) Relevant
D) Complete
Answer:u C
u
6) Informationuthatuisufreeufromuerroruorubiasuanduaccuratelyurepresentsutheueventsuoruactivitie
suofutheuorganizationuis
A) relevant.
B) reliableu/uFaithfuluRepresentation.
C) verifiable.
D) timely.
Answer:u B
7) Informationuthatudoesunotuomituimportantuaspectsuofutheuunderlyingueventsuoruactivitie
suthatuitumeasuresuis
A) complete.
B) accessible.
C) relevant.
D) timely.
Answer:u A
8) Informationuisu
whenutwouknowledgeableupeopleuindependentlyuproduceutheusameuinformation.
A) verifiable
B) relevant
C) reliable
D) complete
Answer:u A
u
9) Dataumustubeuconverteduintouinformationutoubeuconsidereduusefuluandumeaningfuluforud
ecisionumaking.uThereuareusixucharacteristicsuthatumakeuinformationubothuusefuluandumean
ingful.uIfuinformationuisufreeufromuerroruorubiasuanduaccuratelyurepresentsutheueventsuoruacti
vitiesuofutheuorganization,uituisurepresentativeuofutheucharacteristicuof
A) relevancy.
B) timeliness.
C) understandability.
D) reliability.
2
, Answer:u D
10) Inventoryuinformationuisuprovideduinurealutimeubyuaufirm'suaccountinguinformationusyste
m.uTheuaccuracyuofuthisuinformationuisuquestionable,uhowever,usinceutheuproductionumanag
eruoftenureportsustockuoutsuofucomponentsuthatutheusystemuindicatesuareuinustock.uWhichuof
utheufollowingucharacteristicsuofuusefuluinformationuisuabsentuinutheusituationudescribeduabo
ve?
A) relevant
B) reliable
C) complete
D) timely
E) understandable
F) verifiable
G) accessible
Answer:u B
u
11) CheryluMetrejeanuhasubeenutheucontrolleruofuDowntownuTiresuforu25uyears.uOwnershipuo
futheufirmurecentlyuchangeduhandsuandutheunewuownersuareuconductinguanuaudituofutheufinan
cialurecords.uTheuaudituhasubeenuunableutoureproduceufinancialureportsuthatuwereupreparedub
yuMs.uMetrejean.uWhileuthereuisunouevidenceuofuwrongdoing,utheuauditorsuareuconcerneduth
atutheudiscrepanciesumightucontributeutoupoorudecisions.uWhichuofutheufollowingucharacterist
icsuofuusefuluinformationuisuabsentuinutheusituationudescribeduabove?
A) relevant
B) reliable
C) complete
D) timely
E) understandable
F) verifiable
G) accessible
Answer:u F
u
12) Inu2003,uSinghuManufacturinguimplementeduauWeb-
baseduinformationusystemuthatuallowsualluemployeesutouaccessumission-
criticaluinformation.uTheuintentionuwasutouincreaseuproductionuefficiency.uUnfortunately,uituha
dutheuoppositeueffect,uasudeliveriesufellubehinduscheduleuanducostsuincreased.uShamanuGupta,u
theudirectoruofuinformationutechnologyuservices,uaskeduAshleeuWellsutoucomeuinuandutalkuwith
uhimuaboututheusystem.uAshleeuisuaulong-
timeuemployeeuofuSingh,uanduheruopinionuisuvaluedubyuherupeersuandubyuherusupervisor.
"SouAshlee,uhow'suitugoingudownuthereuinutheushop?"
"Notusougood,uShaman.uUsedutoubeuweugotuauweeklyupickulistusouweuknewuhowutouplanuproduc
tion.uNow,uweugotuthatucomputerusystem.uMostuofuusucan'tufigureuoutuhowutouuseuitutoudououruj
obs.uIsuthereusomeuwayutouprintuoutuaupickulist?"
3
