Dept. of Accounting
College of Business
Al Azhar University-Gaza
بسم الله الرحمن الرحيم
Midterm
Accounting Information System
Fall 2012
Instructor:
Emad AbuShaaban
Time: 1 hr.
Select the Best Answer: Name (in Arabic): …………………………………………….
1. Which of the following is NOT a financial transaction?
a. purchase of products
b. cash receipts
c. update valid vendor file
d. sale of inventory
2. The following are subsystems of the Accounting Information System, EXCEPT
a. Transaction Processing System.
b. Human Resources System.
c. General Ledger/Financial Reporting System.
d. Management Reporting System.
3. Which of the following is NOT a purpose of the Transaction Processing System?
a. managing and reporting on the status of
financial investments
b. converting economic events into financial
transactions
c. distributing essential information to operations personnel to support their daily operations
d. recording financial transactions in the
accounting records
4. The objectives of the data collection activity of the general model for AIS are to collect data that are
a. relevant and redundant.
b. efficient and objective.
c. efficient and redundant.
d. efficient and relevant.
5. Which of the following is NOT a characteristic of effective information?
a. relevance
b. accuracy
c. summarization
d. precision
6. Which of the following is NOT a database management task?
a. retrieval
b. storage
c. summarization
d. deletion
7. When viewed from the highest to most elemental level, the data hierarchy is
a. attribute, record, file.
b. record, attribute, key.
e. key, record, file.
c. file, record, attribute.
d. file, record, key.
8. Which is NOT an accountant’s primary role in information systems?
a. system user
b. system auditor
c. system designer
d. system programmer
9. Which of the following is NOT an objective of all information systems?
a. support for the stewardship function of management
b. support for management decision making
c. support for the day-to-day operations of the firm
d. all of the above are objectives
10. Which of the following best describes the activities of the materials management function?
a. purchasing, receiving, and inventory control
b. receiving, sales, distribution, and purchasing
e. purchasing, storage, and distribution
c. receiving, storage, purchasing, and accounts payable
d. purchasing, receiving, and storage
11. Which of the following best describes the activities of the production function?
a. maintenance, inventory control, and production planning
b. production planning, quality control, manufacturing, and cost accounting
e. manufacturing, quality control, and maintenance
c. quality control, production planning, manufacturing, and payroll
d. maintenance, production planning, storage, and quality control
12. Which of the following best describes the activities of the accounting function?
a. inventory control, accounts payable, fixed assets, and payroll
b. fixed assets, accounts payable, cash disbursements, and cost accounting
e. inventory control, cost accounting, accounts payable, cash disbursements, and payroll
c. purchasing, cash receipts, accounts payable, cash disbursements, and payroll
d. inventory control, cash receipts, accounts payable, cash disbursements, and payroll
13. Which statement best describes the issue of distributed data processing (DDP)?
a. The centralized and DDP approaches are mutually exclusive; an organization must
choose one approach or the other.
b. The philosophy and objective of the organization’s management will determine the extent of DDP in the firm.
e. Although hardware (such as computers, database storage, and input/output terminals)can be effectively distributed, the systems development and maintenance tasks must remain centralized for better control and efficiency.
c. In a minimum DDP arrangement, only data input and output are distributed, leaving
the tasks of data control, data conversion, database management, and data processing
to be centrally managed.
d. The greatest disadvantage of a totally distributed environment is that the distributed IPU locations are unable to communicate and coordinate their activities.
14. Which of the following is a disadvantage of distributed data processing?
a. End-user involvement in systems operation is decreased.
b. Disruptions due to mainframe failures are increased.
e. All of the above are disadvantages
c. The potential for hardware and software incompatibility across the organization is
increased.
d. The time between project request and completion is increased.
15. Which statement is not true?
a. Business activities begin with the acquisition of materials, property, and labor in exchange for cash.
b. The conversion cycle includes the task of determining raw materials requirements.
e. A journal voucher is actually a special source document.
c. Manufacturing firms have a conversion cycle but retail firms do not.
d. A payroll check is an example of a product document of the payroll system.
16. A documentation tool that depicts the physical flow of information relating to a particular transaction through an organization is a
a. document flowchart.
b. program flowchart.
e. systems survey.
c. decision table.
d. work distribution analysis.
17. Sequential file processing will not permit
a. data to be edited on a separate computer run.
b. the use of a database structure.
e. data to be edited on a real-time basis.
c. data to be edited in an offline mode.
d. batch processing to be initiated from a terminal.
18. The production subsystem of the conversion cycle includes all of the following EXCEPT
a. determining raw materials requirements.
b. make or buy decisions on component parts.
c. release of raw materials into production.
d. scheduling the goods to be produced.
19. Which of the following files is a temporary file?
a. transaction file
b. master file
c. reference file
d. none of the above
20. A documentation tool used to represent the logical elements of a system is a(n)
a. programming flowchart.
b. entity relationship diagram.
c. document flowchart.
d. data flow diagram.
21. Which of the following is NOT an advantage of real-time processing files over batch
processing?
a. shorter transaction processing time
b. reduction of inventory stocks
c. improved customer service
d. all are advantages
22. Which statement is NOT correct?
a. Legacy systems may process financially significant transactions.
b. Some legacy systems use database technology.
c. Mainframes are exclusive to legacy systems, while modern systems use only the clientserver model.
d. All the above are true.
23. Which statement is NOT correct?
a. Indexed random files are dispersed throughout the storage device without regard for physical proximity with related records.
b. Indexed random files use disk storage space efficiently.
c. Indexed random files are efficient when processing a large portion of a file at one time.
d. Indexed random files are easy to maintain in terms of adding records.
24. Which statement is NOT correct? The indexed sequential access method
a. is used for very large files that need both direct access and batch processing.
b. may use an overflow area for records.
c. provides an exact physical address for each record.
d. is appropriate for files that require few insertions or deletions.
25. Which statement is true about a hashing structure?
a. The same address could be calculated for two records.
b. Storage space is used efficiently.
c. Records cannot be accessed rapidly.
d. A separate index is required.
26. In a hashing structure
a. two records can be stored at the same address.
b. pointers are used to indicate the location of all records.
c. pointers are used to indicate location of a record with the same address as another
record.
d. all locations on the disk are used for record storage.
27. An advantage of a physical address pointer is that
a. it points directly to the actual disk storage location.
b. it is easily recovered if it is inadvertently lost.
c. it remains unchanged when disks are reorganized.
d. all of the above are advantages of the physical address pointer.
28. Which of the following is NOT true of a turnaround document?
a. They may reduce the number of errors made by external parties.
b. They are commonly used by utility companies (gas, power, water).
c. They are documents used by internal parties only.
d. They are both input and output documents.
29. Which of the following is NOT a true statement?
a. Transactions are recorded on source documents and are posted to journals.
b. Transactions are recorded in journals and are posted to ledgers.
c. Infrequent transactions are recorded in the general journal.
d. Frequent transactions are recorded in special journals.
30. Real-time systems might be appropriate for all of the following EXCEPT
a. airline reservations.
b. payroll.
e. all of these applications typically utilize real-time processing.
c. point-of-sale transactions.
d. air traffic control systems.
Good Luck