AC 340 Final

All of the following are types of programmed edit checks except: a. proximity check b. document/record hash total c. mathematical accuracy check d. reasonableness check

A. proximity check

Which of the following is a technique for ranking items in a group based on the output of the items? a. cyclical reordering b. reorder point analysis c. EOQ models d. ABC analysis

ABC analysis

A sales representative enters the customer's account number and the system retrieves certain data about the customer from master data. This control plan addresses all of the control goals except: a. ensure efficient employment of resources b. ensure input completeness c. ensure input accuracy d. ensure update completeness

Ensure update completeness

The technology that allows information on documents to be converted into machine-readable data through a scanner is called a(n): a. OCR b. MICR c. Bar code reader d. digitizer

OCR

With companies facing global competition, firms are recognizing that their most important asset is? a. inventory b. machinery and equipment c. cash d. a happy customer

a happy customer

In the columns representing control goals in a control matrix, the coding M-1 means: a. a major control plan b. a missing control plan c. process 1 is missing d. none of the above

a missing control plan

Which of the following normally would trigger the billing process in a billing/accounts receivable/cash receipts process? a. a copy of the sales order b. a shipping notice c. a picking ticket d. a customer acknowledgment

a shipping notice

The columns in a control matrix contain headings listing the business process': a. control goals b. control plans c. control environment d. control procedures

control goals

For a charge sale event, the cashier is to the cash custodial function as the ___ is to the authorization function a. shipping department b. credit department c. accounts receivable department d. warehouse

credit department

The resources for which the purchasing process wants to ensure security for which of the following: a. purchase order master data b. inventory c. both a and b d. none of the above

both a and b

In a purchasing process, receiving goods, but not a vendor invoice, from a supplier typically results in an update to all of the following data stores except the: a. inventory master data b. vendor master data c. accounts payable master data d. purchase order master data

accounts payable master data

For a charge sale event, the cashier is to the cash custodial function as the ___ is to the recording function a. shipping department b. credit department c. accounts receivable department d. none of the above

accounts receivable department

In a logical DFD for a billing/accounts receivable/cash receipts process, which of the following data stores would you expect to interact with a process called "manage customer accounts"? a. inventory master data b. accounts receivable master data c. sales event data d. cash receipts event data

accounts receivable master data

EOQ models help in making which of the following decisions? a. what particular items need reordering b. when inventory should be reordered c. how much inventory should be reordered d. all of the above

all of the above

Which of the following is part of CPFR process? a. create a joint quarterly business plan b. share demand forecast c. generate orders based upon the consensus order forecast at the agreed time horizon d. all of the above

all of the above

Which of the following is a horizontal information flow? a. sales order department requests credit approval from credit department b. sales order department acknowledges the order to the customer c. warehousing sends completed picking ticket to shipping d. all of the above are horizontal information flows

all of the above are horizontal information flows

Deposit slips are usually generated by the billing/accounts receivable process: a. at the time invoices are prepared b. by manual procedures c. to satisfy particular control goals d. as part of processing cash receipts

as part of processing cash receipts

Supply chain management___ a. helps to ensure delivery of goods and services to customers of the highest value but increases costs b. helps to ensure delivery of goods and services to customers of the highest value at the lowest costs c. increases inventory across the supply chain d. none of the above

helps to ensure delivery of goods and services to customers of the highest value at the lowest costs

The order entry/sales (OE/S) process handles the processing and shipment of a customer order while another process actually bills the customer. With such a configuration, you would not expect the OE/S system to interface directly with the ____ a. billing/accounts receivable/cash receipts process b. inventory process c. general ledger process d. human resource process

human resources process

Which control plan for the cash receipts function has as its primary control goal to ensure security of resources? a. reconcile bank account regularly. b. enter cash receipts close to where cash is received. c. immediately endorse incoming checks. d. one-to-one checking of deposit slips and checks.

immediately endorse incoming checks

In a pre-billing system, invoices are prepared a. immediately upon acceptance of a customer order b. when there is to be a delay between the time that the order is accepted and the time it is shipped c. where inventory balances can be determined only through physical count d. to improve customer relations

immediately upon acceptance of a customer order

Which of the following control plans is designed to achieve the goal of input accuracy? a. key verification b. confirm input acceptance c. batch sequence check d. cumulative sequence check

key verification

A customer is instructed to send his remittance advice and check to a bank's postal address. This method for collecting customer cash receipts is called: a. electronic funds transfer b. automated clearing house c. Check 21 d. lockbox

lockbox

Which of the following process bubbles would you not expect to see in the logical DFD for a purchasing process? a. make payment b. order goods and services c. receive goods and services d. determine requirements

make payment

In a logical DFD for billing/accounts receivable/cash receipts (B/AR/CR) process, you would expect that a credit memo would be sent by the B/AR/CR process to the customer from which of the following processes? a. perform billing b. manage customer accounts c. receive payment d. validate sales order

manage customer accounts

Which of the following data stores is designed primarily to serve the vertical information needs of the organization rather than the horizontal information flows? a. inventory master data b. marketing data c. sales order master data d. customer master data

marketing data

In a control matrix the coding P-1 means a. process 1 b. process 1 is present c. process 1 is missing d. none of the above

none of the above

Which of the following is not a programmed edit check? a. online prompting b. check digit c. mathematical accuracy check d. limit checks

online prompting

One type of accounts receivable system is balance-forward, the other is: a. debit card system b. Automated Clearing House system c. Electronic Funds Transfer system d. open-item system

open-item system

A control whose primary purpose is to ensure greater input accuracy is: a. written approvals b. preformatted screens c. confirm input acceptance d. all of these ensure greater input accuracy

preformatted screens

The purpose of ___ control goals is to ensure the successful accomplishment of the goals set forth for the operations process under consideration a. efficiency b. effectiveness c. security d. input

effectiveness

For the cash receipts process, the control plan turnaround documents helps to achieve which of the following pairs of control goals? a. ensure input validity and ensure input completeness b. ensure efficient employment of resources and ensure input accuracy c. ensure input completeness and ensure input accuracy d. ensure security of resources and ensure input accuracy

ensure efficient employment of resources and ensure input accuracy

A digital signature is aimed primarily at ensuring which of the following information systems control goals? a. ensure input validity b. ensure input completeness c. ensure efficient employment of resources d. ensure update completeness

ensure input validity

In a logical DFD for the order entry/sales (OE/S) process, which of the following data stores is least likely to interact with the process validate sales order? a. general ledger master data b. accounts receivable master data c. marketing data d. inventory master data

general ledger master data

In addition to the warehousing function, the three primary departments that you would expect to be part of a typical order entry/sales (OE/S) process are: a. sales order, shipping, and credit b. sales order, shipping, and accounts receivable c. sales order, credit, and accounts receivable d. credit, shipping, and accounts receivable

sales order, shipping, and credit

The grouping of customers into categories based on key characteristics is called: a. customer relationship management b. segmentation c. XML d. web services

segmentation

Which of the following controls requires that documents be prenumbered before it can be implemented? a. completeness check b. sequence check c. batch total matching d. key verification

sequence check

In an OE/S process, you could expect that a sales order notification would be sent to: a. the billings/accounts receivable/cash receipts process b. the customer c. the general ledger process d. the warehouse

the billings/accounts receivable/cash receipts process

In a purchasing process, once requirements are determined and a vendor selected, the next step is: a. the purchase requisition b. the purchase order c. receive goods and services d. a vendor acknowledgment

the purchase order

Which of the following goals is not an example of a process goal of the typical order entry/sales (OE/S) process? a. to provide timely responses to customer inquiries b. to provide timely acknowledgments of customer orders c. to provide timely updates to general ledger accounts d. to provide timely shipments of goods to customers

to provide timely updates to general ledger accounts

Segregation of duties is most clearly accomplished in most organizations by separating: a. billing and accounts receivable b. treasury and controllership c. sales and accounts receivable d. order entry and cash receipts

treasury and controllership

Purchase orders are sent to: a. customers b. vendors c. carriers d. managers

vendors

Which of the following statements related to tickler files is false? a. A tickler file is reviewed on a regular basis for items that do not clear the file on a timely basis. b. A tickler file can consist of documents or computer records. c. A tickler file addresses the control goal of update accuracy. d. A tickler file addresses the control goal of input completeness.

A ticker file addresses the control goal of update accuracy

Which type of supply chain collaboration includes collaborative processes across the supply chain using a set of processes and technology models including a joint business plan, sales forecasting, order planning and forecasting, order generation, and order fulfillment? a. CRP or VMI b. Co-managed inventory c. CFAR d. CPFR

CPFR

Which of the following statements is true? a. In a pre-billing system, invoices are prepared after the goods have been shipped and the sales order notification has been matched to the shipping's billing notification. b. In a post-billing system, invoices are prepared upon acceptance of the customer order. c. Of the two types of billing systems discussed in the text, the pre-billing system requires the more accurate inventory records. d. Of the two types of billing systems discussed in the text, the pre-billing system is appropriate in situations where there is a significant delay between acceptance of the customer's order and its shipment.

Of the two types of billing systems discussed in the text, the pre-billing system requires the more accurate inventory records.

Which of the following is a control plan that requests user input or asks questions that the user must answer? a. document design b. written approval c. preformatted screens d. online prompting

Online prompting

Which is an example of vertical reporting by the order entry/sales (OE/S) process? a. the credit manager notifies sales order processing that a customer's credit has been approved. b. sales by geographical region are reported to the manager of customer sales and service c. the shipping department notifies sales order processing of all shipments made for a particular period of time d. the sales order department acknowledges a customer order

Sales by geographical region are reported to the manager of customer sales and service

____ applications can handle both B2B and B2C transactions a. Customer relationship management b. Buy-side c. Sell-side d. E-business

Sell side

Which of the following statements identifies a recent trend in today's business environment? a. Establishing an E-Business web site provides the business with a competitive advantage. b. The most important asset of a business today is its IT infrastructure. c. IT managers must increase their annual expenditures for hardware, software, and telecommunication technology. d. The quality of customer service influences the ability of a business to compete in a global marketplace.

The quality of customer service influences the ability of a business to compete in a global marketplace

A remittance advice generally would be recorded in which of the following pairs of data stores? a. customer master data and accounts receivable master data b. sales event data and accounts receivable master data c. accounts receivable adjustments data and accounts receivable master data d. cash receipts data and accounts receivable master data

cash receipts data and accounts receivable data

In a purchasing process, the receiving report may be accessed by all of the following except: a. accounts payable department b. cashier c. warehouse d. requesting department

cashier

Inventory carrying costs include all of the following except: a. clerical cost of ordering goods b. opportunity cost of invested funds c. insurance costs d. obsolescence and deterioration

clerical cost of ordering goods

In a typical order entry/sales (OE/S) process, validating a sales order likely would involve all of the following processes except: a. checking the customer's credit b. verifying inventory availability c. completing the sales order d. completing the picking ticket

completing the picking ticket

Plaintext and ciphertext are terms associated with____ a. coding schemes b. hash totals c. programmed edit checks d. data encryption

data encyrption

In the level 0 DFD for purchasing, a data flow called "inventory purchase requisition" most likely would be sent by the inventory management process to which of the following processes? a. order goods and services b. receive goods and services c. determine requirements d. none of the above

determine requirements

The ___ is a compilation of open purchase orders and includes the status of each item on order a. accounts payable master data b. vendor master data c. vouchers payable master data d. purchase order master data

purchase order master data

A user mistakenly enters the data June 31. The programmed edit check that will detect this error is a. online prompting b. mathematical accuracy check c. preformatted screen d. reasonableness check

reasonableness check

At the time that a purchasing process performs the process of ordering goods and services, the process is likely to interact with all of the following data stores except the: a. receiving report data b. vendor master data c. inventory master data d. purchase order master data

receiving report data

Which document may show a number of items which are different from the number of items actually shipped to a customer? a. completed picking ticket b. bill of lading c. sales order d. packing slip

sales order

The control plan preformatted screens is directed primarily toward achieving the information process control goal of ensuring: a. sales order input validity b. sales order input accuracy c. sales order input completeness d. sales order update completeness

sales order input accuracy