DATA Analytics FOR Accounting Vernon
Certification Evaluation Questions and
Answers
Verified Solutions Latest Update
Question:
What is Big Data?
Answer:
Big Data refers to datasets that are too large and complex to be analyzed using
traditional methods.
Question:
What are the 4 V's of Big Data?
Answer:
Volume (size), Velocity (frequency), Variety (different types), and Veracity (data
quality).
Question:
Why does data analytics matter to business?
Answer:
85% of CEOs value data analytics highly, and it can generate up to $2 trillion in value
per year.
Question:
How does data analytics enhance auditing?
Answer:
It improves audit quality, expands services, and adds value to clients.
,Question:
What benefits does data analytics provide in management accounting?
Answer:
It enhances cost analysis and enables better decision-making, forecasting, budgeting,
and sales.
Question:
How does data analytics affect financial reporting?
Answer:
It helps accountants make better estimates and allows managers to understand the
business environment better.
Question:
What is the IMPACT cycle in data analytics?
Answer:
The IMPACT cycle includes Identify the questions, Master the data, Perform the test
plan, Address and refine results, Communicate insights, and Track outcomes.
Question:
What is the first step of the IMPACT model?
Answer:
Identify the questions that need to be addressed in the business.
Question:
What does 'Master the Data' entail in the IMPACT model?
Answer:
It involves understanding what data are available and how they relate to the problem.
Question:
What types of models can be used in the 'Perform the Test Plan' step?
Answer:
Classification, Regression, Similarity matching, Clustering, Co-occurrence grouping,
and Profiling.
,Question:
What is the purpose of the 'Address and Refine Results' step?
Answer:
To identify issues with analyses and refine the model by asking further questions and
exploring data.
Question:
What is important in the 'Communicate Insights' step?
Answer:
Using clear language and visualizations like dashboards and reports to communicate
findings.
Question:
What does the 'Track Outcomes' step involve?
Answer:
Following up on the results of the analysis and observing trends and changes over
time.
Question:
What skills do accountants need for data analytics?
Answer:
They need to articulate business problems, communicate with data scientists, draw
conclusions, and present results.
Question:
What are the key data analytics tools mentioned?
Answer:
Microsoft tools (Excel, Power BI) and Tableau tools (Tableau Prep Builder, Tableau
Desktop).
, Question:
What is the role of data scrubbing in data analytics?
Answer:
It involves preparing data to ensure quality and completeness before analysis.
Question:
What is a primary key in a relational database?
Answer:
A unique identifier for a record in a table.
Question:
What is a foreign key?
Answer:
An attribute in one table that points to a primary key in another table.
Question:
What are composite keys?
Answer:
A combination of two foreign keys used for line items in a database.
Question:
What is the significance of descriptive attributes?
Answer:
They include all other attributes that provide additional information about records.
Question:
How does data analytics change the audit process?
Answer:
It allows auditors to consider 100% of transactions, improving risk detection.
Certification Evaluation Questions and
Answers
Verified Solutions Latest Update
Question:
What is Big Data?
Answer:
Big Data refers to datasets that are too large and complex to be analyzed using
traditional methods.
Question:
What are the 4 V's of Big Data?
Answer:
Volume (size), Velocity (frequency), Variety (different types), and Veracity (data
quality).
Question:
Why does data analytics matter to business?
Answer:
85% of CEOs value data analytics highly, and it can generate up to $2 trillion in value
per year.
Question:
How does data analytics enhance auditing?
Answer:
It improves audit quality, expands services, and adds value to clients.
,Question:
What benefits does data analytics provide in management accounting?
Answer:
It enhances cost analysis and enables better decision-making, forecasting, budgeting,
and sales.
Question:
How does data analytics affect financial reporting?
Answer:
It helps accountants make better estimates and allows managers to understand the
business environment better.
Question:
What is the IMPACT cycle in data analytics?
Answer:
The IMPACT cycle includes Identify the questions, Master the data, Perform the test
plan, Address and refine results, Communicate insights, and Track outcomes.
Question:
What is the first step of the IMPACT model?
Answer:
Identify the questions that need to be addressed in the business.
Question:
What does 'Master the Data' entail in the IMPACT model?
Answer:
It involves understanding what data are available and how they relate to the problem.
Question:
What types of models can be used in the 'Perform the Test Plan' step?
Answer:
Classification, Regression, Similarity matching, Clustering, Co-occurrence grouping,
and Profiling.
,Question:
What is the purpose of the 'Address and Refine Results' step?
Answer:
To identify issues with analyses and refine the model by asking further questions and
exploring data.
Question:
What is important in the 'Communicate Insights' step?
Answer:
Using clear language and visualizations like dashboards and reports to communicate
findings.
Question:
What does the 'Track Outcomes' step involve?
Answer:
Following up on the results of the analysis and observing trends and changes over
time.
Question:
What skills do accountants need for data analytics?
Answer:
They need to articulate business problems, communicate with data scientists, draw
conclusions, and present results.
Question:
What are the key data analytics tools mentioned?
Answer:
Microsoft tools (Excel, Power BI) and Tableau tools (Tableau Prep Builder, Tableau
Desktop).
, Question:
What is the role of data scrubbing in data analytics?
Answer:
It involves preparing data to ensure quality and completeness before analysis.
Question:
What is a primary key in a relational database?
Answer:
A unique identifier for a record in a table.
Question:
What is a foreign key?
Answer:
An attribute in one table that points to a primary key in another table.
Question:
What are composite keys?
Answer:
A combination of two foreign keys used for line items in a database.
Question:
What is the significance of descriptive attributes?
Answer:
They include all other attributes that provide additional information about records.
Question:
How does data analytics change the audit process?
Answer:
It allows auditors to consider 100% of transactions, improving risk detection.
