Accounting Online Program Accounting Information Systems

Question 1

An Accounting Information System (AIS) is primarily designed to:

Accepted Answer

Collect, store, process, and communicate financial and accounting data to support decision-making

Answer

Replace accountants with automated software

Answer

File taxes electronically with the IRS

Answer

Prepare management presentations for shareholders

Question 2

Which of the following is an example of a source document in an accounting information system?

Accepted Answer

Sales invoice

Answer

Trial balance

Answer

Income statement

Answer

Adjusted balance sheet

Question 3

Enterprise Resource Planning (ERP) systems in accounting are characterized by:

Accepted Answer

Integrated modules that share a common database across the entire organization

Answer

Standalone departmental software with no integration

Answer

A system used only by external auditors

Answer

Software exclusively for tax preparation

Question 4

In an AIS, the general ledger serves as:

Accepted Answer

The central repository that summarizes all financial transactions by account

Answer

A temporary account used only at year-end

Answer

A subsidiary record for individual customer balances

Answer

The system used to process payroll checks

Question 5

Which of the following is a primary risk addressed by IT general controls in an AIS?

Accepted Answer

Unauthorized access to financial data and systems

Answer

Incorrect depreciation method selection

Answer

Overstating revenues in financial statements

Answer

Incorrect inventory valuation under FIFO

Question 6

The revenue cycle in an AIS encompasses which key processes?

Accepted Answer

Receiving customer orders, delivering goods/services, billing, and collecting cash

Answer

Purchasing goods, paying vendors, and managing inventory

Answer

Recording depreciation, adjusting entries, and closing books

Answer

Hiring employees, processing payroll, and paying benefits