True-False Questions 1.  Documentation describes how an accounting information system works. 2. Documentation can help train new users of an accounting information system. 3. Documentation can help businesses save money—for example, by saving on training costs. 4.Documentation includes everything except narrative descriptions. 5.A data flow diagram represents a physical, rather than logical, view of an accounting information system. 6.Data flow diagrams are only used to audit an AIS. 7.Data flow diagrams use more symbols than system flowcharts. 8.A circle or bubble symbol in a data flow diagram is used to represent a “transformation process.” 9. Like system flowcharts, data flow […]

40.All of the following are inputs (source documents) to the sales process except: a)  Sales order b)  Shipping notice c)  Remittance advice d)  allof the above are source documents to the sales process 41.Business organizations are recognizing the value of sales data and are purchasing software solutions to gather, maintain, and use these data to provide better service and promote customer loyalty. These software solutions are called: a)  Customer relations data solutions b)  Customer relationship management solutions c)  Sales data management solutions d)  none of the above 42.Which of the following outputs (reports) are common to both the sales process […]

Multiple-Choice Questions 66.   Which of the following is considered an integrated software system? a)  Material requirements planning systems (MRP I) b)  Manufacturing resource planning systems (MRP II) c)  Enterprise resource planning systems (ERP) d)  all of the above 67. Integrated accounting software programs generally include all of the following, except: a)Graphic reporting capabilities b)Internet connectivity c)One standardized chart of accounts d)The ability to handle multiple companies 68. The word “integrated” in the term “integrated accounting software” means: a)The software is color blind b)The software can interface with non-accounting software such as spreadsheets. c)The software combines several accounting functions in one […]

Question EX 5-29 Closing entries OBJ. 4 On July 31, 2016, the balances of the accounts appearing in the ledger of Serbian Interiors Company, a furniture wholesaler, are as follows: Accumulated Depr.-Building Administrative Expenses Building Cash Common Stock Cost of Merchandise Sold Dividends Interest Expense Merchandise Inventory 100,000 455,000 ,437,000 4,500 160,000 6,000 21,500 $365,000 Notes Payable 440,000 Retained Earnings 810,000 Sales 78,000 75,000 775,000 15,000 6,000 115,000 Sales Tax Payable Selling Expenses Store Supplies Store Supplies Expense Prepare the July 31, 2016, closing entries for Serbian Interiors Company.

96. Which of the following is true regarding ERP costs? a)Enterprise systems tend to be less costly than integrated accounting software b)Enterprise systems are always less costly than best of breed software solutions c)Costs associated with reassigned employees have nothing to do with the true cost of an enterprise system d)There may be many costs that continue after systems implementation 97.   When we talk about a Value-Added Reseller within the context of accounting and enterprise software, we are referring to an individual or business that: a)  Usually assists small businesses to select entry-level, small business software b)  Is a qualified […]