Test Bank with Solution Manual for Accounting Information Systems, 16th Edition by Marshall B

Test Bank for Accounting Information Systems
g g g g g

Sixteenth Edition g


AccountinggInformationgSystems,g16eg(Romney)
Chapterg1 ConceptualgFoundationsgofgAccountinggInformationgSystems

1 Distinguishgdatagfromginformation,gdiscussgthegcharacteristicsgofgusefulginformation,gandge
xplainghowgtogdeterminegthegvaluegofginformation.

1) Whichgofgthegfollowinggstatementsgbelowgshowsgthegcontrastgbetweengdatagandginformation?
A) Datagisgthegprimarygoutputgofgangaccountingginformationgsystem.
B) Informationgisgthegprimarygoutputgofgangaccountingginformationgsystem.
C) Datagisgmoregusefulgingdecisiongmakinggthanginformation.
D) Datagandginformationgaregthegsame.g
Answer:g B
Concept:gThegconceptgofginformationg
Objective:gLearninggObjectiveg1gDiffi
culty:g Easy
AACSB: AnalyticalgThinking

2) Whengagsubsystem'sggoalsgareginconsistentgwithgtheggoalsgofganothergsubsystemgorgwithgthegs
ystemgasgagwhole,gitgcreates
A) systemginconsistence.
B) systemgconflict.
C) goalginconsistence.
D) goalgconflict.
Answer:ggg D
Concept:gThegconceptgofginformationg
Objective:gLearninggObjectiveg1gDiffi
culty:g Easy
AACSB: AnalyticalgThinking

3) Whengagsubsystemgachievesgitsggoalsgwhilegcontributinggtogthegorganization'sgoverallggoal,gitgisgc
alled
A) systemgmatch.
B) systemgcongruence.
C) goalgcongruence.
D) goalgmatch.
Answer:g C
Concept:gThegconceptgofginformationg
Objective:gLearninggObjectiveg1gDiffi
culty:g Easy
AACSB: AnalyticalgThinking




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,4) Informationgisgbestgdescribedgas
A) rawgfactsgaboutgtransactions.
B) datagthatghasgbeengorganizedgandgprocessedgsogthatgitgisgmeaningfulgtogtheguser.
C) factsgthatgaregusefulgwhengprocessedgingagtimelygmanner.
D) thegsamegthinggasgdata.g
Answer:g B
Concept:gThegconceptgofginformationg
Objective:gLearninggObjectiveg1gDiffi
culty:g Easy
AACSB: AnalyticalgThinking

5) Thegvaluegofginformationgcangbestgbegdeterminedgby
A) itsgusefulnessgtogdecisiongmakers.
B) itsgrelevancegtogdecisiongmakers.
C) thegbenefitsgassociatedgwithgobtaininggtheginformationgminusgthegcostgofgproducinggit.
D) thegextentgtogwhichgitgoptimizesgthegvaluegchain.g
Answer:g C
Concept:gThegconceptgofginformationg
Objective:gLearninggObjectiveg1gDiffi
culty:g Moderate
AACSB: AnalyticalgThinking

6) Angaccountingginformationgsystemg(AIS)gprocesses togprovidegusersgwith .
A) data;ginformation
B) data;gtransactions
C) information;gdata
D) data;gbenefitsg
Answer:g A
Concept:gThegconceptgofginformationg
Objective:gLearninggObjectiveg1gDiffi
culty:g Easy
AACSB: AnalyticalgThinking

7) g
informationgreducesguncertainty,gimprovesgdecisiongmakers'gabilitygtogmakegpredictions
,gorgconfirmsgexpectations.
A) Timely
B) Accurate
C) Relevant
D) Completeg
Answer:g C
Concept:g InformationgneedsgandgbusinessgprocessesgObjecti
ve:g LearninggObjectiveg1
Difficulty:g Easy
AACSB: AnalyticalgThinking



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,8) Informationgthatgisgfreegfromgerrorgorgbiasgandgfaithfullygrepresentsgthegeventsgorgactivitiesgofgt
hegorganizationgis
A) relevant.
B) accurate.
C) verifiable.
D) timely.g
Answer:g B
Concept:gThegconceptgofginformationg
Objective:gLearninggObjectiveg1gDiffi
culty:g Easy
AACSB: AnalyticalgThinking

9) Informationgthatgdoesgnotgomitgimportantgaspectsgofgthegunderlyinggeventsgorgactivitiesgthatgitg
measuresgis
A) complete.
B) available.
C) relevant.
D) timely.g
Answer:gA
Concept:gThegconceptgofginformationg
Objective:gLearninggObjectiveg1gDiffi
culty:g Easy
AACSB: AnalyticalgThinking

10) Informationgis
whengtwogknowledgeablegpeoplegindependentlygproducegthegsameginformation.
A) verifiable
B) relevant
C) accurate
D) completeg
Answer:g A
Concept:gThegconceptgofginformationg
Objective:gLearninggObjectiveg1gDiffi
culty:g Easy
AACSB: AnalyticalgThinking




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, 11) Datagmustgbegconvertedgintoginformationgtogbegconsideredgusefulgandgmeaningfulgforgdecisiong
making.gTheregareg14gcharacteristicsgthatgmakeginformationgbothgusefulgandgmeaningful.gIfginform
ationgisgfreegfromgerrorgorgbiasgandgfaithfullygrepresentsgthegeventsgorgactivitiesgofgthegorganization
,gitgisgrepresentativegofgthegcharacteristicgof
A) relevancy.
B) timeliness.
C) understandability.
D) accuracy.g
Answer:g D
Concept:gThegconceptgofginformationg
Objective:gLearninggObjectiveg1gDiffi
culty:g Easy
AACSB: AnalyticalgThinking

12) Datagmustgbegconvertedgintoginformationgtogbegconsideredgusefulgandgmeaningfulgforgdecisiong
making.gTheregareg14gcharacteristicsgthatgmakeginformationgbothgusefulgandgmeaningful.gIfginform
ationgcanghelpgreduceguncertainty,gimprovesgdecisiongmaking,gorgconfirmsgorgcorrectsgpriorgexpecta
tions,gitgisgrepresentativegofgthegcharacteristicgof
A) objectivity.
B) relevance.
C) completeness.
D) truthfulness.g
Answer:g B
Concept:gThegconceptgofginformationg
Objective:gLearninggObjectiveg1gDiffi
culty:g Easy
AACSB: AnalyticalgThinking

13) Datagmustgbegconvertedgintoginformationgtogbegconsideredgusefulgandgmeaningfulgforgdecisiong
making.gTheregareg14gcharacteristicsgthatgmakeginformationgbothgusefulgandgmeaningful.gIfgthegsa
meginformationgcangbegreproducedgbygtwogindependentgandgknowledgeablegpeople,gitgisgrepresenta
tivegofgthegcharacteristicgof
A) accuracy.
B) relevance.
C) verifiability.
D) truthfulness.g
Answer:g C
Concept:gThegconceptgofginformationg
Objective:gLearninggObjectiveg1gDiffi
culty:g Easy
AACSB: AnalyticalgThinking




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