Accounting Information Systems, 14e, Global Edition (Romney/Steinbart)
Chapter 22 Systems Design, Implementation, and Operation
1 Discuss the conceptual systems design process and the activities in this phase.
1) In which phase of the SDLC does developing a general framework for implementing user
requirements occur?
A) Conceptual systems design.
B) Implementation and conversion.
C) Operations and maintenance.
D) Physical design.
Answer: A
Concept: Conceptual systems design
Objective: Learning Objective 1
Difficulty: Moderate
AACSB: Analytical Thinking
2) The ________ is responsible for evaluating the design alternatives and selecting the one that
best meets the organization's needs.
A) design team
B) implementation committee
C) steering committee
D) systems analysts
Answer: C
Concept: Conceptual systems design
Objective: Learning Objective 1
Difficulty: Easy
AACSB: Analytical Thinking
3) Which of the following lists represent the sequence of elements in developing the conceptual
design specifications?
A) Input, data storage, processing procedures and operations, and output.
B) Input, output, data storage, and processing procedures and operations.
C) Output, data storage, input, and processing procedures and operations.
D) Processing procedures and operations, input, data storage, and output.
Answer: C
Concept: Conceptual systems design
Objective: Learning Objective 1
Difficulty: Moderate
AACSB: Analytical Thinking
1
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4) Which element of design specification will help the project team find an efficient way to
collect data for preparing sales reports?
A) Data collection.
B) Input.
C) Output.
D) Processing procedures.
Answer: B
Concept: Conceptual systems design
Objective: Learning Objective 1
Difficulty: Moderate
AACSB: Analytical Thinking
5) One of the purposes of the ________ is to guide physical systems design activities.
A) conceptual systems design report
B) physical systems design report
C) program design
D) systems analysis report
Answer: A
Concept: Conceptual systems design
Objective: Learning Objective 1
Difficulty: Easy
AACSB: Analytical Thinking
6) Deciding how often a certain report should be provided to users is part of which conceptual
design specification element?
A) Data storage.
B) Input.
C) Output.
D) Processing procedures and operations.
Answer: C
Concept: Conceptual systems design
Objective: Learning Objective 1
Difficulty: Easy
AACSB: Analytical Thinking
7) Which of the following is not a reason for preparing the conceptual systems design report?
A) It can be used to guide physical systems design activities.
B) It communicates how management and user information needs will be met.
C) It discusses the design alternatives that were not selected for the project.
D) It helps the steering committee assess system feasibility.
Answer: C
Concept: Conceptual systems design
Objective: Learning Objective 1
Difficulty: Easy
AACSB: Analytical Thinking
2
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8) Which consideration below is not considered important to output design?
A) Format.
B) Location.
C) Medium.
D) Source.
Answer: D
Concept: Conceptual systems design
Objective: Learning Objective 1
Difficulty: Easy
AACSB: Analytical Thinking
9) How can accountants help in the systems development life cycle (SDLC) process?
Answer: Accountants must first understand the development process, and then realize that they
can make a valuable contribution to the development process in several ways. As users,
accountants can specify their needs and help explain such needs to the development team. As
members of the development team, they can provide valuable input throughout the design and
development process. As auditors, they can perform attest functions with a greater working
knowledge and enhanced skill sets. Accountants should keep the project on track by evaluating
and measuring benefits, monitoring costs, and helping to maintain the timetable.
Concept: Conceptual systems design
Objective: Learning Objective 1
Difficulty: Moderate
AACSB: Reflective Thinking
10) What factors does a steering committee consider when evaluating different system designs?
Answer: How well does the design meet organizational and systems objectives? How well does
the design meet users' needs? How economically feasible is the design in terms of costs versus
benefit? What are the advantages and disadvantages of the design? Do the advantages outweigh
the disadvantages?
Concept: Conceptual systems design
Objective: Learning Objective 1
Difficulty: Moderate
AACSB: Analytical Thinking
11) What are the purposes of a conceptual systems design report?
Answer: The purposes of this report are to a) guide physical systems design activities, b)
communicate how management and user information needs will be met, and c) help the steering
committee assess system feasibility.
Concept: Conceptual systems design
Objective: Learning Objective 1
Difficulty: Easy
AACSB: Analytical Thinking
3
Copyright © 2018 Pearson Education, Ltd.
12) Describe the conceptual systems design phase and identify the elements of conceptual design
specifications.
Answer: The conceptual systems design phase involves the development of the general
framework for implementing user requirements and solving problems identified in the analysis
phase. Conceptual design elements include the following elements: Output specifications to meet
users' information needs. Data storage specifications based on reports that need to be produced,
the manner in which data are stored (sequential, random, etc.), the type of database to use, and
appropriate field sizes. Input specification after output is identified so that the "when, where, and
how" of data input are appropriate for the types of output needed. Processing procedures and
operations specifications are determined after the sequencing and processes for input and data
storage are known.
Concept: Conceptual systems design
Objective: Learning Objective 1
Difficulty: Moderate
AACSB: Analytical Thinking
13) Which of the below standards should not be used to evaluate design alternatives in the
conceptual systems design stage of the SDLC?
A) How well a system meets organizational objectives.
B) How well a system meets user needs.
C) The economic feasibility of each alternative.
D) The amount of time it required to formulate each alternative.
Answer: D
Concept: Conceptual systems design
Objective: Learning Objective 1
Difficulty: Easy
AACSB: Analytical Thinking
14) The project committee for ALDI corporation is attempting to evaluate design alternatives
proposed for a new, organization-wide accounting information system. However, there is a great
deal of debate regarding whether source documents, turnaround documents, or source data
automation should be utilized in the new system. Which design consideration is most
appropriately associated with these alternatives?
A) Communication channels.
B) Data storage structure.
C) File organization and access.
D) Input medium.
Answer: D
Concept: Conceptual systems design
Objective: Learning Objective 1
Difficulty: Moderate
AACSB: Reflective Thinking
4
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15) The project committee for ALDI corporation is attempting to evaluate design alternatives
proposed for a new, organization-wide accounting information system. However, there is a great
deal of debate regarding whether the system should interface via telephone, internet, cable, or
satellite. Which design consideration is most appropriately associated with these alternatives?
A) Communication channels.
B) Data storage structure.
C) File organization and access.
D) Input medium.
Answer: A
Concept: Conceptual systems design
Objective: Learning Objective 1
Difficulty: Moderate
AACSB: Reflective Thinking
16) The project committee for ALDI corporation is attempting to evaluate design alternatives
proposed for a new, organization-wide accounting information system. However, there is a great
deal of debate regarding whether the system should be standardized on using tapes, disks, hard
drives, or paper. Which design consideration is most appropriately associated with these
alternatives?
A) Communication channels.
B) Data storage structure.
C) File organization and access.
D) Input medium.
Answer: B
Concept: Conceptual systems design
Objective: Learning Objective 1
Difficulty: Moderate
AACSB: Reflective Thinking
17) The project committee for ALDI corporation is attempting to evaluate design alternatives
proposed for a new, organization-wide accounting information system. However, there is a great
deal of debate regarding whether accessing data access should be random, sequential, or indexed.
Which design consideration is most appropriately associated with these alternatives?
A) Communication channels.
B) Data storage structure.
C) File organization and access.
D) Input medium.
Answer: C
Concept: Conceptual systems design
Objective: Learning Objective 1
Difficulty: Moderate
AACSB: Reflective Thinking
5
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18) The project committee for ALDI corporation just finished evaluating the design alternatives
for a new, organization-wide accounting information system and has selected a design. Now, the
project committee needs to create conceptual design specifications for which of the following
elements below?
A) Output.
B) Data storage.
C) Processing and operations.
D) All of the above.
Answer: D
Concept: Conceptual systems design
Objective: Learning Objective 1
Difficulty: Easy
AACSB: Analytical Thinking
19) Describe the standards that should be used to evaluate design alternatives.
Answer: The following standards should be used to evaluate design alternatives: (1) how well it
meets organizational and system objectives, (2) how well it meets user needs, (3) whether it is
economically feasible, and (4) how advantages weigh against disadvantages. The steering
committee evaluates the alternatives and selects the one that best meets the organization's
needs.
Concept: Conceptual systems design
Objective: Learning Objective 1
Difficulty: Moderate
AACSB: Analytical Thinking
20) Describe the conceptual design specifications once a design alternative is selected.
Answer: Once a design alternative is selected, conceptual design specifications are created for
the following elements: 1. Output. Because the system is designed to meet user information
needs, output specifications are prepared first. To evaluate store sales, SM must decide (a) how
often to produce a sales analysis report, (b) what the report should contain, (c) what it will look
like, and (d) whether it is a hard-copy or screen (or both) output. 2. Data storage. Data storage
decisions include which data elements must be stored to produce the sales report, how they
should be stored, and what type of file or database to use. 3. Input. Input design considerations
include which sales data to enter; sale location and amount; and where, when, and how to collect
the data. 4. Processing procedures and operations. Design considerations include how to process
the input and stored data to produce the sales report and in which sequence the processes must be
performed.
Concept: Conceptual systems design
Objective: Learning Objective 1
Difficulty: Moderate
AACSB: Analytical Thinking
6
Copyright © 2018 Pearson Education, Ltd.
2 Discuss the physical systems design process and the activities in this phase.
1) Identify the report below that does not have a pre-specified content and format design.
A) Demand reports.
B) Scheduled reports.
C) Special-purpose analysis reports.
D) Triggered exception reports.
Answer: C
Concept: Physical systems design
Objective: Learning Objective 2
Difficulty: Easy
AACSB: Analytical Thinking
2) It is important that ________ for data storage purposes.
A) all data is in compatible format
B) there is easy access to the system
C) a printout of the data dictionary is available
D) copies of necessary reports are available
Answer: A
Concept: Physical systems design
Objective: Learning Objective 2
Difficulty: Easy
AACSB: Analytical Thinking
3) Physical input design considerations include
A) which transactions to enter.
B) layout of source documents.
C) types of data input and optimal input methods.
D) cost of collecting and storing data.
Answer: C
Concept: Physical systems design
Objective: Learning Objective 2
Difficulty: Moderate
AACSB: Analytical Thinking
4) Program design
A) spans all five stages of the system development life cycle.
B) includes writing computer code.
C) includes debugging logic errors.
D) is described by all the above.
Answer: D
Concept: Physical systems design
Objective: Learning Objective 2
Difficulty: Easy
AACSB: Analytical Thinking
7
Copyright © 2018 Pearson Education, Ltd.
5) Which of the following statements below is correct about modules of computer code created
during program design?
A) Modules interact with each other directly and also through the control module.
B) Modules interact with each other directly.
C) Modules interact with only the control module.
D) Modules primarily, but not always, interact with the control module.
Answer: C
Concept: Physical systems design
Objective: Learning Objective 2
Difficulty: Moderate
AACSB: Analytical Thinking
6) Which of the following statements is true?
A) Structured programming divides programs into well-defined segments to reduce complexity.
B) Structured programming is used to debug logic errors in programs.
C) Structured programming is accomplished by using a flowchart to guide design.
D) Structured programming pieces together standard code strings into a completed program.
Answer: A
Concept: Physical systems design
Objective: Learning Objective 2
Difficulty: Moderate
AACSB: Analytical Thinking
7) Identify the question that is not an important consideration in procedures and controls design.
A) Are customer data stored in alphabetical order in a master file?
B) Are payments made only to legitimate vendors?
C) Are data processed and stored accurately?
D) Can the system be modified without affecting system availability?
Answer: A
Concept: Physical systems design
Objective: Learning Objective 2
Difficulty: Challenging
AACSB: Analytical Thinking
8) Which of the following control considerations will help ensure that all cash disbursements are
made only to legitimate vendors?
A) Security.
B) Accuracy.
C) Authorization.
D) Validity.
Answer: D
Concept: Physical systems design
Objective: Learning Objective 2
Difficulty: Easy
AACSB: Analytical Thinking
8
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9) Which of the following controls design considerations will help ensure that all customer
inquiries are answered in real-time?
A) Security.
B) Authorization.
C) Accuracy.
D) Integrity.
Answer: D
Concept: Physical systems design
Objective: Learning Objective 2
Difficulty: Moderate
AACSB: Reflective Thinking
10) Which of the following control considerations will help ensure that all input, processing,
storage, and output activities are authorized by the appropriate managers?
A) Security.
B) Accuracy.
C) Authorization.
D) Validity.
Answer: C
Concept: Physical systems design
Objective: Learning Objective 2
Difficulty: Easy
AACSB: Analytical Thinking
11) Which of the following control considerations will help ensure that the system is protected
against (a) unauthorized physical and logical access to prevent the improper use, alteration,
destruction, or disclosure of information and software?
A) Security.
B) Accuracy.
C) Authorization.
D) Validity.
Answer: A
Concept: Physical systems design
Objective: Learning Objective 2
Difficulty: Easy
AACSB: Analytical Thinking
9
Copyright © 2018 Pearson Education, Ltd.
12) At what point in the systems development life cycle does the company determine how the
conceptual AIS design is to be implemented?
A) The conceptual design phase.
B) The implementation and conversion phase.
C) The physical design phase.
D) The operation and maintenance phase.
Answer: C
Concept: Physical systems design
Objective: Learning Objective 2
Difficulty: Easy
AACSB: Analytical Thinking
13) What of the below is the most time-consuming activity in the physical design stage of the
systems development life cycle (SDLC)?
A) Controls design.
B) Input design.
C) Output design.
D) Program design.
Answer: D
Concept: Physical systems design
Objective: Learning Objective 2
Difficulty: Moderate
AACSB: Analytical Thinking
14) Which of the following is a consideration during file and database design?
A) Form size.
B) Format.
C) Medium.
D) Organization.
Answer: C
Concept: Physical systems design
Objective: Learning Objective 2
Difficulty: Moderate
AACSB: Analytical Thinking
15) The first step in program design is to
A) determine user needs.
B) develop a plan.
C) hire program users.
D) write program instructions.
Answer: A
Concept: Physical systems design
Objective: Learning Objective 2
Difficulty: Easy
AACSB: Analytical Thinking
10
Copyright © 2018 Pearson Education, Ltd.
16) Flowcharts, record layouts, and decision tables are all often part of
A) determining user needs.
B) documenting the program.
C) testing the program.
D) training program users.
Answer: B
Concept: Physical systems design
Objective: Learning Objective 2
Difficulty: Easy
AACSB: Analytical Thinking
17) ________ is a process used to uncover and eliminate program errors.
A) Black box testing
B) Debugging
C) Desk checking
D) White box testing
Answer: B
Concept: Physical systems design
Objective: Learning Objective 2
Difficulty: Easy
AACSB: Analytical Thinking
18) ________ of software development costs should be allocated to testing, debugging, and
rewriting software.
A) 5% to 10%
B) 10% to 20%
C) 20% to 30%
D) More than 30%
Answer: C
Concept: Physical systems design
Objective: Learning Objective 2
Difficulty: Moderate
AACSB: Analytical Thinking
19) What is used as the basis for management to make a "go/no go" decision regarding whether
to proceed from the physical design phase to the implementation and conversion phase of the
systems development life cycle?
A) Conceptual system design report.
B) Physical systems design report.
C) Systems design report.
D) Implementation planning design report.
Answer: B
Concept: Physical systems design
Objective: Learning Objective 2
Difficulty: Easy
AACSB: Analytical Thinking
11
Copyright © 2018 Pearson Education, Ltd.
20) Subdividing program code into small, well-defined modules is
A) called debugging.
B) known as structured programming.
C) part of program maintenance.
D) done during testing.
Answer: B
Concept: Physical systems design
Objective: Learning Objective 2
Difficulty: Moderate
AACSB: Analytical Thinking
21) Yasin, a professional in information technology services, received an e-mail from Adil in the
Sales Department. The e-mail read: "Yasin, I need you to run that inventory report you prepared
for me last month again. Please send it to me by e-mail. Thank you, Adil." What type of report is
Adil asking Yasin to provide?
A) Scheduled report.
B) Special-purpose analysis report.
C) Triggered exception report.
D) Demand report.
Answer: D
Concept: Physical systems design
Objective: Learning Objective 2
Difficulty: Moderate
AACSB: Analytical Thinking
22) Yasin, a professional in information technology services, sent an e-mail to Mauqwa in the
Purchasing department. The e-mail read "Mauqwa, the system just generated a stock-out report. I
just wanted to give you a heads up. I'm sending it right over. Best regards, Yasin" What type of
report is Yasin providing to Mauqwa?
A) Scheduled report.
B) Special-purpose analysis report.
C) Triggered exception report.
D) Demand report.
Answer: C
Concept: Physical systems design
Objective: Learning Objective 2
Difficulty: Moderate
AACSB: Analytical Thinking
12
Copyright © 2018 Pearson Education, Ltd.
23) Yasin, a professional in information technology services, received an e-mail from Sabri in
the Sales department. The e-mail read: "Yasin, I need you to do something for me. Query sales
data for the second quarter and pull out all of the invoices that include iPhones selling with a
discount. I need a count and the total amount of the discount. Thanks, Sabri." What type of report
is Sabri asking Yasin to prepare?
A) Scheduled report.
B) Special-purpose analysis report.
C) Triggered exception report.
D) Demand report.
Answer: B
Concept: Physical systems design
Objective: Learning Objective 2
Difficulty: Moderate
AACSB: Analytical Thinking
24) Ghassan in Marketing received an e-mail from Asif at regional headquarters. "Ghassan, I just
reviewed the annual sales report for your district. You blew your sales goal away again, you top
gun!" What type of report did Asif use?
A) Scheduled report.
B) Special-purpose analysis report.
C) Triggered exception report.
D) Demand report.
Answer: A
Concept: Physical systems design
Objective: Learning Objective 2
Difficulty: Moderate
AACSB: Analytical Thinking
25) Describe at least four considerations during controls design.
Answer: Controls design ensures the effectiveness, efficiency, and accuracy of the AIS. The
important concerns to be addressed are: validity of transactions — authorization of input,
storage, and output activities — accuracy of input and processing activities — security access
to system — numerical control pre-numbering and accounting of all documents — audit trail
— tracing of transactions from source documents to final output and vice versa — availability
of the system when needed — maintainability so the system can be modified without affecting
availability or security — integrity
Concept: Physical systems design
Objective: Learning Objective 2
Difficulty: Moderate
AACSB: Analytical Thinking
13
Copyright © 2018 Pearson Education, Ltd.
26) What output design considerations should be analyzed as part of the physical system design
phase?
Answer: Two things must be considered regarding system output. First, who will use the output?
Why do users need this type of output, and what decisions will be made based on such output?
Second, the medium of the output must be addressed. What medium should be used? Should the
output be on paper, computer screen, stored as a voice response file, placed on diskette,
microfilm, or some possible combinations of these mediums? These are two important
considerations that can either "make or break" a system in terms of its successful use. Other
considerations are: What format (table, graph, etc.)? Should preprinted forms be used? Where
should the output be sent? Who should have access to the output? How often should the output
be produced? Lengthy output should be preceded by an executive summary and a table of
contents.
Concept: Physical systems design
Objective: Learning Objective 2
Difficulty: Moderate
AACSB: Analytical Thinking
27) Describe structured programming.
Answer: Structured programming refers to programs that are subdivided into small, well-defined
modules with the goal of reducing complexity and enhancing reliability and modifiability. Each
module should interact with a control module rather than with each other. Proper structured
programming dictates that each module should have only one entry and exit point to facilitate
testing and modification.
Concept: Physical systems design
Objective: Learning Objective 2
Difficulty: Moderate
AACSB: Analytical Thinking
28) What is the objective of output design? What are the output design considerations? What are
the various categories of outputs?
Answer: Output design: The objective is to determine the nature, format, content, and timing of
printed reports, documents, and screen displays.
Design considerations: Use — who will use, why is it needed, what is needed for use. Medium
— paper, screen, diskette. Format — tables, graphs, narratives. Preprinted — e.g., purchase
orders, checks. Location — where sent. Access — by whom and to what. Detail — summary,
table of contents, headings. Timeliness — how often.
Categories of output are: Scheduled reports are prespecified and formatted and prepared
regularly. Special-purpose analyses are not prespecified or formatted, but are prepared when
management requests data to evaluate an issue. Triggered exception reports are prespecified and
formatted and prepared in event of abnormal conditions. Demand reports are prespecified and
formatted and prepared when requested.
Concept: Physical systems design
Objective: Learning Objective 2
Difficulty: Moderate
AACSB: Analytical Thinking
14
Copyright © 2018 Pearson Education, Ltd.
29) Write one question that should be asked about each of the controls design considerations.
Answer: There are several controls design considerations to be addressed in this phase of the
SDLC. Validity, authorization, accuracy, access, numerical control, and providing an audit trail
are the major items, which must be taken into account in physical design. Validity would address
a question such as, "Are all system interactions valid?" Authorization could be examined by
asking, "Are input, processing, storage, and output activities authorized by the appropriate
managers?" Accuracy can be analyzed by asking, "Is input verified to ensure accuracy and what
controls are in place to ensure that data passed between processing activities is not lost?" When
dealing with access issues, the analyst should ask if there is adequate control over accessing data,
and ask the important question, "How is a hacker denied access to a data file?" Asking the
question, "Are documents pre-numbered to prevent errors or intentional abuse?" can provide
insight about numerical controls. Finally, to provide appropriate audit trails, the analyst should
ask the question, "Can transaction data be traced from source documents to final output, and vice
versa?" It is imperative that controls design be properly implemented in this phase of the SDLC
to ensure the success of launching the system and its ongoing use. Also, availability and
integrity.
Concept: Physical systems design
Objective: Learning Objective 2
Difficulty: Challenging
AACSB: Reflective Thinking
30) Describe the eight basic steps in program design.
Answer: Generally speaking, developers use an eight-step method to develop and test software
programs. As part of the systems implementation phase of the SDLC, it is important that these
steps faithfully are followed by the development team. 1) The team should consult with users and
write an agreement about software requirements as a way to determine user needs. 2) Next, a
development plan should be created and documented. 3) The overall approach and major
processing tasks should be identified on a high level before proceeding to levels of greater detail.
At that point the activity of writing program instructions can begin. 4) After program code has
been written, the next step is to test the program. This can be achieved in part through debugging
and desk checking, along with other types of testing. 5) The next thing to be done is to document
the program, since this will explain how the program works and assist analysts in correcting and
resolving errors. 6) Training program users is the beginning of the end of the test phase. Program
documentation developed in step five will be used at this time. 7) The seventh step is to install
and use the system. At this point the program can be used and program maintenance can take
place as needed. 8) Use and modify the system. Revise existing programs (called program
maintenance).
Concept: Physical systems design
Objective: Learning Objective 2
Difficulty: Challenging
AACSB: Analytical Thinking
15
Copyright © 2018 Pearson Education, Ltd.
31) Identify the element below that is not an objective of the output design phase of the physical
systems design stage of the SDLC.
A) Determining the nature of reports.
B) Determining the timing of reports.
C) Determining the content of reports.
D) Determining the cost of reports.
Answer: D
Concept: Physical systems design
Objective: Learning Objective 2
Difficulty: Moderate
AACSB: Analytical Thinking
32) Identify a control commonly used by organizations during the output design phase of the
physical systems design stage of developing a new system to avoid expensive time delays later in
the SDLC process.
A) Requiring management to test the system before proceeding.
B) Requiring programmers to alert the project team when they are exceeding their allocated time
budgets.
C) requiring the development team to take time-off so that they do not become fatigued.
D) Requiring users to sign a document stating the output form and content are acceptable.
Answer: D
Concept: Physical systems design
Objective: Learning Objective 2
Difficulty: Moderate
AACSB: Analytical Thinking
33) The project development committee for Photomat Incorporated is discussing output design
alternatives for a new, organization-wide accounting information system. There is a heated
debate among the team regarding which departments should be given the quarterly sales report.
Mark prefers that only management and accounting receive the report, while Jan prefers that
management, accounting, and the sales departments receive the report. What output design
consideration is the team debating?
A) Use.
B) Medium.
C) Format.
D) Location.
Answer: A
Concept: Physical systems design
Objective: Learning Objective 2
Difficulty: Moderate
AACSB: Reflective Thinking
16
Copyright © 2018 Pearson Education, Ltd.
34) The project development committee for Photomat Incorporated is discussing output design
alternatives for a new, organization-wide accounting information system. There is a heated
debate among the team regarding whether the quarterly sales report be printed on paper, be
viewable only on-screen, or be distributed as an e-mail. Mark prefers the report be printed on
paper, while Jan prefers the report be distributed via e-mail to save trees. What output design
consideration is the team debating?
A) Use.
B) Medium.
C) Format.
D) Location.
Answer: B
Concept: Physical systems design
Objective: Learning Objective 2
Difficulty: Moderate
AACSB: Reflective Thinking
35) The project development committee for Photomat Incorporated is discussing output design
alternatives for a new, organization-wide accounting information system. There is disagreement
among the team regarding whether the quarterly sales numbers be disclosed in a narrative,
displayed as a table, or appear in a bar chart. What output design consideration is the team
discussing?
A) Use.
B) Medium.
C) Format.
D) Location.
Answer: C
Concept: Physical systems design
Objective: Learning Objective 2
Difficulty: Moderate
AACSB: Reflective Thinking
36) The project development committee for Photomat Incorporated is discussing output design
alternatives for a new, organization-wide accounting information system. The project
development committee has decided that all reports will be printed on paper. However, there is
disagreement regarding where the reports should be made available. John wants the sales reports
to be printed and stored in the accounting department for greatest security. Monica wants the
sales reports to be printed in every department for full disclosure. What output design
consideration are John and Monica discussing?
A) Use.
B) Medium.
C) Format.
D) Location.
Answer: D
Concept: Physical systems design
Objective: Learning Objective 2
Difficulty: Moderate
AACSB: Reflective Thinking
17
Copyright © 2018 Pearson Education, Ltd.
37) Since most systems are moving away from using paper documents, form design is not as an
important consideration in system development.
Answer: FALSE
Concept: Physical systems design
Objective: Learning Objective 2
Difficulty: Moderate
AACSB: Analytical Thinking
38) It is not as efficient to enter data on paper, then enter the data into the system compared to
requiring users to enter data directly into the system without using a paper source document.
Answer: TRUE
Concept: Physical systems design
Objective: Learning Objective 2
Difficulty: Easy
AACSB: Analytical Thinking
39) If developers took the time to find and correct every program flaw, they would risk not
getting the system completed on time.
Answer: TRUE
Concept: Physical systems design
Objective: Learning Objective 2
Difficulty: Easy
AACSB: Analytical Thinking
40) Which of the following is not a principle of good form design?
A) Is the form a standard size?
B) Is space provided for a signature(s) to indicate transaction approval?
C) Does the form name appear at the top in bold type?
D) Is the cost of producing the form too high?
Answer: D
Concept: Physical systems design
Objective: Learning Objective 2
Difficulty: Easy
AACSB: Analytical Thinking
18
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3 Discuss the systems implementation process and the activities in this phase.
1) ________ is the process of installing hardware and software and getting the AIS up and
running.
A) Conceptual design
B) Physical design
C) Systems analysis
D) Systems implementation
Answer: D
Concept: Systems implementation
Objective: Learning Objective 3
Difficulty: Easy
AACSB: Analytical Thinking
2) Effective AIS training involves
A) instruction on new hardware and software.
B) orientation to new policies and operations.
C) planning and scheduling so it occurs before system testing and conversion.
D) All of the above are correct.
Answer: D
Concept: Systems implementation
Objective: Learning Objective 3
Difficulty: Moderate
AACSB: Analytical Thinking
3) Step-by-step reviews of procedures or program logic early in the system design that focus on
inputs, files, outputs, and data flows are called
A) acceptance test.
B) operating tests.
C) processing of test transactions.
D) walk-throughs.
Answer: D
Concept: Systems implementation
Objective: Learning Objective 3
Difficulty: Moderate
AACSB: Analytical Thinking
19
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4) Test of a new system using real transactions to determine if user-developed acceptance criteria
are met are called
A) acceptance test.
B) operating tests.
C) processing of test transactions.
D) walk-throughs.
Answer: A
Concept: Systems implementation
Objective: Learning Objective 3
Difficulty: Moderate
AACSB: Analytical Thinking
5) The ________ is responsible for identifying such risk factors in an implementation plan.
A) implementation team
B) steering committee
C) systems analysis team
D) systems development team
Answer: A
Concept: Systems implementation
Objective: Learning Objective 3
Difficulty: Easy
AACSB: Analytical Thinking
6) Within the implementation planning and conversion phase of the systems development life
cycle, analysts must ________ before they can ________.
A) complete documentation; test software programs
B) install and test software; test software programs
C) test software programs; test the system
D) test the system; select and train personnel
Answer: C
Concept: Systems implementation
Objective: Learning Objective 3
Difficulty: Easy
AACSB: Analytical Thinking
7) Several types of documentation must be prepared for a new system. The type of
documentation that includes the files and databases accessed and file retention requirements is
called
A) development documentation.
B) operations documentation.
C) reference documentation.
D) user documentation.
Answer: B
Concept: Systems implementation
Objective: Learning Objective 3
Difficulty: Moderate
AACSB: Analytical Thinking
20
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8) Several types of documentation must be prepared for a new system. The type of
documentation that includes a system description; copies of output, input, and file and database
layouts; program flowcharts; test results; and user acceptance forms is called
A) development documentation.
B) operations documentation.
C) reference documentation.
D) user documentation.
Answer: A
Concept: Systems implementation
Objective: Learning Objective 3
Difficulty: Moderate
AACSB: Analytical Thinking
9) Several types of documentation must be prepared for a new system. The type of
documentation that includes a procedures manual and training materials is called
A) development documentation.
B) operations documentation.
C) reference documentation.
D) user documentation.
Answer: D
Concept: Systems implementation
Objective: Learning Objective 3
Difficulty: Moderate
AACSB: Analytical Thinking
10) ________ is a system test that determines whether a program is operating as designed.
A) An acceptance test
B) A debugging test
C) A test data processing
D) A walk-through
Answer: C
Concept: Systems implementation
Objective: Learning Objective 3
Difficulty: Moderate
AACSB: Analytical Thinking
11) A(n) ________ system test uses copies of real transaction and file records.
A) acceptance test
B) debugging test
C) test data processing
D) walk-through
Answer: A
Concept: Systems implementation
Objective: Learning Objective 3
Difficulty: Moderate
AACSB: Analytical Thinking
21
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12) Walk-throughs are system tests that involve
A) managers observing the operation of the system by "walking through" the IT department.
B) processing hypothetical data that are designed to identify errors in the system.
C) processing copies of real transactions in order to determine whether or not the system meets
requirements.
D) a thorough review of the procedures and program logic of the system.
Answer: D
Concept: Systems implementation
Objective: Learning Objective 3
Difficulty: Moderate
AACSB: Analytical Thinking
13) Acceptance tests involve
A) managers observing the operation of the system by "walking through" the IT department.
B) processing hypothetical data that are designed to identify errors in the system.
C) processing copies of real transactions in order to determine whether or not the system meets
requirements.
D) a thorough review of the procedures and program logic of the system.
Answer: C
Concept: Systems implementation
Objective: Learning Objective 3
Difficulty: Moderate
AACSB: Analytical Thinking
14) Processing test data involves
A) managers observing the operation of the system by "walking through" the IT department.
B) processing hypothetical data that are designed to identify errors in the system.
C) processing copies of real transactions in order to determine whether or not the system meets
requirements.
D) a thorough review of the procedures and program logic of the system.
Answer: B
Concept: Systems implementation
Objective: Learning Objective 3
Difficulty: Easy
AACSB: Analytical Thinking
22
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15) Which of the following is not one of the types of documentation that should be prepared for a
new system?
A) Management.
B) Operations.
C) User.
D) Development.
Answer: A
Concept: Systems implementation
Objective: Learning Objective 3
Difficulty: Easy
AACSB: Analytical Thinking
16) What is systems implementation? How do you plan for it?
Answer: Systems implementation is the process of installing hardware and software and getting
the AIS in place and in use. Systems planning consists of: Implementation tasks and person(s)
responsible for tasks. Setting expected completion dates. Cost estimates and variances. Identify
risk factors that decrease likelihood of successful implementation. Strategies for coping with risk
factors.
Concept: Systems implementation
Objective: Learning Objective 3
Difficulty: Moderate
AACSB: Analytical Thinking
17) Describe the different types of documentation that should be prepared for a new system.
Answer: Development documentation includes system description; copies of output, input and
file and database layouts; program flowcharts; test results; and user acceptance forms.
Operations documentation includes operating schedules; files and databases accessed; and
equipment, security and file retention requirements. User documentation includes procedures
manuals and training materials.
Concept: Systems implementation
Objective: Learning Objective 3
Difficulty: Moderate
AACSB: Analytical Thinking
18) Describe the different methods of testing a system.
Answer: Walkthroughs, which involve systematic reviews of procedures or program logic at
different phases during the SDLC. In the early stages of the design process, the focus is inputs,
outputs, and files. In the later stages, the focus is on program logic and structure. Processing test
transactions to determine whether a program operates as designed. Different types of
hypothetical transactions are processed to see if the controls catch various types of errors.
Acceptance tests, which use real transactions and file records. Users develop the acceptance
criteria and make the final acceptance or rejection decision.
Concept: Systems implementation
Objective: Learning Objective 3
Difficulty: Easy
AACSB: Analytical Thinking
23
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19) Identify the item below that is not generally part of an implementation plan.
A) Implementation tasks.
B) Expected completion dates.
C) Cost estimates.
D) Budgeted savings.
Answer: D
Concept: Systems implementation
Objective: Learning Objective 3
Difficulty: Moderate
AACSB: Analytical Thinking
20) Which of the following is not generally changed when a company's accounting information
system is changed?
A) Employee compensation.
B) The organization's structure.
C) Employee headcount.
D) All of the above are generally changed.
Answer: A
Concept: Systems implementation
Objective: Learning Objective 3
Difficulty: Moderate
AACSB: Analytical Thinking
21) Which of the following control design considerations is concerned with whether data
processing is complete, accurate, timely, and authorized?
A) Integrity.
B) Security.
C) Validity.
D) Audit trail.
Answer: A
Concept: Systems implementation
Objective: Learning Objective 3
Difficulty: Moderate
AACSB: Analytical Thinking
22) Ideally, employees should receive training on a new system
A) as soon as possible.
B) right after the physical design.
C) during implementation planning.
D) just before system testing and conversion.
Answer: D
Concept: Systems conversion
Objective: Learning Objective 4
Difficulty: Moderate
AACSB: Analytical Thinking
24
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23) Employees who are transferred internally is often a more costly alternative because they
already will need to be trained.
Answer: FALSE
Concept: Systems implementation
Objective: Learning Objective 3
Difficulty: Moderate
AACSB: Analytical Thinking
24) The hidden cost of inadequate training is that users turn for help to coworkers who have
mastered the system, decreasing the productivity of coworkers and increasing company costs.
Answer: TRUE
Concept: Systems implementation
Objective: Learning Objective 3
Difficulty: Easy
AACSB: Analytical Thinking
4 Discuss the systems conversion process and the activities in this phase.
1) In a ________, the old and the new systems are operated simultaneously for a period of time.
A) direct conversion
B) parallel conversion
C) phase-in conversion
D) pilot conversion
Answer: B
Concept: Systems conversion
Objective: Learning Objective 4
Difficulty: Easy
AACSB: Analytical Thinking
2) Implementing a new system at a branch location before company-wide adoption is called
A) direct conversion.
B) parallel conversion.
C) phase-in conversion.
D) pilot conversion.
Answer: D
Concept: Systems conversion
Objective: Learning Objective 4
Difficulty: Easy
AACSB: Analytical Thinking
25
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3) Which of the following activities is not part of data conversion?
A) Changing data content.
B) Moving file servers.
C) Changing file formats.
D) Moving files to a new storage medium.
Answer: B
Concept: Systems conversion
Objective: Learning Objective 4
Difficulty: Moderate
AACSB: Analytical Thinking
4) What type of conversion terminates the old system as soon as the new system is ready?
A) Direct conversion.
B) Parallel conversion.
C) Phase-in conversion.
D) Pilot conversion.
Answer: A
Concept: Systems conversion
Objective: Learning Objective 4
Difficulty: Easy
AACSB: Analytical Thinking
5) What type of conversion changes the old system to a new one by operating both systems
simultaneously until the organization is confident the new system is functioning correctly?
A) Direct conversion.
B) Parallel conversion.
C) Phase-in conversion.
D) Pilot conversion.
Answer: B
Concept: Systems conversion
Objective: Learning Objective 4
Difficulty: Easy
AACSB: Analytical Thinking
6) What type of conversion changes the old system to a new one by gradually replacing elements
of the old with the new until the old system has been entirely replaced?
A) Direct conversion.
B) Parallel conversion.
C) Phase-in conversion.
D) Pilot conversion.
Answer: C
Concept: Systems conversion
Objective: Learning Objective 4
Difficulty: Easy
AACSB: Analytical Thinking
26
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7) Which of the following describes a phase-in conversion?
A) Both the old and new AIS are operated simultaneously.
B) Elements of the old AIS are replaced gradually with elements of the new AIS.
C) The new AIS is introduced into a segment, rather than the whole organization.
D) The old AIS is terminated as the new AIS is introduced.
Answer: B
Concept: Systems conversion
Objective: Learning Objective 4
Difficulty: Easy
AACSB: Analytical Thinking
8) Which of the following is the final step in the data conversion process?
A) Data conversion.
B) Testing the system.
C) Documentation of conversion activities.
D) Monitoring of the system after data conversion.
Answer: C
Concept: Systems conversion
Objective: Learning Objective 4
Difficulty: Moderate
AACSB: Analytical Thinking
9) Which of the following is not one of the ways data may need to be modified during data
conversion?
A) Resolve data inconsistencies.
B) Validate new files.
C) Identify files to be converted.
D) Remove unnecessary fields from data files.
Answer: D
Concept: Systems conversion
Objective: Learning Objective 4
Difficulty: Moderate
AACSB: Analytical Thinking
10) Which of the following is the most costly and least risky method of converting from one
system to another?
A) Direct conversion.
B) Parallel conversion.
C) Pilot conversion.
D) Phase-in conversion.
Answer: B
Concept: Systems conversion
Objective: Learning Objective 4
Difficulty: Moderate
AACSB: Analytical Thinking
27
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11) Which of the following is the least costly and most risky method of converting from one
system to another?
A) Direct conversion.
B) Parallel conversion.
C) Pilot conversion.
D) Phase-in conversion.
Answer: A
Concept: Systems conversion
Objective: Learning Objective 4
Difficulty: Moderate
AACSB: Analytical Thinking
12) Describe the approaches to system conversion.
Answer: Direct conversion is used when the old system is of no value or is not comparable to
the new system. This type of conversion carries a high risk of failure. Parallel conversion
protects the company from error, but it is costly and stressful to process transactions twice.
Phase-in conversion results in gradual changes over time that also allows resources to be
acquired over time. However, creating temporary interfaces is costly and gradual changes take
time and come at greater expense. Pilot conversion implements the system in just one part of the
organization that allows problems to be corrected before the system is completely adopted.
However, the costs of interfaces and running both systems are a disadvantage.
Concept: Systems conversion
Objective: Learning Objective 4
Difficulty: Moderate
AACSB: Analytical Thinking
5 Discuss the systems operation and maintenance process and the activities in this phase.
1) Changing tax rates in a software program would be accomplished in the ________ phase of
the systems development life cycle.
A) maintenance
B) operations
C) program design
D) implementation
Answer: A
Concept: Operation and maintenance
Objective: Learning Objective 5
Difficulty: Easy
AACSB: Analytical Thinking
28
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2) Which factor is not investigated during the post-implementation review?
A) Accuracy.
B) Benefits.
C) Completion.
D) Costs.
Answer: C
Concept: Operation and maintenance
Objective: Learning Objective 5
Difficulty: Easy
AACSB: Analytical Thinking
3) Which of the following is the final activity in the systems development life cycle?
A) Monitoring of the system.
B) Ongoing maintenance activities.
C) Preparation of the post-implementation review report.
D) User acceptance of the post-implementation review report.
Answer: D
Concept: Operation and maintenance
Objective: Learning Objective 5
Difficulty: Easy
AACSB: Analytical Thinking
4) An analyst who asks the question, "Does the system produce actual and complete data?" is
investigating what post implementation factor?
A) Accuracy.
B) Compatibility.
C) Goals and objectives.
D) Reliability.
Answer: A
Concept: Operation and maintenance
Objective: Learning Objective 5
Difficulty: Moderate
AACSB: Analytical Thinking
5) Performing revisions to existing program code is an example of
A) debugging.
B) structured programming.
C) program maintenance.
D) walk through.
Answer: C
Concept: Operation and maintenance
Objective: Learning Objective 5
Difficulty: Easy
AACSB: Analytical Thinking
29
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6) Describe the post-implementation review activity.
Answer: A post-implementation review ensures that the new AIS meets planned objectives. Any
problems uncovered during the review are brought to the attention of the management and the
necessary adjustments are made. When review is complete, prepare a report. The acceptance of
the post-implementation review report by users concludes the systems development process.
Control of the AIS now passes on to the data processing department.
Concept: Operation and maintenance
Objective: Learning Objective 5
Difficulty: Moderate
AACSB: Analytical Thinking
7) Over the entire life of a typical system, approximately ________ of the work takes place
during development and ________ of the work takes place on software modifications and
updates.
A) 30%; 70%
B) 40%; 60%
C) 50%; 50%
D) 60%; 40%
Answer: A
Concept: Operation and maintenance
Objective: Learning Objective 5
Difficulty: Moderate
AACSB: Analytical Thinking
8) Post implementation review is conducted to
A) determine whether a new system meets its planned objectives.
B) determine how well the project team performed in developing the new system.
C) prioritize future modifications to the system.
D) provide external auditors assurance that a new system has been placed into service.
Answer: A
Concept: Operation and maintenance
Objective: Learning Objective 5
Difficulty: Moderate
AACSB: Analytical Thinking
9) What are the factors that an organization needs to investigate during its postimplementation
review?
Answer: Factors that an organization needs to investigate during its postimplementation review
include: goals and objectives, satisfaction, benefits, costs, reliability, accuracy, timeliness,
compatibility, controls and security, errors, training, communications, organizational changes,
and documentation.
Concept: Operation and maintenance
Objective: Learning Objective 5
Difficulty: Moderate
AACSB: Analytical Thinking
30
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