Chapter 1: Systems fundamentals – Introduction
Multiple-choice questions
1. The role of the accountant has changed in recent times because:
a. professional bodies have sought to redefine and reposition the accounting
function.
*b. computer systems have emerged to handle the classification and recording
tasks traditionally associated with the accounting function.
c. the accounting cycle is too complex and involved to be performed solely by
the accountant.
d. knowledge workers have increasingly replaced accountants in the performance
of recording and classification tasks.
Correct answer: b
Learning objective 1.1 – critically evaluate accounting practices, reflecting on how
accounting information systems enrich and extend the role of the accountant.
2. As computer systems have been developed to perform the recording and classification
tasks associated with business activities, the nature of accounting and the work of the
accountant have also been pushed in a new direction. Increasingly, the role of the
accountant is seen to be to:
a. use computer programs rather than manual journals.
b. ensure that businesses invest in new software.
*c. add value and provide and interpret information for an organisation.
d. outsource accounting work to bookkeepers.
Correct answer: c
Learning objective 1.1 – critically evaluate accounting practices, reflecting on how
accounting information systems enrich and extend the role of the accountant.
3. The ICAA requires that its members should bring their analytic expertise to several
fields. Which one of the following is NOT specified by the ICAA?
a. Strategic planning and change management.
b. Market analysis and compliance.
c. The use of information technology.
*d. Human resource management.
Correct answer: d
Learning objective 1.1 – critically evaluate accounting practices, reflecting on how
accounting information systems enrich and extend the role of the accountant.
4. What does ERP stand for?
, Chapter 1: Systems fundamentals - Introduction
*a. Enterprise Resource Planning.
b. Enterprise Resource Package.
c. Electronic Resource Planning.
d. Electronic Resource Package.
Correct answer: a
Learning objective 1.1 – critically evaluate accounting practices, reflecting on how
accounting information systems enrich and extend the role of the accountant.
5. Which of the following statements is NOT a major reason of why accountants of the
twenty-first century must be comfortable with information systems concepts?
a. Computer systems are playing an increasing part in the management and
functioning of the organisation.
b. Accountants are increasingly exposed to and working with technology and
information systems.
c. Accountants need to know how computers manage knowledge and its data
resources.
*d. Accountants need to lead and oversee the design of an accounting information
system.
Correct answer: d
Learning objective 1.1 – critically evaluate accounting practices, reflecting on how
accounting information systems enrich and extend the role of the accountant.
6. Information is:
a. the same as data.
*b. data that has been processed and converted.
c. less useful than data.
d. raw facts describing an event.
Correct answer: b
Learning objective 1.2 – compare and contrast data and information.
1.1
, 7. What is information overload?
a. The situation where a computer has more information than is needed or is able
to be processed in a meaningful way when a computer program is executed.
*b. The situation where an individual has more information than is needed or is
able to be processed in a meaningful way when working through a decision.
c. The situation where a computer has more information than is needed or is able
to be processed when data storage is taking place.
d. The situation where the amount of information exceeds the storage capacity of
the brain of a human being.
Correct answer: b
Learning objective 1.2 – compare and contrast data and information.
8. Which of the following statements best indicates the difference between data and
information:
a. information and data are the same.
b. information is less useful than data.
c. information is always useful whereas data is only sometimes useful.
*d. information is data that has been processed and converted
Correct answer: d
Learning objective 1.2 – compare and contrast data and information.
9. The following message box appears when entering a customer order into a sales
system:
This is an example of:
a. input.
b. process.
c. output.
*d. feedback.
Correct answer: d
Learning objective 1.3 – critique and synthesise system concepts, giving examples.
10. A system can be defined as:
1.2
Multiple-choice questions
1. The role of the accountant has changed in recent times because:
a. professional bodies have sought to redefine and reposition the accounting
function.
*b. computer systems have emerged to handle the classification and recording
tasks traditionally associated with the accounting function.
c. the accounting cycle is too complex and involved to be performed solely by
the accountant.
d. knowledge workers have increasingly replaced accountants in the performance
of recording and classification tasks.
Correct answer: b
Learning objective 1.1 – critically evaluate accounting practices, reflecting on how
accounting information systems enrich and extend the role of the accountant.
2. As computer systems have been developed to perform the recording and classification
tasks associated with business activities, the nature of accounting and the work of the
accountant have also been pushed in a new direction. Increasingly, the role of the
accountant is seen to be to:
a. use computer programs rather than manual journals.
b. ensure that businesses invest in new software.
*c. add value and provide and interpret information for an organisation.
d. outsource accounting work to bookkeepers.
Correct answer: c
Learning objective 1.1 – critically evaluate accounting practices, reflecting on how
accounting information systems enrich and extend the role of the accountant.
3. The ICAA requires that its members should bring their analytic expertise to several
fields. Which one of the following is NOT specified by the ICAA?
a. Strategic planning and change management.
b. Market analysis and compliance.
c. The use of information technology.
*d. Human resource management.
Correct answer: d
Learning objective 1.1 – critically evaluate accounting practices, reflecting on how
accounting information systems enrich and extend the role of the accountant.
4. What does ERP stand for?
, Chapter 1: Systems fundamentals - Introduction
*a. Enterprise Resource Planning.
b. Enterprise Resource Package.
c. Electronic Resource Planning.
d. Electronic Resource Package.
Correct answer: a
Learning objective 1.1 – critically evaluate accounting practices, reflecting on how
accounting information systems enrich and extend the role of the accountant.
5. Which of the following statements is NOT a major reason of why accountants of the
twenty-first century must be comfortable with information systems concepts?
a. Computer systems are playing an increasing part in the management and
functioning of the organisation.
b. Accountants are increasingly exposed to and working with technology and
information systems.
c. Accountants need to know how computers manage knowledge and its data
resources.
*d. Accountants need to lead and oversee the design of an accounting information
system.
Correct answer: d
Learning objective 1.1 – critically evaluate accounting practices, reflecting on how
accounting information systems enrich and extend the role of the accountant.
6. Information is:
a. the same as data.
*b. data that has been processed and converted.
c. less useful than data.
d. raw facts describing an event.
Correct answer: b
Learning objective 1.2 – compare and contrast data and information.
1.1
, 7. What is information overload?
a. The situation where a computer has more information than is needed or is able
to be processed in a meaningful way when a computer program is executed.
*b. The situation where an individual has more information than is needed or is
able to be processed in a meaningful way when working through a decision.
c. The situation where a computer has more information than is needed or is able
to be processed when data storage is taking place.
d. The situation where the amount of information exceeds the storage capacity of
the brain of a human being.
Correct answer: b
Learning objective 1.2 – compare and contrast data and information.
8. Which of the following statements best indicates the difference between data and
information:
a. information and data are the same.
b. information is less useful than data.
c. information is always useful whereas data is only sometimes useful.
*d. information is data that has been processed and converted
Correct answer: d
Learning objective 1.2 – compare and contrast data and information.
9. The following message box appears when entering a customer order into a sales
system:
This is an example of:
a. input.
b. process.
c. output.
*d. feedback.
Correct answer: d
Learning objective 1.3 – critique and synthesise system concepts, giving examples.
10. A system can be defined as:
1.2
