Business Process Management Midterm
Supply chain management (SCM) systems help companies execute the processes of research, design, and product management. T/F
False
Systems that support end-to-end processes are called business processes. T/F
False
Tangible assets are non-physical items such as trademarks and patents. T/F
False
The financial accounting process focuses on internal reporting to manage costs and revenues. T/F
False
The material planning process is used to maintain internal assets such as machinery and to delivery after-sales customer services such as repairs. T/F
False
Trading goods (HAWA) are resold to customers after they have been modified by the company. T/F
False
Balance sheet accounts are grouped into which of the following categories?
Assets, Liabilities, & Equity
A plant can be used to represent which of the following?
Factory, Office, Storage Facility
A client represents each company within an enterprise. T/F
False
A list of accounts that can be included in a general ledger is called master data. T/F
False
A plant can belong to more than one CC. T/F
False
A purchasing organization is an individual or a group of individuals who are responsible for purchasing activities for a material or group of materials. T/F
False
A reconciliation account records the impact of a transaction step on financial accounting. T/F
False
An increase in an asset account or an expense account results in a credit posting. T/F
False
Assets are monies the company earns by selling its products and services. T/F
False
Lead time is the time between placing the order and receiving confirmation that the item has been shipped.
False
Management accounting, or controlling (CO), is intended primarily for audiences outside the organization. T/F
False
What data are included in a purchasing info record?
Freight Discounts Texts
Which process focuses on people within an organization and includes functions such as recruiting, hiring, training, and benefits management?
Human Capital Management (HCM)
Which of the following statements regarding master data are true?
Master data represent entities such as customers and vendors. Master data are a consequence of the execution of process steps
Which of the following terms refers to materials with similar characteristics?
Material Group
___________ is concerned with matching the demand for materials in the organization with the supply.
Material Planning
Which process involves the actual creation of the products?
Production Process
The term materials encompasses which of the following?
Products, Components, Parts, & Anything used in an organization.
Which processes of an organization can be linked with procurement?
Project management Material planning Fulfillment (sales) Management accounting Financial accounting
Which of the following is not a mode of acquiring an asset for a company?
Selling equipment
Which element of the payment step includes selecting a bank?
Task
Which element of the requirements determination process involves the requisition creation?
Task
A storage location is a key organizational element in purchasing. T/F
True
Accounts receivable accounting is concerned with customers. T/F
True
Enterprise resource planning (ERP) focuses on the internal operations of an organization. T/F
True
Financial statements can be generated for different organizational levels including one or more company codes and business areas. T/F
True
Materials are categorized into different material types based on the way they are used in the firm's operations. T/F
True
SAP NetWeaver is the "operating system" for an entire company's business processes. T/F
True
The balance sheet is a snapshot of the organization at a point in time. T/F
True
The enterprise‐level purchasing organization is also known as the cross‐company code purchasing organization. T/F
True
The financial accounting documents, management accounting or controlling documents, and material documents are all "virtual." T/F
True
The most common organizational structure within modern organizations is the functional structure. T/F
True
When you access the Internet, your browser is the presentation layer. T/F
True
The COA segment of the COA data includes which of the following?
Account Number & Group
Which of the following is a key process in financial accounting?
Accounts receivable accounting
What are the most common transaction types that occur during the life of an asset?
Acquisition Depreciation Retirement
Which term refers to an ordered listing of accounts that comprise a company's general ledger?
Chart of accounts (COA)
Which one of the following is not a model of the purchasing organization?
Client Level
Which term refers to business processes that are not executed by a single group or function?
Cross-Functional
Which of the following statements regarding reconciliation accounts are not true?
Data are posted directly into them
Which of the following is NOT a document in Purchasing?
Delivery document
Which departments take part in the conception of an idea?
Engineering & Marketing
Which term represents the costs associated with creating and selling products and services?
Expenses
Which process tracks the financial impact of process steps with the goal of meeting legal reporting requirements?
Financial Accounting
Materials that are created by the production process from other materials are referred to as _____________
Finished Goods (FERT)
Materials can be withdrawn only for sampling or for scrap if they are designated as which terms?
In quality inspection Blocked stock
Which of the following statements concerning SAP NetWeaver are true?
It helps companies integrate with other non-SAP applications. It serves as the application platform on which the SAP Business Suite runs. It enables companies to plug in independent software vendor (ISV) applications on top of their core ERP and suite applications.
Which of the following statements regarding process level reporting are true?
It provides information on the performance of a process across many occurrences (e.g., customer orders over time). It is based on data in the transactional system. It uses aggregated data.
_____________enables an organization to optimize its product development process, from design to market, while ensuring that it complies with industry, quality, and regulatory standards?
Lifecycle Data Management
Which one of the following is not an organizational data type in procurement?
Manufacturing Plant
Which of the following statements about Purchasing Organization are correct?
Negotiates conditions of purchase with Vendors Can purchase for multiple plants
From which of the following can financial statements be generated?
Operative chart of accounts Country-specific chart of accounts
Which of the following is(are) used to represent the structure of an enterprise?
Organizational Data
In which components of the asset management process is production involved?
Performance Maintenance, Authorize Maintenance, & Request Maintenance
SAP can utilize which of the following forms of media to communicate with a vendor?
Print E-mail EDI Web services Fax
Which of the following systems helps companies administer the processes of research, design, and product management?
Product Lifecycle Management (PLM)
Which of the following is data needed for invoice verification?
Purchase order Material document Invoice User input
Which of the following is an intersection or combination of material and vendor data:
Purchasing info record
Which of the following activities are related to the procurement process?
Receive Materials, Prepare for Storage, & Store Materials
Which one of the following is not one of the data types that are relevant to the purchasing process?
Sales master
Which steps are involved in converting a purchase requisition to a purchase order?
Source list Outline purchase agreement Request for quotation
Information structures enable which types of analysis?
Standard and Flexible Analysis
Which of the following are methods of valuing materials?
Standard price Moving (average) price
Which type of asset has a physical form?
Tangible Assets
Which of the following statements about business processes is true?
They are executed across multiple functions. They are initiated by some type of trigger. They involve multiple steps. (All of the Above)
Which of the following are steps within a generic business process of an organization?
Trigger & Outcome
A plant can be a factory, a warehouse, a regional distribution center, or a service center. T/F
True
Within the production process, the issuing of raw materials takes place in the warehouse. T/F
True
Without the various steps of the business process, a company can't successfully bill customers and ship products. T/F
True
Which of the following are components of the production (make) process?
Warehouse & Production
SAP can utilize which of the following media to communicate with a vendor?
Web services EDI Fax Print (All of the above)
Which of the following statements concerning Web services are true?
Web services expose functionality to other applications. Web services are an essential component of enterprise systems. Web services can be used to create composite applications.
When does a credit take place?
When assets and expenses decrease When revenue and liabilities increase
Which of the following identify tasks that are scheduled to be completed in a process?
Work Lists