64 Test Bank for Accounting Information Systems 10th
Edition by Bodnar
Multiple Choice Questions
The technological philosophy that emphasizes "customer
satisfaction" to the point of "customer obsession" is known as
1.
2.
3.
4.

A. TQP.
B. EDI.
C. TQM.
D. TQP and TQM.

A complete systems solution involving one software package and
one database is referred to as
1.
2.
3.
4.

A. ERP.
B. MRP.
C. SCM.
D. DSS.

Material requirements planning software assists management in
managing
1.
2.



3.
4.

C. value chain application suite.
D. enterprise application suite.

Which systems permit the reprogramming of computers to
produce entirely different products in the same manufacturing
facility with the same equipment?
1.
2.
3.
4.

A. MRP and MRP II
B. CIMs and FMSs
C. ESs and FMSs
D. ERPs and MRPs

The term that best describes an information system that is
tailored to the strategic information needs of top-level
management is a/an
1.
2.
3.
4.

A. accounting information system.

1.
2.
3.
4.

A. treasurer.
B. controller.
C. chief information officer.
D. chief internal auditor.

A(n. ________ is a group of loosely-connected companies that
work together to maximize the value of their economic outputs.
1.
2.

A. extended enterprise
B. enterprise resource planners


3.
4.

C. enterprise suite
D. value chain consortium

The international quality-management standard credited for
promoting the process management approach is the
1.
2.
3.


The area of functional specialization which is responsible for the
design, coding, testing, and debugging of computer programs is
the
1.
2.
3.
4.

A. technical support function.
B. user function.
C. operations function.
D. programming function.

The three general phases of systems development projects and
the order in which they occur are
1.
2.
3.
4.

A. systems design, systems implementation, and systems analysis.
B. systems design, systems implementation, and systems auditing.
C. systems design, systems analysis, and systems programming.
D. systems analysis, systems design, and systems implementation.

Groups of organizations working together to create new products,
new process methods, and/or human capital intelligence is
referred to as a(n.


4.

A. Production
B. Expenditure
C. Financial reporting
D. Revenue

When information levels within an organization are viewed as a
pyramid, strategic information is used primarily by
1.
2.
3.
4.

A. lower-level management.
B. top-level management.
C. middle management.
D. lower-level and middle management.

A system that manages all contacts with customers is a ________
system.
1.
2.
3.
4.

A. customer value chain
B. customer relation management
C. customer supply chain management
D. customer requirements planning

1.
2.
3.
4.

A. Decision support system
B. Marketing information system
C. Manufacturing information system
D. Human resources information system

Which of the following is not a benefit of electronic data
interchange (EDI.?
1.
2.
3.
4.

A. Electronic mail messages are interpreted by humans.
B. EDI eliminates paper.
C. EDI saves time.
D. EDI may allow for EFT payments to vendor accounts.

Which item listed below is not considered a primary business
process?
1.
2.
3.
4.

A. Marketing

services is
1.

A. production.


2.
3.
4.

B. revenue.
C. financial reporting.
D. expenditure.

From an organization's viewpoint, a distinction can be drawn
between the following two broad classes of accounting
information
1.
2.
3.
4.

A. historical and future.
B. strategic and operational.
C. internal and external.
D. mandatory and discretionary.

A(n. ________ system encompasses the planning and
management of all activities involved in sourcing, procurement,
conversion, and logistics management activities.

B. accounts payable.
C. credit manager.
D. cost accounting.

Which of the following is not an objective of internal control as a
process?
1.
2.
3.
4.

A. Reliability of financial reporting
B. Accuracy of accounting information
C. Compliance with applicable laws and regulations
D. Effectiveness and efficiency of operations

64 Free Test Bank for Accounting Information Systems
10th Edition by Bodnar Multiple Choice QuestionsPage 2


Which of the following information characteristics pertains to the
situation when a lower-level manager receives a well-defined,
narrowly focused report, while a top-level manager receives a
report covering more general topics?
1.
2.
3.
4.

A. level of aggregation

1.
2.
3.
4.

A. SAM
B. SAP
C. SAS
D. SAR

When viewing a typical organization chart, the individual
responsible for the finances of the business is the
1.
2.
3.
4.

A. controller.
B. president.
C. vice president.
D. treasurer.

In the systems approach to administering a systems project,
which of the following phases should be performed first?
1.
2.
3.
4.

A. Creating alternatives

1.
2.
3.
4.

A. Decision support system
B. Expert system
C. Executive information system
D. Accounting information system

Internal users of reports from a company's information system
might include all of the following except its:
1.
2.
3.
4.

A. chief executive officer
B. stockholders
C. payroll department
D. lower-level managers

An organization's internal control process consists of how many
elements?
1.
2.
3.
4.

A. Six

When should the actual users of a system be involved when a
new system is being developed?
1.
2.
3.

A. As soon as the new system is implemented
B. After all unexpected bugs and glitches have been found and corrected
C. Only after all employees have been thoroughly trained to use the new
system
4. D. Throughout the design of the new system

Which of the following groups would not be considered external
users of the company's information?
1.
2.
3.
4.

A. factory supervisors
B. creditors
C. investors
D. labor unions

Which of the following is not an example of good internal control?
1.
2.

A. Having adequate records
B. Being sure that everyone clearly understands his or her own

2.

A. Documentation is not a critical component of an internal control system.
B. Ideally, a task can be divided to make job functions as natural checks on
each other.
3. C. A specific person should ideally be responsible for each task or job
function.


4.

D. All records should allow cross-referencing from one area of responsibility
to another.

A way of viewing company activities that breaks the activities
down into components that can be individually optimized in terms
of goals and strategies is known as the:
1.
2.
3.
4.

A. primary business process
B. accounting information system
C. value chain
D. internal control process

An important quick response technology used to track objects
using radio signals is called
1.

C. computer-integrated information system
D. electronic document exchange

Which officer, department, or division within an organization is
responsible for monitoring the other departments to ensure that
the organization's policies and procedures are being carried out?
1.
2.
3.
4.

A. Internal auditing
B. Vice President for Administration
C. Chief Information Officer
D. A steering committee

Which of the following is not a merchant benefit of Web
commerce?
1.

A. Cost savings through automated ordering


2.
3.
4.

B. Worldwide availability of the company's products
C. No waiting in line for a salesperson or to obtain product information
D. Low overhead

3.
4.

A. Creation of alternatives
B. Statement of system objective(s.
C. Systems evaluation
D. All of the answers are steps in the systems approach process.

An accounting information system plays a key role in the internal
control process, thereby helping management with its major
responsibility of:
1.
2.
3.
4.

A. managing the internal audit function
B. stewardship
C. global-level marketing
D. managing the production cycle

A report prepared exclusively for use by this group is almost
always mandatory:
1.
2.
3.
4.

A. the company's labor union
B. the Internal Revenue Service