Chapter 4 Exam Prep Software And Systems - Digital Test Bank | Accounting Info Systems 1e by Arline A. Savage. DOCX document preview.
Accounting Information Systems, 1e (Savage)
Chapter 4 Software and Systems
1) An online information system that supports core business functions like handling sales, accounting purchasing and more is considered what type of system?
A) An online transaction processing system (OLTP)
B) An online analytics processing system (OLAP)
C) A batch transaction processing system (BTP)
D) A batch analytics processing system (BAP)
Diff: 1
Learning Objective: 4.1 Summarize the different types of systems and software
Section Reference: Information Systems
AACSB: Analytic
Bloom's: Knowledge
AICPA: AC: Systems and Process Management
2) An online information system that focuses on leveraging the data for information is considered what type of system?
A) An online transaction processing system (OLTP)
B) An online analytics processing system (OLAP)
C) A batch transaction processing system (BTP)
D) A batch analytics processing system (BAP)
Diff: 1
Learning Objective: 4.1 Summarize the different types of systems and software
Section Reference: Information Systems
AACSB: Analytic
Bloom's: Knowledge
AICPA: AC: Systems and Process Management
3) An online transaction processing system (OLTP) processes:
I. Transactions
II. Reports and analytics
A) I
B) II
C) both I and II
D) neither I nor II
Diff: 1
Learning Objective: 4.1 Summarize the different types of systems and software
Section Reference: Information Systems
AACSB: Analytic
Bloom's: Knowledge
AICPA: AC: Systems and Process Management
4) An online analytics processing system (OLAP) processes:
I. Transactions
II. Reports and analytics
A) I
B) II
C) both I and II
D) neither I nor II
Diff: 1
Learning Objective: 4.1 Summarize the different types of systems and software
Section Reference: Information Systems
AACSB: Analytic
Bloom's: Knowledge
AICPA: AC: Systems and Process Management
5) An online transaction processing system (OLTP):
I. Modifies the database by adding and changing transaction data
II. Queries the database to answer questions
A) I
B) II
C) both I and II
D) neither I nor II
Diff: 1
Learning Objective: 4.1 Summarize the different types of systems and software
Section Reference: Information Systems
AACSB: Analytic
Bloom's: Knowledge
AICPA: AC: Systems and Process Management
6) An online analytics processing system (OLAP):
I. Modifies the database by adding and changing transaction data
II. Queries the database to answer questions
A) I
B) II
C) both I and II
D) neither I nor II
Diff: 1
Learning Objective: 4.1 Summarize the different types of systems and software
Section Reference: Information Systems
AACSB: Analytic
Bloom's: Knowledge
AICPA: AC: Systems and Process Management
7) Which system is used by senior management to determine regions of the world for new investment?
A) Executive support system
B) Decision support system
C) Management information system
D) Transaction processing system
Diff: 2
Learning Objective: 4.1 Summarize the different types of systems and software
Section Reference: Information Systems
AACSB: Analytic
Bloom's: Application
AICPA: AC: Systems and Process Management
8) Which system is used by management to perform "what-if" analysis to set optimal stock levels by store and warehouse?
A) Executive support system
B) Decision support system
C) Management information system
D) Transaction processing system
Diff: 2
Learning Objective: 4.1 Summarize the different types of systems and software
Section Reference: Information Systems
AACSB: Analytic
Bloom's: Application
AICPA: AC: Systems and Process Management
9) Which system is used to generate inventory reports and profit and loss statements?
A) Executive support system
B) Decision support system
C) Management information system
D) Transaction processing system
Diff: 2
Learning Objective: 4.1 Summarize the different types of systems and software
Section Reference: Information Systems
AACSB: Analytic
Bloom's: Application
AICPA: AC: Systems and Process Management
10) Which system is used by the storefront cashiers to check out the customer's purchases?
A) Executive support system
B) Decision support system
C) Management information system
D) Transaction processing system
Diff: 2
Learning Objective: 4.1 Summarize the different types of systems and software
Section Reference: Information Systems
AACSB: Analytic
Bloom's: Application
AICPA: AC: Systems and Process Management
11) There are four different levels of information systems, each providing information for users at different levels of the company. Match the systems with who uses the system.
a) Executive support system
b) Decision support system
c) Management information system
d) Transaction processing system
I. Executive Leadership
II. Upper-level Management
III. Middle Management
IV. Workers
Diff: 2
Learning Objective: 4.1 Summarize the different types of systems and software
Section Reference: Information Systems
AACSB: Analytic
Bloom's: Application
AICPA: AC: Systems and Process Management
12) There are four different levels of information systems, each providing information for users at different levels of the company. Match the systems with why the system is used.
a) Executive support system
b) Decision support system
c) Management information system
d) Transaction processing system
I. Strategic decisions
II. Non-routine decisions
III. Routine decisions
IV. Capturing data
Diff: 2
Learning Objective: 4.1 Summarize the different types of systems and software
Section Reference: Information Systems
AACSB: Analytic
Bloom's: Application
AICPA: AC: Systems and Process Management
13) In batch processing, data is collected as it is generated and processed later at a scheduled time. Listed below are the five steps in batch processing. Put these steps in correct chronological order.
a) Business event
b) Create file
c) Update file
d) Scheduled batch
e) Update database
Diff: 2
Learning Objective: 4.1 Summarize the different types of systems and software
Section Reference: Transaction Processing
AACSB: Analytic
Bloom's: Application
AICPA: AC: Systems and Process Management
14) In batch processing, data is collected as it is generated and processed later at a scheduled time. Listed below are the five steps in batch processing. Which step corresponds to the occurrence of business events and the collection of transactions which are then organized into a batch?
A) Business event
B) Create file
C) Update file
D) Scheduled batch
E) Update database
Diff: 1
Learning Objective: 4.1 Summarize the different types of systems and software
Section Reference: Transaction Processing
AACSB: Analytic
Bloom's: Knowledge
AICPA: AC: Systems and Process Management
15) In batch processing, data is collected as it is generated and processed later at a scheduled time. Listed below are the five steps in batch processing. Which step corresponds to updating the transaction file with additional batch transactions?
A) Business event
B) Create file
C) Update file
D) Scheduled batch
E) Update database
Diff: 1
Learning Objective: 4.1 Summarize the different types of systems and software
Section Reference: Transaction Processing
AACSB: Analytic
Bloom's: Knowledge
AICPA: AC: Systems and Process Management
16) Software is created using programming languages, which are written sets of coded instructions that the system understands. Choose from the list below one of the popular programming languages.
A) Assembler
B) Fortran
C) COBOL
D) Python
Diff: 1
Learning Objective: 4.1 Summarize the different types of systems and software
Section Reference: Software
AACSB: Analytic
Bloom's: Knowledge
AICPA: AC: Technology and Tools
17) Systems software is specialized software that runs a computer's hardware and other software. It is a platform for other software that coordinates all the activities throughout the system. When you turn on your personal computer, what type of system software is initially loaded?
A) Operating System
B) Database Management System
C) Data communication software
D) Utility programs
Diff: 2
Learning Objective: 4.1 Summarize the different types of systems and software
Section Reference: Software
AACSB: Analytic
Bloom's: Application
AICPA: AC: Systems and Process Management
18) Systems software is specialized software that runs a computer's hardware and other software. It is a platform for other software that coordinates all the activities throughout the system. A software used to define, manipulate, retrieve, and manage data is what type of system software?
A) Operating System
B) Database Management System
C) Data communication software
D) Utility programs
Diff: 2
Learning Objective: 4.1 Summarize the different types of systems and software
Section Reference: Software
AACSB: Analytic
Bloom's: Application
AICPA: AC: Systems and Process Management
19) Systems software is specialized software that runs a computer's hardware and other software. It is a platform for other software that coordinates all the activities throughout the system. A software used to provide remote access to exchange data between computers and users is what type of system software?
A) Operating System
B) Database Management System
C) Data communication software
D) Utility programs
Diff: 2
Learning Objective: 4.1 Summarize the different types of systems and software
Section Reference: Software
AACSB: Analytic
Bloom's: Application
AICPA: AC: Systems and Process Management
20) Systems software is specialized software that runs a computer's hardware and other software. It is a platform for other software that coordinates all the activities throughout the system. A software used for analyzing, configuring, optimizing, and maintaining a computer is what type of system software?
A) Operating System
B) Database Management System
C) Data communication software
D) Utility programs
Diff: 2
Learning Objective: 4.1 Summarize the different types of systems and software
Section Reference: Software
AACSB: Analytic
Bloom's: Application
AICPA: AC: Systems and Process Management
21) Cloud computing provides a customer with access to shared resources over the internet, like computer processing, software applications, data storage and other services. If a company chooses a cloud option where the hardware and software is dedicated solely to their business, the business is choosing what type of cloud deployment?
A) Private cloud
B) Public cloud
C) Hybrid cloud
D) Proprietary cloud
Diff: 2
Learning Objective: 4.1 Summarize the different types of systems and software
Section Reference: Cloud Computing
AACSB: Analytic
Bloom's: Application
AICPA: AC: Technology and Tools
22) There are three types of cloud service models, each of which provide customers remote access to specific cloud solutions based on the end-user requirements. If a company chooses a cloud service model that utilizes the internet to deliver applications to customers which are managed by a third-party, the business is choosing what type of cloud service model?
A) Software as a service (SaaS)
B) Platform as a service (PaaS)
C) Infrastructure as a service (IaaS)
D) Computer as a service (CaaS)
Diff: 2
Learning Objective: 4.1 Summarize the different types of systems and software
Section Reference: Cloud Computing
AACSB: Analytic
Bloom's: Application
AICPA: AC: Technology and Tools
23) There are three types of cloud service models, each of which provide customers remote access to specific cloud solutions based on the end-user requirements. If a company chooses a cloud service model that provides fully self-service computers, networking, storage, and operating systems through virtualized environments, the business is choosing what type of cloud service model?
A) Software as a service (SaaS)
B) Platform as a service (PaaS)
C) Infrastructure as a service (IaaS)
D) Computer as a service (CaaS)
Diff: 2
Learning Objective: 4.1 Summarize the different types of systems and software
Section Reference: Cloud Computing
AACSB: Analytic
Bloom's: Application
AICPA: AC: Technology and Tools
24) One of the most important business processes a company needs technology to support is receiving payments from customers. Julia's Cookies used what payment processing software?
A) Square
B) QuickBooks
C) PayPal Here
D) Microsoft Excel
Diff: 1
Learning Objective: 4.2 Identify startup and small business technologies
Section Reference: Startup Computing
AACSB: Analytic
Bloom's: Knowledge
AICPA: AC: Technology and Tools
25) "Square provides a device that attaches to the business owner's ________ to receive payments."
A) laptop computer
B) phone or tablet
C) desktop computer
D) Tesla
Diff: 1
Learning Objective: 4.2 Identify startup and small business technologies
Section Reference: Startup Computing
AACSB: Analytic
Bloom's: Knowledge
AICPA: AC: Technology and Tools
26) Companies also need to store information, perform data analytics and calculations, and manage other financial-related functions. What tool did Julia's Cookies use for these data analytics functions?
A) Square
B) Microsoft Excel
C) QuickBooks
D) Google Sheets
Diff: 1
Learning Objective: 4.2 Identify startup and small business technologies
Section Reference: Startup Computing
AACSB: Analytic
Bloom's: Knowledge
AICPA: AC: Technology and Tools
27) "Excel is part of the ________ suite and can be purchased as a locally installed software or through a SaaS subscription."
A) Numbers for Mac
B) QuickBooks
C) Microsoft Office
D) Google Sheets
Diff: 1
Learning Objective: 4.2 Identify startup and small business technologies
Section Reference: Startup Computing
AACSB: Analytic
Bloom's: Knowledge
AICPA: AC: Technology and Tools
28) Excel is a spreadsheet application software. Choose from the list below one of the business functions that Excel typically supports.
A) Advertising
B) Recruiting
C) Supply chain management
D) Budgeting
Diff: 1
Learning Objective: 4.2 Identify startup and small business technologies
Section Reference: Startup Computing
AACSB: Analytic
Bloom's: Knowledge
AICPA: AC: Systems and Process Management
29) Excel is a spreadsheet application software. Select the Excel function listed below that you would use if you wanted to find the smallest value in a range of selected cells.
A) MIN
B) MAX
C) TRIM
D) IF
Diff: 2
Learning Objective: 4.2 Identify startup and small business technologies
Section Reference: Startup Computing
AACSB: Analytic
Bloom's: Application
AICPA: AC: Technology and Tools
30) Excel is a spreadsheet application software. Select the Excel function listed below that you would use if you wanted to find the largest value in a range of selected cells.
A) MIN
B) MAX
C) TRIM
D) IF
Diff: 2
Learning Objective: 4.2 Identify startup and small business technologies
Section Reference: Startup Computing
AACSB: Analytic
Bloom's: Application
AICPA: AC: Technology and Tools
31) Excel is a spreadsheet application software. Select the Excel function listed below that you would use if you wanted to remove leading and trailing spaces in a selected cell.
A) MIN
B) MAX
C) TRIM
D) IF
Diff: 2
Learning Objective: 4.2 Identify startup and small business technologies
Section Reference: Startup Computing
AACSB: Analytic
Bloom's: Application
AICPA: AC: Technology and Tools
32) Excel is a spreadsheet application software. Select the Excel function listed below that you would use if you wanted to apply conditional logic to select cells to determine a true or false outcome.
A) MIN
B) MAX
C) TRIM
D) IF
Diff: 2
Learning Objective: 4.2 Identify startup and small business technologies
Section Reference: Startup Computing
AACSB: Analytic
Bloom's: Application
AICPA: AC: Technology and Tools
33) Excel is a spreadsheet application software. Select the Excel function listed below that you would use if you wanted to calculate the total of a range of cells.
A) SUM
B) MAX
C) TRIM
D) IF
Diff: 2
Learning Objective: 4.2 Identify startup and small business technologies
Section Reference: Startup Computing
AACSB: Analytic
Bloom's: Application
AICPA: AC: Technology and Tools
34) Excel is a spreadsheet application software. Select the Excel function listed below that you would use if you wanted to calculate the average of selected cells.
A) MIN
B) AVERAGE
C) TRIM
D) IF
Diff: 2
Learning Objective: 4.2 Identify startup and small business technologies
Section Reference: Startup Computing
AACSB: Analytic
Bloom's: Application
AICPA: AC: Technology and Tools
35) Excel is a spreadsheet application software. Select the Excel function listed below that you would use if you wanted to combine two or more columns into one new column.
A) SUM
B) MAX
C) TRIM
D) CONCAT
Diff: 2
Learning Objective: 4.2 Identify startup and small business technologies
Section Reference: Startup Computing
AACSB: Analytic
Bloom's: Application
AICPA: AC: Technology and Tools
36) As companies grow their data storage needs grow more complex and many small businesses soon grow to need a more manageable approach to local data storage. At Julia's Cookies, it only took a few months before they needed a more robust data storage solution than Excel. Choose from the list below a database solution that a small startup company may use.
A) Oracle DBMS
B) Microsoft Outlook
C) Microsoft Access
D) MySQL
Diff: 2
Learning Objective: 4.2 Identify startup and small business technologies
Section Reference: Startup Computing
AACSB: Analytic
Bloom's: Application
AICPA: AC: Technology and Tools
37) Companies need more accounting support than just capturing sales data. Businesses need reliable software that provides core accounting functionality and user-friendly reporting capabilities. Julia's Cookies used what accounting software package when they were a startup?
A) Oracle DBMS
B) Microsoft Outlook
C) Microsoft Access
D) QuickBooks
Diff: 1
Learning Objective: 4.2 Identify startup and small business technologies
Section Reference: Startup Computing
AACSB: Analytic
Bloom's: Knowledge
AICPA: AC: Technology and Tools
38) The textbook discussed three control activity considerations for small businesses. In a smaller business, incompatible business functions are often combined. A small business may implement a compensating control such as manager supervision. This is an example of what control activity?
A) Segregation of duties
B) Physical access
C) Logical access
D) Environmental access
Diff: 2
Learning Objective: 4.2 Identify startup and small business technologies
Section Reference: Managing Risks
AACSB: Analytic
Bloom's: Application
AICPA: AC: Systems and Process Management
39) The textbook discussed three control activity considerations for small businesses. In a smaller business, incompatible business functions are often combined. A small business may prevent unauthorized individuals from accessing resources like buildings, computers, hard drives, and inventory. This is an example of what control activity?
A) Segregation of duties
B) Physical access
C) Logical access
D) Environmental access
Diff: 2
Learning Objective: 4.2 Identify startup and small business technologies
Section Reference: Managing Risks
AACSB: Analytic
Bloom's: Application
AICPA: AC: Systems and Process Management
40) The textbook discussed three control activity considerations for small businesses. In a smaller business, incompatible business functions are often combined. A small business may prevent unauthorized individuals from accessing systems, databases, or applications. This is an example of what control activity?
A) Segregation of duties
B) Physical access
C) Logical access
D) Environmental access
Diff: 2
Learning Objective: 4.2 Identify startup and small business technologies
Section Reference: Managing Risks
AACSB: Analytic
Bloom's: Application
AICPA: AC: Systems and Process Management
41) Companies can grow in two ways, organic growth or acquisition-based growth. Choose the best definition of organic growth.
A) Organic growth is the increase in sales, customers, and market share by using the company's own resources and business processes.
B) Organic growth occurs as businesses purchase and integrate other companies in the purchasing company's infrastructure.
C) Organic growth in the decrease in sales, customers, and market share by using the company's own resources and business processes.
D) Organic growth occurs as businesses sell and separate other companies in the purchasing company's infrastructure.
Diff: 1
Learning Objective: 4.3 Explain how growing businesses enhance their systems
Section Reference: Acquisition-Based Growth
AACSB: Analytic
Bloom's: Knowledge
AICPA: AC: Systems and Process Management
42) Companies can grow in two ways, organic growth or acquisition-based growth. Choose the best definition of acquisition-based growth
A) Acquisition-based growth is the increase in sales, customers, and market share by using the company's own resources and business processes.
B) Acquisition-based growth occurs as businesses purchase and integrate other companies in the purchasing company's infrastructure.
C) Acquisition-based growth in the decrease in sales, customers, and market share by using the company's own resources and business processes.
D) Acquisition-based growth occurs as businesses sell and separate other companies in the purchasing company's infrastructure.
Diff: 1
Learning Objective: 4.3 Explain how growing businesses enhance their systems
Section Reference: Acquisition-Based Growth
AACSB: Analytic
Bloom's: Knowledge
AICPA: AC: Systems and Process Management
43) Choose the best definition of a merger.
A) A merger occurs when one company sells shares of the company on a public exchange.
B) A merger is separating one company into two or more separate legal entities.
C) A merger is a combination of two separate companies into a new legal entity.
D) A merger happens when one company purchases another company to acquire all or most of the shares, and therefore control over that company.
Diff: 1
Learning Objective: 4.3 Explain how growing businesses enhance their systems
Section Reference: Acquisition-Based Growth
AACSB: Analytic
Bloom's: Knowledge
AICPA: AC: Systems and Process Management
44) Choose the best definition of an acquisition.
A) An acquisition occurs when one company sells shares of the company on a public exchange.
B) An acquisition is separating one company into two or more separate legal entities.
C) An acquisition is a combination of two separate companies into a new legal entity.
D) An acquisition happens when one company purchases another company to acquire all or most of the shares, and therefore control over that company.
Diff: 1
Learning Objective: 4.3 Explain how growing businesses enhance their systems
Section Reference: Acquisition-Based Growth
AACSB: Analytic
Bloom's: Knowledge
AICPA: AC: Systems and Process Management
45) Choose the best definition of systems integration.
A) Systems integration is the process of joining different systems or subsystems into one larger system and ensuring that they function as one system.
B) Systems integration is separating one company into two or more separate legal entities.
C) Systems integration is a combination of two separate companies into a new legal entity.
D) Systems integration happens when one company purchases another company to acquire all or most of the shares, and therefore control over that company.
Diff: 1
Learning Objective: 4.3 Explain how growing businesses enhance their systems
Section Reference: Acquisition-Based Growth
AACSB: Analytic
Bloom's: Knowledge
AICPA: AC: Systems and Process Management
46) RAM Manufacturing LLC is a rapidly growing manufacturer of parts for the automotive industry. RAM Manufacturing maintains a lot of inventory and uses NetSuite to manage its inventory. RAM Manufacturing recently acquired Top Automotive LLC. Top Automotive uses Sellbrite to manage its inventory. If RAM Manufacturing decides to allow the Top Automotive operations to continue to run Sellbrite at Top Automotive's facility, which systems integration approach has RAM Manufacturing taken?
A) Shut down both systems
B) Run both systems in parallel
C) Lift and shift, then integrate
D) Immediate integration
Diff: 2
Learning Objective: 4.3 Explain how growing businesses enhance their systems
Section Reference: Systems Integration
AACSB: Analytic
Bloom's: Application
AICPA: AC: Systems and Process Management
47) RAM Manufacturing LLC is a rapidly growing manufacturer of parts for the automotive industry. RAM Manufacturing maintains a lot of inventory and uses NetSuite to manage its inventory. RAM Manufacturing recently acquired Top Automotive LLC. Top Automotive uses Sellbrite to manage its inventory. If RAM Manufacturing decides to move the Sellbrite system to RAM Manufacturing's data center, which systems integration approach has RAM Manufacturing taken?
A) Shut down both systems
B) Run both systems in parallel
C) Lift and shift, then integrate
D) Immediate integration
Diff: 2
Learning Objective: 4.3 Explain how growing businesses enhance their systems
Section Reference: Systems Integration
AACSB: Analytic
Bloom's: Application
AICPA: AC: Systems and Process Management
48) RAM Manufacturing LLC is a rapidly growing manufacturer of parts for the automotive industry. RAM Manufacturing maintains a lot of inventory and uses NetSuite to manage its inventory. RAM Manufacturing recently acquired Top Automotive LLC. Top Automotive uses Sellbrite to manage its inventory. If RAM Manufacturing decides to immediately move the inventory of Top Automotive only NetSuite after the acquisition closes, which systems integration approach has RAM Manufacturing taken?
A) Shut down both systems
B) Run both systems in parallel
C) Lift and shift, then integrate
D) Immediate integration
Diff: 2
Learning Objective: 4.3 Explain how growing businesses enhance their systems
Section Reference: Systems Integration
AACSB: Analytic
Bloom's: Application
AICPA: AC: Systems and Process Management
49) Businesses typically have many systems, some internally developed, some purchased, and others acquired. Businesses want these systems to communicate with one another and provide users with easier access to data. There are three systems configurations that consolidate and coordinate data across multiple locations. These three include: centralized systems, decentralized systems, and distributed systems. Choose the best definition of a centralized system.
A) A centralized system connects all users to one central location built around a server or cluster of servers that all authorized users can access.
B) A centralized system utilizes multiple locations connected to a central site.
C) A centralized system is like a decentralized system; however, it goes a step further as it no longer has a central site connecting all the system nodes.
D) A centralized system allows all users to have access to all data depending on their user access privileges, and all users are connected throughout the business.
Diff: 1
Learning Objective: 4.3 Explain how growing businesses enhance their systems
Section Reference: Systems Configurations
AACSB: Analytic
Bloom's: Knowledge
AICPA: AC: Systems and Process Management
50) Businesses typically have many systems, some internally developed, some purchased, and others acquired. Businesses want these systems to communicate with one another and provide users with easier access to data. There are three systems configurations that consolidate and coordinate data across multiple locations. These three include centralized systems, decentralized systems, and distributed systems. Choose the best definition of a decentralized system.
A) A decentralized system connects all users to one central location built around a server or cluster of servers that all authorized users can access.
B) A decentralized system utilizes multiple locations connected to a central site.
C) A decentralized system is like a decentralized system; however, it goes a step further as it no longer has a central site connecting all the system nodes.
D) A decentralized system allows all users to have access to all data depending on their user access privileges, and all users are connected throughout the business.
Diff: 1
Learning Objective: 4.3 Explain how growing businesses enhance their systems
Section Reference: Systems Configurations
AACSB: Analytic
Bloom's: Knowledge
AICPA: AC: Systems and Process Management
51) Businesses typically have many systems, some internally developed, some purchased, and others acquired. Businesses want these systems to communicate with one another and provide users with easier access to data. There are three systems configurations that consolidate and coordinate data across multiple locations. These three include centralized systems, decentralized systems, and distributed systems. Choose the best definition of a distributed system.
A) A distributed system connects all users to one central location built around a server or cluster of servers that all authorized users can access.
B) A distributed system utilizes multiple locations connected to a central site.
C) A distributed system is like a decentralized system; however, it goes a step further as it no longer has a central site connecting all the system nodes.
D) A distributed system allows all users to have access to all data depending on their user access privileges, and all users are connected to a central server.
Diff: 1
Learning Objective: 4.3 Explain how growing businesses enhance their systems
Section Reference: Systems Configurations
AACSB: Analytic
Bloom's: Knowledge
AICPA: AC: Systems and Process Management
52) Businesses typically have many systems, some internally developed, some purchased, and others acquired. Businesses want these systems to communicate with one another and provide users with easier access to data. There are three systems configurations that consolidate and coordinate data across multiple locations. These three include centralized systems, decentralized systems, and distributed systems. Each configuration has advantages and disadvantages. Which of the following is a disadvantage of centralized systems?
A) The risk of business disruption is greater because any disruption impacts the entire system.
B) Since each location has its own system, there is an increase in security risk as more systems must be protected and monitored.
C) It is the most expensive option as it involves higher maintenance costs.
D) It is more difficult to implement as it is the most complex of the three.
Diff: 2
Learning Objective: 4.3 Explain how growing businesses enhance their systems
Section Reference: Systems Configurations
AACSB: Analytic
Bloom's: Application
AICPA: AC: Systems and Process Management
53) Businesses typically have many systems, some internally developed, some purchased, and others acquired. Businesses want these systems to communicate with one another and provide users with easier access to data. There are three systems configurations that consolidate and coordinate data across multiple locations. These three include centralized systems, decentralized systems, and distributed systems. Each configuration has advantages and disadvantages. Which of the following is a disadvantage of decentralized systems?
A) The risk of business disruption is greater because any disruption impacts the entire system.
B) Since each location has its own system, there is an increase in security risk as more systems must be protected and monitored.
C) It is the most expensive option as it involves higher maintenance costs.
D) It is more difficult to implement as it is the most complex of the three.
Diff: 2
Learning Objective: 4.3 Explain how growing businesses enhance their systems
Section Reference: Systems Configurations
AACSB: Analytic
Bloom's: Application
AICPA: AC: Systems and Process Management
54) Businesses typically have many systems, some internally developed, some purchased, and others acquired. Businesses want these systems to communicate with one another and provide users with easier access to data. There are three systems configurations that consolidate and coordinate data across multiple locations. These three include centralized systems, decentralized systems, and distributed systems. Each configuration has advantages and disadvantages. Which of the following is a disadvantage of distributed systems?
A) The risk of business disruption is greater because any disruption impacts the entire system.
B) Since each location has its own system, there is an increase in security risk as more systems must be protected and monitored.
C) It is the most expensive option as it involves higher maintenance costs.
D) The cost of installing and maintaining multiple systems across different locations is higher.
Diff: 2
Learning Objective: 4.3 Explain how growing businesses enhance their systems
Section Reference: Systems Configurations
AACSB: Analytic
Bloom's: Application
AICPA: AC: Systems and Process Management
55) Businesses typically have many systems, some internally developed, some purchased, and others acquired. Businesses want these systems to communicate with one another and provide users with easier access to data. There are three systems configurations that consolidate and coordinate data across multiple locations. These three include centralized systems, decentralized systems, and distributed systems. Each configuration has advantages and disadvantages. Which of the following is an advantage of centralized systems?
A) It is the easiest to set up.
B) If one system fails, the other systems can still process transactions.
C) Communication among the users is increased since they are all connected.
D) It promotes easier incremental growth or scalability of systems.
Diff: 2
Learning Objective: 4.3 Explain how growing businesses enhance their systems
Section Reference: Systems Configurations
AACSB: Analytic
Bloom's: Application
AICPA: AC: Systems and Process Management
56) Businesses typically have many systems, some internally developed, some purchased, and others acquired. Businesses want these systems to communicate with one another and provide users with easier access to data. There are three systems configurations that consolidate and coordinate data across multiple locations. These three include centralized systems, decentralized systems, and distributed systems. Each configuration has advantages and disadvantages. Which of the following is an advantage of centralized systems?
A) Data is easy to access for authorized users.
B) If one system fails, the other systems can still process transactions.
C) Communication among the users is increased since they are all connected.
D) It promotes easier incremental growth or scalability of systems.
Diff: 2
Learning Objective: 4.3 Explain how growing businesses enhance their systems
Section Reference: Systems Configurations
AACSB: Analytic
Bloom's: Application
AICPA: AC: Systems and Process Management
57) Businesses typically have many systems, some internally developed, some purchased, and others acquired. Businesses want these systems to communicate with one another and provide users with easier access to data. There are three systems configurations that consolidate and coordinate data across multiple locations. These three include centralized systems, decentralized systems, and distributed systems. Each configuration has advantages and disadvantages. Which of the following is an advantage of centralized systems?
A) Cost is lower, as there is only one central location to be maintained.
B) If one system fails, the other systems can still process transactions.
C) Communication among the users is increased since they are all connected.
D) It promotes easier incremental growth or scalability of systems.
Diff: 2
Learning Objective: 4.3 Explain how growing businesses enhance their systems
Section Reference: Systems Configurations
AACSB: Analytic
Bloom's: Application
AICPA: AC: Systems and Process Management
58) Businesses typically have many systems, some internally developed, some purchased, and others acquired. Businesses want these systems to communicate with one another and provide users with easier access to data. There are three systems configurations that consolidate and coordinate data across multiple locations. These three include centralized systems, decentralized systems, and distributed systems. Each configuration has advantages and disadvantages. Which of the following is an advantage of decentralized systems?
A) Cost is lower, as there is only one central location to be maintained.
B) If one system fails, the other systems can still process transactions.
C) Communication among the users is increased since they are all connected.
D) It promotes easier incremental growth or scalability of systems.
Diff: 2
Learning Objective: 4.3 Explain how growing businesses enhance their systems
Section Reference: Systems Configurations
AACSB: Analytic
Bloom's: Application
AICPA: AC: Systems and Process Management
59) Businesses typically have many systems, some internally developed, some purchased, and others acquired. Businesses want these systems to communicate with one another and provide users with easier access to data. There are three systems configurations that consolidate and coordinate data across multiple locations. These three include centralized systems, decentralized systems, and distributed systems. Each configuration has advantages and disadvantages. Which of the following is an advantage of decentralized systems?
A) Cost is lower, as there is only one central location to be maintained.
B) Higher responsiveness from the system at remote locations, as they have their own system to process and retrieve their data.
C) Communication among the users is increased since they are all connected.
D) It promotes easier incremental growth or scalability of systems.
Diff: 2
Learning Objective: 4.3 Explain how growing businesses enhance their systems
Section Reference: Systems Configurations
AACSB: Analytic
Bloom's: Application
AICPA: AC: Systems and Process Management
60) Businesses typically have many systems, some internally developed, some purchased, and others acquired. Businesses want these systems to communicate with one another and provide users with easier access to data. There are three systems configurations that consolidate and coordinate data across multiple locations. These three include centralized systems, decentralized systems, and distributed systems. Each configuration has advantages and disadvantages. Which of the following is an advantage of decentralized systems?
A) Cost is lower, as there is only one central location to be maintained.
B) Reduction in processing bottlenecks as employees aren't competing for processing power.
C) Communication among the users is increased since they are all connected.
D) It promotes easier incremental growth or scalability of systems.
Diff: 2
Learning Objective: 4.3 Explain how growing businesses enhance their systems
Section Reference: Systems Configurations
AACSB: Analytic
Bloom's: Application
AICPA: AC: Systems and Process Management
61) Businesses typically have many systems, some internally developed, some purchased, and others acquired. Businesses want these systems to communicate with one another and provide users with easier access to data. There are three systems configurations that consolidate and coordinate data across multiple locations. These three include centralized systems, decentralized systems, and distributed systems. Each configuration has advantages and disadvantages. Which of the following is an advantage of distributed systems?
A) Cost is lower, as there is only one central location to be maintained.
B) Reduction in processing bottlenecks as employees aren't competing for processing power.
C) Communication among the users is increased since they are all connected.
D) If one system fails, the other systems can still process transactions.
Diff: 2
Learning Objective: 4.3 Explain how growing businesses enhance their systems
Section Reference: Systems Configurations
AACSB: Analytic
Bloom's: Application
AICPA: AC: Systems and Process Management
62) Businesses typically have many systems, some internally developed, some purchased, and others acquired. Businesses want these systems to communicate with one another and provide users with easier access to data. There are three systems configurations that consolidate and coordinate data across multiple locations. These three include centralized systems, decentralized systems, and distributed systems. Each configuration has advantages and disadvantages. Which of the following is an advantage of distributed systems?
A) Cost is lower, as there is only one central location to be maintained.
B) Reduction in processing bottlenecks as employees aren't competing for processing power.
C) It promotes easier incremental growth or scalability of systems.
D) If one system fails, the other systems can still process transactions.
Diff: 2
Learning Objective: 4.3 Explain how growing businesses enhance their systems
Section Reference: Systems Configurations
AACSB: Analytic
Bloom's: Application
AICPA: AC: Systems and Process Management
63) Businesses typically have many systems, some internally developed, some purchased, and others acquired. Businesses want these systems to communicate with one another and provide users with easier access to data. There are three systems configurations that consolidate and coordinate data across multiple locations. These three include centralized systems, decentralized systems, and distributed systems. Each configuration has advantages and disadvantages. Which of the following is an advantage of distributed systems?
A) Cost is lower, as there is only one central location to be maintained.
B) Reduction in processing bottlenecks as employees aren't competing for processing power.
C) Real-time transaction details are more readily available to users. Access and processing speed are faster because processing workload is spread across the system.
D) If one system fails, the other systems can still process transactions.
Diff: 2
Learning Objective: 4.3 Explain how growing businesses enhance their systems
Section Reference: Systems Configurations
AACSB: Analytic
Bloom's: Application
AICPA: AC: Systems and Process Management
64) ERP systems are complex and expensive technology. The integration of all systems into a unified ERP system has certain goals. One goal is improved data transparency and quality. What is the best definition of improved data transparency and quality?
A) All the business data resides in one single system, making it accessible to authorized users who need it to perform their tasks.
B) While the initial implementation cost and any customization of an ERP system are expensive, the long-term costs may be less associated with owning one system, as opposed to multiple systems.
C) With the availability of real-time data all in one place, it simplifies the collection, analysis, and reporting of business data and improves business decisions.
D) With the continuous collection, analysis, and reporting of business data, management can better benchmark the business against its competitors.
Diff: 2
Learning Objective: 4.4 Describe the features of and implementation considerations of an enterprise resource planning (ERP) system
Section Reference: A Solution for Systems Integration
AACSB: Analytic
Bloom's: Application
AICPA: AC: Systems and Process Management
65) ERP systems are complex and expensive technology. The integration of all systems into a unified ERP system has certain goals. One goal is future cost savings. What is the best definition of future cost savings?
A) All the business data resides in one single system, making it accessible to authorized users who need it to perform their tasks.
B) While the initial implementation cost and any customization of an ERP system are expensive, the long-term costs may be less associated with owning one system, as opposed to multiple systems.
C) With the availability of real-time data all in one place, it simplifies the collection, analysis, and reporting of business data and improves business decisions.
D) With the continuous collection, analysis, and reporting of business data, management can better benchmark the business against its competitors.
Diff: 2
Learning Objective: 4.4 Describe the features of and implementation considerations of an enterprise resource planning (ERP) system
Section Reference: A Solution for Systems Integration
AACSB: Analytic
Bloom's: Application
AICPA: AC: Systems and Process Management
66) ERP systems are complex and expensive technology. The integration of all systems into a unified ERP system has certain goals. One goal is increased business efficiency. What is the best definition of increased business efficiency?
A) All the business data resides in one single system, making it accessible to authorized users who need it to perform their tasks.
B) While the initial implementation cost and any customization of an ERP system are expensive, the long-term costs may be less associated with owning one system, as opposed to multiple systems.
C) With the availability of real-time data all in one place, it simplifies the collection, analysis, and reporting of business data and improves business decisions.
D) With the continuous collection, analysis, and reporting of business data, management can better benchmark the business against its competitors.
Diff: 2
Learning Objective: 4.4 Describe the features of and implementation considerations of an enterprise resource planning (ERP) system
Section Reference: A Solution for Systems Integration
AACSB: Analytic
Bloom's: Application
AICPA: AC: Systems and Process Management
67) ERP systems are complex and expensive technology. The integration of all systems into a unified ERP system has certain goals. One goal is quality improvement. What is the best definition of quality improvement?
A) All the business data resides in one single system, making it accessible to authorized users who need it to perform their tasks.
B) While the initial implementation cost and any customization of an ERP system are expensive, the long-term costs may be less associated with owning one system, as opposed to multiple systems.
C) With the availability of real-time data all in one place, it simplifies the collection, analysis, and reporting of business data and improves business decisions.
D) With the continuous collection, analysis, and reporting of business data, management can better benchmark the business against its competitors.
Diff: 2
Learning Objective: 4.4 Describe the features of and implementation considerations of an enterprise resource planning (ERP) system
Section Reference: A Solution for Systems Integration
AACSB: Analytic
Bloom's: Application
AICPA: AC: Systems and Process Management
68) ERP systems are complex and expensive technology. The integration of all systems into a unified ERP system has certain goals. One goal is automating routine business processes. What is the best definition of automating routine business processes?
A) By embedding best practices within the software infrastructure for accounting, payroll, inventory management, and purchasing, for example, the company can save money and increase efficiency.
B) While the initial implementation cost and any customization of an ERP system are expensive, the long-term costs may be less associated with owning one system, as opposed to multiple systems.
C) With the availability of real-time data all in one place, it simplifies the collection, analysis, and reporting of business data and improves business decisions.
D) With the continuous collection, analysis, and reporting of business data, management can better benchmark the business against its competitors.
Diff: 2
Learning Objective: 4.4 Describe the features of and implementation considerations of an enterprise resource planning (ERP) system
Section Reference: A Solution for Systems Integration
AACSB: Analytic
Bloom's: Application
AICPA: AC: Systems and Process Management
69) Successful ERP systems support the core business processes in a company's operations. Every function within the ERP is called a module. What is the best definition of the financial module?
A) The most important ERP module that captures accounting data and generates financial documents, including financial statements, tax forms, and receipts.
B) Coordinates the entire supply chain, from purchasing of raw materials and supplies to inventory management and warehousing.
C) Manages production activities including machine operations and scheduling.
D) Captures and stores all customer information.
Diff: 2
Learning Objective: 4.4 Describe the features of and implementation considerations of an enterprise resource planning (ERP) system
Section Reference: A Solution for Systems Integration
AACSB: Analytic
Bloom's: Application
AICPA: AC: Systems and Process Management
70) Successful ERP systems support the core business processes in a company's operations. Every function within the ERP is called a module. What is the best definition of the supply chain management module?
A) The most important ERP module that captures accounting data and generates financial documents, including financial statements, tax forms, and receipts.
B) Coordinates the entire supply chain, from purchasing of raw materials and supplies to inventory management and warehousing.
C) Manages production activities including machine operations and scheduling.
D) Captures and stores all customer information.
Diff: 2
Learning Objective: 4.4 Describe the features of and implementation considerations of an enterprise resource planning (ERP) system
Section Reference: A Solution for Systems Integration
AACSB: Analytic
Bloom's: Application
AICPA: AC: Systems and Process Management
71) Successful ERP systems support the core business processes in a company's operations. Every function within the ERP is called a module. What is the best definition of the production module?
A) The most important ERP module that captures accounting data and generates financial documents, including financial statements, tax forms, and receipts.
B) Coordinates the entire supply chain, from purchasing of raw materials and supplies to inventory management and warehousing.
C) Manages production activities including machine operations and scheduling.
D) Captures and stores all customer information.
Diff: 2
Learning Objective: 4.4 Describe the features of and implementation considerations of an enterprise resource planning (ERP) system
Section Reference: A Solution for Systems Integration
AACSB: Analytic
Bloom's: Application
AICPA: AC: Systems and Process Management
72) Successful ERP systems support the core business processes in a company's operations. Every function within the ERP is called a module. What is the best definition of the customer relationships management (CRM) module?
A) The most important ERP module that captures accounting data and generates financial documents, including financial statements, tax forms, and receipts.
B) Coordinates the entire supply chain, from purchasing of raw materials and supplies to inventory management and warehousing.
C) Manages production activities including machine operations and scheduling.
D) Captures and stores all customer information.
Diff: 2
Learning Objective: 4.4 Describe the features of and implementation considerations of an enterprise resource planning (ERP) system
Section Reference: A Solution for Systems Integration
AACSB: Analytic
Bloom's: Application
AICPA: AC: Systems and Process Management
73) Successful ERP systems support the core business processes in a company's operations. Every function within the ERP is called a module. What is the best definition of the sales management module?
A) Tracks orders from the time they are received from customers through shipment of products.
B) Coordinates the entire supply chain, from purchasing of raw materials and supplies to inventory management and warehousing.
C) Manages production activities including machine operations and scheduling.
D) Captures and stores all customer information.
Diff: 2
Learning Objective: 4.4 Describe the features of and implementation considerations of an enterprise resource planning (ERP) system
Section Reference: A Solution for Systems Integration
AACSB: Analytic
Bloom's: Application
AICPA: AC: Systems and Process Management
74) Successful ERP systems support the core business processes in a company's operations. Every function within the ERP is called a module. What is the best definition of the human resources management (HRM) module?
A) The most important ERP module that captures accounting data and generates financial documents, including financial statements, tax forms, and receipts.
B) Manages detailed employee records, training and development, and even time tracking.
C) Manages production activities including machine operations and scheduling.
D) Captures and stores all customer information.
Diff: 2
Learning Objective: 4.4 Describe the features of and implementation considerations of an enterprise resource planning (ERP) system
Section Reference: A Solution for Systems Integration
AACSB: Analytic
Bloom's: Application
AICPA: AC: Systems and Process Management
75) Successful ERP systems support the core business processes in a company's operations. Every function within the ERP is called a module. Listed below are four key features. Which is a key feature of the financial module?
A) Accounts Receivable
B) Receive Payment
C) Marketing Management
D) Inventory
Diff: 1
Learning Objective: 4.4 Describe the features of and implementation considerations of an enterprise resource planning (ERP) system
Section Reference: A Solution for Systems Integration
AACSB: Analytic
Bloom's: Knowledge
AICPA: AC: Systems and Process Management
76) Successful ERP systems support the core business processes in a company's operations. Every function within the ERP is called a module. Listed below are four key features. Which is a key feature of the sales management module?
A) Accounts Receivable
B) Receive Payment
C) Marketing Management
D) Inventory
Diff: 1
Learning Objective: 4.4 Describe the features of and implementation considerations of an enterprise resource planning (ERP) system
Section Reference: A Solution for Systems Integration
AACSB: Analytic
Bloom's: Knowledge
AICPA: AC: Systems and Process Management
77) Successful ERP systems support the core business processes in a company's operations. Every function within the ERP is called a module. Listed below are four key features. Which is a key feature of the customer relationship management module?
A) Accounts Receivable
B) Receive Payment
C) Marketing Management
D) Inventory
Diff: 1
Learning Objective: 4.4 Describe the features of and implementation considerations of an enterprise resource planning (ERP) system
Section Reference: A Solution for Systems Integration
AACSB: Analytic
Bloom's: Knowledge
AICPA: AC: Systems and Process Management
78) Successful ERP systems support the core business processes in a company's operations. Every function within the ERP is called a module. Listed below are four key features. Which is a key feature of the supply chain management module?
A) Accounts Receivable
B) Receive Payment
C) Marketing Management
D) Inventory
Diff: 1
Learning Objective: 4.4 Describe the features of and implementation considerations of an enterprise resource planning (ERP) system
Section Reference: A Solution for Systems Integration
AACSB: Analytic
Bloom's: Knowledge
AICPA: AC: Systems and Process Management
79) Successful ERP systems support the core business processes in a company's operations. Every function within the ERP is called a module. Listed below are four key features. Which is a key feature of the production module?
A) Bill of Material
B) Receive Payment
C) Marketing Management
D) Inventory
Diff: 1
Learning Objective: 4.4 Describe the features of and implementation considerations of an enterprise resource planning (ERP) system
Section Reference: A Solution for Systems Integration
AACSB: Analytic
Bloom's: Knowledge
AICPA: AC: Systems and Process Management
80) Successful ERP systems support the core business processes in a company's operations. Every function within the ERP is called a module. Listed below are four key features. Which is a key feature of the human resources management module?
A) Accounts Receivable
B) Time and Attendance
C) Marketing Management
D) Inventory
Diff: 1
Learning Objective: 4.4 Describe the features of and implementation considerations of an enterprise resource planning (ERP) system
Section Reference: A Solution for Systems Integration
AACSB: Analytic
Bloom's: Knowledge
AICPA: AC: Systems and Process Management
81) RAM Manufacturing LLC is a rapidly growing manufacturer of parts for the automotive industry. RAM Manufacturing recently implemented a new ERP system, NetSuite. You have been asked to perform data analytics to provide information to the firm's auditors. From which ERP module would you pull data to know what were the rent payments for last January?
A) Financials
B) Supply chain management
C) Production management
D) Customer relationships management
E) Sales management
F) Human resources management
Diff: 2
Learning Objective: 4.4 Describe the features of and implementation considerations of an enterprise resource planning (ERP) system
Section Reference: A Solution for Systems Integration
AACSB: Analytic
Bloom's: Application
AICPA: AC: Systems and Process Management
82) RAM Manufacturing LLC is a rapidly growing manufacturer of parts for the automotive industry. RAM Manufacturing recently implemented a new ERP system, NetSuite. You have been asked to perform data analytics to provide information to the firm's auditors. From which ERP module would you pull data to know to which vendors do we make the most returns?
A) Financials
B) Supply chain management
C) Production management
D) Customer relationships management
E) Sales management
F) Human resources management
Diff: 2
Learning Objective: 4.4 Describe the features of and implementation considerations of an enterprise resource planning (ERP) system
Section Reference: A Solution for Systems Integration
AACSB: Analytic
Bloom's: Application
AICPA: AC: Systems and Process Management
83) RAM Manufacturing LLC is a rapidly growing manufacturer of parts for the automotive industry. RAM Manufacturing recently implemented a new ERP system, NetSuite. You have been asked to perform data analytics to provide information to the firm's auditors. From which ERP module would you pull data to know what materials are required to manufacture our top-selling part?
A) Financials
B) Supply chain management
C) Production management
D) Customer relationships management
E) Sales management
F) Human resources management
Diff: 2
Learning Objective: 4.4 Describe the features of and implementation considerations of an enterprise resource planning (ERP) system
Section Reference: A Solution for Systems Integration
AACSB: Analytic
Bloom's: Application
AICPA: AC: Systems and Process Management
84) RAM Manufacturing LLC is a rapidly growing manufacturer of parts for the automotive industry. RAM Manufacturing recently implemented a new ERP system, NetSuite. You have been asked to perform data analytics to provide information to the firm's auditors. From which ERP module would you pull data to know what marketing campaigns are planned for next month?
A) Financials
B) Supply chain management
C) Production management
D) Customer relationships management
E) Sales management
F) Human resources management
Diff: 2
Learning Objective: 4.4 Describe the features of and implementation considerations of an enterprise resource planning (ERP) system
Section Reference: A Solution for Systems Integration
AACSB: Analytic
Bloom's: Application
AICPA: AC: Systems and Process Management
85) RAM Manufacturing LLC is a rapidly growing manufacturer of parts for the automotive industry. RAM Manufacturing recently implemented a new ERP system, NetSuite. You have been asked to perform data analytics to provide information to the firm's auditors. From which ERP module would you pull data to know how many orders we received last quarter?
A) Financials
B) Supply chain management
C) Production management
D) Customer relationships management
E) Sales management
F) Human resources management
Diff: 2
Learning Objective: 4.4 Describe the features of and implementation considerations of an enterprise resource planning (ERP) system
Section Reference: A Solution for Systems Integration
AACSB: Analytic
Bloom's: Application
AICPA: AC: Systems and Process Management
86) RAM Manufacturing LLC is a rapidly growing manufacturer of parts for the automotive industry. RAM Manufacturing recently implemented a new ERP system, NetSuite. You have been asked to perform data analytics to provide information to the firm's auditors. From which ERP module would you pull data to know how many new hires did the company have last quarter?
A) Financials
B) Supply chain management
C) Production management
D) Customer relationships management
E) Sales management
F) Human resources management
Diff: 2
Learning Objective: 4.4 Describe the features of and implementation considerations of an enterprise resource planning (ERP) system
Section Reference: A Solution for Systems Integration
AACSB: Analytic
Bloom's: Application
AICPA: AC: Systems and Process Management
87) Most vendors offer different types of solutions for companies to choose from when selecting an ERP system. Which type of system is pre-configured to work one way and will work that way immediately when implemented?
A) Out of the box ERP
B) Configurable ERP
C) Customizable ERP
D) Tailored ERP
Diff: 2
Learning Objective: 4.4 Describe the features of and implementation considerations of an enterprise resource planning (ERP) system
Section Reference: Implementing an ERP System
AACSB: Analytic
Bloom's: Application
AICPA: AC: Systems and Process Management
88) Most vendors offer different types of solutions for companies to choose from when selecting an ERP system. Which type of system has some add-ins and features that can be customized for customers' needs?
A) Out of the box ERP
B) Configurable ERP
C) Customizable ERP
D) Tailored ERP
Diff: 2
Learning Objective: 4.4 Describe the features of and implementation considerations of an enterprise resource planning (ERP) system
Section Reference: Implementing an ERP System
AACSB: Analytic
Bloom's: Application
AICPA: AC: Systems and Process Management
89) Most vendors offer different types of solutions for companies to choose from when selecting an ERP system. Which type of system has features that are fully customized for an individual customer's needs?
A) Out of the box ERP
B) Configurable ERP
C) Customizable ERP
D) Tailored ERP
Diff: 2
Learning Objective: 4.4 Describe the features of and implementation considerations of an enterprise resource planning (ERP) system
Section Reference: Implementing an ERP System
AACSB: Analytic
Bloom's: Application
AICPA: AC: Systems and Process Management
90) Whether a company needs systems software or application software, they must decide where to acquire it. They can purchase software from a third-party or develop the software in-house. Both methods of software sourcing have risks. Discuss the risks of purchasing third-party software.
Diff: 3
Learning Objective: 4.1 Summarize the different types of systems and software
Section Reference: Software
AACSB: Analytic
Bloom's: Synthesis
AICPA: AC: Technology and Tools
91) Whether a company needs systems software or application software, they must decide where to acquire it. They can purchase software from a third-party or develop the software in-house. Both methods of software sourcing have risks. Discuss the risks of an in-house developed software.
Diff: 3
Learning Objective: 4.1 Summarize the different types of systems and software
Section Reference: Software
AACSB: Analytic
Bloom's: Synthesis
AICPA: AC: Technology and Tools
92) Microsoft sells Excel and Access, two applications that are used to store and analyze data. Discuss how Excel and Access differ.
Diff: 2
Learning Objective: 4.2 Identify startup and small business technologies
Section Reference: Startup Computing
AACSB: Analytic
Bloom's: Application
AICPA: AC: Technology and Tools
93) One of the newer type of technologies that startup companies can leverage is the internet of things (IoT). Discuss some examples of how IoT could be used by a startup company to help them grow and thrive.
Diff: 3
Learning Objective: 4.2 Identify startup and small business technologies
Section Reference: Startup Computing
AACSB: Analytic
Bloom's: Synthesis
AICPA: AC: Technology and Tools
94) There are several great accounting software products that companies can choose from, including one of the most popular options on the market, QuickBooks. Discuss areas of the business that QuickBooks is used to manage.
• Financial reporting
• Time tracking
• Payroll
• General ledgers
• Paying bills
Diff: 2
Learning Objective: 4.2 Identify startup and small business technologies
Section Reference: Startup Computing
AACSB: Analytic
Bloom's: Application
AICPA: AC: Systems and Process Management
95) RAM Manufacturing LLC is a rapidly growing manufacturer of parts for the automotive industry. RAM Manufacturing maintains a large amount of inventory and uses NetSuite as their inventory management system. RAM Manufacturing recently acquired Top Automotive LLC and the acquisition closes at the end of the month. Top Automotive uses Sellbrite to manage its inventory. The inventory numbering system used by RAM Manufacturing is limited to 10 numeric digits. The inventory numbering system at Top Automotive is 12 characters and includes letters and numbers. You are given the responsibility to integrate the two inventory systems. Since the acquisition closes at the end of the month, what approach would you recommend for their inventory systems?
Diff: 3
Learning Objective: 4.3 Explain how growing businesses enhance their systems
Section Reference: Systems Integration
AACSB: Analytic
Bloom's: Evaluation
AICPA: AC: Systems and Process Management
96) RAM Manufacturing LLC is a rapidly growing manufacturer of parts for the automotive industry. RAM Manufacturing maintains a large amount of inventory and uses NetSuite as their inventory management system. RAM Manufacturing recently acquired Top Automotive LLC and the acquisition closes in three months. Top Automotive uses Sellbrite to manage its inventory. Fortunately, you discover that both companies use a 10 numeric digit inventory numbering system and have many similarities in how they manage inventory. You are given the responsibility to integrate the two inventory systems. Since the acquisition closes in three months, what approach would you recommend for their inventory systems?
Diff: 3
Learning Objective: 4.3 Explain how growing businesses enhance their systems
Section Reference: Systems Integration
AACSB: Analytic
Bloom's: Evaluation
AICPA: AC: Systems and Process Management
97) ERP systems are often described as the "ideal state" of a system. ERP systems integrate multiple systems into a single, cohesive, communicative system. What are some of the characteristics of an ERP system?
• Offer integrated, enterprise-wide systems with a unified interface so businesses can improve operating and financial performance
• Provide TPS, MIS, and DSS system functions in a single system
• Support multiple business functions, like human resources and accounting
• Locations are flexible. They can assist on-site or as a cloud-based solution
• Connect to customer and vendor systems to manage supply chain communication
• Mitigate risks since internal controls like application controls and ITGCs are embedded into the software
Diff: 3
Learning Objective: 4.4 Describe the features of and implementation considerations of an enterprise resource planning (ERP) system
Section Reference: A Solution for Systems Integration
AACSB: Analytic
Bloom's: Synthesis
AICPA: AC: Systems and Process Management
98) Implementing an ERP system is a complex process. Businesses must select a vendor, assess expected costs including the system itself and implementation related expenses, and convert relevant existing systems to the new ERP system. Due to the complex, expensive nature of this type of system implementation, discuss what businesses considering adopting a new ERP system should do.
• Ensure leadership is willing to intervene when issues impact the implementation project and to champion the system adoption across the company
• Choose an ERP solution vendor that has a solid reputation in the industry
• Choose an ERP solution that meets company needs with as little customization as possible
• Allocate sufficient time and resources for post-implementation training of employees on using the new system
• Embed internal controls into the ERP system during implementation to create a cohesive control environment
Diff: 3
Learning Objective: 4.4 Describe the features of and implementation considerations of an enterprise resource planning (ERP) system
Section Reference: Implementing an ERP System
AACSB: Analytic
Bloom's: Synthesis
AICPA: AC: Systems and Process Management
99) Most vendors offer different types of solutions for companies to choose from when selecting an ERP system. There are three common types: Out of the box ERP, Configurable ERP, and Customizable ERP. Describe Configurable ERP and compare it to purchasing a new car.
Diff: 3
Learning Objective: 4.4 Describe the features of and implementation considerations of an enterprise resource planning (ERP) system
Section Reference: Implementing an ERP System
AACSB: Analytic
Bloom's: Synthesis
AICPA: AC: Systems and Process Management
100) Most vendors offer different types of solutions for companies to choose from when selecting an ERP system. There are three common types: Out of the box ERP, Configurable ERP, and Customizable ERP. Describe Out of the box ERP and compare it to purchasing a new car.
Diff: 3
Learning Objective: 4.4 Describe the features of and implementation considerations of an enterprise resource planning (ERP) system
Section Reference: Implementing an ERP System
AACSB: Analytic
Bloom's: Synthesis
AICPA: AC: Systems and Process Management
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