CPT SYSTEMS ANALYSIS CH4

systems planning and selection.

1) The first phase of the systems development life cycle is: A) systems planning and selection. B) systems study. C) systems analysis. D) systems design. E) systems implementation and operation.

Potential benefits

10) The extent to which the project is viewed as improving profits, customer service, etc., and the duration of these benefits best defines which of the following evaluation criteria? A) Potential benefits B) Resource availability C) Technical difficulty or risks D) Strategic alignment E) Value chain analysis

strategic alignment.

11) The extent to which the project is viewed as helping the organization achieve its strategic objectives and long-term goals describes: A) potential benefits. B) resource availability. C) technical difficulty or risks. D) strategic alignment. E) value chain analysis.

value chain analysis.

12) Analyzing an organization's activities to determine where value is added to products and/or services and the costs incurred best describes: A) affinity clustering. B) business process reengineering. C) value chain analysis. D) resource availability. E) technical difficulty.

a schedule of specific IS development projects.

13) The primary deliverable from the project identification and selection phase is: A) a context data flow diagram. B) at least three substantively different system design strategies for building the replacement information system. C) the development of a new version of the software and new versions of all design documents. D) an entity relationship diagram. E) a schedule of specific IS development projects.

adhering to the incremental commitment principle.

14) If the project team and organizational officials reassess the project after each subsequent SDLC phase to determine if the business conditions have changed or if a more detailed understanding of a system's costs, benefits, and risks suggest that the project is not as worthy as previously thought, they are: A) adhering to the incremental commitment principle. B) overly cautious. C) using a CASE methodology. D) adhering to a bottom-up commitment principle. E) using a staged approached to systems development.

Between 10 and 20 percent

15) As a rule of thumb estimate, what percentage of the entire development effort should be devoted to the project initiation and planning process? A) Between 10 and 20 percent B) Less than 5 percent C) Less than 10 percent D) Between 20 and 30 percent E) Over 50 percent

project initiation.

16) Activities designed to assist in organizing a team to conduct project planning is the focus of: A) project development. B) project identification and selection. C) project initiation. D) analysis. E) implementation and operation.

Dividing the project into manageable tasks

17) Which of the following is NOT a project initiation activity? A) Establishing management procedures B) Dividing the project into manageable tasks C) Establishing a relationship with the customer D) Establishing the project initiation team E) Establishing the project initiation plan

Establishing a relationship with the customer

18) Which of the following is a project initiation activity? A) Developing a preliminary schedule B) Setting a baseline project plan C) Determining project standards and procedures D) Establishing a relationship with the customer E) Developing a communication plan

a Baseline Project Plan and Project Scope Statement.

19) The objective of the project planning process is the development of: A) a Baseline Project Plan and Project Scope Statement. B) a Systems Service Request. C) entity relationship diagrams. D) corporate strategic plan. E) an information systems plan.

Identification of potential development projects

2) Which of the following is one of the three primary activities associated with identifying and selecting IS development projects? A) Preliminary investigation of the system problem or opportunity B) Identification of potential development projects C) Requirements determination D) Generate alternative initial designs E) Requirements structuring

does all of the above.

20) The Baseline Project Plan: A) contains all information collected and analyzed during project initiation and planning. B) specifies detailed project activities for the next life cycle phase, analysis, and less detail for subsequent project phases. C) is used by the project selection committee to help decide if the project should be accepted, redirected, or canceled. D) reflects the best estimate of the project's scope, benefits, costs, risks, and resource requirements given the current understanding of the project. E) does all of the above.

Baseline Project Plan.

21) A major outcome and deliverable from project initiation and planning that reflects the best estimate of the project's scope, benefits, costs, risks, and resource requirements defines the: A) Baseline Project Plan. B) Information Systems Plan. C) Mission Statement. D) Resource Requirements Statement. E) Systems Service Request.

Estimating resources and creating a resource plan

22) Which of the following is a project planning activity? A) Establishing management procedures B) Establishing a relationship with the customer C) Estimating resources and creating a resource plan D) Establishing the project management environment and project workbook E) Establishing the project initiation plan

Establishing management procedures

23) Which of the following is NOT a project planning activity? A) Determining project standards and procedures B) Establishing management procedures C) Developing a Statement of Work D) Dividing the project into manageable tasks E) Developing a communication plan

Baseline Project Plan.

24) A major outcome and deliverable from the project initiation and planning phase that contains an estimate of the project's scope, benefits, costs, risks, and resource requirements best defines: A) Baseline Project Plan. B) Information Systems Plan. C) Business Case. D) Statement of Work. E) System Service Request.

economic feasibility.

25) To identify the financial benefits and costs associated with the development project is the purpose of: A) financial feasibility. B) technical feasibility. C) operational feasibility. D) economic feasibility. E) schedule feasibility.

lower transaction costs.

26) Tangible benefits would include: A) improved organizational planning. B) ability to investigate more alternatives. C) improved asset control. D) lower transaction costs. E) first to market.

tangible benefits.

27) Cost reduction and avoidance, error reduction, and increased flexibility are examples of: A) intangible benefits. B) qualitative benefits. C) tangible benefits. D) legal and contractual benefits. E) profitable benefits.

tangible benefit.

28) A savings of $5,000 resulting from data entry error reductions would most likely be classified as a(n): A) intangible benefit. B) qualitative benefit. C) tangible benefit. D) operational benefit. E) profitable benefit.

tangible benefit.

29) A benefit derived from the creation of an information system that can be measured in dollars and with certainty is a(n): A) intangible benefit. B) qualitative benefit. C) tangible benefit. D) operational benefit. E) profitable benefit.

identifying potential development projects.

3) A department head deciding which project requests to submit is an example of: A) a preliminary investigation of the system problem or opportunity. B) identifying potential development projects. C) requirements determination. D) generating alternative initial designs. E) requirements structuring.

intangible benefit.

30) The reduction of waste creation is an example of a(n): A) intangible benefit. B) qualitative benefit. C) tangible benefit. D) operational benefit. E) profitable benefit.

tangible cost.

31) A cost associated with an information system that can be measured in dollars and with certainty best describes: A) economic cost. B) tangible cost. C) intangible cost. D) one-time cost. E) measurable cost.

Cost of hardware

32) Which of the following would be classified as a tangible cost? A) Loss of customer goodwill B) Cost of hardware C) Employee morale D) Operational inefficiency E) Not all customers use the Internet.

Employee morale

33) Which of the following would be classified as an intangible cost? A) Hardware costs B) Labor costs C) Employee morale D) Operational costs E) Internet service setup fee

one-time cost.

34) A cost associated with project start-up and development or system start-up refers to a(n): A) recurring cost. B) one-time cost. C) incremental cost. D) infrequent cost. E) consumable cost.

intangible cost.

35) A cost associated with an information system that cannot be easily measured in terms of dollars or with certainty refers to a(n): A) economic cost. B) tangible cost. C) intangible cost. D) one-time cost. E) nonconsumable cost.

recurring cost.

36) A cost resulting from the ongoing evolution and use of a system best defines a(n): A) recurring cost. B) one-time cost. C) incremental cost. D) frequent cost. E) variable cost.

recurring costs.

37) Application software maintenance, new software and hardware leases, and incremental communications are examples of: A) recurring costs. B) one-time costs. C) incremental costs. D) frequent costs. E) consumable costs.

time value of money.

38) The concept of comparing present cash outlays to future expected returns best defines: A) cost/benefit analysis. B) internal rate of return. C) time value of money. D) investment return analysis. E) monetary futures analysis.

discount rate.

39) The interest rate used to compute the present value of future cash flows refers to: A) discount rate. B) investment rate. C) transfer rate. D) future cash flow rate. E) valuation rate.

have a strategic, organizational focus.

4) Research has found that projects identified by top management more often: A) have a narrow, tactical focus. B) reflect diversity and have a cross-functional focus. C) have a strategic, organizational focus. D) will integrate easily with existing hardware and systems. E) have a very low systems development priority.

present value.

40) The current value of a future cash flow is referred to as: A) future value. B) present value. C) investment value. D) discount rate. E) cash flow rate.

net present value (NPV).

41) The analysis technique that uses a discount rate determined from the company's cost of capital to establish the present value of a project is commonly called: A) return on investment (ROI). B) break-even analysis (BEA). C) net present value (NPV). D) future value (FV). E) Currency Rate Analysis (CRA).

return on investment (ROI).

42) The ratio of the net cash receipts of the project divided by the cash outlays of the project, enabling trade-off analysis to be made between competing projects, is often referred to as: A) return on investment (ROI). B) break-even analysis (BEA). C) net present value (NPV). D) future value (FV). E) Currency Rate Analysis (CRA).

net present value (NPV).

43) The analysis technique that finds the amount of time required for the cumulative cash flow from a project to equal its initial and ongoing investment is referred to as: A) return on investment (ROI). B) break-even analysis (BEA). C) net present value (NPV). D) future value (FV). E) Currency Rate Analysis (CRA).

technical feasibility.

44) To gain an understanding of the organization's ability to construct the proposed system is the goal of: A) operational feasibility. B) schedule feasibility. C) technical feasibility. D) political feasibility. E) construction feasibility.

technical feasibility.

45) An assessment of the development group's understanding of the possible target hardware, software, and operating environments, system size, complexity, and the group's experience with similar systems should be included as part of: A) technical feasibility. B) political feasibility. C) operational feasibility. D) schedule feasibility. E) construction feasibility.

All of the above

46) Which of the following is a section of the Baseline Project Plan? A) Management Issues B) System Description C) Introduction D) Feasibility Assessment E) All of the above

is all of the above.

47) The Project Scope Statement: A) is a short document prepared for the customer that describes what the project will deliver and outlines all work required to complete the project. B) is useful for ensuring that both you and your customer gain a common understanding of the project. C) is an easy document to create because it typically consists of a high-level summary of the BPP information. D) can be used as the basis of a formal contractual agreement outlining firm deadlines, costs, and specifications. E) is all of the above.

Project Scope Statement.

48) A document prepared for the customer during project initiation and planning that describes what the project will deliver and outlines generally at a high level all work required to complete the project is the: A) Information Systems Plan. B) Project Scope Statement. C) Mission Statement. D) Baseline Project Plan. E) Systems Service Request.

structured walkthrough.

49) A peer-group review of any product created during the systems development process is called a(n): A) baseline project plan. B) structured workflow. C) structured walkthrough. D) statement of work. E) none of the above.

have a narrow, tactical focus.

5) Research has found that projects identified by individual departments or business units most often: A) have a narrow, tactical focus. B) reflect diversity and have a cross-functional focus. C) have a strategic, organizational focus. D) will integrate easily with existing hardware and systems. E) have a very high systems development priority.

CEO

50) All of the following might attend a structured walkthrough meeting EXCEPT: A) CEO B) Standards Bearer C) User D) Maintenance Oracle

electronic commerce.

51) An Internet-based communication that supports business-to-business activities best describes: A) Internet. B) electronic commerce. C) electronic data interchange. D) extranet. E) intranet.

electronic data interchange (EDI).

52) The use of telecommunications technologies to transfer business documents directly between organizations best defines: A) electronic delivery. B) computer conferencing. C) extranet exchange. D) electronic data interchange (EDI). E) electronic commerce.

all of the above.

6) Potential development projects can be identified by: A) a steering committee. B) top management. C) a senior IS manager. D) user departments. E) all of the above.

Top management

7) Which of the following possible project sources most often reflects the broader needs of the organization? A) User department B) Development group C) IS manager D) Top management E) Production manager

Top management

8) Which of the following alternative methods for making information systems identification and selection decisions has the highest associated cost? A) Development group B) User department C) Steering committee D) Top management E) End user

Development group

9) Which of the following alternative methods for making information systems identification and selection decisions has as its focus integration with existing systems? A) Development group B) User department C) Steering committee D) Top management E) End user