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accounting information systems
Questions and Answers of
Accounting Information Systems
EDI systems tied into inventory control models in conjunction with just-in-time inventory systems have been said to be very beneficial in many ways; however, a mistake made by one firm in over
EFTs are widely used by payroll departments and by individuals to pay their personal bills, so why are they so infrequently used by businesses for cash disbursements?
Prepare an REA model depicting the issuance of raw materials into the manufacturing process.a. List the specific data elements necessary to describe the issuance of raw materials into the
Prepare an REA model depicting the shipping of finished goods to a customer.a. List the specific data elements necessary to describe the shipping of finished goods to the customer.b. Identify the 1.
Prepare an REA model for the customer inquiry business process from the following amended version of the Horizon Books case. Horizon Books is a bookstore in downtown Philadelphia. It carries an
Prepare an REA model for the sales process from the following amended version of the Horizon Books case. Horizon Books is a bookstore in downtown Philadelphia. It carries an inventory of
Redraw Figure 10-11 showing the collapsed cardinalities between the entities required for design of a relational database for Horizon Books as per the revision in A.
F&Y is in the industry of computer sales. Its main competition is other major mail-order computer companies. Its market share is small compared to the industry leaders, but it hopes to increase its
Horox, Inc. is a manufacturer of portable compact disc (CD) players. It is located outside of Philadelphia, Pennsylvania, and employs 1,500 workers at a centrally located, 15-acre pro- duction
DVDs For Less, Inc. (DVDs) is a provider of rental DVDs. The company operates several rental locations throughout the greater Phoenix, Arizona, area and employs nearly 2,000 individuals as man- agers
The Heatheria Company was founded five years ago by Elizabeth Robinson. It is a retailing company that buys dresses at wholesale and distributes them to upscale stores. The Heatheria expenditure
Horox, Inc. is a manufacturer of portable compact disc (CD) players. It is located outside of Philadelphia, Pennsylvania, and employs 1,500 workers at a centrally located, 15-acre pro- duction
Lava Typewriter Manufacturing (LTM) is a regional producer of business machines. LTM employs 120 production and office workers. The general accounting record keeping of LTM is predominantly manual.
What is the client-server model?
Describe the two-tier client-server model.
Describe the three-tier client-server model.
What is bolt-on software?
What is data mining?
What is the drill-down approach?
What is Baan's Evergreen Delivery?
How are OLTP and OLAP different? Explain by providing some examples.
Discuss the primary differences between flat- file and traditional database systems.
Explain how a Sales Invoice table can be used to replace traditional accounting records.
Explain how a Disbursement Voucher table can be used to replace traditional accounting records.
Discuss the limitations of transaction-based systems.
Discuss why adherence by accountants to a single, GAAP-based view is inappropriate.
What do you think the implications of accountants' adherence to a single, GAAP-based view are for the accounting profession?
Discuss why the REA approach empowers accountants to meet the needs of modern managers.
Distinguish between resources, events, and agents.
Compare and contrast the appearance and content of an ER diagram with that of an REA model.
Discuss the advantages of adopting an REA modeling approach over a traditional approach to information system development.
Discuss how adopting a value chain perspective reveals advantages of the REA approach to information system development.
Discuss the relationship between operating events, information events, and decision/management events.
Discuss the differences between the cardinalities defined in an ER diagram and those defined in an REA model, and their usefulness in the development of relational databases.
Advantages of the REA model include all of the following except:a. the REA approach may help identify non- value-added activities.b. the need for multiple data collection is reduced.c. the REA
Which of the following is most likely a primary activity of a manufacturing company?a. production of accurate accounting information.b. production of reliable transportation channels.c. production of
Which of the following is not an example of the cardinalities included in an REA model?a. one-to-oneb. many-to-onec. many-to-manyd. none, they all are
Which of the following statements is correct?a. The REA model requires that phenomena be characterized in a manner consistent with the development of a single user view.b. The REA model requires that
Which of the following events would be least likely to be captured by a transaction-based system?a. customer behavior informationb. sales to a customerc. purchases from a vendord. a loan from a
Each of the following is an event classification for an REA model except:a. operating events.b. financing events.c. information events.d. decision events.e. all of the above.
When designing an REA model, events need to be organized in sequence ofa. completion.b. length.c. ease of analysis.d. occurrence.
In an REA model, each event is described from the perspective of thea. user.b. organization.c. designer.d. customer.
Which of the following is not an example of a physical view?a. reportsb. documentsc. electronic imagesd. data tables
The data attributes that a particular user has permission to access are defined by thea. operating system view.b. systems design view.c. database schema.d. user view.e. application program.
The database approach has several unique characteristics not found in traditional (flat- file) systems. Which of the following statements does not apply to the database model?a. Database systems have
One of the first steps in the creation of a relational database is toa. integrate accounting and nonfinancial data.b. plan for increased secondary storage capacity.c. order data-mining software that
Database currency is achieved bya. implementing partitioned databases at remote sites.b. employing data-cleansing techniques.c. ensuring that the database is secure from accidental entry.d. an
The installation of a database management system is likely to have the least impact ona. data redundancy.b. entity-wide sharing of common data.c. exclusive ownership of data.d. the logic needed to
The functions of a database administrator area. database planning, data input preparation, and database design.b. data input preparation, database design, and database operation.c. database design,
A relational database system contains the following inventory data: part number, description, quantity-on-hand, and reorder point. These individual items are calleda. attributes.b. relations.c.
Which of the following is a characteristic of a relational database system?a. All data within the system are shared by all users to facilitate integration.b. Database processing follows explicit
Partitioned databases are most effective whena. users in the system need to share common data.b. primary users of the data are clearly identifiable.c. read-only access is needed at each site.d. all
Database entitiesa. may contain zero or many occurrences.b. are represented as verbs in an ER diagram.c. may represent both physical assets and intangible phenomena.d. are often defined by common
A transitive dependencya. is a database condition that is resolved through special monitoring software.b. is a name given to one of the three anomalies that result from unnormalized data- base
A partial dependencya. is the result of simultaneous user requests for the same data in a partitioned database environment.b. is a name given to one of the three anomalies that result from
Repeating group dataa. is a form of data redundancy common to replicated databases in a distributed database environment.b. is a name given to one of the three anomalies that result from unnormalized
The database model most likely to be used in the development of a modern (not legacy) system is:a. Hierarchical.b. Structured.c. Relational.d. Network.e. Navigational.
Typical DBMS features include all of the following except:a. database interface design and development.b. backup and recovery.c. program development.d. database access.e. all of these are typical
Which of the following is least likely to be an attribute of an employee table in a normalized database?a. Employee nameb. Employee addressc. Employee numberd. Employee supervisor's namee. All of
The advantages to using a partitioned database approach include all of the following except:a. The possibility for the deadlock phenomenon is reduced.b. User control is increased.c. Transaction
Of the following, select the attribute that would be the best primary key in an inventory table.a. Item nameb. Item locationc. Item costd. Item numbere. Item supplier
Werner Manufacturing Corporation has a flat-file processing system. The information-processing facility is very large. Different applications, such as order processing, production planning, inventory
Sears Roebuck, the most well-known and oldest mail-order retailer in the country, discontinued its mail-order operations a few years ago. Other mail- order marketers are using information systems to
How is a lockout different from a deadlock? Give an accounting example to illustrate why a database lockout is necessary and how a deadlock can occur. Use actual table names in your example.
A vehicle rental company has a database that includes the following tables and attributes within those tables:Required: Using the SQL commands given in this chapter, write the code that would be
A table of data for a library is found on the follow- ing page. Normalize this data into the third normal form, preparing it for use in a relational database environment. The library's computer is
A college bookstore maintains all of its records on index cards. This has proven to be a very tedious chore, and the manager has asked you to design a database that will simplify this task. The index
Prepare the base tables, in third normal form, needed to produce the user view below.
Prepare the base tables, in third normal form, needed to produce the user view on the following page.
Prepare the 3NF base tables needed to produce the sales report view on the following page.
The purchase order on page 487 is used by Acme Plywood Company. Acme business rules: (1) Each vendor may supply many items, an item is supplied by only one vendor. (2) A purchase order may list many
Refer to text in Problem 15 on page 487.
Employees at the Sagerod manufacturing company record their hours worked on paper time cards that are inserted into a time clock machine at the beginning and end of each shift. On Fridays the
The business rules that constitute the purchases system for the Safe Buy Grocery Stores chain are similar at all the store locations. The purchase manager at each location is responsible for
The business rules that constitute the fixed asset procedures for the Safe Buy Grocery Stores chain are similar at all the store locations. The store manager at each location is responsible for
Given the following business rules, construct an ER diagram so each rule is captured for the database. Presume each rule is to be treated individually, so construct an ER diagram for each rule.a. A
D&F is a distributor of CDs and cassettes that offers benefits such as discount prices and an introductory offer of 10 CDs or cassettes for a penny (not including the shipping and handling
What other type of information do modern man- agers need apart from financial information?
In the term REA model, what does the "R" stand for?
In the term REA model, what does the "E" stand for?
In the term REA model, what does the "A" stand for?
What form of view is provided by an REA- based information system?
Define economic resources.
Define economic events.
Define economic agents.
What is represented by the labeled lines connecting entities in an ER diagram?
Value chain analysis distinguishes between which two primary activities?
Define operating event.
Define information event.
Define decision/management event.
What criteria do you apply when deciding which operating events are to be included in an REA model?
What form of questions do you use to identify the resources and agents involved in each event?
List the steps involved in preparing an REA model of a business process.
What do you need to do to prepare an REA model for use in the development of a relational database?
The following contains the various steps of the financial reporting process. Place these steps in the proper order and indicate whether each step is a function of the TPS, GLS, or FRS. Record
Devise a coding scheme using block and sequential codes for the following chart of accounts for Jensen Camera Distributors. Cash Accounts Receivable Office Supplies Inventory Prepaid Insurance
Devise a coding scheme for the warehouse layout below. Be sure to use an appropriate coding scheme that allows the inventory to be located efficiently from the picking list.
Leslie Epstein, an employee of Bormack Manufacturing Company, prepares journal vouchers for general ledger entries. Due to the large number of voided journal vouchers caused by errors, the journal
Crystal Corporation processes its journal vouchers using batch procedures similar to the process outlined. To improve customer satisfaction, the sales system is going to be converted to a real-time
The top management team at Olympia, Inc., wishes to have real-time access to the general ledger. Currently the general ledger is updated nightly via a batch processing system, similar in the text.
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