Practice_multiple_choice - Practice Multiple Choice...

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Practice Multiple Choice Questions 1) Procedures to safeguard assets include A) effective supervision. B) restrictions on physical access. C) restrictions on access to information. D) all of the above 2) Duplicate checking of calculations is an example of a __________ control, and adherence to appropriate procedures to resubmit rejected transactions is an example of a __________ control. A) corrective; detective B) detective; corrective C) preventive; corrective D) detective; preventive 3) An accounting information system (AIS) in part consists of A) people and programs. B) procedures and computers. C) people, procedures, data, software and information technology infrastructure. D) internal controls and accounting records. 4) The formula "risk x exposure" is used for estimating A) expected loss. B) expected cost. C) expected benefit. D) contingent loss. 5) Which of the following controls is not a logical access control? A) requiring a proper employee photo ID B) requiring a network user ID for electronic computer access C) requiring all computer users to have an authorized password which must be changed every 30 days D) requiring the use of a personal identification number (PIN) before electronic computer access is granted the system 6) __________ identification uses passwords that are based on a retinal print of the user. A) Physical possession B) Logical C) Biometric D) Corporal 7) There are four distinct types of threats to an AIS: 1) software errors and equipment malfunctions; 2) unintentional acts; 3) intentional acts; and 4) __________. A) computer fraud B) data transmission errors C) human carelessness D) natural and political disasters 8) To ensure that the information produced by a system is reliable, an AIS should have A) adequate documentation. B) effective segregation of duties. C) operational budgets.
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D) both A and B 9) A formal expression of goals and objectives in financial terms is called a(n) A) mission statement. B) strategic plan. C) budget. D) operational plan. 10) A well-designed AIS can improve the decision-making function within the organization. Which statement below would describe a limitation, rather than a benefit, of an efficient AIS? A) An AIS reduces uncertainty, and therefore accounting information can provide a basis for choosing among alternative courses of action. B) An AIS identifies situations requiring management action. C) An AIS provides to its users an abundance of information without any filtering or condensing of such information. D) An AIS provides information about the results of previous decisions which provides decision makers with feedback that can be used in future decision making. 11) A computer operator is allowed to work as a programmer on a new payroll software project. Does this create a potential problem from an internal control perspective?
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Practice_multiple_choice - Practice Multiple Choice...

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