Test Bank For Accounting Information Systems, 3rd Edition

Student name:__________ TRUE/FALSE – Write ‘T’ if the statement is true and ‘F’ if the statement is false. 1) Accountants now face a challenge of helping businesses optimize processes. ⊚ ⊚ 2) Every diagram must contain at least two pools. ⊚ ⊚ 3) true false true false A business process does not contain activities. ⊚ ⊚ true false 4) A business model is typically a graphical depiction of the essential business process information. ⊚ ⊚ true false 5) Documentation can be thought of as a tool for information transmission and communication. ⊚ ⊚ 6) Documentation is not used to assess internal controls. ⊚ ⊚ 7) true false true false Models should be simpler than the processes and systems they depict. Version 1 1 ⊚ ⊚ true false 8) Business models are often more difficult to understand than written descriptions of activities. ⊚ ⊚ 9) true false Activity models are a relatively new process modeling tool. ⊚ ⊚ true false 10) In Business Process Modeling Notation (BPMN), activities are named with a short verb phrase placed within the rectangle. ⊚ ⊚ true false 11) Business Process Modeling Notation (BPMN) activity models typically show the sequence of flow from right to left and top to bottom. ⊚ ⊚ 12) true false Business Process Modeling Notation (BPMN) activity diagrams depict events as circles. ⊚ ⊚ true false 13) Business Process Modeling Notation (BPMN) activity diagrams depict activities as circles. ⊚ ⊚ Version 1 true false 2 14) An activity can depict a single action or some logical combination of actions depending on the required level of detail to achieve the objectives of the business process analysis. ⊚ ⊚ 15) true false Gateways depict branching of sequence flows but do not depict merging of those flows. ⊚ ⊚ true false 16) Swimlanes (or lanes) identify participants, e.g., functions or departments, within an organization in a process. ⊚ ⊚ true false 17) Business Process Modeling Notation (BPMN) activity diagrams are conceptually similar to process maps. ⊚ ⊚ true false 18) Business Process Modeling Notation (BPMN) start events are shown using ovals and flowchart start events are shown using circles. ⊚ ⊚ 19) true false Activity models can be used after a new system is implemented. ⊚ ⊚ Version 1 true false 3 20) Data Flow Diagrams start with a circle indicating the start event. ⊚ ⊚ true false MULTIPLE CHOICE – Choose the one alternative that best completes the statement or answers the question. 21) Which of the following is not a Stewardship and Reporting role of the Accounting/Finance Function in Business? A) B) C) D) Human Resource management. Regulatory compliance. Tax returns. Statutory reporting. 22) Which of the following is not a Business Management Support role of the Accounting/Finance Function in Business? A) Management information. B) Planning, budgeting and forecasting. C) Customer support. D) Investment appraisal. 23) Which of the following is not a characteristic of a business model? A) B) C) D) 24) Simple. Always refers to only one business process. Graphical. Contains business process information. Which of the following is not part of the business analysis process? Version 1 4 A) B) C) D) 25) Which of the following best describes a business model? A) B) C) D) 26) Process models. Business rules. User manuals. External audit workpapers. Which of the following is not a purpose of documentation? A) B) C) D) 28) A simple, abstract representation of a business process or processes. A sequence of business activities. An evaluation of potential business process improvements. None of the choices are correct. Process documentation does not include which of the following? A) B) C) D) 27) Ascertaining information about current and future business processes. Using business process modeling tools. Auditing business processes. Documenting current and future business processes. Training. Determining staffing. Describing current processes. Establishing accountability. Business models provide value in all of the following areas except which one? Version 1 5 A) B) C) D) 29) Employee performance appraisal. Managing complexity. Specifying systems requirements. Eliciting requirements for new systems. Which of the following best describes the purpose of an activity model? A) B) C) D) An activity model describes the sequence of workflow in a business process. An activity model constrains and guides process operations. An activity model depicts data structures. None of the choices are correct. 30) Which of the following is not a common element of activity models regardless of the specific modeling notation? A) B) C) D) Events to start and stop the workflow. Sequence of flow between tasks. Multiplicities. Decision points that affect the process flow. 31) Which of the following is not a building block for Business Process Modeling Notation (BPMN) diagrams? A) B) C) D) Swimlanes. Events. Gateways. Sequence flows. 32) Which of the following is not an example of a good Business Process Model Notation (BPMN) model? Version 1 6 A) B) C) D) They are correct. They are clear. They are cohesive. They are consistent. 33) Which of the following best describes the purpose of a gateway in a Business Process Modeling Notation (BPMN) activity diagram? A) B) C) D) 34) Which of the following symbols depicts an intermediate event? A) B) C) D) 35) Shows where the work takes place. Describes the sequence of workflow. Affects the flow of the business process. Controls branching and merging. An arrow. A circle with a double line perimeter. A rectangle. A circle with a wide single line perimeter. Which of the following symbols depicts an activity? A) B) C) D) An arrow. A circle with a double line perimeter. A rectangle. A circle with a wide single line perimeter. 36) Which of the following notations is used to depict different organizations in one Business Process Modeling Notation (BPMN) diagram? Version 1 7 A) Gateway. B) Message flow. C) Pool. D) Intermediate event. 37) Which of the following best describes the purpose of swimlanes (or lanes)? A) B) C) D) Depict different elements of timing involved in a process. Depict different departments of the same organization in a process. Depict interactions between organizations in a process. Depict the sequence of tasks in a process. 38) Which of the following best describes a Business Process Modeling Notation (BPMN) message flow? A) B) C) D) Shows the sequence of activities in a process. Shows interactions between participants in a process. Affects the flow of a business process. Shows branching and merging in a business process. 39) Which of the following best describes the difference between a Business Process Modeling Notation (BPMN) gateway and a flowcharting decision diamond? A) B) C) D) 40) Only the decision diamond shows branching of the sequence flow. The gateway ony represents branching and not the decision that results in branching. Only the gateway shows branching of the sequence flow. The decision diamond can depict more branching options. Which of the following represents a parallel multi-instance task? Version 1 8 A) B) C) D) One employee taking an order while another collects payment in a drive-through. Many customers watching one movie. Two baristas working at a Starbucks counter. One employee taking pizza orders. 41) In order to perform their required roles and be valuable business partners, accountants must understand all of the following except: A) How the business identifies and designs its products and services. B) How the business collects data, summarizes it, and communicates business information. C) How the business delivers value, interacts with other businesses, and is a good corporate citizen. D) What risks the business faces, and how internal controls can mitigate those risks. 42) Which of the following best describes why the Sarbanes-Oxley Act of 2002 (SOX) made documentation of business processes essential for businesses? A) SOX mandates that accountants create the business rules and documenation associated with a company’s business processes. B) SOX requires managers to assess and attest to the company’s internal controls structures and procedures. C) SOX explicitly states that all business processes must be documented. D) SOX allows thorough documentation of business processes to act as a substitute for a full review of internal control structures and procedures. 43) Which of the following best describes how business models help companies manage complexity? Version 1 9 A) Because business models can’t exceed one page, managers can understand how the business works at a glance. B) Although business models are a simplification of the actual processes they represent, they incorporate the processes’ essential elements. C) Business models’ limitations force managers to simplify the company’s actual processes. D) Business models must display every detailed task and activity, which allows managers to visualize the complexity inherent in its business processes. 44) Activity models are analagous to which of the following? A) B) C) D) 45) The prototype for a new car model. A blueprint. The instructions in a recipe. A car’s steering system. When creating a BPMN activity model, which of the following is most accurate? A) Modeling is an artistic endeavor; therefore different modelers given the same set of facts about a business process will likely develop very different models of the process. B) The resulting BPMN activity model should closely match the structure of the subsequent database. C) All activity models should include gateways. D) Different modelers given the same set of facts about a busines process should develop similar models of the process. 46) A pool in a BPMN activity model represents: A) B) C) D) Version 1 An organization/entity. A department or functional area. A specific individual. A logical activity. 10 47) Message flows in BPMN activity diagrams indicate an exchange between: A) B) C) D) 48) An opaque external pool in a BPMN activity diagram is typically used becasue: A) B) C) D) 49) The external pool event is not important for the model. It hides confidential information. It involves external parties. The external pool event contains a gateway that is addressed later. Which of the following is not a valid BPMN gateway type? A) B) C) D) 50) Activities in the same swimlane. Participants in a process Gateways in different swimlanes. Events in the same pool. Parallel gateway. Serial gateway. Inclusive gateway. Exclusive gateway. Which of the following BPMN shapes represents a Parallel Gateway? Version 1 11 A) B) C) D) 51) Which of the following BPMN shapes represents an Error Event? A) B) C) D) 52) A boundary event in a BPMN activity model: A) B) C) D) Version 1 Moves messages between pools. Occurs for all errors. Is attached to the edge of an activity. Occurs as a message leaves a pool. 12 53) Which of the following BPMN shapes represents a parallel multi-instance task? A) B) C) D) 54) Which of the following BPMN shapes represents a data object? Version 1 13 A) B) C) D) 55) Which of the following BPMN shapes represents a data store? A) B) C) D) Version 1 14 ESSAY. Write your answer in the space provided or on a separate sheet of paper. 56) Use the following description to create a Business Process Modeling Notation (BPMN) activity diagram of Nora’s process. Nora accesses the Amazon.com website to purchase a favorite musician’s latest album. She searches for the musician’s name. Amazon displays the results of the search, and she selects the correct entry. She samples the music and then decides whether to purchase the album. If she decides to purchase the album, then she must decide whether to purchase a physical CD or just download the MP3 files. If she decides to purchase the CD, she clicks on the buy now button. Since she is an Amazon Prime member, she automatically receives free 2-day delivery and the item is charged to her credit card. She then waits 2 days for the delivery of the CD. When it arrives, she can enjoy the music. If she decides to purchase the MP3, she selects that option and again clicks on the buy now button. She is charged for the item and taken to a page to download her music. She downloads the album, and then she can enjoy her music. Version 1 15 57) Use the following description to create a Business Process Modeling Notation (BPMN) activity diagram of Jeremy’s process. Jeremy is using his bank’s online banking site to pay for his new phone. He logs onto the bank’s website by entering his user name and password, confirming his SiteKey. After access to his account, he selects the Bill Pay tab. He searches to see of the phone company is already listed in the “Pay To Accounts.” If the phone company is not listed, he clicks on the option to “Add a New Pay To Account.” He fills in the information for the phone company, including the name, address, account number, and phone number. After completing the entry, he is taken back to the list of “Pay To Accounts.” If the phone company is listed (or if he just completed entering the new account), he enters the amount of the payment. Then, he selects the option to set up a recurring payment. He enters the number of payments. Then, he selects the date that the payment should be sent each month. He then logs out of the banks online banking site and closes his browser. 58) Use the following description to create a Business Process Modeling Notation (BPMN) activity diagram of Caitlin’s process. Caitlin is planning to run in the local July 4th 5K run. She wants to register online, but she forgot the websites URL. So, she navigates to Google and starts a search for the site. She selects the registration site from the search results. Once at the site, she selects the option to register for the 4th of July run. She fills in the registration form and provides her credit card information for payment. After completing her own registration, she decides to register the other members of her team. One-by-one, she enters the registration information for the team member and pays for their entry. After completing all the registrations, she provides a user name and password so she can return to the site to see their results after the race. She logs out of the site and closes her browser. Version 1 16 Version 1 17 Answer Key Test name: Unnamed Test2 1) TRUE 2) FALSE 3) FALSE 4) TRUE 5) TRUE 6) FALSE 7) TRUE 8) FALSE 9) FALSE 10) TRUE 11) FALSE 12) TRUE 13) FALSE 14) TRUE 15) FALSE 16) TRUE 17) TRUE 18) FALSE 19) TRUE 20) FALSE 21) A 22) C 23) B 24) C 25) A 26) D Version 1 18 27) B 28) A 29) A 30) C 31) A 32) C 33) D 34) B 35) C 36) C 37) B 38) B 39) B 40) B 41) A 42) B 43) B 44) C 45) D 46) A 47) B 48) A 49) B 50) B 51) D 52) C 53) B 54) A 55) C Version 1 19 56) There could be several similar answers, but this is a basic solution:[MISSING IMAGE: , ] 57) There could be several similar answers, but this is a basic solution:[MISSING IMAGE: , ] 58) There could be several similar answers, but this is a basic solution:[MISSING IMAGE: , ] Version 1 20