TEST BANK Data Analytics for Accounting, 3rd Edition by Vernon Richardson,Chapters 1 – 9DR ERIC

TEST BANK DR ERIC DR ERIC Chapter 1: Data Analytics for Accounting and Identifying the Questions Chapter 2: Mastering the Data Chapter 3: Performing the Test Plan and Analyzing the Results Chapter 4: Communicating Results and Visualizations Chapter 5: The Modern Accounting Environment Chapter 6: Audit Data Analytics Chapter 7: Managerial Analytics Chapter 8: Financial Statement Analytics Chapter 9: Tax Analytics DR ERIC DR ERIC Answers are at the End of Each Chapter Chapter 01: Student name: 1) Data analytics is the process of evaluating data with the purpose of drawing conclusions toaddress business questions. ⊚ true ⊚ false 2) The process of data analytics aims to transform raw information into data to create value. ⊚ true ⊚ false 3) Data analytics has the potential to transform the manner in which companies run theirbusinesses, however it is not practical in the near future. ⊚ true ⊚ false 4) Auditors can use social media to hear what customers are saying about a company andcompare this to inventory obsolescence and other estimates. ⊚ true ⊚ false 5) Data analytics allows auditors to glean insights that are beneficial to the client, withoutbreeching independence. ⊚ true ⊚ false DR ERIC DR ERIC 6) The predictive analytics is an important aspect of data analytics for auditors, but is notapplicable for tax accountants. ⊚ true ⊚ false 7) The I in IMPACT Cycle represents Identify the Question. ⊚ true ⊚ false 8) The M in IMPACT Cycle represents Master the Data. ⊚ true ⊚ false 9) The P in IMPACT Cycle represents Predict the Results. ⊚ true ⊚ false 10) The A in IMPACT Cycle represents Analyze the Data. ⊚ true ⊚ false 11) The C in IMPACT Cycle represents Continuously Track. ⊚ true ⊚ false 12) The T in IMPACT Cycle represents Track Outcomes. ⊚ true ⊚ false DR ERIC DR ERIC 13) The IMPACT cycle is iterative, as insights are gained, outcomes are tracked, and newquestions are identified. ⊚ true ⊚ false 14) Data analysis through data manipulation is performing basic analysis to understand thequality of the underlying data and its ability to address the business question. ⊚ true ⊚ false 15) To be proficient in data analysis, accountants need to become data scientists. ⊚ true ⊚ false 16) By developing an analytics mindset, accountants will be able to recognize when and howdata analytics can address business questions. ⊚ true ⊚ false 17) While it is important for accountants to clearly articulate the business problem, drawingappropriate conclusions, based on the data, should be left to statisticians. ⊚ true ⊚ false 18) Analytic-minded accountants should report results of analysis in an accessible way to eachvaried decision maker and their specific needs. ⊚ true ⊚ false