Chapter 10

True or False: Business intelligence allows firms to monitor competitors, customers and suppliers.

True

True or False: Data analytics is defined as science of examining raw data (now often big data), removing excess noise from the dataset, and organizing the data with purpose.

True

Counts, total and sums are specific types of _____ analysis employed.

descriptive

Addressing the question, 'why did advertising expense increase, but sales increase, but sales increase', is an example of _____ analysis.

diagnostic

According to the textbook, audit data standards include all BUT the following benefits to accountants and auditors.

is useful for those preparing tax returns

The data analytics skill sets that should be developed are all BUT the following:

Decision making

True or False: Data analytics comes up with computer algorithms that make decisions automatically without human intervention.

False

Data analytics professionals spend up to _____% of their time cleaning data for analysis?

90%

Which party would have the most interest in monitoring blogs and social media to asses the probability of collectability of bad debts?

Company Accountants

The Analysis needed to address the questions, 'Did we make a profit last year?', is _____analysis.

Descriptive

Addressing the question, 'Why did sales, general and administrative expense increase relative to the industry', is an example of ____ analysis.

Diagnostic

ETL stand for which process for scrubbing raw data to make it ready for analysis?

Extract, Transform, and Load

True or False: Audit data standards are a set of data standards in preparation for the internal audit.

False

True or False: Audits do not provide value beyond the financial perspective and providing assurance.

False

True or False: Data analytics allows auditors to vastly expand sampling beyond current traditional sample sizes, but does not allow the ability to test the full population of transactions.

False

The more ____ the question is the better chance it has of being answered.

Narrow

The AMPS model is performed ______ .

Once or many times to address questions.

Optimization and what-if scenarios are specific types of ______ analysis employed.

Prescriptive

The analysis needed to address the question, 'How can revenues be maximized if our employees go on strike?', is_____analysis.

Prescriptive

Diagnostic analysis addresses which of the following questions?

Why did it happen?

According to the textbook, companies are empowered by using data analytics to do all BUT the following:

not used for : Preventing fraud

The analysis needed to address the question, 'can we forecast whether the company will have a profit next year?', is ____ analysis.

predictive

Addressing the question, "what should we do, based on what we expect will happen" is an example of ____ analysis.

prescriptive

The analysis needed to address the question, "How can revenues be maximized if our employees go on strike?', is _____ analysis.

prescriptive