SELECT COLLEGE NAME_________________________

ACCOUNTING & FINANCE DEPARTMENT SECTION___________

AIS-MAKEUP EXAM ID. NO._____________
Multiple choice questions (1 Pt. each)
1. Which of the following accurately depicts the components of an accounting information system?
A. People, forms, and reports D. Procedures, paper, and info technology
B. People, procedures, and info technology E. People, paper, and info technology
C. People, procedures, and paper
2. The basic "give and take" functions of a business have been grouped into transaction cycles. The
cycle that includes the events of hiring employees and paying them is known as the
A. revenue cycle. C. human resources cycle.
B. expenditure cycle. D. financing cycle.
3. Related records grouped together form a(n)
A. field. C. file.
B. entity. D. Database
4. Accounting information systems are designed to:
A. Minimize cost. C. Report information to decision-makers.
B. Maximize the use of info technology. D. Eliminate the need for paper documents
5. Which of the following statements about accounting information systems is most true?
A. They transform data into information C. They transform data into decisions.
B. They transform information into data. D. They transform information into decisions.
6. In an accounting information system, "inputs" often come in the form of:
A. Financial statements. C. Computer reports.
B. Source documents D. Internal controls
7. Documents in an accounting information system are:
A. Always paper-based. C. Either paper-based or electronic.
B. Always electronic. D. Neither paper-based nor electronic
8. The financing cycle involves interactions with:
A. Employees C. credit customers
B. investors and creditors D. credit suppliers
9. Which of the following is correct about the revenue cycle?
A. Gets finished goods from the production cycle
B. Provides funds to the financing cycle
C. Provides funds to the expenditure and HR/payroll cycles
D. Provides data to General Ledger and Reporting System
10. A file that stores cumulative information about an organization’s entities is NOT:
A. A permanent file C. Temporary file
B. A file exists across fiscal periods D. All.
11. In which method of data processing temporary transaction file is run against the master file to
update the master file?
A. Online batch processing C. Online real-time processing
B. Batch processing D. All
12. Employee paychecks or purchase orders for merchandise is an examples of:
A. Reports C. Queries
B. Documents D. Turnaround documents
13. Documents generated at the end of the transaction processing activities are:
A. Queries C. Source documents
B. Operational documents D. All
14. When files about students are integrated with files about classes and files about instructors we have:
SELECT COLLEGE NAME_________________________
ACCOUNTING & FINANCE DEPARTMENT SECTION___________
AIS-MAKEUP EXAM ID. NO._____________
A. A complete record C. A database
B. A complete file D. All
15. The physical space where an attribute is stored:
A. File C. Record
B. Field D. Data value
True / False Questions (5 Pts.)
1. An accounting information system (AIS) is the application of information technology in
processes such as auditing, financial accounting, and taxation.
2. The purpose of AIS is to record transactions for internal decision-making.
3. Management information systems (MIS) provide information in the form of reports and displays
4. Information systems that focus on operational and managerial applications in support of basic
business functions, such as accounting, are known as strategic information systems.
5. A student ID is an example of an attribute.
Discussion Questions (5 Pts.)
1. Discuss the interaction of an expenditure cycle with other cycles in AIS (2.5 Pts.).
2. Discuss the sub-components of a production cycle (2.5 Pts.)