ISOM Final (chapters 13-16)
The benefits from capital expenditures extend beyond one year's time. T or F
True
Collecting data over a period of time and then processing that data all at the same time is called ______ processing. off-line on-line auxiliary batch
batch
Many companies use _____ to connect two or more private networks over a public network, such as the Internet. multi nets extranets virtual private networks wireless local networks
virtual private networks
A network that connects computers at different sites via telecommunications media is called a(n): local area network Web-based network long distance communications system wide area network
wide area network
Financial managers focus on _____, the inflow and outflow of cash. financial flows sales revenues cash flows revenue streams
financial flows
Accounting provides a framework for looking at: past performance current financial health possible future performances a and b b and c all of the above
all of the above
A group of two or more computer systems linked together by communications channels to share data and information is called a computer: database network mainframe combination
network
Federal Reserve banks must hold a certain portion of their deposits in reserve. This percentage is called the: reserve requirement prime monetary percentage discount requirement interest rate average
reserve requirement
_____ are profit-oriented depository financial institutions that accept deposits, make business and consumer loans, invest in government and corporate securities, and provide other financial services. Commercial Banks Thrift Institutions Federal Reserves Finance Companies
Commercial Banks
_____ are specific repayment conditions as to how long customers have to pay bills and the amount of cash discount allowed. Credit credentials Credit terms Revolving accounts Liability procedures
Credit terms
_____ is cash held in the form of coins and paper money A time deposit Capital Revenue Currency
Currency
_____ is the process of distributing the original cost of a long-term asset over the years of its useful life. Depreciation Investment Accounting Profit
Depreciation
Goodwill and brand loyalty are examples of intangible assets. T or F
False
Knowledge management is much easier than information management. T or F
False
Sales made, but for which payment has not yet been collected, are called accounts payable. T or F
False
The Federal Deposit Insurance Corporation (FDIC) only insures deposits at commercial banks. T or F
False
Which federal agency is responsible for processing and clearing checks between financial institutions? Financial Clearing House Publisher's Clearing House U.S. Treasury Department Federal Reserve
Federal Reserve
This type of network connects computers at one site and enables their users to exchange data and share hardware and software from a variety of computer manufacturers. WAN PAN SAN LAN
LAN
The _____ system is the first electronic-based stock market and the largest over-the-counter market. AMEX NASDAQ AMC NYSE
NASDAQ
Making sure that enough cash is on hand to pay bills as they come due and to meet unexpected expenses is called case_______ maintenance capitalization targeting management
management
A computer program that copies itself into other software and can spread to other computer systems is called a virus. T or F
True
A mortgage loan is a long-term loan that uses real estate as collateral. T or F
True
Accounting is the process of collecting, recording, classifying, summarizing, reporting, and analyzing the financial condition of an organization. T or F
True
By lowering the reserve requirement, the Federal Reserve tries to make more money available for loans and stimulate the economy. T or F
True
In finance, the opportunity for a profit is called return. T or F
True
Retained earnings are the amounts of left over from profitable operations since the firm's beginning. They are equal to total profits minus all dividends paid to stockholders. T or F
True
The Sarbanes-Oxley Act redefines the public corporation-auditor relationship and restrict the types of services auditors can provide to clients. T or F
True
Another term for owner's equity is: assets liabilities net worth leverage
net worth
A(n) ______ is a service company that buys and maintains software on its servers and distributes it through high-speed networks to subscribers for a set period of time and a predetermined price. batch processor application service provider extranet intranet
application service provider
One of the important decisions managers have to make is whether to buy and commit to upgrading its computer equipment every couple of years. One way of avoiding having to buy costly upgrades, which can quickly become obsolete, is to use: a software infrastructure Web sharing and Internet warehouse application service providers
application service providers
Credit cards: are sometimes referred to as plastic money do not replace money defer payment to a later point in time are accurately described by all of the above
are accurately described by all of the above
Customer records containing names, addresses, phone numbers, and purchase histories would be most likely stored in: customer relational networks database management systems spreadsheets information processing networks
database management system
Which of the following is an activity performed by the Federal Reserve System as it carries out its monetary policy? insuring credit card balances providing tax refunds distributing currency loaning money to consumers
distributing currency
The _____ characteristic of money is revealed by the fact that a dollar can be converted into four quarters or ten times. portability durability scarcity divisibility
divisibility
Intranets are essentially mini-Internets that operation behind a(n) _____ that prevents unauthorized access network barrier communications buffer modem synthesizer flux capacitor firewall
firewall
To ensure accuracy and consistency in the way financial information is reported, accountants follow rules known as: accounting rules and standards principled accounting procedures comparable accounting standards generally accepted accounting principles
generally accepted accounting principles
_____refers to all of the equipment and techniques needed to manage and process information. A data processing system A transaction system Information technology A relational network
information technology
Weeds, sand, and paper clips would not make good mediums of exchange because they lack the key characteristic of: portability divisibility durability scarcity
scarcity
A loan that requires the borrower to pledge specific assets as collateral is called a(n) _____ loan. promissory commercialized amortized secured
secured
Payments in the form of more stock to existing stockholders are called: warrants rights offerings stock dividends stock offerings
stock dividends