QUIZ (FINAL)

BIT004 ACCOUNT INFORMATION SYSTEM

MULTIPLE CHOICE
Encircle the correct answer

1. The use of message encryption software.

a. Guarantees the secrecy of data
b. Require manual distribution of keys
c. Increases system overhead
d. Reduces the need for periodic password changes
2. This is more than simply an elaborate transaction processing system. It is a decision support tool that
supplies management with real-time information and permits timely decisions that are needed to improve
performance and achieve competitive advantage.
a. Legacy System
b. Enterprise Resource Planning
c. Manual System
d. None of the above
3. All administrative and professional staff in a corporate legal department prepare documents on terminals
connected to a host LAN file server. The best control over unauthorized access to sensitive documents in
the system is-
a. Required entry of passwords for access to the system
b. Physical security for all disks containing document files
c. Periodic server backup and storage in a secure area
d. Required entry of passwords for access to individual documents
4. Too often, after the ERP is up and running, only the implementation team understands how it works
because their traditional responsibilities will be changed, _____________ need to acquire an extensive
technical and operational understanding of the new system.
a. Steering Committee
b. Supervisors
c. System Analysts
d. None of the above
5. An internet firewall is designed to provide adequate protection against which of the following:
a. A computer virus
b. Unauthenticated logins
c. Insider leaking of confidential information
d. A Trojan horse application
6. Each day, after all processing is finished, a bank performs a backup of its online deposit files and retains it
for 7 days. Copies of each day’s transactions files are not retained. This approach is-
a. Valid, in that having a week’s worth of backups permits recovery even if one backup is unreadable.
b. Risky, in that restoring from the most recent backup file would omit subsequent
transactions.
c. Valid, in that it minimizes the complexity of the backup recovery procedures if the online file has to
be restored.
d. Risky, in that no checkpoint/restart information is kept with the backup files.
7. A local area network (LAN) is best described as-
a. Computer systems that connects computers of all sizes, workstations, terminals, and other
devices within a limited proximity.
b. System to allow computer users to meet and share ideas and information.
c. Electronic library containing millions of items of data that can be reviewed, retrieved and analyzed.
 d. Method to offer specialized software, hardware and data -handling techniques that improve
effectiveness and reduce costs
8. The following internal controls are embedded in an integrated automated system EXCEPT:
a. Independent verification
b. Transaction Authorization
c. Supervisor
d. Access Control
9. Good planning will help an organization restore computer operations after a processing outage. Good
recovery planning should ensure that-
a. Backup/restart procedures have been built into job streams and programs
b. Change control procedures cannot be bypassed by operating personnel
c. Planned changes in equipment capacities are compatible with projected workloads.
d. Service level agreements with owners of applications are documented.
10. Risk associated with ERP implementation includes the following:
a. High cost and cost overruns
b. Choosing the wrong ERP
c. Choosing the wrong consultant
d. All of the above
11. One of the concerns that may arise from ERP implementations involving business process reengineering
is:
a. Complexity of hardware and engineering that decreases the difficulty of understanding operational
efficiency.
b. Complexity of hardware and engineering that increases the difficulty of understanding
operational efficiency.
c. Complexity of hardware and engineering that either decreases or increases the
difficulty of understanding operational efficiency.
d. Complexity of hardware that increases the difficulty of understanding operational efficiency
12. Two ways of how organizations acquire information system:
a. They develop customized systems in-house through formal systems development activities
and the purchase commercial systems from software vendors.
b. They develop customized systems in-house through formal systems development activities.
c. The purchase commercial systems from software vendors.
d. Any of the above
13. Three problems that account for most systems failures have plagued the SDLC
a. Poorly specified systems requirements
b. Ineffective development techniques and ineffective techniques for presenting, documenting, and
modifying systems specifications.
c. Lack of user involvement in systems development.
d. All of the above
14. This phase involves modeling the system, programming the applications, and application testing
a. Design the system
b. Construct the system
c. Deliver the system
d. None of the above
15. In an inventory system on a data management system (DBMS), one stored record contains part number,
part name, part color, and part weight. The individual items are called-
a. Fields
b. Stored files
c. Bytes
d. Occurrences
16. Programmers should test completed modules independently before implementing them. This usually
involves the
a. complete test data
b. creation of full test data
c. creation of test data
d. none of the above
17. When all modules have been coded and tested, they must be brought together and
a. Tested as a whole.
b. Not direct the use of the system
c. No formal acceptance of the system
d. None of the above
18. Using a telecommunications provider affects in-house networks. To prepare for changes resulting from
enhanced external network services, management should-
a. Optimize in-house networks to avoid bottlenecks that would limit the benefits offered by the
telecommunications provider
b. Plan for rapid implementation of new capabilities in anticipation of ready acceptance of the new
technology
c. Downsize the company’s disaster recovery plan to recognize the increasing role of the
telecommunication provider.
d. Enhance the in-house network management to minimize dependence on the telecommunications
provider for network management
19. The first step in the SDLC is to develop a
a. project initiation
b. systems strategy
c. project design
d. any of the above
20. Of the following, the greatest advantage of a database (server) architecture is-
a. Data redundancy can be reduced.
b. Conversion to a database system is inexpensive and can be accomplished quickly.
c. Multiple occurrences of data items are useful for consistency checking.
d. Backup and recovery procedures are minimized.
21. Those for whom the system is built are end users such as:
a. Managers
b. Operations personnel
c. Accountants
d. All of the above
22. What constitute a firm’s legacy systems that are currently in full operation?
a. applications
b. databases
c. business processes
d. All of the above
23. Key Phases user’s feedback are as follows EXCEPT:
a. Unrecognizing the problem.
b. Defining the problem.
c. Specifying system objectives.
d. Determining project feasibility
24. Benefits of E-Commerce are as follows EXCEPT:
a. Access to a worldwide customer and/or supplier base
b. Reductions in inventory investment and carrying costs
c. Rapid creation of business partnerships to fill emerging market niches
d. Increase in retail prices through lower marketing costs
25. The emergence of electronic data interchange (EDI) as standard operating practice increases the risk of-
a. Unauthorized third-party access to systems
b. Systematic programming errors
c. Inadequate knowledge bases
d. Unsuccessful system use.
26. Using the Internet to accept orders from customers and/or to place them with their suppliers. This is
a. Information level
b. Transaction level
c. Distribution level
d. None of the above
27. Viruses and other forms of malicious programs pose a threat to both internet and intranet users such as:
a. Worms
b. Logic bombs
c. Trojan horses
d. All of the above
28. These firewalls are configured to run security applications called proxies that perform sophisticated
functions such as verifying user authentication.
a. Network-level firewall
b. Application- level firewall
c. Firewall
d. None of the above
29. Access controls need to be in place that prevent or detect
a. authorized access to an organization’s information system.
b. unauthorized access to an organization’s information system.
c. authorized and with administrative privileges to access the internet.
d. none of the above
30. This has been the source of intense interest because it enables thousands of business enterprises of all
sizes and millions of consumers to congregate and participate in worldwide commerce.
a. Internet commerce
b. Electronic audit trails
c. EDI