Business Driven Information Systems, 6e (Baltzan)
Chapter 6 Data: Business Intelligence
1) Information granularity refers to the extent of detail within the information (fine and detailed
or coarse and abstract).
Answer: TRUE
Explanation: Information granularity refers to the extent of detail within the information (fine
and detailed or coarse and abstract).
Difficulty: 1 Easy
Topic: The Business Benefits of High-Quality Information
Bloom's: Remember
Learning Outcome: 06-01 Explain the four primary traits that determine the value of
information.
Accessibility: Keyboard Navigation
Gradable: automatic
2) Information quality refers to the extent of detail within the information (fine and detailed or
coarse and abstract).
Answer: FALSE
Explanation: Information granularity refers to the extent of detail within the information (fine
and detailed or coarse and abstract).
Difficulty: 1 Easy
Topic: The Business Benefits of High-Quality Information
Bloom's: Remember
Learning Outcome: 06-01 Explain the four primary traits that determine the value of
information.
Accessibility: Keyboard Navigation
Gradable: automatic
3) Organizational information has three characteristics including levels, formats, and
granularities.
Answer: TRUE
Explanation: Organizational information has three characteristics including levels, formats, and
granularities.
Difficulty: 1 Easy
Topic: The Business Benefits of High-Quality Information
Bloom's: Remember
Learning Outcome: 06-01 Explain the four primary traits that determine the value of
information.
Accessibility: Keyboard Navigation
Gradable: automatic
1
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written consent of McGraw-Hill Education.
4) The four primary traits of the value of information include type, timeliness, quality, and
governance.
Answer: TRUE
Explanation: The four primary traits of the value of information include type, timeliness,
quality, and governance.
Difficulty: 1 Easy
Topic: The Business Benefits of High-Quality Information
Bloom's: Remember
Learning Outcome: 06-01 Explain the four primary traits that determine the value of
information.
Accessibility: Keyboard Navigation
Gradable: automatic
5) Organizational information has three characteristics including timeliness, quality, and
governance.
Answer: FALSE
Explanation: Organizational information has three characteristics including levels, formats, and
granularities.
Difficulty: 1 Easy
Topic: The Business Benefits of High-Quality Information
Bloom's: Remember
Learning Outcome: 06-01 Explain the four primary traits that determine the value of
information.
Accessibility: Keyboard Navigation
Gradable: automatic
6) The four primary traits of the value of information include levels, formats, granularities, and
type.
Answer: FALSE
Explanation: The four primary traits of the value of information include type, timeliness,
quality, and governance.
Difficulty: 1 Easy
Topic: The Business Benefits of High-Quality Information
Bloom's: Remember
Learning Outcome: 06-01 Explain the four primary traits that determine the value of
information.
Accessibility: Keyboard Navigation
Gradable: automatic
2
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written consent of McGraw-Hill Education.
7) There are only two main primary traits that help you determine the value of information
including timeliness and quality.
Answer: FALSE
Explanation: There are four main primary traits that help you determine the value of
information including timeliness, quality, type, and governance.
Difficulty: 2 Medium
Topic: The Business Benefits of High-Quality Information
Bloom's: Understand
Learning Outcome: 06-01 Explain the four primary traits that determine the value of
information.
Accessibility: Keyboard Navigation
Gradable: automatic
8) If a manager identifies numerous information integrity issues he should consider the reports
generated from that data as invalid and not use them when making decisions.
Answer: TRUE
Explanation: Managers can sometimes utilize information integrity issues to consider reports
invalid and should not make decisions from such sources.
Difficulty: 3 Hard
Topic: The Business Benefits of High-Quality Information
Bloom's: Analyze
Learning Outcome: 06-01 Explain the four primary traits that determine the value of
information.
Accessibility: Keyboard Navigation
Gradable: automatic
9) Real-time information refers to the extent of detail within the information (fine and detailed or
coarse and abstract).
Answer: FALSE
Explanation: Information granularity refers to the extent of detail within the information (fine
and detailed or coarse and abstract).
Difficulty: 2 Medium
Topic: The Business Benefits of High-Quality Information
Bloom's: Understand
Learning Outcome: 06-01 Explain the four primary traits that determine the value of
information.
Accessibility: Keyboard Navigation
Gradable: automatic
3
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written consent of McGraw-Hill Education.
10) Information granularity means immediate, up-to-date information.
Answer: FALSE
Explanation: Real-time information means immediate, up-to-date information.
Difficulty: 2 Medium
Topic: The Business Benefits of High-Quality Information
Bloom's: Understand
Learning Outcome: 06-01 Explain the four primary traits that determine the value of
information.
Accessibility: Keyboard Navigation
Gradable: automatic
11) Real-time systems provide real-time information in response to requests.
Answer: TRUE
Explanation: Real-time systems provide real-time information in response to requests.
Difficulty: 1 Easy
Topic: The Business Benefits of High-Quality Information
Bloom's: Remember
Learning Outcome: 06-01 Explain the four primary traits that determine the value of
information.
Accessibility: Keyboard Navigation
Gradable: automatic
12) Information integrity issues occur when the same data element has different values.
Answer: FALSE
Explanation: Information inconsistency occurs when the same data element has different
values.
Difficulty: 1 Easy
Topic: The Business Benefits of High-Quality Information
Bloom's: Remember
Learning Outcome: 06-01 Explain the four primary traits that determine the value of
information.
Accessibility: Keyboard Navigation
Gradable: automatic
4
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written consent of McGraw-Hill Education.
13) Information integrity issues occur when a system produces incorrect, inconsistent, or
duplicate data.
Answer: TRUE
Explanation: Information integrity issues occur when a system produces incorrect, inconsistent,
or duplicate data.
Difficulty: 1 Easy
Topic: The Business Benefits of High-Quality Information
Bloom's: Remember
Learning Outcome: 06-01 Explain the four primary traits that determine the value of
information.
Accessibility: Keyboard Navigation
Gradable: automatic
14) Data governance refers to the overall management of the availability, usability, integrity, and
security of company data.
Answer: TRUE
Explanation: Data governance refers to the overall management of the availability, usability,
integrity, and security of company data.
Difficulty: 1 Easy
Topic: The Business Benefits of High-Quality Information
Bloom's: Remember
Learning Outcome: 06-01 Explain the four primary traits that determine the value of
information.
Accessibility: Keyboard Navigation
Gradable: automatic
15) Transactional information is used when performing operational tasks and repetitive decisions
such as analyzing daily sales reports and production schedules to determine how much inventory
to carry.
Answer: TRUE
Explanation: Transactional information is used to perform operational tasks.
Difficulty: 1 Easy
Topic: The Business Benefits of High-Quality Information
Bloom's: Remember
Learning Outcome: 06-01 Explain the four primary traits that determine the value of
information.
Accessibility: Keyboard Navigation
Gradable: automatic
5
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written consent of McGraw-Hill Education.
16) Timely information must be up-to-the-second to be accurate.
Answer: FALSE
Explanation: Timely information can change for each business decision. Some decisions
require weekly information while others require daily information.
Difficulty: 1 Easy
Topic: The Business Benefits of High-Quality Information
Bloom's: Remember
Learning Outcome: 06-01 Explain the four primary traits that determine the value of
information.
Accessibility: Keyboard Navigation
Gradable: automatic
17) Organizational information comes at the same level, formats and granularities.
Answer: FALSE
Explanation: Organizational information comes at different formats, levels, and granularities of
information.
Difficulty: 1 Easy
Topic: The Business Benefits of High-Quality Information
Bloom's: Remember
Learning Outcome: 06-01 Explain the four primary traits that determine the value of
information.
Accessibility: Keyboard Navigation
Gradable: automatic
18) Reports for each sales person, product, and part are examples of detail or fine information
granularities.
Answer: TRUE
Explanation: Information granularities include detailed (or fine) information such as reports for
each sales person, product, or parts.
Difficulty: 1 Easy
Topic: The Business Benefits of High-Quality Information
Bloom's: Remember
Learning Outcome: 06-01 Explain the four primary traits that determine the value of
information.
Accessibility: Keyboard Navigation
Gradable: automatic
6
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written consent of McGraw-Hill Education.
19) Master data management (MDM) is the practice of gathering data and ensuring that it is
uniform, accurate, consistent, and complete, including such entities as customers, suppliers,
products, sales, employees, and other critical entities that are commonly integrated across
organizational systems. MDM is commonly included in data governance.
Answer: TRUE
Explanation: Master data management (MDM) is the practice of gathering data and ensuring
that it is uniform, accurate, consistent, and complete, including such entities as customers,
suppliers, products, sales, employees, and other critical entities that are commonly integrated
across organizational systems. MDM is commonly included in data governance.
Difficulty: 1 Easy
Topic: The Business Benefits of High-Quality Information
Bloom's: Remember
Learning Outcome: 06-01 Explain the four primary traits that determine the value of
information.
Accessibility: Keyboard Navigation
Gradable: automatic
20) Data governance is the practice of gathering data and ensuring that it is uniform, accurate,
consistent, and complete, including such entities as customers, suppliers, products, sales,
employees, and other critical entities that are commonly integrated across organizational
systems.
Answer: FALSE
Explanation: Master data management (MDM) is the practice of gathering data and ensuring
that it is uniform, accurate, consistent, and complete, including such entities as customers,
suppliers, products, sales, employees, and other critical entities that are commonly integrated
across organizational systems. MDM is commonly included in data governance.
Difficulty: 1 Easy
Topic: The Business Benefits of High-Quality Information
Bloom's: Remember
Learning Outcome: 06-01 Explain the four primary traits that determine the value of
information.
Accessibility: Keyboard Navigation
Gradable: automatic
7
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written consent of McGraw-Hill Education.
21) Accurate information asks if there is an incorrect value in the information.
Answer: TRUE
Explanation: Accurate information asks if there is an incorrect value in the information.
Difficulty: 1 Easy
Topic: The Business Benefits of High-Quality Information
Bloom's: Remember
Learning Outcome: 06-01 Explain the four primary traits that determine the value of
information.
Accessibility: Keyboard Navigation
Gradable: automatic
22) Complete information asks if there is a value missing from the information.
Answer: TRUE
Explanation: Complete information asks if there is a value missing from the information.
Difficulty: 1 Easy
Topic: The Business Benefits of High-Quality Information
Bloom's: Remember
Learning Outcome: 06-01 Explain the four primary traits that determine the value of
information.
Accessibility: Keyboard Navigation
Gradable: automatic
23) Consistent information asks if the aggregate or summary information in agreement with
detailed information.
Answer: TRUE
Explanation: Consistent information asks if the aggregate or summary information in
agreement with detailed information.
Difficulty: 1 Easy
Topic: The Business Benefits of High-Quality Information
Bloom's: Remember
Learning Outcome: 06-01 Explain the four primary traits that determine the value of
information.
Accessibility: Keyboard Navigation
Gradable: automatic
8
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written consent of McGraw-Hill Education.
24) Timely information asks if the information current with respect to the business needs.
Answer: TRUE
Explanation: Timely information asks if the information current with respect to the business
needs.
Difficulty: 1 Easy
Topic: The Business Benefits of High-Quality Information
Bloom's: Remember
Learning Outcome: 06-01 Explain the four primary traits that determine the value of
information.
Accessibility: Keyboard Navigation
Gradable: automatic
25) Unique information asks if each transaction and event represented only once in the
information.
Answer: TRUE
Explanation: Unique information asks if each transaction and event represented only once in
the information.
Difficulty: 1 Easy
Topic: The Business Benefits of High-Quality Information
Bloom's: Remember
Learning Outcome: 06-01 Explain the four primary traits that determine the value of
information.
Accessibility: Keyboard Navigation
Gradable: automatic
26) Complete information asks if there is an incorrect value in the information.
Answer: FALSE
Explanation: Accurate information asks if there is an incorrect value in the information.
Difficulty: 1 Easy
Topic: The Business Benefits of High-Quality Information
Bloom's: Remember
Learning Outcome: 06-01 Explain the four primary traits that determine the value of
information.
Accessibility: Keyboard Navigation
Gradable: automatic
9
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written consent of McGraw-Hill Education.
27) Consistent information asks if there is a value missing from the information.
Answer: FALSE
Explanation: Complete information asks if there is a value missing from the information.
Difficulty: 1 Easy
Topic: The Business Benefits of High-Quality Information
Bloom's: Remember
Learning Outcome: 06-01 Explain the four primary traits that determine the value of
information.
Accessibility: Keyboard Navigation
Gradable: automatic
28) Accurate information asks if the aggregate or summary information in agreement with
detailed information.
Answer: FALSE
Explanation: Consistent information asks if the aggregate or summary information in
agreement with detailed information.
Difficulty: 1 Easy
Topic: The Business Benefits of High-Quality Information
Bloom's: Remember
Learning Outcome: 06-01 Explain the four primary traits that determine the value of
information.
Accessibility: Keyboard Navigation
Gradable: automatic
29) Unique information asks if the information current with respect to the business needs.
Answer: FALSE
Explanation: Timely information asks if the information current with respect to the business
needs.
Difficulty: 1 Easy
Topic: The Business Benefits of High-Quality Information
Bloom's: Remember
Learning Outcome: 06-01 Explain the four primary traits that determine the value of
information.
Accessibility: Keyboard Navigation
Gradable: automatic
10
Copyright 2019 © McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior
written consent of McGraw-Hill Education.
30) Timely information asks if each transaction and event represented only once in the
information.
Answer: FALSE
Explanation: Unique information asks if each transaction and event represented only once in
the information.
Difficulty: 1 Easy
Topic: The Business Benefits of High-Quality Information
Bloom's: Remember
Learning Outcome: 06-01 Explain the four primary traits that determine the value of
information.
Accessibility: Keyboard Navigation
Gradable: automatic
31) Determining if there are any duplicate customers in the data is an example of a unique
characteristic of high-quality information.
Answer: TRUE
Explanation: Determining if there are any duplicate customers in the data is an example of a
unique characteristic of high-quality information.
Difficulty: 1 Easy
Topic: The Business Benefits of High-Quality Information
Bloom's: Remember
Learning Outcome: 06-01 Explain the four primary traits that determine the value of
information.
Accessibility: Keyboard Navigation
Gradable: automatic
32) Determining if all total columns equal the true total of the individual item is an example of a
consistent characteristic of high-quality information.
Answer: TRUE
Explanation: Determining if all total columns equal the true total of the individual item is an
example of a consistent characteristic of high-quality information.
Difficulty: 1 Easy
Topic: The Business Benefits of High-Quality Information
Bloom's: Remember
Learning Outcome: 06-01 Explain the four primary traits that determine the value of
information.
Accessibility: Keyboard Navigation
Gradable: automatic
11
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written consent of McGraw-Hill Education.
33) A data steward is responsible for ensuring the policies and procedures are implemented
across the organization and acts as a liaison between the MIS department and the business.
Answer: TRUE
Explanation: A data steward is responsible for ensuring the policies and procedures are
implemented across the organization and acts as a liaison between the MIS department and the
business.
Difficulty: 1 Easy
Topic: The Business Benefits of High-Quality Information
Bloom's: Remember
Learning Outcome: 06-01 Explain the four primary traits that determine the value of
information.
Accessibility: Keyboard Navigation
Gradable: automatic
34) Data stewardship is the management and oversight of an organization's data assets to help
provide business users with high-quality data that is easily accessible in a consistent manner.
Answer: TRUE
Explanation: Data stewardship is the management and oversight of an organization's data assets
to help provide business users with high-quality data that is easily accessible in a consistent
manner.
Difficulty: 1 Easy
Topic: The Business Benefits of High-Quality Information
Bloom's: Remember
Learning Outcome: 06-01 Explain the four primary traits that determine the value of
information.
Accessibility: Keyboard Navigation
Gradable: automatic
35) Data latency includes the tests and evaluations used to determine compliance with data
governance polices to ensure correctness of data.
Answer: FALSE
Explanation: Data validation includes the tests and evaluations used to determine compliance
with data governance polices to ensure correctness of data.
Difficulty: 1 Easy
Topic: The Business Benefits of High-Quality Information
Bloom's: Remember
Learning Outcome: 06-01 Explain the four primary traits that determine the value of
information.
Accessibility: Keyboard Navigation
Gradable: automatic
12
Copyright 2019 © McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior
written consent of McGraw-Hill Education.
36) Data validation includes the tests and evaluations used to determine compliance with data
governance polices to ensure correctness of data.
Answer: TRUE
Explanation: Data validation includes the tests and evaluations used to determine compliance
with data governance polices to ensure correctness of data.
Difficulty: 1 Easy
Topic: The Business Benefits of High-Quality Information
Bloom's: Remember
Learning Outcome: 06-01 Explain the four primary traits that determine the value of
information.
Accessibility: Keyboard Navigation
Gradable: automatic
37) Data validation helps to ensure that every data value is correct and accurate. In Microsoft Word,
you can use data validation to control the type of data or the values that users enter into a cell.
Answer: FALSE
Explanation: Data validation helps to ensure that every data value is correct and accurate. In
Excel you can use data validation to control the type of data or the values that users enter into a
cell.
Difficulty: 2 Medium
Topic: The Business Benefits of High-Quality Information
Bloom's: Remember
Learning Outcome: 06-01 Explain the four primary traits that determine the value of
information.
Accessibility: Keyboard Navigation
Gradable: automatic
38) Identity management is the practice of gathering data and ensuring that it is uniform,
accurate, consistent, and complete, including such entities as customers, suppliers, products,
sales, employees, and other critical entities that are commonly integrated across organizational
systems.
Answer: FALSE
Explanation: Master data management is the practice of gathering data and ensuring that it is
uniform, accurate, consistent, and complete, including such entities as customers, suppliers,
products, sales, employees, and other critical entities that are commonly integrated across
organizational systems.
Difficulty: 1 Easy
Topic: The Business Benefits of High-Quality Information
Bloom's: Remember
Learning Outcome: 06-01 Explain the four primary traits that determine the value of
information.
Accessibility: Keyboard Navigation
Gradable: automatic
13
Copyright 2019 © McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior
written consent of McGraw-Hill Education.
39) A data gap analysis occurs when a company examines its data to determine if it can meet
business expectations, while identifying possible data gaps or where missing data might exist.
Answer: TRUE
Explanation: A data gap analysis occurs when a company examines its data to determine if it
can meet business expectations, while identifying possible data gaps or where missing data might
exist.
Difficulty: 1 Easy
Topic: The Business Benefits of High-Quality Information
Bloom's: Remember
Learning Outcome: 06-01 Explain the four primary traits that determine the value of
information.
Accessibility: Keyboard Navigation
Gradable: automatic
40) Determining if a name is spelled correctly is an example of an accurate characteristic of
high-quality information.
Answer: TRUE
Explanation: Determining if a name is spelled correctly is an example of an accurate
characteristic of high-quality information.
Difficulty: 1 Easy
Topic: The Business Benefits of High-Quality Information
Bloom's: Remember
Learning Outcome: 06-01 Explain the four primary traits that determine the value of
information.
Accessibility: Keyboard Navigation
Gradable: automatic
41) Determining if information is updated weekly, daily, or hourly is an example of an accurate
characteristic of high-quality information.
Answer: TRUE
Explanation: Determining if information is updated weekly, daily, or hourly is an example of an
accurate characteristic of high-quality information.
Difficulty: 1 Easy
Topic: The Business Benefits of High-Quality Information
Bloom's: Remember
Learning Outcome: 06-01 Explain the four primary traits that determine the value of
information.
Accessibility: Keyboard Navigation
Gradable: automatic
14
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written consent of McGraw-Hill Education.
42) A foreign key is a field (or group of fields) that uniquely identifies a given entity in a table.
Answer: FALSE
Explanation: A primary key is a field (or group of fields) that uniquely identifies a given entity
in a table.
Difficulty: 2 Medium
Topic: Storing Information Using a Relational Database Management System
Bloom's: Understand
Learning Outcome: 06-02 Describe a database, a database management system, and the
relational database model.
Accessibility: Keyboard Navigation
Gradable: automatic
43) The core component of any system, regardless of size, is a database and a database
management system.
Answer: TRUE
Explanation: The core component of any system, regardless of size, is a database and a
database management system.
Difficulty: 1 Easy
Topic: Storing Information Using a Relational Database Management System
Bloom's: Remember
Learning Outcome: 06-02 Describe a database, a database management system, and the
relational database model.
Accessibility: Keyboard Navigation
Gradable: automatic
44) MMSDB creates, reads, updates, and deletes data in a database while controlling access and
security.
Answer: FALSE
Explanation: DBMS creates, reads, updates, and deletes data in a database while controlling
access and security.
Difficulty: 1 Easy
Topic: Storing Information Using a Relational Database Management System
Bloom's: Remember
Learning Outcome: 06-02 Describe a database, a database management system, and the
relational database model.
Accessibility: Keyboard Navigation
Gradable: automatic
15
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written consent of McGraw-Hill Education.
45) A foreign key provides details about data.
Answer: FALSE
Explanation: Metadata provides details about data.
Difficulty: 1 Easy
Topic: Storing Information Using a Relational Database Management System
Bloom's: Remember
Learning Outcome: 06-02 Describe a database, a database management system, and the
relational database model.
Accessibility: Keyboard Navigation
Gradable: automatic
46) There are three primary data models for organizing information including the hierarchical,
network, and relational database models.
Answer: TRUE
Explanation: A DBMS uses three primary data models for organizing information including the
hierarchical, network, and relational database models.
Difficulty: 1 Easy
Topic: Storing Information Using a Relational Database Management System
Bloom's: Remember
Learning Outcome: 06-02 Describe a database, a database management system, and the
relational database model.
Accessibility: Keyboard Navigation
Gradable: automatic
47) Data element (or data field) is the smallest or basic unit of information.
Answer: TRUE
Explanation: Data element (or data field) is the smallest or basic unit of information.
Difficulty: 1 Easy
Topic: Storing Information Using a Relational Database Management System
Bloom's: Remember
Learning Outcome: 06-02 Describe a database, a database management system, and the
relational database model.
Accessibility: Keyboard Navigation
Gradable: automatic
16
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written consent of McGraw-Hill Education.
48) Data elements can include a customer's name, address, email, discount rate, preferred
shipping method, product name, quantity ordered, and so on.
Answer: TRUE
Explanation: Data elements can include a customer's name, address, email, discount rate,
preferred shipping method, product name, quantity ordered, and so on.
Difficulty: 1 Easy
Topic: Storing Information Using a Relational Database Management System
Bloom's: Remember
Learning Outcome: 06-02 Describe a database, a database management system, and the
relational database model.
Accessibility: Keyboard Navigation
Gradable: automatic
49) Data models are logical data structures that detail the relationships among data elements by
using graphics or pictures.
Answer: TRUE
Explanation: Data models are logical data structures that detail the relationships among data
elements by using graphics or pictures.
Difficulty: 1 Easy
Topic: Storing Information Using a Relational Database Management System
Bloom's: Remember
Learning Outcome: 06-02 Describe a database, a database management system, and the
relational database model.
Accessibility: Keyboard Navigation
Gradable: automatic
50) Metadata provides details about data. For example, metadata for an image could include its
size, resolution, and date created.
Answer: TRUE
Explanation: Metadata provides details about data. For example, metadata for an image could
include its size, resolution, and date created.
Difficulty: 1 Easy
Topic: Storing Information Using a Relational Database Management System
Bloom's: Remember
Learning Outcome: 06-02 Describe a database, a database management system, and the
relational database model.
Accessibility: Keyboard Navigation
Gradable: automatic
17
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written consent of McGraw-Hill Education.
51) Data dictionary compiles all of the metadata about the data elements in the data model.
Answer: TRUE
Explanation: Data dictionary compiles all of the metadata about the data elements in the data
model.
Difficulty: 1 Easy
Topic: Storing Information Using a Relational Database Management System
Bloom's: Remember
Learning Outcome: 06-02 Describe a database, a database management system, and the
relational database model.
Accessibility: Keyboard Navigation
Gradable: automatic
52) Relational database model stores information in the form of logically related twodimensional tables.
Answer: TRUE
Explanation: Relational database model stores information in the form of logically related twodimensional tables.
Difficulty: 1 Easy
Topic: Storing Information Using a Relational Database Management System
Bloom's: Remember
Learning Outcome: 06-02 Describe a database, a database management system, and the
relational database model.
Accessibility: Keyboard Navigation
Gradable: automatic
53) Relational database management system allows users to create, read, update, and delete data
in a relational database.
Answer: TRUE
Explanation: Relational database management system allows users to create, read, update, and
delete data in a relational database.
Difficulty: 1 Easy
Topic: Storing Information Using a Relational Database Management System
Bloom's: Remember
Learning Outcome: 06-02 Describe a database, a database management system, and the
relational database model.
Accessibility: Keyboard Navigation
Gradable: automatic
18
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written consent of McGraw-Hill Education.
54) Attributes (also called columns or fields) are the data elements associated with an entity.
Answer: TRUE
Explanation: Attributes (also called columns or fields) are the data elements associated with an
entity.
Difficulty: 1 Easy
Topic: Storing Information Using a Relational Database Management System
Bloom's: Remember
Learning Outcome: 06-02 Describe a database, a database management system, and the
relational database model.
Accessibility: Keyboard Navigation
Gradable: automatic
55) Record is a collection of related data elements
Answer: TRUE
Explanation: Record is a collection of related data elements
Difficulty: 1 Easy
Topic: Storing Information Using a Relational Database Management System
Bloom's: Remember
Learning Outcome: 06-02 Describe a database, a database management system, and the
relational database model.
Accessibility: Keyboard Navigation
Gradable: automatic
56) Primary key is a field (or group of fields) that uniquely identifies a given record in a table.
Answer: TRUE
Explanation: Primary key is a field (or group of fields) that uniquely identifies a given record in
a table.
Difficulty: 1 Easy
Topic: Storing Information Using a Relational Database Management System
Bloom's: Remember
Learning Outcome: 06-02 Describe a database, a database management system, and the
relational database model.
Accessibility: Keyboard Navigation
Gradable: automatic
19
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written consent of McGraw-Hill Education.
57) Foreign key is a primary key of one table that appears as an attribute in another table and acts
to provide a logical relationship between the two tables.
Answer: TRUE
Explanation: Foreign key is a primary key of one table that appears as an attribute in another
table and acts to provide a logical relationship between the two tables.
Difficulty: 1 Easy
Topic: Storing Information Using a Relational Database Management System
Bloom's: Remember
Learning Outcome: 06-02 Describe a database, a database management system, and the
relational database model.
Accessibility: Keyboard Navigation
Gradable: automatic
58) A primary key is the smallest or basic unit of information.
Answer: FALSE
Explanation: Data element (or data field) is the smallest or basic unit of information.
Difficulty: 1 Easy
Topic: Storing Information Using a Relational Database Management System
Bloom's: Remember
Learning Outcome: 06-02 Describe a database, a database management system, and the
relational database model.
Accessibility: Keyboard Navigation
Gradable: automatic
59) Data models can include a customer's name, address, email, discount rate, preferred shipping
method, product name, quantity ordered, and so on.
Answer: FALSE
Explanation: Data elements can include a customer's name, address, email, discount rate,
preferred shipping method, product name, quantity ordered, and so on.
Difficulty: 1 Easy
Topic: Storing Information Using a Relational Database Management System
Bloom's: Remember
Learning Outcome: 06-02 Describe a database, a database management system, and the
relational database model.
Accessibility: Keyboard Navigation
Gradable: automatic
20
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written consent of McGraw-Hill Education.
60) Metadata are logical data structures that detail the relationships among data elements by
using graphics or pictures.
Answer: FALSE
Explanation: Data models are logical data structures that detail the relationships among data
elements by using graphics or pictures.
Difficulty: 1 Easy
Topic: Storing Information Using a Relational Database Management System
Bloom's: Remember
Learning Outcome: 06-02 Describe a database, a database management system, and the
relational database model.
Accessibility: Keyboard Navigation
Gradable: automatic
61) A DBMS provides details about data.
Answer: FALSE
Explanation: Metadata provides details about data. For example, metadata for an image could
include its size, resolution, and date created.
Difficulty: 1 Easy
Topic: Storing Information Using a Relational Database Management System
Bloom's: Remember
Learning Outcome: 06-02 Describe a database, a database management system, and the
relational database model.
Accessibility: Keyboard Navigation
Gradable: automatic
62) Structured query language compiles all of the metadata about the data elements in the data
model.
Answer: FALSE
Explanation: Data dictionary compiles all of the metadata about the data elements in the data
model.
Difficulty: 1 Easy
Topic: Storing Information Using a Relational Database Management System
Bloom's: Remember
Learning Outcome: 06-02 Describe a database, a database management system, and the
relational database model.
Accessibility: Keyboard Navigation
Gradable: automatic
21
Copyright 2019 © McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior
written consent of McGraw-Hill Education.
63) hierarchical database model stores information in the form of logically related twodimensional tables.
Answer: FALSE
Explanation: Relational database model stores information in the form of logically related twodimensional tables.
Difficulty: 1 Easy
Topic: Storing Information Using a Relational Database Management System
Bloom's: Remember
Learning Outcome: 06-02 Describe a database, a database management system, and the
relational database model.
Accessibility: Keyboard Navigation
Gradable: automatic
64) Entities are the data elements associated with an attribute.
Answer: FALSE
Explanation: Attributes (also called columns or fields) are the data elements associated with an
entity.
Difficulty: 1 Easy
Topic: Storing Information Using a Relational Database Management System
Bloom's: Remember
Learning Outcome: 06-02 Describe a database, a database management system, and the
relational database model.
Accessibility: Keyboard Navigation
Gradable: automatic
65) A field is a collection of related data elements
Answer: FALSE
Explanation: Record is a collection of related data elements
Difficulty: 1 Easy
Topic: Storing Information Using a Relational Database Management System
Bloom's: Remember
Learning Outcome: 06-02 Describe a database, a database management system, and the
relational database model.
Accessibility: Keyboard Navigation
Gradable: automatic
22
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written consent of McGraw-Hill Education.
66) A foreign key uniquely identifies a given record in a table.
Answer: FALSE
Explanation: Primary key is a field (or group of fields) that uniquely identifies a given record in
a table.
Difficulty: 1 Easy
Topic: Storing Information Using a Relational Database Management System
Bloom's: Remember
Learning Outcome: 06-02 Describe a database, a database management system, and the
relational database model.
Accessibility: Keyboard Navigation
Gradable: automatic
67) A primary key is a foreign key of one table that appears as an attribute in another table and
acts to provide a logical relationship between the two tables.
Answer: FALSE
Explanation: Foreign key is a primary key of one table that appears as an attribute in another
table and acts to provide a logical relationship between the two tables.
Difficulty: 1 Easy
Topic: Storing Information Using a Relational Database Management System
Bloom's: Remember
Learning Outcome: 06-02 Describe a database, a database management system, and the
relational database model.
Accessibility: Keyboard Navigation
Gradable: automatic
68) Databases offer many security features including passwords to provide authentication, access
levels to determine who can access the data, and access controls to determine what type of access
they have to the information.
Answer: TRUE
Explanation: Databases offer many security features including passwords to provide
authentication, access levels to determine who can access the data, and access controls to
determine what type of access they have to the information.
Difficulty: 2 Medium
Topic: Using a Relational Database for Business Advantages
Bloom's: Understand
Learning Outcome: 06-03 Identify the business advantages of a relational database.
Accessibility: Keyboard Navigation
Gradable: automatic
23
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written consent of McGraw-Hill Education.
69) Information redundancy is the duplication of data, or the storage of the same data in multiple
places.
Answer: TRUE
Explanation: Information redundancy is the duplication of data, or the storage of the same data
in multiple places.
Difficulty: 1 Easy
Topic: Using a Relational Database for Business Advantages
Bloom's: Remember
Learning Outcome: 06-03 Identify the business advantages of a relational database.
Accessibility: Keyboard Navigation
Gradable: automatic
70) Relational databases offer many advantages over using a text document or a spreadsheet,
which include decreased flexibility and decreased scalability and performance.
Answer: FALSE
Explanation: Relational databases offer many advantages over using a text document or a
spreadsheet, which include increased flexibility and increased scalability and performance.
Difficulty: 2 Medium
Topic: Using a Relational Database for Business Advantages
Bloom's: Understand
Learning Outcome: 06-03 Identify the business advantages of a relational database.
Accessibility: Keyboard Navigation
Gradable: automatic
71) The physical view of information deals with the physical storage of information on a storage
device.
Answer: TRUE
Explanation: The physical view of information deals with the physical storage of information
on a storage device.
Difficulty: 1 Easy
Topic: Using a Relational Database for Business Advantages
Bloom's: Remember
Learning Outcome: 06-03 Identify the business advantages of a relational database.
Accessibility: Keyboard Navigation
Gradable: automatic
24
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written consent of McGraw-Hill Education.
72) The logical view of information focuses on how individual users logically access information
to meet their own particular business needs.
Answer: TRUE
Explanation: The logical view of information focuses on how individual users logically access
information to meet their own particular business needs.
Difficulty: 1 Easy
Topic: Using a Relational Database for Business Advantages
Bloom's: Remember
Learning Outcome: 06-03 Identify the business advantages of a relational database.
Accessibility: Keyboard Navigation
Gradable: automatic
73) The logical view of information deals with the physical storage of information on a storage
device.
Answer: FALSE
Explanation: The physical view of information deals with the physical storage of information
on a storage device.
Difficulty: 1 Easy
Topic: Using a Relational Database for Business Advantages
Bloom's: Remember
Learning Outcome: 06-03 Identify the business advantages of a relational database.
Accessibility: Keyboard Navigation
Gradable: automatic
74) The physical view of information focuses on how individual users logically access
information to meet their own particular business needs.
Answer: FALSE
Explanation: The logical view of information focuses on how individual users logically access
information to meet their own particular business needs.
Difficulty: 1 Easy
Topic: Using a Relational Database for Business Advantages
Bloom's: Remember
Learning Outcome: 06-03 Identify the business advantages of a relational database.
Accessibility: Keyboard Navigation
Gradable: automatic
25
Copyright 2019 © McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior
written consent of McGraw-Hill Education.
75) A business rule defines how a company performs certain aspects of its business and typically
results in either a yes/no or true/false answer.
Answer: TRUE
Explanation: A business rule defines how a company performs certain aspects of its business
and typically results in either a yes/no or true/false answer.
Difficulty: 1 Easy
Topic: Using a Relational Database for Business Advantages
Bloom's: Remember
Learning Outcome: 06-03 Identify the business advantages of a relational database.
Accessibility: Keyboard Navigation
Gradable: automatic
76) A business catalog defines how a company performs certain aspects of its business and
typically results in either a yes/no or true/false answer.
Answer: FALSE
Explanation: A business rule defines how a company performs certain aspects of its business
and typically results in either a yes/no or true/false answer.
Difficulty: 1 Easy
Topic: Using a Relational Database for Business Advantages
Bloom's: Remember
Learning Outcome: 06-03 Identify the business advantages of a relational database.
Accessibility: Keyboard Navigation
Gradable: automatic
77) Information redundancy is the duplication of data, or the storage of the same data in multiple
places.
Answer: TRUE
Explanation: Information redundancy is the duplication of data, or the storage of the same data
in multiple places.
Difficulty: 1 Easy
Topic: Using a Relational Database for Business Advantages
Bloom's: Remember
Learning Outcome: 06-03 Identify the business advantages of a relational database.
Accessibility: Keyboard Navigation
Gradable: automatic
26
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written consent of McGraw-Hill Education.
78) Information integrity is a measure of the quality of information.
Answer: TRUE
Explanation: Information integrity is a measure of the quality of information.
Difficulty: 1 Easy
Topic: Using a Relational Database for Business Advantages
Bloom's: Remember
Learning Outcome: 06-03 Identify the business advantages of a relational database.
Accessibility: Keyboard Navigation
Gradable: automatic
79) Integrity constraints are rules that help ensure the quality of information.
Answer: TRUE
Explanation: Integrity constraints are rules that help ensure the quality of information.
Difficulty: 1 Easy
Topic: Using a Relational Database for Business Advantages
Bloom's: Remember
Learning Outcome: 06-03 Identify the business advantages of a relational database.
Accessibility: Keyboard Navigation
Gradable: automatic
80) Relational integrity constraints are rules that enforce basic and fundamental informationbased constraints.
Answer: TRUE
Explanation: Relational integrity constraints are rules that enforce basic and fundamental
information-based constraints.
Difficulty: 1 Easy
Topic: Using a Relational Database for Business Advantages
Bloom's: Remember
Learning Outcome: 06-03 Identify the business advantages of a relational database.
Accessibility: Keyboard Navigation
Gradable: automatic
81) Information constraints is a measure of the quality of information.
Answer: FALSE
Explanation: Information integrity is a measure of the quality of information.
Difficulty: 1 Easy
Topic: Using a Relational Database for Business Advantages
Bloom's: Remember
Learning Outcome: 06-03 Identify the business advantages of a relational database.
Accessibility: Keyboard Navigation
Gradable: automatic
27
Copyright 2019 © McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior
written consent of McGraw-Hill Education.
82) Information integrity are rules that help ensure the quality of information.
Answer: FALSE
Explanation: Integrity constraints are rules that help ensure the quality of information.
Difficulty: 1 Easy
Topic: Using a Relational Database for Business Advantages
Bloom's: Remember
Learning Outcome: 06-03 Identify the business advantages of a relational database.
Accessibility: Keyboard Navigation
Gradable: automatic
83) Relationship integrity criteria are rules that enforce basic and fundamental information-based
constraints.
Answer: FALSE
Explanation: Relational integrity constraints are rules that enforce basic and fundamental
information-based constraints.
Difficulty: 1 Easy
Topic: Using a Relational Database for Business Advantages
Bloom's: Remember
Learning Outcome: 06-03 Identify the business advantages of a relational database.
Accessibility: Keyboard Navigation
Gradable: automatic
84) Master data management is a broad administrative area that deals with identifying
individuals in a system (such as a country, a network, or an enterprise) and controlling their
access to resources within that system by associating user rights and restrictions with the
established identity.
Answer: FALSE
Explanation: Identity management is a broad administrative area that deals with identifying
individuals in a system (such as a country, a network, or an enterprise) and controlling their
access to resources within that system by associating user rights and restrictions with the
established identity.
Difficulty: 1 Easy
Topic: Using a Relational Database for Business Advantages
Bloom's: Remember
Learning Outcome: 06-03 Identify the business advantages of a relational database.
Accessibility: Keyboard Navigation
Gradable: automatic
28
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written consent of McGraw-Hill Education.
85) Data latency is the time it takes for data to be stored or retrieved.
Answer: TRUE
Explanation: Data latency is the time it takes for data to be stored or retrieved.
Difficulty: 1 Easy
Topic: Using a Relational Database for Business Advantages
Bloom's: Remember
Learning Outcome: 06-03 Identify the business advantages of a relational database.
Accessibility: Keyboard Navigation
Gradable: automatic
86) Relational integrity constraints enforce business rules vital to an organization's success and
often require more insight and knowledge than relational integrity constraints.
Answer: FALSE
Explanation: Business critical integrity constraints enforce business rules vital to an
organization's success and often require more insight and knowledge than relational integrity
constraints.
Difficulty: 1 Easy
Topic: Using a Relational Database for Business Advantages
Bloom's: Remember
Learning Outcome: 06-03 Identify the business advantages of a relational database.
Accessibility: Keyboard Navigation
Gradable: automatic
87) Business critical integrity constraints enforce business rules vital to an organization's success
and often require more insight and knowledge than relational integrity constraints.
Answer: TRUE
Explanation: Business critical integrity constraints enforce business rules vital to an
organization's success and often require more insight and knowledge than relational integrity
constraints.
Difficulty: 1 Easy
Topic: Using a Relational Database for Business Advantages
Bloom's: Remember
Learning Outcome: 06-03 Identify the business advantages of a relational database.
Accessibility: Keyboard Navigation
Gradable: automatic
29
Copyright 2019 © McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior
written consent of McGraw-Hill Education.
88) One of the advantages found in a relational database is increased information redundancy.
Answer: FALSE
Explanation: Relational databases reduce information redundancy, not increase information
redundancy.
Difficulty: 2 Medium
Topic: Using a Relational Database for Business Advantages
Bloom's: Understand
Learning Outcome: 06-03 Identify the business advantages of a relational database.
Accessibility: Keyboard Navigation
Gradable: automatic
89) Relational integrity constraints are rules that enforce basic and fundamental informationbased constraints.
Answer: TRUE
Explanation: Relational integrity constraints are rules that enforce basic and fundamental
information-based constraints.
Difficulty: 1 Easy
Topic: Using a Relational Database for Business Advantages
Bloom's: Remember
Learning Outcome: 06-03 Identify the business advantages of a relational database.
Accessibility: Keyboard Navigation
Gradable: automatic
90) A data-driven website can help limit the amount of information displayed to customers based
on unique search requirements.
Answer: TRUE
Explanation: A data-driven website can help limit the amount of information displayed to
customers based on unique search requirements.
Difficulty: 2 Medium
Topic: Driving Websites with Data
Bloom's: Understand
Learning Outcome: 06-04 Explain the business benefits of a data-driven website.
Accessibility: Keyboard Navigation
Gradable: automatic
30
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written consent of McGraw-Hill Education.
91) Data-driven websites offer several advantages as it is far easier to manage content and store
large amounts of data.
Answer: TRUE
Explanation: Additional data-driven website advantages are easy to manage content and easy to
store large amounts of data.
Difficulty: 2 Medium
Topic: Driving Websites with Data
Bloom's: Understand
Learning Outcome: 06-04 Explain the business benefits of a data-driven website.
Accessibility: Keyboard Navigation
Gradable: automatic
92) A content creator is the person responsible for creating the original website content.
Answer: TRUE
Explanation: A content creator is the person responsible for creating the original website
content.
Difficulty: 1 Easy
Topic: Driving Websites with Data
Bloom's: Remember
Learning Outcome: 06-04 Explain the business benefits of a data-driven website.
Accessibility: Keyboard Navigation
Gradable: automatic
93) A content creator is the person responsible for updating and maintaining website content.
Answer: FALSE
Explanation: A content editor is the person responsible for updating and maintaining website
content.
Difficulty: 1 Easy
Topic: Driving Websites with Data
Bloom's: Remember
Learning Outcome: 06-04 Explain the business benefits of a data-driven website.
Accessibility: Keyboard Navigation
Gradable: automatic
31
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written consent of McGraw-Hill Education.
94) A content editor is the person responsible for updating and maintaining website content.
Answer: TRUE
Explanation: A content editor is the person responsible for updating and maintaining website
content.
Difficulty: 1 Easy
Topic: Driving Websites with Data
Bloom's: Remember
Learning Outcome: 06-04 Explain the business benefits of a data-driven website.
Accessibility: Keyboard Navigation
Gradable: automatic
95) Static information includes fixed data incapable of change in the event of a user action.
Answer: TRUE
Explanation: Static information includes fixed data incapable of change in the event of a user
action.
Difficulty: 1 Easy
Topic: Driving Websites with Data
Bloom's: Remember
Learning Outcome: 06-04 Explain the business benefits of a data-driven website.
Accessibility: Keyboard Navigation
Gradable: automatic
96) Static information includes data that changes based on user actions.
Answer: FALSE
Explanation: Dynamic information includes data that change based on user actions.
Difficulty: 1 Easy
Topic: Driving Websites with Data
Bloom's: Remember
Learning Outcome: 06-04 Explain the business benefits of a data-driven website.
Accessibility: Keyboard Navigation
Gradable: automatic
97) Dynamic information includes data that change based on user actions.
Answer: TRUE
Explanation: Dynamic information includes data that change based on user actions.
Difficulty: 1 Easy
Topic: Driving Websites with Data
Bloom's: Remember
Learning Outcome: 06-04 Explain the business benefits of a data-driven website.
Accessibility: Keyboard Navigation
Gradable: automatic
32
Copyright 2019 © McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior
written consent of McGraw-Hill Education.
98) Dynamic website information is stored in a dynamic catalog, or an area of a website that
stores information about products in a database.
Answer: TRUE
Explanation: Dynamic website information is stored in a dynamic catalog, or an area of a
website that stores information about products in a database.
Difficulty: 1 Easy
Topic: Driving Websites with Data
Bloom's: Remember
Learning Outcome: 06-04 Explain the business benefits of a data-driven website.
Accessibility: Keyboard Navigation
Gradable: automatic
99) A data-driven website is an interactive website kept constantly updated and relevant to the
needs of its customers using a database.
Answer: TRUE
Explanation: A data-driven website is an interactive website kept constantly updated and
relevant to the needs of its customers using a database.
Difficulty: 1 Easy
Topic: Driving Websites with Data
Bloom's: Remember
Learning Outcome: 06-04 Explain the business benefits of a data-driven website.
Accessibility: Keyboard Navigation
Gradable: automatic
100) What is it called when a manager has so much data and information that they cannot make a
decision?
A) Data rich, information poor
B) Data rich, content poor
C) Data rich, communication poor
D) Data rich, intelligence
Answer: A
Explanation: The critical problem still facing managers today when there is so much
information to analyze and having so many tools at our fingertips is data rich, yet information
poor.
Difficulty: 2 Medium
Topic: Business Intelligence
Bloom's: Understand
Learning Outcome: 06-06 Identify the advantages of using business intelligence to support
managerial decision making.
Accessibility: Keyboard Navigation
Gradable: automatic
33
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written consent of McGraw-Hill Education.
101) Which of the below questions can be answered using business intelligence?
A) Where has the business been?
B) Where is the business now?
C) Where is the business going?
D) All of the above.
Answer: D
Explanation: All are outlined in the book.
Difficulty: 1 Easy
Topic: Business Intelligence
Bloom's: Remember
Learning Outcome: 06-06 Identify the advantages of using business intelligence to support
managerial decision making.
Accessibility: Keyboard Navigation
Gradable: automatic
102) What is information that people use to support their decision-making efforts?
A) Information cleansing and scrubbing
B) Data-mining tools
C) Data mining
D) Business intelligence
Answer: D
Explanation: This is the definition of business intelligence.
Difficulty: 1 Easy
Topic: Business Intelligence
Bloom's: Remember
Learning Outcome: 06-06 Identify the advantages of using business intelligence to support
managerial decision making.
Accessibility: Keyboard Navigation
Gradable: automatic
34
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written consent of McGraw-Hill Education.
103) How would the airline industry use business intelligence?
A) Analyze popular vacation locations with current flight listings
B) Understand customer credit card usage and nonpayment rates
C) Compare the demographics of patients with critical illnesses
D) Predict claim amounts and medical coverage costs
Answer: A
Explanation: The airline industry would use business intelligence to analyze popular vacation
locations with current flight listings.
Difficulty: 1 Easy
Topic: Business Intelligence
Bloom's: Remember
Learning Outcome: 06-06 Identify the advantages of using business intelligence to support
managerial decision making.
Accessibility: Keyboard Navigation
Gradable: automatic
104) How would the banking industry use business intelligence?
A) Analyze popular vacation locations with current flight listings
B) Understand customer credit card usage and nonpayment rates
C) Compare the demographics of patients with critical illnesses
D) Predict claim amounts and medical coverage costs
Answer: B
Explanation: The banking industry would use business intelligence to understand customer
credit card usage and nonpayment rates.
Difficulty: 1 Easy
Topic: Business Intelligence
Bloom's: Remember
Learning Outcome: 06-06 Identify the advantages of using business intelligence to support
managerial decision making.
Accessibility: Keyboard Navigation
Gradable: automatic
35
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written consent of McGraw-Hill Education.
105) How would the health care industry use business intelligence?
A) Analyze popular vacation locations with current flight listings
B) Understand customer credit card usage and nonpayment rates
C) Compare the demographics of patients with critical illnesses
D) Predict claim amounts and medical coverage costs
Answer: C
Explanation: The health care industry would use business intelligence to compare the
demographics of patients with critical illnesses.
Difficulty: 1 Easy
Topic: Business Intelligence
Bloom's: Remember
Learning Outcome: 06-06 Identify the advantages of using business intelligence to support
managerial decision making.
Accessibility: Keyboard Navigation
Gradable: automatic
106) How would the insurance industry use business intelligence?
A) Analyze popular vacation locations with current flight listings
B) Understand customer credit card usage and nonpayment rates
C) Compare the demographics of patients with critical illnesses
D) Predict claim amounts and medical coverage costs
Answer: D
Explanation: The insurance industry would use business intelligence to predict claim amounts
and medical coverage costs.
Difficulty: 1 Easy
Topic: Business Intelligence
Bloom's: Remember
Learning Outcome: 06-06 Identify the advantages of using business intelligence to support
managerial decision making.
Accessibility: Keyboard Navigation
Gradable: automatic
36
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written consent of McGraw-Hill Education.
107) How would the law enforcement industry use business intelligence?
A) Track crime patterns, locations, and criminal behavior
B) Analyze customer demographics
C) Predict sales, inventory levels, and distribution
D) Predict hardware failures
Answer: A
Explanation: The law enforcement industry would use business intelligence to track crime
patterns, locations, and criminal behavior.
Difficulty: 1 Easy
Topic: Business Intelligence
Bloom's: Remember
Learning Outcome: 06-06 Identify the advantages of using business intelligence to support
managerial decision making.
Accessibility: Keyboard Navigation
Gradable: automatic
108) How would the marketing industry use business intelligence?
A) Track crime patterns, locations, and criminal behavior
B) Analyze customer demographics
C) Predict sales, inventory levels, and distribution
D) Predict hardware failures
Answer: B
Explanation: The marketing industry would use business intelligence to analyze customer
demographics.
Difficulty: 1 Easy
Topic: Business Intelligence
Bloom's: Remember
Learning Outcome: 06-06 Identify the advantages of using business intelligence to support
managerial decision making.
Accessibility: Keyboard Navigation
Gradable: automatic
37
Copyright 2019 © McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior
written consent of McGraw-Hill Education.
109) How would the retail industry use business intelligence?
A) Track crime patterns, locations, and criminal behavior
B) Analyze customer demographics
C) Predict sales, inventory levels, and distribution
D) Predict hardware failures
Answer: C
Explanation: The retail industry would use business intelligence to predict sales, inventory
levels, and distribution.
Difficulty: 1 Easy
Topic: Business Intelligence
Bloom's: Remember
Learning Outcome: 06-06 Identify the advantages of using business intelligence to support
managerial decision making.
Accessibility: Keyboard Navigation
Gradable: automatic
110) How would the technology industry use business intelligence?
A) Track crime patterns, locations, and criminal behavior
B) Analyze customer demographics
C) Predict sales, inventory levels, and distribution
D) Predict hardware failures
Answer: D
Explanation: The technology industry would use business intelligence to predict hardware
failures.
Difficulty: 1 Easy
Topic: Business Intelligence
Bloom's: Remember
Learning Outcome: 06-06 Identify the advantages of using business intelligence to support
managerial decision making.
Accessibility: Keyboard Navigation
Gradable: automatic
38
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written consent of McGraw-Hill Education.
111) A data warehouse is a ________ collection of information, gathered from many different
________ databases, that supports business analysis activities and decision-making tasks.
A) Logical, operational
B) Physical, operational
C) Logical, transactional
D) Physical, transactional
Answer: A
Explanation: This is the definition of data warehouse.
Difficulty: 2 Medium
Topic: Data Warehousing
Bloom's: Understand
Learning Outcome: 06-05 Describe the roles and purposes of data warehouses and data marts in
an organization.
Accessibility: Keyboard Navigation
Gradable: automatic
112) Which of the following is incorrect in terms of data warehousing and business intelligence?
A) Does not include information from other operational applications
B) Operational systems are integrated
C) Operational information is mainly current
D) Operational information frequently has quality issues
Answer: B
Explanation: Operational systems are not integrated.
Difficulty: 3 Hard
Topic: Data Warehousing
Bloom's: Analyze
Learning Outcome: 06-05 Describe the roles and purposes of data warehouses and data marts in
an organization.
Accessibility: Keyboard Navigation
Gradable: automatic
39
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written consent of McGraw-Hill Education.
113) What do data warehouses support?
A) OLAP
B) Analytical processing
C) OLTP
D) OLAP and analytical processing
Answer: D
Explanation: Data warehouses support OLAP, which is analytical processing.
Difficulty: 2 Medium
Topic: Data Warehousing
Bloom's: Understand
Learning Outcome: 06-05 Describe the roles and purposes of data warehouses and data marts in
an organization.
Accessibility: Keyboard Navigation
Gradable: automatic
114) The primary purpose of a data warehouse is to ________.
A) Combine strategic information
B) Organize departments
C) Interface between the computer and employees
D) All of the above
Answer: A
Explanation: The primary purpose of a data warehouse is to combine information, more
specifically, strategic information, throughout an organization into a single repository in such a
way that the people who need that information can make decisions and undertake business
analysis.
Difficulty: 2 Medium
Topic: Data Warehousing
Bloom's: Understand
Learning Outcome: 06-05 Describe the roles and purposes of data warehouses and data marts in
an organization.
Accessibility: Keyboard Navigation
Gradable: automatic
40
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written consent of McGraw-Hill Education.
115) Gender can be referred to in many ways (Male, Female, M/F, 1/0) in a data warehouse.
Ensuring gender is referenced the same way is an example of ________.
A) Information scaling
B) Streamlining data points
C) Standardizing information
D) Standardizing protocols
Answer: C
Explanation: Data warehouses standardize information.
Difficulty: 2 Medium
Topic: Data Warehousing
Bloom's: Understand
Learning Outcome: 06-05 Describe the roles and purposes of data warehouses and data marts in
an organization.
Accessibility: Keyboard Navigation
Gradable: automatic
116) Why were data warehouses created?
A) Numbers and types of operational databases increased as businesses grew
B) Many companies had information scattered across multiple systems with different formats
C) Completing reporting requests from numerous operational systems took days or weeks
D) All of the above
Answer: D
Explanation: Data warehouse evolved and was created because of these business challenges: 1)
numbers and types of operational databases increased 2) many companies had information
scattered across multiple systems with different file types 3) completing reporting requests from
numerous operational systems took days or weeks.
Difficulty: 2 Medium
Topic: Data Warehousing
Bloom's: Understand
Learning Outcome: 06-05 Describe the roles and purposes of data warehouses and data marts in
an organization.
Accessibility: Keyboard Navigation
Gradable: automatic
41
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written consent of McGraw-Hill Education.
117) What is extraction, transformation, and loading?
A) It is a process of entering data, tracking data, and loading it into a database
B) It is a process that extracts information from internal and external databases, transforms it
using a common set of enterprise definitions, and loads it into a data warehouse
C) It is a process that is performed at the end of the data warehouse model prior to putting the
information in a cube
D) It is a process that is performed at the beginning of the data mining model
Answer: B
Explanation: ETL is a process that extracts information from internal and external databases,
transforms it using a common set of enterprise definitions, and loads it into a data warehouse.
Difficulty: 2 Medium
Topic: Data Warehousing
Bloom's: Understand
Learning Outcome: 06-05 Describe the roles and purposes of data warehouses and data marts in
an organization.
Accessibility: Keyboard Navigation
Gradable: automatic
118) Which of the following are examples of external databases in the data warehouse model?
A) Marketing, sales, inventory, and billing
B) Data mart 1, data mart 2, and data mart 3
C) Competitor and industry information, mailing lists, and stock market analysis
D) Marketing information, sales information, and stock market analysis
Answer: C
Explanation: Within the beginning stage of the data warehouse models process competitor
information, industry information, mailing lists, & stock market analysis are included in the
external databases.
Difficulty: 2 Medium
Topic: Data Warehousing
Bloom's: Understand
Learning Outcome: 06-05 Describe the roles and purposes of data warehouses and data marts in
an organization.
Accessibility: Keyboard Navigation
Gradable: automatic
42
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written consent of McGraw-Hill Education.
119) Which of the following are examples of an external databases in the data warehouse model?
A) Marketing information
B) Sales information
C) Competitor information
D) All of the above
Answer: C
Explanation: Within the beginning stage of the data warehouse models process competitor
information, industry information, mailing lists, & stock market analysis are included in the
external databases.
Difficulty: 2 Medium
Topic: Data Warehousing
Bloom's: Understand
Learning Outcome: 06-05 Describe the roles and purposes of data warehouses and data marts in
an organization.
Accessibility: Keyboard Navigation
Gradable: automatic
120) Which of the following describes ETL?
A) A process that extracts information from internal and external databases
B) A process that transforms information using a common set of enterprise definitions
C) A process that loads information into a data warehouse
D) All of the above
Answer: D
Explanation: All of the above describe ETL.
Difficulty: 1 Easy
Topic: Data Warehousing
Bloom's: Analyze
Learning Outcome: 06-05 Describe the roles and purposes of data warehouses and data marts in
an organization.
Accessibility: Keyboard Navigation
Gradable: automatic
43
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written consent of McGraw-Hill Education.
121) Which of the following statements is true regarding customer information?
A) Customer information can exist in several operational systems
B) Customer information in each operational system could change
C) Customer information in each operational system can be different
D) All of the above
Answer: D
Explanation: All of the above are true with respect to customer information.
Difficulty: 2 Medium
Topic: Data Warehousing
Bloom's: Understand
Learning Outcome: 06-05 Describe the roles and purposes of data warehouses and data marts in
an organization.
Accessibility: Keyboard Navigation
Gradable: automatic
122) Which of the following occurs during data cleansing?
A) Clean missing records
B) Clean redundant records
C) Clean inaccurate data
D) All of the above
Answer: D
Explanation: The figure on information cleansing activities highlights the steps that occur
during information cleansing.
Difficulty: 2 Medium
Topic: Data Warehousing
Bloom's: Understand
Learning Outcome: 06-05 Describe the roles and purposes of data warehouses and data marts in
an organization.
Accessibility: Keyboard Navigation
Gradable: automatic
44
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written consent of McGraw-Hill Education.
123) Which of the following occurs during data cleansing?
A) Clean data marts
B) Clean redundant customer data
C) Clean accurate data
D) Clean correct data
Answer: B
Explanation: The figure on information cleansing activities highlights the steps that occur
during information cleansing including cleaning customer data.
Difficulty: 2 Medium
Topic: Data Warehousing
Bloom's: Understand
Learning Outcome: 06-05 Describe the roles and purposes of data warehouses and data marts in
an organization.
Accessibility: Keyboard Navigation
Gradable: automatic
124) Which of the following statements is true?
A) The more complete an organization wants to get its information, the less it costs.
B) The more accurate an organization wants to get its information, the less it costs.
C) The less accurate an organization wants to get its information, the more it costs.
D) The more complete and accurate an organization wants to get its information, the more it
costs.
Answer: D
Explanation: The more complete and accurate an organization wants to get its information, the
more it costs.
Difficulty: 2 Medium
Topic: Data Warehousing
Bloom's: Understand
Learning Outcome: 06-05 Describe the roles and purposes of data warehouses and data marts in
an organization.
Accessibility: Keyboard Navigation
Gradable: automatic
45
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written consent of McGraw-Hill Education.
125) Within the beginning stage of the data warehouse models process, which of the following
are included in the internal databases?
A) Marketing, sales, inventory, and billing
B) Data mart 1, data mart 2, data mart 3
C) Competitor and industry information, mailing lists, & stock market analysis
D) Marketing information, and stock market analysis numbers
Answer: A
Explanation: Within the beginning stage of the data warehouse models process, marketing,
sales, inventory, & billing are included in the internal databases.
Difficulty: 2 Medium
Topic: Data Warehousing
Bloom's: Understand
Learning Outcome: 06-05 Describe the roles and purposes of data warehouses and data marts in
an organization.
Accessibility: Keyboard Navigation
Gradable: automatic
126) What is the ultimate outcome of a data warehouse?
A) Data goals
B) Data relationships
C) Data marketing
D) Data marts
Answer: D
Explanation: Within the ending stage of the data warehouse models process, after the data
warehouse step, the end results are marketing data mart, inventory data mart, and sales data mart.
Difficulty: 2 Medium
Topic: Data Warehousing
Bloom's: Understand
Learning Outcome: 06-05 Describe the roles and purposes of data warehouses and data marts in
an organization.
Accessibility: Keyboard Navigation
Gradable: automatic
46
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written consent of McGraw-Hill Education.
127) Which of the following contains a subset of data warehouse information?
A) Data miner
B) Data mart
C) Data pool
D) Data analyzing tool
Answer: B
Explanation: A data mart contains a subset of data warehouse information.
Difficulty: 1 Easy
Topic: Data Warehousing
Bloom's: Remember
Learning Outcome: 06-05 Describe the roles and purposes of data warehouses and data marts in
an organization.
Accessibility: Keyboard Navigation
Gradable: automatic
128) What are the primary differences between a data warehouse and a data mart?
A) Data warehouses make quick decisions, data marts make slow decisions
B) Data warehouse tackle ethical issues, data marts tackle hypothetical issues
C) Data warehouses have a more organization-wide focus, data marts have functional focus
D) Data warehouses have a physical focus, data marts have logical focus
Answer: C
Explanation: The primary differences between a data warehouse and data marts is think of a
data warehouse as having a more organizational focus, and data mart as having a functional
focus.
Difficulty: 2 Medium
Topic: Data Warehousing
Bloom's: Understand
Learning Outcome: 06-05 Describe the roles and purposes of data warehouses and data marts in
an organization.
Accessibility: Keyboard Navigation
Gradable: automatic
47
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written consent of McGraw-Hill Education.
129) Which of the following is the common term for the representation of multidimensional
information?
A) Block
B) Square
C) Column
D) Cube
Answer: D
Explanation: This is the definition of a cube.
Difficulty: 1 Easy
Topic: Data Warehousing
Bloom's: Remember
Learning Outcome: 06-05 Describe the roles and purposes of data warehouses and data marts in
an organization.
Accessibility: Keyboard Navigation
Gradable: automatic
130) What is another term for information cleansing?
A) Information mining
B) Information scrubbing
C) Information scrapping
D) Information marts
Answer: B
Explanation: Information cleansing or scrubbing is a process that weeds out and fixes or
discards inconsistent, incorrect, or incomplete information.
Difficulty: 1 Easy
Topic: Data Warehousing
Bloom's: Remember
Learning Outcome: 06-05 Describe the roles and purposes of data warehouses and data marts in
an organization.
Accessibility: Keyboard Navigation
Gradable: automatic
48
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written consent of McGraw-Hill Education.
131) What determines the accuracy and completeness of organizational data?
A) Data quantity audit
B) Data quality audit
C) Data intelligence audit
D) Data accuracy audit
Answer: B
Explanation: This is the definition of a data quality audits.
Difficulty: 1 Easy
Topic: Data Warehousing
Bloom's: Remember
Learning Outcome: 06-05 Describe the roles and purposes of data warehouses and data marts in
an organization.
Accessibility: Keyboard Navigation
Gradable: automatic
132) Which of the following is not an information cleansing activity?
A) Identifies redundant records
B) Identifies inaccurate or incomplete data
C) Identifies missing records or attributes
D) Identifies sales trends
Answer: D
Explanation: Information cleansing activities include 1) missing records or attributes, 2)
redundant records, 3) missing keys or other required data, 4) erroneous relationships or
references, and 5) inaccurate or incomplete data.
Difficulty: 2 Medium
Topic: Data Warehousing
Bloom's: Understand
Learning Outcome: 06-05 Describe the roles and purposes of data warehouses and data marts in
an organization.
Accessibility: Keyboard Navigation
Gradable: automatic
49
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written consent of McGraw-Hill Education.
133) What is erroneous or flawed data?
A) Dirty data
B) Information cleansing
C) Information Scrubbing
D) ETL
Answer: A
Explanation: Dirty data is erroneous or flawed data.
Difficulty: 1 Easy
Topic: Data Warehousing
Bloom's: Remember
Learning Outcome: 06-05 Describe the roles and purposes of data warehouses and data marts in
an organization.
Accessibility: Keyboard Navigation
Gradable: automatic
134) Which of the following is a problem associated with dirty data?
A) Duplicate data
B) Incorrect data
C) Violates business rules
D) All of the above
Answer: D
Explanation: Dirty data includes all of the above.
Difficulty: 1 Easy
Topic: Data Warehousing
Bloom's: Remember
Learning Outcome: 06-05 Describe the roles and purposes of data warehouses and data marts in
an organization.
Accessibility: Keyboard Navigation
Gradable: automatic
50
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written consent of McGraw-Hill Education.
135) Which of the following is a problem associated with dirty data?
A) Duplicate data
B) Correct data
C) Accurate data
D) All of the above
Answer: A
Explanation: Dirty data includes duplicate data.
Difficulty: 1 Easy
Topic: Data Warehousing
Bloom's: Remember
Learning Outcome: 06-05 Describe the roles and purposes of data warehouses and data marts in
an organization.
Accessibility: Keyboard Navigation
Gradable: automatic
136) Which of the following is a problem associated with dirty data?
A) Inaccurate data
B) Misleading data
C) Non-formatted data
D) All of the above
Answer: D
Explanation: Dirty data includes all of the above.
Difficulty: 1 Easy
Topic: Data Warehousing
Bloom's: Remember
Learning Outcome: 06-05 Describe the roles and purposes of data warehouses and data marts in
an organization.
Accessibility: Keyboard Navigation
Gradable: automatic
51
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written consent of McGraw-Hill Education.
137) Which of the following is a problem associated with dirty data?
A) Inaccurate data
B) Nonintegrated data
C) Violates business rules
D) All of the above
Answer: D
Explanation: Dirty data includes all of the above.
Difficulty: 1 Easy
Topic: Data Warehousing
Bloom's: Remember
Learning Outcome: 06-05 Describe the roles and purposes of data warehouses and data marts in
an organization.
Accessibility: Keyboard Navigation
Gradable: automatic
138) Which of the following is a problem associated with dirty data?
A) Accurate data
B) Integrated data
C) Violates business rules
D) All of the above
Answer: C
Explanation: Dirty data includes violates business rules.
Difficulty: 1 Easy
Topic: Data Warehousing
Bloom's: Remember
Learning Outcome: 06-05 Describe the roles and purposes of data warehouses and data marts in
an organization.
Accessibility: Keyboard Navigation
Gradable: automatic
52
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written consent of McGraw-Hill Education.
139) Which of the following is a problem associated with dirty data?
A) Non-formatted data
B) Misleading data
C) Incorrect data
D) All of the above
Answer: D
Explanation: Dirty data includes all of the above.
Difficulty: 1 Easy
Topic: Data Warehousing
Bloom's: Remember
Learning Outcome: 06-05 Describe the roles and purposes of data warehouses and data marts in
an organization.
Accessibility: Keyboard Navigation
Gradable: automatic
140) Which of the following is a problem associated with dirty data?
A) Formatted data
B) Misleading data
C) Correct data
D) All of the above
Answer: B
Explanation: Dirty data includes misleading data.
Difficulty: 1 Easy
Topic: Data Warehousing
Bloom's: Remember
Learning Outcome: 06-05 Describe the roles and purposes of data warehouses and data marts in
an organization.
Accessibility: Keyboard Navigation
Gradable: automatic
141) A central location in which data is stored and managed is called a data mart.
Answer: FALSE
Explanation: A central location in which data is stored and managed is called a repository.
Difficulty: 1 Easy
Topic: Data Warehousing
Bloom's: Remember
Learning Outcome: 06-05 Describe the roles and purposes of data warehouses and data marts in
an organization.
Accessibility: Keyboard Navigation
Gradable: automatic
53
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written consent of McGraw-Hill Education.
142) A repository is a central location in which data is stored and managed.
Answer: TRUE
Explanation: A central location in which data is stored and managed is called a repository.
Difficulty: 1 Easy
Topic: Data Warehousing
Bloom's: Remember
Learning Outcome: 06-05 Describe the roles and purposes of data warehouses and data marts in
an organization.
Accessibility: Keyboard Navigation
Gradable: automatic
143) A data mart contains a subset of data warehouse information.
Answer: TRUE
Explanation: This is the definition of a data mart.
Difficulty: 1 Easy
Topic: Data Warehousing
Bloom's: Remember
Learning Outcome: 06-05 Describe the roles and purposes of data warehouses and data marts in
an organization.
Accessibility: Keyboard Navigation
Gradable: automatic
144) Data aggregation is the collection of data from various sources for the purpose of data
processing.
Answer: TRUE
Explanation: This is the definition of data aggregation.
Difficulty: 1 Easy
Topic: Data Warehousing
Bloom's: Remember
Learning Outcome: 06-05 Describe the roles and purposes of data warehouses and data marts in
an organization.
Accessibility: Keyboard Navigation
Gradable: automatic
54
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written consent of McGraw-Hill Education.
145) One example of a data aggregation is to gather information about particular groups based
on specific variables such as age, profession, or income.
Answer: TRUE
Explanation: This is the definition of data aggregation.
Difficulty: 1 Easy
Topic: Data Warehousing
Bloom's: Remember
Learning Outcome: 06-05 Describe the roles and purposes of data warehouses and data marts in
an organization.
Accessibility: Keyboard Navigation
Gradable: automatic
146) The complete removal of dirty data from a source is practical and possible.
Answer: FALSE
Explanation: The complete removal of dirty data from a source is impractical or virtually
impossible.
Difficulty: 1 Easy
Topic: Data Warehousing
Bloom's: Remember
Learning Outcome: 06-05 Describe the roles and purposes of data warehouses and data marts in
an organization.
Accessibility: Keyboard Navigation
Gradable: automatic
147) According to Gartner Inc., dirty data is an MIS problem, not a business problem.
Answer: FALSE
Explanation: According to Gartner Inc., dirty data is a business problem, not an MIS problem.
Difficulty: 2 Medium
Topic: Data Warehousing
Bloom's: Remember
Learning Outcome: 06-05 Describe the roles and purposes of data warehouses and data marts in
an organization.
Accessibility: Keyboard Navigation
Gradable: automatic
55
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written consent of McGraw-Hill Education.
148) Dirty data is erroneous or flawed data.
Answer: TRUE
Explanation: This is the definition of dirty data.
Difficulty: 1 Easy
Topic: Data Warehousing
Bloom's: Remember
Learning Outcome: 06-05 Describe the roles and purposes of data warehouses and data marts in
an organization.
Accessibility: Keyboard Navigation
Gradable: automatic
149) A repository is a central location in which data is stored and managed.
Answer: TRUE
Explanation: This is the definition of a repository.
Difficulty: 1 Easy
Topic: Data Warehousing
Bloom's: Remember
Learning Outcome: 06-05 Describe the roles and purposes of data warehouses and data marts in
an organization.
Accessibility: Keyboard Navigation
Gradable: automatic
150) A data warehouse is a central location in which data is stored and managed.
Answer: FALSE
Explanation: A repository is a central location in which data is stored and managed.
Difficulty: 1 Easy
Topic: Data Warehousing
Bloom's: Remember
Learning Outcome: 06-05 Describe the roles and purposes of data warehouses and data marts in
an organization.
Accessibility: Keyboard Navigation
Gradable: automatic
56
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written consent of McGraw-Hill Education.
151) A data warehouse is a logical collection of information, gathered from many different
operational databases, that supports business analysis activities and decision-making tasks.
Answer: TRUE
Explanation: This is the definition of a data warehouse.
Difficulty: 1 Easy
Topic: Data Warehousing
Bloom's: Remember
Learning Outcome: 06-05 Describe the roles and purposes of data warehouses and data marts in
an organization.
Accessibility: Keyboard Navigation
Gradable: automatic
152) Data warehouses struggle with combining too much standardized information.
Answer: FALSE
Explanation: These are the two primary activities data warehouses do effectively.
Difficulty: 1 Easy
Topic: Data Warehousing
Bloom's: Remember
Learning Outcome: 06-05 Describe the roles and purposes of data warehouses and data marts in
an organization.
Accessibility: Keyboard Navigation
Gradable: automatic
153) The primary purpose of a data warehouse is to perform transactional processes.
Answer: FALSE
Explanation: The primary purpose of a data warehouse is to perform analytical process.
Difficulty: 2 Medium
Topic: Data Warehousing
Bloom's: Understand
Learning Outcome: 06-05 Describe the roles and purposes of data warehouses and data marts in
an organization.
Accessibility: Keyboard Navigation
Gradable: automatic
57
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written consent of McGraw-Hill Education.
154) The primary purpose of a data warehouse is to perform analytical process.
Answer: TRUE
Explanation: The primary purpose of a data warehouse is to perform analytical process.
Difficulty: 2 Medium
Topic: Data Warehousing
Bloom's: Understand
Learning Outcome: 06-05 Describe the roles and purposes of data warehouses and data marts in
an organization.
Accessibility: Keyboard Navigation
Gradable: automatic
155) Within the data warehouse model, the internal databases could include marketing, sales,
inventory, and billing.
Answer: TRUE
Explanation: Within the data warehouse model, the internal databases are marketing, sales,
inventory, and billing.
Difficulty: 2 Medium
Topic: Data Warehousing
Bloom's: Understand
Learning Outcome: 06-05 Describe the roles and purposes of data warehouses and data marts in
an organization.
Accessibility: Keyboard Navigation
Gradable: automatic
156) A data miner contains a subset of data warehouse information.
Answer: FALSE
Explanation: A data mart contains a subset of data warehouse information.
Difficulty: 1 Easy
Topic: The Business Benefits of Data Warehousing
Bloom's: Remember
Learning Outcome: 06-05 Describe the roles and purposes of data warehouses and data marts in
an organization.
Accessibility: Keyboard Navigation
Gradable: automatic
58
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written consent of McGraw-Hill Education.
157) A data mart contains a subset of data warehouse information.
Answer: TRUE
Explanation: A data mart contains a subset of data warehouse information.
Difficulty: 1 Easy
Topic: Data Warehousing
Bloom's: Remember
Learning Outcome: 06-05 Describe the roles and purposes of data warehouses and data marts in
an organization.
Accessibility: Keyboard Navigation
Gradable: automatic
158) ETL, within a data warehouse model, stands for exit, track, and load.
Answer: FALSE
Explanation: ETL stands for extraction, transformation, and loading.
Difficulty: 1 Easy
Topic: Warehousing
Bloom's: Remember
Learning Outcome: 06-05 Describe the roles and purposes of data warehouses and data marts in
an organization.
Accessibility: Keyboard Navigation
Gradable: automatic
159) ETL stands for extraction, transformation, and loading.
Answer: TRUE
Explanation: ETL stands for extraction, transformation, and loading.
Difficulty: 1 Easy
Topic: Data Warehousing
Bloom's: Remember
Learning Outcome: 06-05 Describe the roles and purposes of data warehouses and data marts in
an organization.
Accessibility: Keyboard Navigation
Gradable: automatic
59
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written consent of McGraw-Hill Education.
160) Within the data warehouse model, the external databases could include competitor
information, industry information and stock market analysis.
Answer: TRUE
Explanation: Within the data warehouse model, the external databases are competitor
information, industry information, mailing lists, and stock market analysis.
Difficulty: 1 Easy
Topic: Data Warehousing
Bloom's: Remember
Learning Outcome: 06-05 Describe the roles and purposes of data warehouses and data marts in
an organization.
Accessibility: Keyboard Navigation
Gradable: automatic
161) Dirty data is erroneous or flawed data. The complete removal of dirty data from a source is
impractical or virtually impossible.
Answer: TRUE
Explanation: Dirty data is erroneous or flawed data. The complete removal of dirty data from a
source is impractical or virtually impossible.
Difficulty: 1 Easy
Topic: Data Warehousing
Bloom's: Remember
Learning Outcome: 06-05 Describe the roles and purposes of data warehouses and data marts in
an organization.
Accessibility: Keyboard Navigation
Gradable: automatic
162) Information cleansing or scrubbing is a process that weeds out and fixes or discards
inconsistent, incorrect, or incomplete information.
Answer: TRUE
Explanation: Information cleansing or scrubbing is a process that weeds out and fixes or
discards inconsistent, incorrect, or incomplete information.
Difficulty: 1 Easy
Topic: Data Warehousing
Bloom's: Remember
Learning Outcome: 06-05 Describe the roles and purposes of data warehouses and data marts in
an organization.
Accessibility: Keyboard Navigation
Gradable: automatic
60
Copyright 2019 © McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior
written consent of McGraw-Hill Education.
163) Duplicate data, inaccurate data, misleading data, and incorrect data are all problems
associated with dirty data.
Answer: TRUE
Explanation: Duplicate data, inaccurate data, misleading data, and incorrect data are all
problems associated with dirty data.
Difficulty: 1 Easy
Topic: The Business Benefits of Data Warehousing
Bloom's: Remember
Learning Outcome: 06-05 Describe the roles and purposes of data warehouses and data marts in
an organization.
Accessibility: Keyboard Navigation
Gradable: automatic
164) Many firms' complete data quality audits to determine the accuracy and completeness of its
data.
Answer: TRUE
Explanation: Many firms' complete data quality audits to determine the accuracy and
completeness of its data.
Difficulty: 1 Easy
Topic: Data Warehousing
Bloom's: Remember
Learning Outcome: 06-05 Describe the roles and purposes of data warehouses and data marts in
an organization.
Accessibility: Keyboard Navigation
Gradable: automatic
165) A data mart is the process of analyzing data to extract information not offered by the raw
data alone.
Answer: FALSE
Explanation: Data mining is the process of analyzing data to extract information not offered by
the raw data alone.
Difficulty: 1 Easy
Topic: Data Warehousing
Bloom's: Remember
Learning Outcome: 06-05 Describe the roles and purposes of data warehouses and data marts in
an organization.
Accessibility: Keyboard Navigation
Gradable: automatic
61
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written consent of McGraw-Hill Education.
166) Information cleansing or scrubbing is a process that weeds out and fixes or discards
inconsistent, incorrect, or incomplete information.
Answer: TRUE
Explanation: Information cleansing or scrubbing is a process that weeds out and fixes or
discards inconsistent, incorrect, or incomplete information.
Difficulty: 1 Easy
Topic: Data Warehousing
Bloom's: Remember
Learning Outcome: 06-05 Describe the roles and purposes of data warehouses and data marts in
an organization.
Accessibility: Keyboard Navigation
Gradable: automatic
167) In a data warehouse, information cleansing occurs first during the ETL process and again
once the information is in the data warehouse.
Answer: TRUE
Explanation: Information cleansing or scrubbing is a process that weeds out and fixes or
discards inconsistent, incorrect, or incomplete information.
Difficulty: 1 Easy
Topic: Data Warehousing
Bloom's: Remember
Learning Outcome: 06-05 Describe the roles and purposes of data warehouses and data marts in
an organization.
Accessibility: Keyboard Navigation
Gradable: automatic
168) A comparative analysis can compare two or more data sets to identify patterns and trends.
Answer: TRUE
Explanation: This is the definition of comparative analysis.
Difficulty: 1 Easy
Topic: Business Intelligence
Bloom's: Remember
Learning Outcome: 06-06 Identify the advantages of using business intelligence to support
managerial decision making.
Accessibility: Keyboard Navigation
Gradable: automatic
62
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written consent of McGraw-Hill Education.
169) Comparative analysis can help managers with competitive monitoring where a company
keeps tabs of its competitor's activities on the web using software that automatically tracks all
competitor website activities such as discounts and new products.
Answer: FALSE
Explanation: Business intelligence can help managers with competitive monitoring where a
company keeps tabs of its competitor's activities on the web using software that automatically
tracks all competitor website activities such as discounts and new products.
Difficulty: 2 Medium
Topic: Business Intelligence
Bloom's: Remember
Learning Outcome: 06-06 Identify the advantages of using business intelligence to support
managerial decision making.
Accessibility: Keyboard Navigation
Gradable: automatic
170) A data set is an organized collection of data.
Answer: TRUE
Explanation: A data set is an organized collection of data.
Difficulty: 1 Easy
Topic: Business Intelligence
Bloom's: Remember
Learning Outcome: 06-06 Identify the advantages of using business intelligence to support
managerial decision making.
Accessibility: Keyboard Navigation
Gradable: automatic
171) The financial industry uses business intelligence to predict hardware failures.
Answer: FALSE
Explanation: The technology industry uses business intelligence to predict hardware failures,
where the retail industry uses it to predict sales, inventory levels, and distribution.
Difficulty: 2 Medium
Topic: Business Intelligence
Bloom's: Understand
Learning Outcome: 06-06 Identify the advantages of using business intelligence to support
managerial decision making.
Accessibility: Keyboard Navigation
Gradable: automatic
63
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written consent of McGraw-Hill Education.
172) The banking industry uses business intelligence to understand customer credit card usage
and nonpayment rates.
Answer: TRUE
Explanation: The banking industry uses business intelligence to understand customer credit
card usage and nonpayment rates.
Difficulty: 2 Medium
Topic: Business Intelligence
Bloom's: Understand
Learning Outcome: 06-06 Identify the advantages of using business intelligence to support
managerial decision making.
Accessibility: Keyboard Navigation
Gradable: automatic
173) Many organizations find themselves in the position of being data rich and information poor.
Even in today's electronic world, managers struggle with the challenge of turning their business
data into business intelligence.
Answer: TRUE
Explanation: Many organizations find themselves in the position of being data rich and
information poor. Even in today's electronic world, managers struggle with the challenge of
turning their business data into business intelligence.
Difficulty: 2 Medium
Topic: Business Intelligence
Bloom's: Understand
Learning Outcome: 06-06 Identify the advantages of using business intelligence to support
managerial decision making.
Accessibility: Keyboard Navigation
Gradable: automatic
174) Competitive monitoring can compare two or more data sets to identify patterns and trends.
Answer: FALSE
Explanation: Comparative analysis can compare two or more data sets to identify patterns and
trends.
Difficulty: 1 Easy
Topic: Business Intelligence
Bloom's: Remember
Learning Outcome: 06-06 Identify the advantages of using business intelligence to support
managerial decision making.
Accessibility: Keyboard Navigation
Gradable: automatic
64
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written consent of McGraw-Hill Education.
175) A data broker is an individual item on a graph or a chart.
Answer: FALSE
Explanation: A data point is an individual item on a graph or a chart.
Difficulty: 1 Easy
Topic: Business Intelligence
Bloom's: Remember
Learning Outcome: 06-06 Identify the advantages of using business intelligence to support
managerial decision making.
Accessibility: Keyboard Navigation
Gradable: automatic
176) A data lake is a business that collects personal information about consumers and sells that
information to other organizations.
Answer: FALSE
Explanation: A data broker is a business that collects personal information about consumers
and sells that information to other organizations.
Difficulty: 1 Easy
Topic: Business Intelligence
Bloom's: Remember
Learning Outcome: 06-06 Identify the advantages of using business intelligence to support
managerial decision making.
Accessibility: Keyboard Navigation
Gradable: automatic
177) A data lake is a storage repository that holds a vast amount of raw data in its original format
until the business needs it.
Answer: TRUE
Explanation: A data lake is a storage repository that holds a vast amount of raw data in its
original format until the business needs it.
Difficulty: 1 Easy
Topic: Business Intelligence
Bloom's: Remember
Learning Outcome: 06-06 Identify the advantages of using business intelligence to support
managerial decision making.
Accessibility: Keyboard Navigation
Gradable: automatic
65
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written consent of McGraw-Hill Education.
178) While a traditional data warehouse stores data in files or folders, a data lake uses a flat
architecture to store data.
Answer: TRUE
Explanation: A data lake is a storage repository that holds a vast amount of raw data in its
original format until the business needs it.
Difficulty: 2 Medium
Topic: Business Intelligence
Bloom's: Remember
Learning Outcome: 06-06 Identify the advantages of using business intelligence to support
managerial decision making.
Accessibility: Keyboard Navigation
Gradable: automatic
179) Source data identifies the primary location where data is collected. It can include invoices,
spreadsheets, time-sheets, transactions, and electronic sources such as other databases.
Answer: TRUE
Explanation: Source data identifies the primary location where data is collected. Source data
can include invoices, spreadsheets, time-sheets, transactions, and electronic sources such as other
databases.
Difficulty: 1 Easy
Topic: Business Intelligence
Bloom's: Remember
Learning Outcome: 06-06 Identify the advantages of using business intelligence to support
managerial decision making.
Accessibility: Keyboard Navigation
Gradable: automatic
180) Business intelligence is an approach to business governance that values decisions that can
be backed up with verifiable data.
Answer: FALSE
Explanation: Data-driven decision management is an approach to business governance that
values decisions that can be backed up with verifiable data.
Difficulty: 2 Medium
Topic: Business Intelligence
Bloom's: Remember
Learning Outcome: 06-06 Identify the advantages of using business intelligence to support
managerial decision making.
Accessibility: Keyboard Navigation
Gradable: automatic
66
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written consent of McGraw-Hill Education.
181) Effective data-driven decision management is reliant upon the quality of the data gathered
and the effectiveness of its analysis and interpretation.
Answer: TRUE
Explanation: Data-driven decision management is an approach to business governance that
values decisions that can be backed up with verifiable data.
Difficulty: 2 Medium
Topic: Business Intelligence
Bloom's: Remember
Learning Outcome: 06-06 Identify the advantages of using business intelligence to support
managerial decision making.
Accessibility: Keyboard Navigation
Gradable: automatic
182) A data map is a technique for establishing a match, or balance, between the source data and
the target data warehouse.
Answer: TRUE
Explanation: A data map is a technique for establishing a match, or balance, between the source
data and the target data warehouse.
Difficulty: 1 Easy
Topic: Business Intelligence
Bloom's: Remember
Learning Outcome: 06-06 Identify the advantages of using business intelligence to support
managerial decision making.
Accessibility: Keyboard Navigation
Gradable: automatic
183) A data point is an individual item on a graph or chart.
Answer: FALSE
Explanation: A data point is an individual item on a graph or chart.
Difficulty: 1 Easy
Topic: Business Intelligence
Bloom's: Remember
Learning Outcome: 06-06 Identify the advantages of using business intelligence to support
managerial decision making.
Accessibility: Keyboard Navigation
Gradable: automatic
67
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written consent of McGraw-Hill Education.
184) Organizational data includes simple structured data elements in a database.
Answer: FALSE
Explanation: Organizational data includes far more than simple structured data elements in a
database; the set of data also includes unstructured data such as voice mail, customer phone calls,
text messages, video clips, along with numerous new forms of data, such as tweets from Twitter.
Difficulty: 2 Medium
Topic: Business Intelligence
Bloom's: Remember
Learning Outcome: 06-06 Identify the advantages of using business intelligence to support
managerial decision making.
Accessibility: Keyboard Navigation
Gradable: automatic
185) A data set is an individual item on a graph or chart.
Answer: FALSE
Explanation: A data point is an individual item on a graph or chart.
Difficulty: 1 Easy
Topic: Business Intelligence
Bloom's: Remember
Learning Outcome: 06-06 Identify the advantages of using business intelligence to support
managerial decision making.
Accessibility: Keyboard Navigation
Gradable: automatic
186) A data set is an organized collection of data.
Answer: TRUE
Explanation: A data set is an organized collection of data.
Difficulty: 1 Easy
Topic: Business Intelligence
Bloom's: Remember
Learning Outcome: 06-06 Identify the advantages of using business intelligence to support
managerial decision making.
Accessibility: Keyboard Navigation
Gradable: automatic
68
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written consent of McGraw-Hill Education.
187) Big data is a collection of large, complex data sets, including structured and unstructured
data, which cannot be analyzed using traditional database methods and tools.
Answer: TRUE
Explanation: Big data is a collection of large, complex data sets, including structured and
unstructured data, which cannot be analyzed using traditional database methods and tools.
Difficulty: 1 Easy
Topic: Big Data
Bloom's: Remember
Learning Outcome: 06-07 Identify the four common characteristics of big data.
Accessibility: Keyboard Navigation
Gradable: automatic
188) The four common characteristics of big data include variety, veracity, volume, velocity.
Answer: TRUE
Explanation: The four common characteristics of big data include variety, veracity, volume,
velocity.
Difficulty: 1 Easy
Topic: Analyzing Big Data
Bloom's: Remember
Learning Outcome: 06-07 Identify the four common characteristics of big data.
Accessibility: Keyboard Navigation
Gradable: automatic
189) Variety includes different forms of structured and unstructured data.
Answer: TRUE
Explanation: Variety includes different forms of structured and unstructured data.
Difficulty: 1 Easy
Topic: Analyzing Big Data
Bloom's: Remember
Learning Outcome: 06-07 Identify the four common characteristics of big data.
Accessibility: Keyboard Navigation
Gradable: automatic
69
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written consent of McGraw-Hill Education.
190) Veracity includes the uncertainty of data, including biases, noise, and abnormalities.
Answer: TRUE
Explanation: Veracity includes the uncertainty of data, including biases, noise, and
abnormalities.
Difficulty: 1 Easy
Topic: Analyzing Big Data
Bloom's: Remember
Learning Outcome: 06-07 Identify the four common characteristics of big data.
Accessibility: Keyboard Navigation
Gradable: automatic
191) Volume includes the scale of data.
Answer: TRUE
Explanation: Volume includes the scale of data.
Difficulty: 1 Easy
Topic: Analyzing Big Data
Bloom's: Remember
Learning Outcome: 06-07 Identify the four common characteristics of big data.
Accessibility: Keyboard Navigation
Gradable: automatic
192) Velocity includes the analysis of streaming data as it travels around the Internet.
Answer: TRUE
Explanation: Velocity includes the analysis of streaming data as it travels around the Internet.
Difficulty: 1 Easy
Topic: Analyzing Big Data
Bloom's: Remember
Learning Outcome: 06-07 Identify the four common characteristics of big data.
Accessibility: Keyboard Navigation
Gradable: automatic
193) Velocity includes different forms of structured and unstructured data.
Answer: FALSE
Explanation: Variety includes different forms of structured and unstructured data.
Difficulty: 1 Easy
Topic: Analyzing Big Data
Bloom's: Remember
Learning Outcome: 06-07 Identify the four common characteristics of big data.
Accessibility: Keyboard Navigation
Gradable: automatic
70
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written consent of McGraw-Hill Education.
194) Volume includes the uncertainty of data, including biases, noise, and abnormalities.
Answer: FALSE
Explanation: Veracity includes the uncertainty of data, including biases, noise, and
abnormalities.
Difficulty: 1 Easy
Topic: Analyzing Big Data
Bloom's: Remember
Learning Outcome: 06-07 Identify the four common characteristics of big data.
Accessibility: Keyboard Navigation
Gradable: automatic
195) Distributed computing processes and manages algorithms across many machines in a
computing environment.
Answer: TRUE
Explanation: Distributed computing processes and manages algorithms across many machines
in a computing environment.
Difficulty: 1 Easy
Topic: Analyzing Big Data
Bloom's: Remember
Learning Outcome: 06-07 Identify the four common characteristics of big data.
Accessibility: Keyboard Navigation
Gradable: automatic
196) Advanced analytics focuses on forecasting future trends and producing insights using
sophisticated quantitative methods, including statistics, descriptive and predictive data mining,
simulation, and optimization.
Answer: TRUE
Explanation: Advanced analytics focuses on forecasting future trends and producing insights
using sophisticated quantitative methods, including statistics, descriptive and predictive data
mining, simulation, and optimization.
Difficulty: 1 Easy
Topic: Analyzing Big Data
Bloom's: Remember
Learning Outcome: 06-07 Identify the four common characteristics of big data.
Accessibility: Keyboard Navigation
Gradable: automatic
71
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written consent of McGraw-Hill Education.
197) Distributed computing focuses on forecasting future trends and producing insights using
sophisticated quantitative methods, including statistics, descriptive and predictive data mining,
simulation, and optimization.
Answer: FALSE
Explanation: Advanced analytics focuses on forecasting future trends and producing insights
using sophisticated quantitative methods, including statistics, descriptive and predictive data
mining, simulation, and optimization.
Difficulty: 1 Easy
Topic: Analyzing Big Data
Bloom's: Remember
Learning Outcome: 06-07 Identify the four common characteristics of big data.
Accessibility: Keyboard Navigation
Gradable: automatic
198) Association detection reveals the relationship between variables along with the nature and
frequency of the relationship.
Answer: TRUE
Explanation: Association detection reveals the relationship between variables along with the
nature and frequency of the relationship.
Difficulty: 1 Easy
Topic: Data Mining
Bloom's: Remember
Learning Outcome: 06-08 Explain data mining and identify the three elements of data mining.
Accessibility: Keyboard Navigation
Gradable: automatic
199) Association detection is a technique used to divide information sets into mutually exclusive
groups such that the members of each group are as close together as possible to one another and
the different groups are as far apart as possible.
Answer: FALSE
Explanation: Cluster analysis is a technique used to divide information sets into mutually
exclusive groups such that the members of each group are as close together as possible to one
another and the different groups are as far apart as possible.
Difficulty: 1 Easy
Topic: Data Mining
Bloom's: Remember
Learning Outcome: 06-08 Explain data mining and identify the three elements of data mining.
Accessibility: Keyboard Navigation
Gradable: automatic
72
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written consent of McGraw-Hill Education.
200) Data mining occurs on structured data that are already in a database or a spreadsheet.
Answer: TRUE
Explanation: Data mining occurs on structured data that are already in a database or a
spreadsheet.
Difficulty: 1 Easy
Topic: Data Mining
Bloom's: Remember
Learning Outcome: 06-08 Explain data mining and identify the three elements of data mining.
Accessibility: Keyboard Navigation
Gradable: automatic
201) Prediction is a statement about what will happen or might happen in the future, for example,
predicting future sales or employee turnover.
Answer: TRUE
Explanation: Prediction is a statement about what will happen or might happen in the future, for
example, predicting future sales or employee turnover.
Difficulty: 1 Easy
Topic: Data Mining
Bloom's: Remember
Learning Outcome: 06-08 Explain data mining and identify the three elements of data mining.
Accessibility: Keyboard Navigation
Gradable: automatic
202) Optimization is a statistical process that finds the way to make a design, system, or decision
as effective as possible, for example, finding the values of controllable variables that determine
maximal productivity or minimal waste.
Answer: TRUE
Explanation: Optimization is a statistical process that finds the way to make a design, system,
or decision as effective as possible, for example, finding the values of controllable variables that
determine maximal productivity or minimal waste.
Difficulty: 1 Easy
Topic: Data Mining
Bloom's: Remember
Learning Outcome: 06-08 Explain data mining and identify the three elements of data mining.
Accessibility: Keyboard Navigation
Gradable: automatic
73
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written consent of McGraw-Hill Education.
203) Time-series information is time-stamped information collected at a particular frequency.
Answer: TRUE
Explanation: Time-series information is time-stamped information collected at a particular
frequency.
Difficulty: 1 Easy
Topic: Data Mining
Bloom's: Remember
Learning Outcome: 06-08 Explain data mining and identify the three elements of data mining.
Accessibility: Keyboard Navigation
Gradable: automatic
204) Forecasts are predictions based on time-series information.
Answer: TRUE
Explanation: Forecasts are predictions based on time-series information.
Difficulty: 1 Easy
Topic: Data Mining
Bloom's: Remember
Learning Outcome: 06-08 Explain data mining and identify the three elements of data mining.
Accessibility: Keyboard Navigation
Gradable: automatic
205) Regression is a statistical process for estimating the relationships among variables. It
includes many techniques for modeling and analyzing several variables when the focus is on the
relationship between a dependent variable and one or more independent variables
Answer: TRUE
Explanation: Regression is a statistical process for estimating the relationships among variables.
It includes many techniques for modeling and analyzing several variables when the focus is on
the relationship between a dependent variable and one or more independent variables
Difficulty: 1 Easy
Topic: Data Mining
Bloom's: Remember
Learning Outcome: 06-08 Explain data mining and identify the three elements of data mining.
Accessibility: Keyboard Navigation
Gradable: automatic
74
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written consent of McGraw-Hill Education.
206) Regression is a statement about what will happen or might happen in the future, for
example, predicting future sales or employee turnover.
Answer: FALSE
Explanation: Prediction is a statement about what will happen or might happen in the future, for
example, predicting future sales or employee turnover.
Difficulty: 1 Easy
Topic: Data Mining
Bloom's: Remember
Learning Outcome: 06-08 Explain data mining and identify the three elements of data mining.
Accessibility: Keyboard Navigation
Gradable: automatic
207) Prediction is a statistical process that finds the way to make a design, system, or decision as
effective as possible, for example, finding the values of controllable variables that determine
maximal productivity or minimal waste.
Answer: FALSE
Explanation: Optimization is a statistical process that finds the way to make a design, system,
or decision as effective as possible, for example, finding the values of controllable variables that
determine maximal productivity or minimal waste.
Difficulty: 1 Easy
Topic: Data Mining
Bloom's: Remember
Learning Outcome: 06-08 Explain data mining and identify the three elements of data mining.
Accessibility: Keyboard Navigation
Gradable: automatic
208) Regression is a prediction based on time-series information.
Answer: FALSE
Explanation: Forecasts are predictions based on time-series information.
Difficulty: 1 Easy
Topic: Data Mining
Bloom's: Remember
Learning Outcome: 06-08 Explain data mining and identify the three elements of data mining.
Accessibility: Keyboard Navigation
Gradable: automatic
75
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written consent of McGraw-Hill Education.
209) Optimization is a statistical process for estimating the relationships among variables.
Answer: FALSE
Explanation: Regression is a statistical process for estimating the relationships among variables.
It includes many techniques for modeling and analyzing several variables when the focus is on
the relationship between a dependent variable and one or more independent variables.
Difficulty: 1 Easy
Topic: Data Mining
Bloom's: Remember
Learning Outcome: 06-08 Explain data mining and identify the three elements of data mining.
Accessibility: Keyboard Navigation
Gradable: automatic
210) Classification assigns records to one of a predefined set of classes.
Answer: TRUE
Explanation: Classification assigns records to one of a predefined set of classes.
Difficulty: 1 Easy
Topic: Data Mining
Bloom's: Remember
Learning Outcome: 06-08 Explain data mining and identify the three elements of data mining.
Accessibility: Keyboard Navigation
Gradable: automatic
211) Estimation determines values for an unknown continuous variable behavior or estimated
future value.
Answer: TRUE
Explanation: Estimation determines values for an unknown continuous variable behavior or
estimated future value.
Difficulty: 1 Easy
Topic: Data Mining
Bloom's: Remember
Learning Outcome: 06-08 Explain data mining and identify the three elements of data mining.
Accessibility: Keyboard Navigation
Gradable: automatic
76
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written consent of McGraw-Hill Education.
212) Affinity grouping determines which things go together.
Answer: TRUE
Explanation: Affinity grouping determines which things go together.
Difficulty: 1 Easy
Topic: Data Mining
Bloom's: Remember
Learning Outcome: 06-08 Explain data mining and identify the three elements of data mining.
Accessibility: Keyboard Navigation
Gradable: automatic
213) Clustering segments a heterogeneous population of more homogeneous subgroups.
Answer: TRUE
Explanation: Clustering segments a heterogeneous population of more homogeneous
subgroups.
Difficulty: 1 Easy
Topic: Data Mining
Bloom's: Remember
Learning Outcome: 06-08 Explain data mining and identify the three elements of data mining.
Accessibility: Keyboard Navigation
Gradable: automatic
214) Clustering assigns records to one of a predefined set of classes.
Answer: FALSE
Explanation: Classification assigns records to one of a predefined set of classes.
Difficulty: 1 Easy
Topic: Data Mining
Bloom's: Remember
Learning Outcome: 06-08 Explain data mining and identify the three elements of data mining.
Accessibility: Keyboard Navigation
Gradable: automatic
77
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written consent of McGraw-Hill Education.
215) Affinity determines values for an unknown continuous variable behavior or estimated future
value.
Answer: FALSE
Explanation: Estimation determines values for an unknown continuous variable behavior or
estimated future value.
Difficulty: 1 Easy
Topic: Data Mining
Bloom's: Remember
Learning Outcome: 06-08 Explain data mining and identify the three elements of data mining.
Accessibility: Keyboard Navigation
Gradable: automatic
216) Estimation determines which things go together.
Answer: FALSE
Explanation: Affinity grouping determines which things go together.
Difficulty: 1 Easy
Topic: Data Mining
Bloom's: Remember
Learning Outcome: 06-08 Explain data mining and identify the three elements of data mining.
Accessibility: Keyboard Navigation
Gradable: automatic
217) Classification segments a heterogeneous population of more homogeneous subgroups.
Answer: FALSE
Explanation: Clustering segments a heterogeneous population of more homogeneous
subgroups.
Difficulty: 1 Easy
Topic: Data Mining
Bloom's: Remember
Learning Outcome: 06-08 Explain data mining and identify the three elements of data mining.
Accessibility: Keyboard Navigation
Gradable: automatic
78
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written consent of McGraw-Hill Education.
218) Data-mining tools use a variety of techniques to find patterns and relationships in large
volumes of information that predict future behavior and guide decision making.
Answer: TRUE
Explanation: This is the definition of data-mining tools. Data-mining tools use a variety of
techniques to find patterns and relationships in large volumes of information that predict future
behavior and guide decision making.
Difficulty: 1 Easy
Topic: Data Mining
Bloom's: Remember
Learning Outcome: 06-08 Explain data mining and identify the three elements of data mining.
Accessibility: Keyboard Navigation
Gradable: automatic
219) Infographics (information graphics) displays information graphically so it can be easily
understood.
Answer: TRUE
Explanation: Infographics (information graphics) displays information graphically so it can be
easily understood.
Difficulty: 1 Easy
Topic: Data Analytics
Bloom's: Remember
Learning Outcome: 06-09 Explain the importance of data analytics and data visualization.
Accessibility: Keyboard Navigation
Gradable: automatic
220) Infographics can present the results of large data analysis looking for patterns and
relationships that monitor changes in variables over time.
Answer: TRUE
Explanation: Infographics can present the results of large data analysis looking for patterns and
relationships that monitor changes in variables over time.
Difficulty: 1 Easy
Topic: Data Analytics
Bloom's: Remember
Learning Outcome: 06-09 Explain the importance of data analytics and data visualization.
Accessibility: Keyboard Navigation
Gradable: automatic
79
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written consent of McGraw-Hill Education.
221) Web mining analysis describes technologies that allow users to "see" or visualize data to
transform information into a business perspective.
Answer: FALSE
Explanation: Data visualization describes technologies that allow users to "see" or visualize
data to transform information into a business perspective.
Difficulty: 1 Easy
Topic: Data Analytics
Bloom's: Remember
Learning Outcome: 06-09 Explain the importance of data analytics and data visualization.
Accessibility: Keyboard Navigation
Gradable: automatic
222) Analysis paralysis occurs when the user goes into an emotional state of over-analysis (or
over-thinking) a situation so that a decision or action is never taken, in effect paralyzing the
outcome.
Answer: TRUE
Explanation: Analysis paralysis occurs when the user goes into an emotional state of overanalysis (or over-thinking) a situation so that a decision or action is never taken, in effect
paralyzing the outcome.
Difficulty: 1 Easy
Topic: Data Analytics
Bloom's: Remember
Learning Outcome: 06-09 Explain the importance of data analytics and data visualization.
Accessibility: Keyboard Navigation
Gradable: automatic
223) Data artist is a business analytics specialist who uses visual tools to help people understand
complex data.
Answer: TRUE
Explanation: Data artist is a business analytics specialist who uses visual tools to help people
understand complex data.
Difficulty: 1 Easy
Topic: Data Analytics
Bloom's: Remember
Learning Outcome: 06-09 Explain the importance of data analytics and data visualization.
Accessibility: Keyboard Navigation
Gradable: automatic
80
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written consent of McGraw-Hill Education.
224) Advanced analytics processes and manages algorithms across many machines in a
computing environment.
Answer: FALSE
Explanation: Distributed computing processes and manages algorithms across many machines
in a computing environment.
Difficulty: 1 Easy
Topic: Data Analytics
Bloom's: Remember
Learning Outcome: 06-09 Explain the importance of data analytics and data visualization.
Accessibility: Keyboard Navigation
Gradable: automatic
225) Association detection occurs when the user goes into an emotional state of over-analysis (or
over-thinking) a situation so that a decision or action is never taken, in effect paralyzing the
outcome.
Answer: FALSE
Explanation: Analysis paralysis occurs when the user goes into an emotional state of overanalysis (or over-thinking) a situation so that a decision or action is never taken, in effect
paralyzing the outcome.
Difficulty: 1 Easy
Topic: Data Analytics
Bloom's: Remember
Learning Outcome: 06-09 Explain the importance of data analytics and data visualization.
Accessibility: Keyboard Navigation
Gradable: automatic
226) A data miner is a business analytics specialist who uses visual tools to help people
understand complex data.
Answer: FALSE
Explanation: Data artist is a business analytics specialist who uses visual tools to help people
understand complex data.
Difficulty: 1 Easy
Topic: Data Analytics
Bloom's: Remember
Learning Outcome: 06-09 Explain the importance of data analytics and data visualization.
Accessibility: Keyboard Navigation
Gradable: automatic
81
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written consent of McGraw-Hill Education.
227) Social media analytics analyzes text flowing across the Internet, including unstructured text
from blogs and messages.
Answer: TRUE
Explanation: Social media analytics analyzes text flowing across the Internet, including
unstructured text from blogs and messages.
Difficulty: 1 Easy
Topic: Data Analytics
Bloom's: Remember
Learning Outcome: 06-09 Explain the importance of data analytics and data visualization.
Accessibility: Keyboard Navigation
Gradable: automatic
228) Speech analytics is the process of analyzing recorded calls to gather information; brings
structure to customer interactions and exposes information buried in customer contact center
interactions with an enterprise.
Answer: TRUE
Explanation: Speech analytics is the process of analyzing recorded calls to gather information;
brings structure to customer interactions and exposes information buried in customer contact
center interactions with an enterprise.
Difficulty: 1 Easy
Topic: Data Analytics
Bloom's: Remember
Learning Outcome: 06-09 Explain the importance of data analytics and data visualization.
Accessibility: Keyboard Navigation
Gradable: automatic
229) Speech analytics is heavily used in the customer service department to help improve
processes by identifying angry customers and routing them to the appropriate customer service
representative.
Answer: TRUE
Explanation: Speech analytics is heavily used in the customer service department to help
improve processes by identifying angry customers and routing them to the appropriate customer
service representative.
Difficulty: 1 Easy
Topic: Data Analytics
Bloom's: Remember
Learning Outcome: 06-09 Explain the importance of data analytics and data visualization.
Accessibility: Keyboard Navigation
Gradable: automatic
82
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written consent of McGraw-Hill Education.
230) Text analytics analyzes unstructured data to find trends and patterns in words and
sentences. Text mining a firm's customer support email might identify which customer service
representative is best able to handle the question, allowing the system to forward it to the right
person.
Answer: TRUE
Explanation: Text analytics analyzes unstructured data to find trends and patterns in words and
sentences. Text mining a firm's customer support email might identify which customer service
representative is best able to handle the question, allowing the system to forward it to the right
person.
Difficulty: 1 Easy
Topic: Data Analytics
Bloom's: Remember
Learning Outcome: 06-09 Explain the importance of data analytics and data visualization.
Accessibility: Keyboard Navigation
Gradable: automatic
231) Web analytics analyzes unstructured data associated with websites to identify consumer
behavior and website navigation.
Answer: TRUE
Explanation: Web analytics analyzes unstructured data associated with websites to identify
consumer behavior and website navigation.
Difficulty: 1 Easy
Topic: Data Analytics
Bloom's: Remember
Learning Outcome: 06-09 Explain the importance of data analytics and data visualization.
Accessibility: Keyboard Navigation
Gradable: automatic
232) Web analytics analyzes unstructured data to find trends and patterns in words and
sentences.
Answer: FALSE
Explanation: Text analytics analyzes unstructured data to find trends and patterns in words and
sentences.
Difficulty: 1 Easy
Topic: Data Analytics
Bloom's: Remember
Learning Outcome: 06-09 Explain the importance of data analytics and data visualization.
Accessibility: Keyboard Navigation
Gradable: automatic
83
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written consent of McGraw-Hill Education.
233) Social media analytics analyzes unstructured data associated with websites to identify
consumer behavior and website navigation.
Answer: FALSE
Explanation: Web analytics analyzes unstructured data associated with websites to identify
consumer behavior and website navigation.
Difficulty: 1 Easy
Topic: Data Analytics
Bloom's: Remember
Learning Outcome: 06-09 Explain the importance of data analytics and data visualization.
Accessibility: Keyboard Navigation
Gradable: automatic
234) Data visualization tools move beyond Excel graphs and charts into sophisticated analysis
techniques such as pie charts, controls, instruments, maps, time-series graphs, and more.
Answer: TRUE
Explanation: Data visualization tools move beyond Excel graphs and charts into sophisticated
analysis techniques such as pie charts, controls, instruments, maps, time-series graphs, and more.
Difficulty: 1 Easy
Topic: Data Analytics
Bloom's: Remember
Learning Outcome: 06-09 Explain the importance of data analytics and data visualization.
Accessibility: Keyboard Navigation
Gradable: automatic
235) Data visualization tools can help uncover correlations and trends in data that would
otherwise go unrecognized.
Answer: TRUE
Explanation: Data visualization tools can help uncover correlations and trends in data that
would otherwise go unrecognized.
Difficulty: 1 Easy
Topic: Data Analytics
Bloom's: Remember
Learning Outcome: 06-09 Explain the importance of data analytics and data visualization.
Accessibility: Keyboard Navigation
Gradable: automatic
84
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written consent of McGraw-Hill Education.
236) Employees need to compare different types of information for what they commonly reveal
to make strategic decisions. Which of the below represents the three common types of
information found throughout an organization?
A) Levels, forms, granularities
B) Levels, forms, data
C) Levels, formats, granularities
D) Data, formats, granularities
Answer: C
Explanation: Levels, formats, and granularities are the different types of information.
Difficulty: 1 Easy
Topic: The Business Benefits of High-Quality Information
Bloom's: Remember
Learning Outcome: 06-01 Explain the four primary traits that determine the value of
information.
Accessibility: Keyboard Navigation
Gradable: automatic
237) Which of the following represents the different information levels?
A) Detail, summary, aggregate
B) Document, presentation, spreadsheet, database
C) Individual, department, enterprise
D) Executives, managers, operational employees
Answer: C
Explanation: The different information levels include individual, department, and enterprise.
Difficulty: 1 Easy
Topic: The Business Benefits of High-Quality Information
Bloom's: Remember
Learning Outcome: 06-01 Explain the four primary traits that determine the value of
information.
Accessibility: Keyboard Navigation
Gradable: automatic
85
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written consent of McGraw-Hill Education.
238) Which of the following represents the different information formats?
A) Detail, summary, aggregate
B) Document, presentation, spreadsheet, database
C) Individual, department, enterprise
D) Executives, managers, operational employees
Answer: B
Explanation: The different information formats include document, presentation, spreadsheet,
and database.
Difficulty: 1 Easy
Topic: The Business Benefits of High-Quality Information
Bloom's: Remember
Learning Outcome: 06-01 Explain the four primary traits that determine the value of
information.
Accessibility: Keyboard Navigation
Gradable: automatic
239) Which of the following represents the different information granularities?
A) Detail, summary, aggregate
B) Document, presentation, spreadsheet, database
C) Individual, department, enterprise
D) Executives, managers, operational employees
Answer: A
Explanation: The different information granularities include detail, summary, and aggregate.
Difficulty: 1 Easy
Topic: The Business Benefits of High-Quality Information
Bloom's: Remember
Learning Outcome: 06-01 Explain the four primary traits that determine the value of
information.
Accessibility: Keyboard Navigation
Gradable: automatic
86
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written consent of McGraw-Hill Education.
240) Which of the following is not a primary trait of information?
A) Governance
B) Type
C) Timeliness
D) Quantity
Answer: D
Explanation: Quality is the characteristic of information, not quantity.
Difficulty: 1 Easy
Topic: The Business Benefits of High-Quality Information
Bloom's: Remember
Learning Outcome: 06-01 Explain the four primary traits that determine the value of
information.
Accessibility: Keyboard Navigation
Gradable: automatic
241) What encompasses all of the information contained within a single business process or unit
of work and its primary purpose is to support the performing of daily operational tasks?
A) Transactional information
B) Analytical information
C) Timeliness
D) Quality
Answer: A
Explanation: Transactional information encompasses all of the information contained within a
single business process or unit of work and its primary purpose is to support the performing of
daily operational tasks.
Difficulty: 1 Easy
Topic: The Business Benefits of High-Quality Information
Bloom's: Remember
Learning Outcome: 06-01 Explain the four primary traits that determine the value of
information.
Accessibility: Keyboard Navigation
Gradable: automatic
87
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written consent of McGraw-Hill Education.
242) What encompasses all organizational information and its primary purpose is to support the
performing of managerial analysis tasks?
A) Transactional information
B) Analytical information
C) Timeliness
D) Quality
Answer: B
Explanation: Analytical information encompasses all organizational information and its
primary purpose is to support the performing of managerial analysis tasks.
Difficulty: 1 Easy
Topic: The Business Benefits of High-Quality Information
Bloom's: Remember
Learning Outcome: 06-01 Explain the four primary traits that determine the value of
information.
Accessibility: Keyboard Navigation
Gradable: automatic
243) What is immediate, up-to-date information?
A) Real-time information
B) Real-time systems
C) Information granularity
D) Information governance
Answer: A
Explanation: Real-time information is immediate, up-to-date information.
Difficulty: 1 Easy
Topic: The Business Benefits of High-Quality Information
Bloom's: Remember
Learning Outcome: 06-01 Explain the four primary traits that determine the value of
information.
Accessibility: Keyboard Navigation
Gradable: automatic
88
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written consent of McGraw-Hill Education.
244) What provides real-time information in response to query requests?
A) Real-time information
B) Real-time systems
C) Information level
D) Information quality
Answer: B
Explanation: Real-time systems provide real-time information in response to query requests.
Difficulty: 1 Easy
Topic: The Business Benefits of High-Quality Information
Bloom's: Remember
Learning Outcome: 06-01 Explain the four primary traits that determine the value of
information.
Accessibility: Keyboard Navigation
Gradable: automatic
245) What is one of the biggest pitfalls associated with real-time information?
A) It is only available to high-level executives due to the expense
B) It is only available in aggregate levels of granularity
C) It continually changes
D) It rarely changes
Answer: C
Explanation: Information continually changes and this can cause issues with real-time
information.
Difficulty: 2 Medium
Topic: The Business Benefits of High-Quality Information
Bloom's: Understand
Learning Outcome: 06-01 Explain the four primary traits that determine the value of
information.
Accessibility: Keyboard Navigation
Gradable: automatic
89
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written consent of McGraw-Hill Education.
246) Which of the following is not one of the five characteristics common to high-quality
information?
A) Accuracy
B) Completeness
C) Quantity
D) Consistency
Answer: C
Explanation: Accuracy, completeness, consistency, uniqueness, and timeliness are the
characteristics of high quality information.
Difficulty: 1 Easy
Topic: The Business Benefits of High-Quality Information
Bloom's: Remember
Learning Outcome: 06-01 Explain the four primary traits that determine the value of
information.
Accessibility: Keyboard Navigation
Gradable: automatic
247) What is a real-time system?
A) Provides immediate, up-to-date information
B) Provides real-time information in response to query requests
C) Encompasses all organization information, and its primary purpose is to support the
performing of managerial analysis tasks
D) Encompasses all of the information contained within a single business process or unit of
work, and its primary purpose is to support the performing of daily operational tasks
Answer: B
Explanation: Real-time systems provide real-time information in response to query request.
Difficulty: 1 Easy
Topic: The Business Benefits of High-Quality Information
Bloom's: Remember
Learning Outcome: 06-01 Explain the four primary traits that determine the value of
information.
Accessibility: Keyboard Navigation
Gradable: automatic
90
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written consent of McGraw-Hill Education.
248) Which of the following implies that aggregate or summary information is in agreement with
detailed information?
A) Uniqueness
B) Completeness
C) Consistency
D) Accuracy
Answer: C
Explanation: This is the definition of consistency.
Difficulty: 2 Medium
Topic: The Business Benefits of High-Quality Information
Bloom's: Understand
Learning Outcome: 06-01 Explain the four primary traits that determine the value of
information.
Accessibility: Keyboard Navigation
Gradable: automatic
249) Which of the following implies that information is current with respect to the business
requirement?
A) Uniqueness
B) Accuracy
C) Consistency
D) Timeliness
Answer: D
Explanation: This is the definition of timeliness.
Difficulty: 2 Medium
Topic: The Business Benefits of High-Quality Information
Bloom's: Understand
Learning Outcome: 06-01 Explain the four primary traits that determine the value of
information.
Accessibility: Keyboard Navigation
Gradable: automatic
91
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written consent of McGraw-Hill Education.
250) What is it called when each transaction, entity, and event is represented only once in the
information?
A) Uniqueness
B) Accuracy
C) Consistency
D) Timeliness
Answer: A
Explanation: This is the definition of uniqueness.
Difficulty: 2 Medium
Topic: The Business Benefits of High-Quality Information
Bloom's: Understand
Learning Outcome: 06-01 Explain the four primary traits that determine the value of
information.
Accessibility: Keyboard Navigation
Gradable: automatic
251) Which of the following refers to the extent of detail within the information?
A) Knowledge information
B) Information granularity
C) Chance information
D) Information analytics
Answer: B
Explanation: Information granularity refers to the extent of detail within the information.
Difficulty: 1 Easy
Topic: The Business Benefits of High-Quality Information
Bloom's: Remember
Learning Outcome: 06-01 Explain the four primary traits that determine the value of
information.
Accessibility: Keyboard Navigation
Gradable: automatic
92
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written consent of McGraw-Hill Education.
252) Which of the following represent the four primary traits that help determine the value of
information?
A) Information type, information timeliness, information quality, and information governance
B) Information statistics, information tracking, information quality, and information governance
C) Information type, information chance, information analytics, and information policy
D) Information timeliness, information quality, information quantity, and information
governance policy
Answer: A
Explanation: The four primary traits that help determine the value of information are
information type, information timeliness, information quality, and information governance.
Difficulty: 2 Medium
Topic: The Business Benefits of High-Quality Information
Bloom's: Understand
Learning Outcome: 06-01 Explain the four primary traits that determine the value of
information.
Accessibility: Keyboard Navigation
Gradable: automatic
253) What are the two different categories for information type?
A) Analytical and productive
B) Analytical and analysis
C) Transactional and analytical
D) Transactional and analysis
Answer: C
Explanation: Within the information type there are two different categories transactional and
analytical.
Difficulty: 1 Easy
Topic: The Business Benefits of High-Quality Information
Bloom's: Remember
Learning Outcome: 06-01 Explain the four primary traits that determine the value of
information.
Accessibility: Keyboard Navigation
Gradable: automatic
93
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written consent of McGraw-Hill Education.
254) Which of the following encompasses all of the information contained within a single
business process or unit of work, and its primary purpose is to support daily operational tasks?
A) Targeted information
B) Analytical information
C) Productive information
D) Transactional information
Answer: D
Explanation: This is the definition of transactional information.
Difficulty: 1 Easy
Topic: The Business Benefits of High-Quality Information
Bloom's: Remember
Learning Outcome: 06-01 Explain the four primary traits that determine the value of
information.
Accessibility: Keyboard Navigation
Gradable: automatic
255) Which of the following encompasses all organizational information, and its primary
purpose is to support the performing of managerial analysis tasks?
A) Analytical information
B) Transactional information
C) Statistical information
D) Targeted information
Answer: A
Explanation: This is the definition of analytical information.
Difficulty: 1 Easy
Topic: The Business Benefits of High-Quality Information
Bloom's: Remember
Learning Outcome: 06-01 Explain the four primary traits that determine the value of
information.
Accessibility: Keyboard Navigation
Gradable: automatic
94
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written consent of McGraw-Hill Education.
256) Ben works at a top accounting firm in Salt Lake City and his responsibilities include writing
letters, memos, and emails along with generating reports for financial analysis and marketing
materials for products. Ben's duties provide value-added to his company and would be
categorized as occurring at the different information ________.
A) Information lists
B) Information formats
C) Information granularities
D) Information focus
Answer: B
Explanation: Ben works at a top accounting firm in Salt Lake City. Some of his responsibilities
include writing letters, memos, faxes, emails, reports, financial spreadsheets, and generating
marketing materials. These are all examples of information formats.
Difficulty: 3 Hard
Topic: The Business Benefits of High-Quality Information
Bloom's: Analyze
Learning Outcome: 06-01 Explain the four primary traits that determine the value of
information.
Accessibility: Keyboard Navigation
Gradable: automatic
257) Ben works at a top accounting firm in Salt Lake City and his responsibilities include
developing individual and departmental goals, and generating financial analysis across
departments and the enterprise as a whole for the executive team to review. Ben's duties provide
value-added to his company and would be categorized as occurring at the different information
________.
A) levels
B) formulas
C) granularities
D) focus
Answer: A
Explanation: Ben works at a top accounting firm in Salt Lake City and his responsibilities
include developing individual and departmental goals, and generating financial analysis across
departments and the enterprise as a whole. Ben's duties provide value-added to his company and
would be categorized as different information levels.
Difficulty: 3 Hard
Topic: The Business Benefits of High-Quality Information
Bloom's: Analyze
Learning Outcome: 06-01 Explain the four primary traits that determine the value of
information.
Accessibility: Keyboard Navigation
Gradable: automatic
95
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written consent of McGraw-Hill Education.
258) Ben works at a top accounting firm in Salt Lake City and his responsibilities include
developing reports for each salesperson, product, and part as well as departmental-wide sales
reports by salesperson, product, and part. Ben's duties provide value-added to his company and
would be categorized as occurring at the different information ________.
A) levels
B) formats
C) granularities
D) focus
Answer: C
Explanation: Ben works at a top accounting firm in Salt Lake City and his responsibilities
include developing reports for each salesperson, product, and part as well as departmental-wide
sales reports by salesperson, product, and part. Ben's duties provide value-added to his company
and would be categorized as different information granularities.
Difficulty: 3 Hard
Topic: The Business Benefits of High-Quality Information
Bloom's: Analyze
Learning Outcome: 06-01 Explain the four primary traits that determine the value of
information.
Accessibility: Keyboard Navigation
Gradable: automatic
259) Which of the following refers to immediate, up-to-date information?
A) Daily information
B) Strategic information
C) Real-time information
D) Crisis information
Answer: C
Explanation: This is the definition of real-time information.
Difficulty: 1 Easy
Topic: The Business Benefits of High-Quality Information
Bloom's: Remember
Learning Outcome: 06-01 Explain the four primary traits that determine the value of
information.
Accessibility: Keyboard Navigation
Gradable: automatic
96
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written consent of McGraw-Hill Education.
260) Which of the below does not represent a company that requires up-to-the-second
information?
A) 911 response
B) Stock traders
C) Banks
D) Construction companies
Answer: D
Explanation: 911 response, Stock traders, and Banks are organizations that require up-to-thesecond information to operate successfully. A construction company can perform successfully
with daily information.
Difficulty: 2 Medium
Topic: The Business Benefits of High-Quality Information
Bloom's: Understand
Learning Outcome: 06-01 Explain the four primary traits that determine the value of
information.
Accessibility: Keyboard Navigation
Gradable: automatic
261) Which of the following provides real-time information in response to requests?
A) Sales system
B) Transactional system
C) Real-time system
D) Salary system
Answer: C
Explanation: This is the definition of real-time systems.
Difficulty: 1 Easy
Topic: The Business Benefits of High-Quality Information
Bloom's: Remember
Learning Outcome: 06-01 Explain the four primary traits that determine the value of
information.
Accessibility: Keyboard Navigation
Gradable: automatic
97
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written consent of McGraw-Hill Education.
262) Which of the following are examples of transactional information?
A) Airline ticket, sales receipts, and packing slips
B) Trends and sales statistics
C) Product sales results, grocery receipts, and growth projections
D) Airline tickets and sales growth spreadsheets
Answer: A
Explanation: In the transactional versus analytical information figure, airline ticket, sales
receipts, and packing slips are all examples of transactional information.
Difficulty: 1 Easy
Topic: The Business Benefits of High-Quality Information
Bloom's: Remember
Learning Outcome: 06-01 Explain the four primary traits that determine the value of
information.
Accessibility: Keyboard Navigation
Gradable: automatic
263) Which of the following are examples of analytical information?
A) Airline ticket, sales receipts, and packing slips
B) Hotel reservation, sales receipts, and packing slips
C) Future growth analysis, sales projections, and product statistics
D) Packing slips, grocery receipt, and competitor information
Answer: C
Explanation: In the transactional versus analytical information figure, trends, future growth,
sales projections, and product statistics are all examples of analytical information.
Difficulty: 1 Easy
Topic: The Business Benefits of High-Quality Information
Bloom's: Remember
Learning Outcome: 06-01 Explain the four primary traits that determine the value of
information.
Accessibility: Keyboard Navigation
Gradable: automatic
98
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written consent of McGraw-Hill Education.
264) Most people request real-time information without understanding that continual ________
is one of its biggest pitfalls.
A) Improvements
B) Change
C) Clustering
D) Cleansing
Answer: B
Explanation: Most people request real-time information without understanding one of the
biggest pitfalls associated with real-time information is continual change.
Difficulty: 2 Medium
Topic: The Business Benefits of High-Quality Information
Bloom's: Understand
Learning Outcome: 06-01 Explain the four primary traits that determine the value of
information.
Accessibility: Keyboard Navigation
Gradable: automatic
265) Which of the following occurs when the same data element has different values?
A) Data modeling issue
B) Data mining issue
C) Data governance issue
D) Information inconsistency issue
Answer: D
Explanation: Information inconsistency occurs when the same data element have different
values.
Difficulty: 1 Easy
Topic: The Business Benefits of High-Quality Information
Bloom's: Remember
Learning Outcome: 06-01 Explain the four primary traits that determine the value of
information.
Accessibility: Keyboard Navigation
Gradable: automatic
99
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written consent of McGraw-Hill Education.
266) Which of the following occurs when a system produces incorrect, inconsistent, or duplicate
data?
A) Information inconsistency issue
B) Information integrity issue
C) Data control issue
D) Data mining issue
Answer: B
Explanation: Information integrity issues occur when a system produces incorrect, inconsistent,
or duplicate data.
Difficulty: 1 Easy
Topic: The Business Benefits of High-Quality Information
Bloom's: Remember
Learning Outcome: 06-01 Explain the four primary traits that determine the value of
information.
Accessibility: Keyboard Navigation
Gradable: automatic
267) Which of the following lists include all of the five characteristics common to high-quality
information?
A) Accuracy, completeness, strength, support, and positive feedback
B) Accuracy, association, referral, sales, and marketing
C) Accuracy, competition, support, customer service, and visibility
D) Accuracy, completeness, consistency, timeliness, and uniqueness
Answer: D
Explanation: Accuracy, completeness, consistency, timeliness, and uniqueness are the five
characteristics common to high-quality information.
Difficulty: 1 Easy
Topic: The Business Benefits of High-Quality Information
Bloom's: Remember
Learning Outcome: 06-01 Explain the four primary traits that determine the value of
information.
Accessibility: Keyboard Navigation
Gradable: automatic
100
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written consent of McGraw-Hill Education.
268) Which of the following would not be considered part of the complete characteristic of highquality information?
A) Is a value missing from the personal information?
B) Is each transaction represented only once in the information?
C) Is the address incomplete?
D) Is the area code missing for the phone information?
Answer: B
Explanation: All of the following questions can be asked for the characteristic completeness
within the common characteristics of high-quality information: 1) Is a value missing from the
personal information? 2) Is the address incomplete? and 3) Is the area code missing for the phone
information?
Difficulty: 2 Medium
Topic: The Business Benefits of High-Quality Information
Bloom's: Understand
Learning Outcome: 06-01 Explain the four primary traits that determine the value of
information.
Accessibility: Keyboard Navigation
Gradable: automatic
269) Which of the following would not be considered part of the timely characteristic of highquality information?
A) Is the zip code missing in the address?
B) Is the information current with respect to business needs?
C) Is the customer address current?
D) Is the information updated weekly or hourly?
Answer: A
Explanation: All of the following should be considered for the timely section of characteristic
completeness within the common characteristics of high-quality information: 1) Is the
information current with respect to business needs? 2) Is the order information numbers current?
3) Are your orders calculated weekly?
Difficulty: 2 Medium
Topic: The Business Benefits of High-Quality Information
Bloom's: Understand
Learning Outcome: 06-01 Explain the four primary traits that determine the value of
information.
Accessibility: Keyboard Navigation
Gradable: automatic
101
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written consent of McGraw-Hill Education.
270) Which of the following would not be considered part of the accurate characteristic of highquality information?
A) Is the name spelled correctly?
B) Is the email address invalid?
C) Does the name and the phone values have the exact same information?
D) Is aggregate information in agreement with detailed information?
Answer: D
Explanation: All of the following should be considered for the accurate section of characteristic
completeness within the common characteristics of high-quality information: 1) Are there errors
in the value information? 2) Is the email value invalid? 3) Does the name and the phone values
have the exact same information?
Difficulty: 2 Medium
Topic: The Business Benefits of High-Quality Information
Bloom's: Understand
Learning Outcome: 06-01 Explain the four primary traits that determine the value of
information.
Accessibility: Keyboard Navigation
Gradable: automatic
271) Which of the following would not be considered part of the unique characteristic of highquality information?
A) Are there any duplicate orders?
B) Are there any duplicate customers?
C) Is aggregate information in agreement with detailed information?
D) Is each transaction and event represented only once in the information?
Answer: C
Explanation: All of the following should be considered for the unique section of characteristic
completeness within the common characteristics of high-quality information: 1) Is each
transaction and event represented only once in the information? 2) Is each value unique? 3) Are
there any duplicate customers?
Difficulty: 2 Medium
Topic: The Business Benefits of High-Quality Information
Bloom's: Understand
Learning Outcome: 06-01 Explain the four primary traits that determine the value of
information.
Accessibility: Keyboard Navigation
Gradable: automatic
102
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written consent of McGraw-Hill Education.
272) Which of the following would not be considered part of the consistent characteristic of
high-quality information?
A) Do all sales columns equal the total for the revenue column?
B) Is the two digit state code missing in the information?
C) Is all summary information in agreement with detailed information?
D) Does the order number match the item and the color options available?
Answer: B
Explanation: All of the following should be considered for the consistent section of
characteristic completeness within the common characteristics of high-quality information: 1) Do
all total columns equal the true total of the individual item? 2) Is all summary information in
agreement with detailed information? 3) Does the order number match the item and the color
options available?
Difficulty: 2 Medium
Topic: The Business Benefits of High-Quality Information
Bloom's: Understand
Learning Outcome: 06-01 Explain the four primary traits that determine the value of
information.
Accessibility: Keyboard Navigation
Gradable: automatic
273) Which of the following represents a reason for low-quality information?
A) Online customers intentionally enter inaccurate information to protect the privacy
B) Different systems have different information entry standards and formats
C) Third-party and external information contains inaccuracies and errors
D) All of the above
Answer: D
Explanation: All of the above options represent primary reasons for low-quality information.
Difficulty: 2 Medium
Topic: The Business Benefits of High-Quality Information
Bloom's: Understand
Learning Outcome: 06-01 Explain the four primary traits that determine the value of
information.
Accessibility: Keyboard Navigation
Gradable: automatic
103
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written consent of McGraw-Hill Education.
274) Some of the serious business consequences that occur due to using low-quality information
to make decisions are all of the following except:
A) Inability to accurately track customers
B) Inability to identify selling opportunities
C) The success of the organization depends on appreciating and leveraging the low-quality
information
D) Lost revenue opportunities from marketing to nonexistent customers
Answer: C
Explanation: The success of the organization depends on appreciating and leveraging the timely
and high-quality information.
Difficulty: 2 Medium
Topic: The Business Benefits of High-Quality Information
Bloom's: Understand
Learning Outcome: 06-01 Explain the four primary traits that determine the value of
information.
Accessibility: Keyboard Navigation
Gradable: automatic
275) What is the overall management of the availability, usability, integrity, and security of
company data?
A) Data Intelligence
B) Data governance
C) Data forbearance
D) Data forecasting
Answer: B
Explanation: This is the definition of data governance.
Difficulty: 1 Easy
Topic: The Business Benefits of High-Quality Information
Bloom's: Remember
Learning Outcome: 06-01 Explain the four primary traits that determine the value of
information.
Accessibility: Keyboard Navigation
Gradable: automatic
104
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written consent of McGraw-Hill Education.
276) What occurs when the same data element has different values?
A) Information inconsistency
B) Information integrity issues
C) Data governance
D) Master data management
Answer: A
Explanation: Information inconsistency occurs when the same data element has different
values. Take for example the amount of work that needs to occur to update a customer who had
changed her last name due to marriage.
Difficulty: 1 Easy
Topic: The Business Benefits of High-Quality Information
Bloom's: Remember
Learning Outcome: 06-01 Explain the four primary traits that determine the value of
information.
Accessibility: Keyboard Navigation
Gradable: automatic
277) What occurs when a system produces incorrect, inconsistent, or duplicate data?
A) Information inconsistency
B) Information integrity issues
C) Data governance
D) Master data management
Answer: B
Explanation: Information integrity issues occur when a system produces incorrect, inconsistent,
or duplicate data.
Difficulty: 1 Easy
Topic: The Business Benefits of High-Quality Information
Bloom's: Remember
Learning Outcome: 06-01 Explain the four primary traits that determine the value of
information.
Accessibility: Keyboard Navigation
Gradable: automatic
105
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written consent of McGraw-Hill Education.
278) What refers to the overall management of the availability, usability, integrity, and security
of company data?
A) Information inconsistency
B) Information integrity issues
C) Data governance
D) Master data management
Answer: C
Explanation: Data governance refers to the overall management of the availability, usability,
integrity, and security of company data.
Difficulty: 1 Easy
Topic: The Business Benefits of High-Quality Information
Bloom's: Remember
Learning Outcome: 06-01 Explain the four primary traits that determine the value of
information.
Accessibility: Keyboard Navigation
Gradable: automatic
279) What is the practice of gathering data and ensuring that it is uniform, accurate, consistent,
and complete, including such entities as customers, suppliers, products, sales, employees, and
other critical entities that are commonly integrated across organizational systems?
A) Information inconsistency
B) Information integrity issues
C) Data governance
D) Master data management
Answer: D
Explanation: Master data management (MDM) is the practice of gathering data and ensuring
that it is uniform, accurate, consistent, and complete, including such entities as customers,
suppliers, products, sales, employees, and other critical entities that are commonly integrated
across organizational systems.
Difficulty: 1 Easy
Topic: The Business Benefits of High-Quality Information
Bloom's: Remember
Learning Outcome: 06-01 Explain the four primary traits that determine the value of
information.
Accessibility: Keyboard Navigation
Gradable: automatic
106
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280) What is information inconsistency?
A) Occurs when the same data element has different values.
B) Occurs when a system produces incorrect, inconsistent, or duplicate data.
C) Refers to the overall management of the availability, usability, integrity, and security of
company data.
D) The practice of gathering data and ensuring that it is uniform, accurate, consistent, and
complete, including such entities as customers, suppliers, products, sales, employees, and other
critical entities that are commonly integrated across organizational systems.
Answer: A
Explanation: Information inconsistency occurs when the same data element has different
values. Take for example the amount of work that needs to occur to update a customer who had
changed her last name due to marriage.
Difficulty: 1 Easy
Topic: The Business Benefits of High-Quality Information
Bloom's: Remember
Learning Outcome: 06-01 Explain the four primary traits that determine the value of
information.
Accessibility: Keyboard Navigation
Gradable: automatic
281) What are information integrity issues?
A) Occurs when the same data element has different values.
B) Occurs when a system produces incorrect, inconsistent, or duplicate data.
C) Refers to the overall management of the availability, usability, integrity, and security of
company data.
D) The practice of gathering data and ensuring that it is uniform, accurate, consistent, and
complete, including such entities as customers, suppliers, products, sales, employees, and other
critical entities that are commonly integrated across organizational systems.
Answer: B
Explanation: Information integrity issues occur when a system produces incorrect, inconsistent,
or duplicate data.
Difficulty: 1 Easy
Topic: The Business Benefits of High-Quality Information
Bloom's: Remember
Learning Outcome: 06-01 Explain the four primary traits that determine the value of
information.
Accessibility: Keyboard Navigation
Gradable: automatic
107
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written consent of McGraw-Hill Education.
282) What is data governance?
A) Occurs when the same data element has different values.
B) Occurs when a system produces incorrect, inconsistent, or duplicate data.
C) Refers to the overall management of the availability, usability, integrity, and security of
company data.
D) The practice of gathering data and ensuring that it is uniform, accurate, consistent, and
complete, including such entities as customers, suppliers, products, sales, employees, and other
critical entities that are commonly integrated across organizational systems.
Answer: C
Explanation: Data governance refers to the overall management of the availability, usability,
integrity, and security of company data.
Difficulty: 1 Easy
Topic: The Business Benefits of High-Quality Information
Bloom's: Remember
Learning Outcome: 06-01 Explain the four primary traits that determine the value of
information.
Accessibility: Keyboard Navigation
Gradable: automatic
283) What is master data management?
A) Occurs when the same data element has different values.
B) Occurs when a system produces incorrect, inconsistent, or duplicate data.
C) Refers to the overall management of the availability, usability, integrity, and security of
company data.
D) The practice of gathering data and ensuring that it is uniform, accurate, consistent, and
complete, including such entities as customers, suppliers, products, sales, employees, and other
critical entities that are commonly integrated across organizational systems.
Answer: D
Explanation: Master data management (MDM) is the practice of gathering data and ensuring
that it is uniform, accurate, consistent, and complete, including such entities as customers,
suppliers, products, sales, employees, and other critical entities that are commonly integrated
across organizational systems.
Difficulty: 1 Easy
Topic: The Business Benefits of High-Quality Information
Bloom's: Remember
Learning Outcome: 06-01 Explain the four primary traits that determine the value of
information.
Accessibility: Keyboard Navigation
Gradable: automatic
108
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written consent of McGraw-Hill Education.
284) What is a data steward responsible for?
A) Acting as a liaison between the MIS department and the business.
B) Ensuring policies and procedures are implemented across the organization.
C) Both acting as a liaison between the MIS department and the business and ensuring policies
and procedures are implemented across the organization.
D) None of the above.
Answer: C
Explanation: A data steward is responsible for ensuring the policies and procedures are
implemented across the organization and acts as a liaison between the MIS department and the
business.
Difficulty: 1 Easy
Topic: The Business Benefits of High-Quality Information
Bloom's: Remember
Learning Outcome: 06-01 Explain the four primary traits that determine the value of
information.
Accessibility: Keyboard Navigation
Gradable: automatic
285) What is the term for the management and oversight of an organization's data assets to help
provide business users with high-quality data that is easily accessible in a consistent manner?
A) Data steward.
B) Data stewardship.
C) Data gap analysis.
D) Data governance.
Answer: B
Explanation: Data stewardship is the management and oversight of an organization's data assets
to help provide business users with high-quality data that is easily accessible in a consistent
manner.
Difficulty: 2 Medium
Topic: The Business Benefits of High-Quality Information
Bloom's: Remember
Learning Outcome: 06-01 Explain the four primary traits that determine the value of
information.
Accessibility: Keyboard Navigation
Gradable: automatic
109
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written consent of McGraw-Hill Education.
286) What is the term for the tests and evaluations used to determine compliance with data
governance policies to ensure correctness of data?
A) Data steward.
B) Data stewardship.
C) Data validation.
D) Data gap analysis.
Answer: C
Explanation: Data validation includes the tests and evaluations used to determine compliance
with data governance polices to ensure correctness of data.
Difficulty: 1 Easy
Topic: The Business Benefits of High-Quality Information
Bloom's: Remember
Learning Outcome: 06-01 Explain the four primary traits that determine the value of
information.
Accessibility: Keyboard Navigation
Gradable: automatic
287) What is the term for when a company examines its data to determine if it can meet business
expectations, while identifying possible data gaps or where missing data might exist.
A) Data steward.
B) Data stewardship.
C) Data validation.
D) Data gap analysis.
Answer: D
Explanation: Data gap analysis occurs when a company examines its data to determine if it can
meet business expectations, while identifying possible data gaps or where missing data might
exist.
Difficulty: 1 Easy
Topic: The Business Benefits of High-Quality Information
Bloom's: Remember
Learning Outcome: 06-01 Explain the four primary traits that determine the value of
information.
Accessibility: Keyboard Navigation
Gradable: automatic
110
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written consent of McGraw-Hill Education.
288) What is the term for the practice of gathering data and ensuring that it is uniform, accurate,
consistent, and complete, including such entities as customers, suppliers, products, sales,
employees, and other critical entities that are commonly integrated across organizational
systems.
A) Data governance.
B) Master data management.
C) Data validation.
D) Data gap analysis.
Answer: B
Explanation: Master data management is the practice of gathering data and ensuring that it is
uniform, accurate, consistent, and complete, including such entities as customers, suppliers,
products, sales, employees, and other critical entities that are commonly integrated across
organizational systems.
Difficulty: 1 Easy
Topic: The Business Benefits of High-Quality Information
Bloom's: Remember
Learning Outcome: 06-01 Explain the four primary traits that determine the value of
information.
Accessibility: Keyboard Navigation
Gradable: automatic
289) What is the term for the time it takes for data to be stored or retrieved?
A) Data governance.
B) Data latency.
C) Data validation.
D) Data gap analysis.
Answer: B
Explanation: Data latency is the time it takes for data to be stored or retrieved.
Difficulty: 1 Easy
Topic: Using a Relational Database for Business Advantages
Bloom's: Remember
Learning Outcome: 06-03 Identify the business advantages of a relational database.
Accessibility: Keyboard Navigation
Gradable: automatic
111
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written consent of McGraw-Hill Education.
290) What is data latency?
A) The time it takes for data to be stored or retrieved.
B) The management and oversight of an organization's data assets.
C) The person responsible for ensuring policies and procedures are implemented across the
organization.
D) When a company examines its data to determine if it can meet business expectations, while
identifying possible data gaps.
Answer: A
Explanation: Data latency is the time it takes for data to be stored or retrieved.
Difficulty: 1 Easy
Topic: Using a Relational Database for Business Advantages
Bloom's: Remember
Learning Outcome: 06-03 Identify the business advantages of a relational database.
Accessibility: Keyboard Navigation
Gradable: automatic
291) What is data stewardship?
A) The time it takes for data to be stored or retrieved.
B) The management and oversight of an organization's data assets.
C) The person responsible for ensuring policies and procedures are implemented across the
organization.
D) When a company examines its data to determine if it can meet business expectations, while
identifying possible data gaps.
Answer: B
Explanation: Data stewardship is the management and oversight of an organization's data assets
to help provide business users with high-quality data that is easily accessible in a consistent
manner.
Difficulty: 1 Easy
Topic: The Business Benefits of High-Quality Information
Bloom's: Remember
Learning Outcome: 06-01 Explain the four primary traits that determine the value of
information.
Accessibility: Keyboard Navigation
Gradable: automatic
112
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written consent of McGraw-Hill Education.
292) What is a data steward?
A) The time it takes for data to be stored or retrieved.
B) The management and oversight of an organization's data assets.
C) The person responsible for ensuring policies and procedures are implemented across the
organization.
D) When a company examines its data to determine if it can meet business expectations, while
identifying possible data gaps.
Answer: C
Explanation: Data steward is the person responsible for ensuring policies and procedures are
implemented across the organization and acts as a liaison between the MIS department and the
business.
Difficulty: 1 Easy
Topic: The Business Benefits of High-Quality Information
Bloom's: Remember
Learning Outcome: 06-01 Explain the four primary traits that determine the value of
information.
Accessibility: Keyboard Navigation
Gradable: automatic
293) What is data validation?
A) The time it takes for data to be stored or retrieved.
B) The management and oversight of an organization's data assets.
C) The tests and evaluations used to determine compliance with data governance policies to
ensure correctness of data.
D) When a company examines its data to determine if it can meet business expectations, while
identifying possible data gaps.
Answer: C
Explanation: Data steward is the person responsible for ensuring policies and procedures are
implemented across the organization and acts as a liaison between the MIS department and the
business.
Difficulty: 1 Easy
Topic: The Business Benefits of High-Quality Information
Bloom's: Remember
Learning Outcome: 06-01 Explain the four primary traits that determine the value of
information.
Accessibility: Keyboard Navigation
Gradable: automatic
113
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written consent of McGraw-Hill Education.
294) What is data gap analysis?
A) The time it takes for data to be stored or retrieved.
B) The management and oversight of an organization's data assets.
C) The tests and evaluations used to determine compliance with data governance policies to
ensure correctness of data.
D) When a company examines its data to determine if it can meet business expectations, while
identifying possible data gaps.
Answer: D
Explanation: Data gap analysis is when a company examines its data to determine if it can meet
business expectations, while identifying possible data gaps or where missing data might exist.
Difficulty: 1 Easy
Topic: The Business Benefits of High-Quality Information
Bloom's: Remember
Learning Outcome: 06-01 Explain the four primary traits that determine the value of
information.
Accessibility: Keyboard Navigation
Gradable: automatic
295) What is master data management?
A) The time it takes for data to be stored or retrieved.
B) The practice of gathering data and ensuring that it is uniform, accurate, consistent, and
complete.
C) The tests and evaluations used to determine compliance with data governance policies to
ensure correctness of data.
D) When a company examines its data to determine if it can meet business expectations, while
identifying possible data gaps.
Answer: D
Explanation: Master data management is the practice of gathering data and ensuring that it is
uniform, accurate, consistent, and complete, including such entities as customers, suppliers,
products, sales, employees, and other critical entities that are commonly integrated across
organizational systems.
Difficulty: 1 Easy
Topic: The Business Benefits of High-Quality Information
Bloom's: Remember
Learning Outcome: 06-01 Explain the four primary traits that determine the value of
information.
Accessibility: Keyboard Navigation
Gradable: automatic
296) What maintains information about various types of objects, events, people, and places?
114
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written consent of McGraw-Hill Education.
A) Database
B) Data model
C) Data mining
D) Data intelligence
Answer: A
Explanation: This is the definition of database.
Difficulty: 1 Easy
Topic: Storing Information Using a Relational Database Management System
Bloom's: Remember
Learning Outcome: 06-02 Describe a database, a database management system, and the
relational database model.
Accessibility: Keyboard Navigation
Gradable: automatic
297) A database maintains information on ________.
A) Inventory
B) Transactions
C) Employees
D) All of the above
Answer: D
Explanation: A database maintains information on inventory, transactions, and employees.
Difficulty: 1 Easy
Topic: Storing Information Using a Relational Database Management System
Bloom's: Remember
Learning Outcome: 06-02 Describe a database, a database management system, and the
relational database model.
Accessibility: Keyboard Navigation
Gradable: automatic
115
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written consent of McGraw-Hill Education.
298) In the relational database model, what is a person, place, thing, transaction, or event about
which information is stored?
A) Entity
B) Relationships
C) Attribute
D) Foreign Key
Answer: A
Explanation: This is the definition of an entity.
Difficulty: 1 Easy
Topic: Storing Information Using a Relational Database Management System
Bloom's: Remember
Learning Outcome: 06-02 Describe a database, a database management system, and the
relational database model.
Accessibility: Keyboard Navigation
Gradable: automatic
299) Why do relational databases use primary keys and foreign keys?
A) To create an entity
B) To create physical relationships
C) To create logical relationships
D) To create an attribute
Answer: C
Explanation: Keys are used to create logical relationships.
Difficulty: 2 Medium
Topic: Storing Information Using a Relational Database Management System
Bloom's: Understand
Learning Outcome: 06-02 Describe a database, a database management system, and the
relational database model.
Accessibility: Keyboard Navigation
Gradable: automatic
116
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written consent of McGraw-Hill Education.
300) What is a primary key?
A) A field (or group of fields) that uniquely identifies a given entity in a table
B) A primary key of one table that appears as an attribute in another table and acts to provide a
logical relationship among the two tables
C) Characteristics or properties of an entity
D) A field (or group of fields) that uniquely identifies a given attribute in a table
Answer: A
Explanation: This is the definition of primary key.
Difficulty: 1 Easy
Topic: Storing Information Using a Relational Database Management System
Bloom's: Remember
Learning Outcome: 06-02 Describe a database, a database management system, and the
relational database model.
Accessibility: Keyboard Navigation
Gradable: automatic
301) What is a foreign key?
A) A field (or group of fields) that uniquely identifies a given entity in a table
B) A primary key of one table that appears as an attribute in another table and acts to provide a
logical relationship among the two tables
C) Characteristics or properties of an entity
D) A field (or group of fields) that uniquely identifies a given attribute in a table
Answer: B
Explanation: This is the definition of foreign key.
Difficulty: 1 Easy
Topic: Storing Information Using a Relational Database Management System
Bloom's: Remember
Learning Outcome: 06-02 Describe a database, a database management system, and the
relational database model.
Accessibility: Keyboard Navigation
Gradable: automatic
117
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written consent of McGraw-Hill Education.
302) Which of the following creates, reads, updates, and deletes data in a database while
controlling access and security?
A) Database element
B) Database management system
C) Data governance
D) Data File
Answer: B
Explanation: This is the definition of database management system.
Difficulty: 1 Easy
Topic: Storing Information Using a Relational Database Management System
Bloom's: Remember
Learning Outcome: 06-02 Describe a database, a database management system, and the
relational database model.
Accessibility: Keyboard Navigation
Gradable: automatic
303) Which of the following asks users to write lines of code to answer questions against a
database?
A) Structured query language
B) Relational query language
C) Structured elements
D) Data mining tools
Answer: A
Explanation: This is the definition of structured query language (SQL).
Difficulty: 1 Easy
Topic: Storing Information Using a Relational Database Management System
Bloom's: Remember
Learning Outcome: 06-02 Describe a database, a database management system, and the
relational database model.
Accessibility: Keyboard Navigation
Gradable: automatic
118
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written consent of McGraw-Hill Education.
304) What is the primary tool that retrieves information and helps users graphically design the
answer to a question?
A) Data mining tools
B) Structured example language
C) Query-by-example tool
D) Relational query tool
Answer: C
Explanation: This is the definition of query-by-example tool.
Difficulty: 1 Easy
Topic: Storing Information Using a Relational Database Management System
Bloom's: Remember
Learning Outcome: 06-02 Describe a database, a database management system, and the
relational database model.
Accessibility: Keyboard Navigation
Gradable: automatic
305) What is the smallest or basic unit of information?
A) Database management element
B) Data element
C) Data model
D) Data integrity issue
Answer: B
Explanation: This is the definition of data element (or data field)
Difficulty: 1 Easy
Topic: Storing Information Using a Relational Database Management System
Bloom's: Remember
Learning Outcome: 06-02 Describe a database, a database management system, and the
relational database model.
Accessibility: Keyboard Navigation
Gradable: automatic
119
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written consent of McGraw-Hill Education.
306) What is a logical data structure that details the relationship among data elements using
graphics or pictures?
A) Data model
B) Data element
C) Data mining tool
D) Data mart tool
Answer: A
Explanation: This is the definition of data models.
Difficulty: 1 Easy
Topic: Storing Information Using a Relational Database Management System
Bloom's: Remember
Learning Outcome: 06-02 Describe a database, a database management system, and the
relational database model.
Accessibility: Keyboard Navigation
Gradable: automatic
307) What compiles all of the metadata about the data elements in the data model?
A) Data entity
B) Data element
C) Data attribute
D) Data dictionary
Answer: D
Explanation: This is the definition data dictionary.
Difficulty: 1 Easy
Topic: Storing Information Using a Relational Database Management System
Bloom's: Remember
Learning Outcome: 06-02 Describe a database, a database management system, and the
relational database model.
Accessibility: Keyboard Navigation
Gradable: automatic
120
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written consent of McGraw-Hill Education.
308) Which of the following systems allow users to create, read, update, and delete data in a
relational database?
A) Business intelligence system
B) Informational database system
C) Relational database management system
D) Data mining system
Answer: C
Explanation: This is the definition of relational database management system.
Difficulty: 1 Easy
Topic: Storing Information Using a Relational Database Management System
Bloom's: Remember
Learning Outcome: 06-02 Describe a database, a database management system, and the
relational database model.
Accessibility: Keyboard Navigation
Gradable: automatic
309) Which of the following illustrates the primary concepts of the relational database model?
A) Ethics, applications, keys, and relationships
B) Entities, attributes, keys, and relationships
C) Endeavor, aspire, control, and regulate
D) Early, after, before, and future
Answer: B
Explanation: Entities, attributes, keys, and relationships illustrate the primary concepts of the
relational database model.
Difficulty: 2 Medium
Topic: Storing Information Using a Relational Database Management System
Bloom's: Understand
Learning Outcome: 06-02 Describe a database, a database management system, and the
relational database model.
Accessibility: Keyboard Navigation
Gradable: automatic
121
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written consent of McGraw-Hill Education.
310) Which of the following stores information about a person, place, thing, transaction, or
event, and is usually referred to as a table?
A) Entity
B) Extraction
C) Attribute
D) Foreign key
Answer: A
Explanation: This is the definition of an entity.
Difficulty: 1 Easy
Topic: Storing Information Using a Relational Database Management System
Bloom's: Remember
Learning Outcome: 06-02 Describe a database, a database management system, and the
relational database model.
Accessibility: Keyboard Navigation
Gradable: automatic
311) What is the primary difference between an entity and an attribute?
A) An attribute is a table, an entity is a column from the attribute table
B) An entity is specific, where as an attribute is not data at all but brainstorming ideas that take
place before the entity is created
C) An attribute refers to applications, and an entity refers to executives
D) An entity is a table that stores information about people, places, or events, where as an
attribute is a column or specific field of the data elements associated with an entity
Answer: D
Explanation: These are the definition distinctions between entities and attributes.
Difficulty: 3 Hard
Topic: Storing Information Using a Relational Database Management System
Bloom's: Analyze
Learning Outcome: 06-02 Describe a database, a database management system, and the
relational database model.
Accessibility: Keyboard Navigation
Gradable: automatic
122
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written consent of McGraw-Hill Education.
312) What type of keys do you need to use to create a relational database model?
A) Primary keys and secondary keys
B) Primary keys and foreign keys
C) Entity keys and attribute keys
D) Relational keys and DBMS keys
Answer: B
Explanation: In order to effectively manage and organize various entities within the relational
database model, you need to use primary keys & foreign keys to create logical relationships.
Difficulty: 2 Medium
Topic: Storing Information Using a Relational Database Management System
Bloom's: Understand
Learning Outcome: 06-02 Describe a database, a database management system, and the
relational database model.
Accessibility: Keyboard Navigation
Gradable: automatic
313) What is a field that uniquely identifies a given record in a table?
A) Foreign key
B) Primary key
C) Data mining key
D) DBMS key
Answer: B
Explanation: This is the definition of a primary key.
Difficulty: 1 Easy
Topic: Storing Information Using a Relational Database Management System
Bloom's: Remember
Learning Outcome: 06-02 Describe a database, a database management system, and the
relational database model.
Accessibility: Keyboard Navigation
Gradable: automatic
123
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written consent of McGraw-Hill Education.
314) What is the role of a foreign key?
A) It is a primary key of one table that appears as an attribute in another table and acts to provide
a logical relationship between the two tables
B) It is a unique way to identify each record
C) Is a field that uniquely identifies a give record in a table
D) All of the above
Answer: A
Explanation: This is the definition of a foreign key.
Difficulty: 1 Easy
Topic: Storing Information Using a Relational Database Management System
Bloom's: Remember
Learning Outcome: 06-02 Describe a database, a database management system, and the
relational database model.
Accessibility: Keyboard Navigation
Gradable: automatic
315) Your textbook discussed a record store example where one user could perform a query to
determine which recordings had a track length of four minutes or more, and another user could
perform an analysis to determine the distribution of recordings as they relate to the different
categories. This is an advantage of which database example?
A) Increased scalability and performance
B) Increased information security
C) Reduced information redundancy
D) Increased flexibility
Answer: D
Explanation: This is an increased flexibility advantage.
Difficulty: 3 Hard
Topic: Using a Relational Database for Business Advantages
Bloom's: Analyze
Learning Outcome: 06-03 Identify the business advantages of a relational database.
Accessibility: Keyboard Navigation
Gradable: automatic
124
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written consent of McGraw-Hill Education.
316) Which of the following is a disadvantage of database-stored information?
A) Increased flexibility
B) Increased performance
C) Increased information redundancy
D) Increased information integrity
Answer: C
Explanation: Database-stored information reduces or decreases information redundancy.
Difficulty: 2 Medium
Topic: Using a Relational Database for Business Advantages
Bloom's: Understand
Learning Outcome: 06-03 Identify the business advantages of a relational database.
Accessibility: Keyboard Navigation
Gradable: automatic
317) Which of the following is incorrect in reference to a database?
A) A database can be relational or network
B) Database information is accessed by logical structure
C) Database information is accessed by physical structure
D) Database users can have different views of information
Answer: C
Explanation: A database accesses information by logical structure and stores information by
physical structure.
Difficulty: 2 Medium
Topic: Using a Relational Database for Business Advantages
Bloom's: Understand
Learning Outcome: 06-03 Identify the business advantages of a relational database.
Accessibility: Keyboard Navigation
Gradable: automatic
318) What is the logical view of information?
A) Deals with the physical storage of information on a storage device such as a hard disk
B) Deals with the logical storage of information on a storage device such as a hard disk
C) Focuses on how users logically access information to meet their particular business needs
D) Focuses on how users physically access information to meet their particular business needs
Answer: C
Explanation: This is the definition of logical view.
Difficulty: 2 Medium
Topic: Using a Relational Database for Business Advantages
Bloom's: Understand
Learning Outcome: 06-03 Identify the business advantages of a relational database.
Accessibility: Keyboard Navigation
Gradable: automatic
125
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written consent of McGraw-Hill Education.
319) Which of the following is correct in reference to a database?
A) A database can support only one logical view
B) A database can support many physical views
C) A database can support many logical views
D) A database can support up to 3 logical views
Answer: C
Explanation: A database can support many logical views.
Difficulty: 2 Medium
Topic: Using a Relational Database for Business Advantages
Bloom's: Understand
Learning Outcome: 06-03 Identify the business advantages of a relational database.
Accessibility: Keyboard Navigation
Gradable: automatic
320) Which of the below is not an example of an advantage of using a relational database?
A) Increased information quality
B) Increased flexibility
C) Decreased information redundancy
D) Decreased information security
Answer: D
Explanation: All of them are advantages except decreased information security; the advantage
is increased information security.
Difficulty: 2 Medium
Topic: Using a Relational Database for Business Advantages
Bloom's: Understand
Learning Outcome: 06-03 Identify the business advantages of a relational database.
Accessibility: Keyboard Navigation
Gradable: automatic
321) What is information redundancy?
A) Duplication of data
B) Storing the same data in multiple places
C) Storing duplicate data in multiple places
D) All of the above
Answer: D
Explanation: Information redundancy is all of the above.
Difficulty: 1 Easy
Topic: Using a Relational Database for Business Advantages
Bloom's: Remember
Learning Outcome: 06-03 Identify the business advantages of a relational database.
Accessibility: Keyboard Navigation
Gradable: automatic
126
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written consent of McGraw-Hill Education.
322) What is the primary problem with redundant information?
A) It is difficult to determine which values are the most current
B) It is often inconsistent
C) It is difficult to determine which values are the most accurate
D) All of the above
Answer: D
Explanation: All of the above are problems with redundant information.
Difficulty: 2 Medium
Topic: Using a Relational Database for Business Advantages
Bloom's: Understand
Learning Outcome: 06-03 Identify the business advantages of a relational database.
Accessibility: Keyboard Navigation
Gradable: automatic
323) Which of the following is true in regards to the elimination of redundant information?
A) Uses additional hard disk space
B) Makes performing information updates harder
C) Improves information quality
D) All of the above
Answer: C
Explanation: Eliminating redundant information improves the quality of the information, uses
less hard disk space, and makes performing updates easier.
Difficulty: 2 Medium
Topic: Using a Relational Database for Business Advantages
Bloom's: Understand
Learning Outcome: 06-03 Identify the business advantages of a relational database.
Accessibility: Keyboard Navigation
Gradable: automatic
324) What are the rules that help ensure the quality of information?
A) Information integrity
B) Integrity constraints
C) Relational integrity constraints
D) Business-critical integrity constraints
Answer: B
Explanation: This is the definition of integrity constraints.
Difficulty: 1 Easy
Topic: Using a Relational Database for Business Advantages
Bloom's: Remember
Learning Outcome: 06-03 Identify the business advantages of a relational database.
Accessibility: Keyboard Navigation
Gradable: automatic
127
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written consent of McGraw-Hill Education.
325) What are rules that enforce basic and fundamental information-based constraints?
A) Information integrity
B) Integrity constraint
C) Business-critical integrity constraint
D) Relational integrity constraint
Answer: D
Explanation: This is the definition of relational integrity constraints.
Difficulty: 1 Easy
Topic: Using a Relational Database for Business Advantages
Bloom's: Remember
Learning Outcome: 06-03 Identify the business advantages of a relational database.
Accessibility: Keyboard Navigation
Gradable: automatic
326) Which of the following is a valid type of integrity constraint?
A) Relational-critical integrity constraint
B) Business integrity constraint
C) Relational integrity constraint
D) Business-critical integrity constraint
Answer: D
Explanation: Business-critical integrity constraint is valid.
Difficulty: 2 Medium
Topic: Using a Relational Database for Business Advantages
Bloom's: Understand
Learning Outcome: 06-03 Identify the business advantages of a relational database.
Accessibility: Keyboard Navigation
Gradable: automatic
327) What type of integrity constraint does not allow someone to create an order for a
nonexistent customer?
A) Relational integrity constraint
B) Business-critical integrity constraint
C) Information-critical integrity constraint
D) Mission-critical integrity constraint
Answer: A
Explanation: This is an example of relational integrity constraints.
Difficulty: 2 Medium
Topic: Using a Relational Database for Business Advantages
Bloom's: Understand
Learning Outcome: 06-03 Identify the business advantages of a relational database.
Accessibility: Keyboard Navigation
Gradable: automatic
128
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written consent of McGraw-Hill Education.
328) Which of the following is a business-critical integrity constraint?
A) System will not allow an entry for an order for a nonexistent customer
B) System will not allow returns of fresh produce after 15 days past delivery
C) System will not allow shipping a product to a customer who does not have a valid address
D) Systems will not allow shipping of a nonexistent product to a customer
Answer: B
Explanation: Business-critical integrity constraint will not allow a return of fresh produce after
15 days. A and C represent relational integrity constraints.
Difficulty: 3 Hard
Topic: Using a Relational Database for Business Advantages
Bloom's: Analyze
Learning Outcome: 06-03 Identify the business advantages of a relational database.
Accessibility: Keyboard Navigation
Gradable: automatic
329) What is identity management?
A) Enforces business rules vital to an organization's success.
B) The practice of gathering data and ensuring that it is uniform, accurate, consistent, and
complete.
C) A broad administrative area that deals with identifying individuals in a system and controlling
their access to resources within that system.
D) When a company examines its data to determine if it can meet business expectations, while
identifying possible data gaps.
Answer: C
Explanation: Identity management is a broad administrative area that deals with identifying
individuals in a system (such as a country, a network, or an enterprise) and controlling their
access to resources within that system by associating user rights and restrictions with the
established identity.
Difficulty: 1 Easy
Topic: Using a Relational Database for Business Advantages
Bloom's: Remember
Learning Outcome: 06-03 Identify the business advantages of a relational database.
Accessibility: Keyboard Navigation
Gradable: automatic
129
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written consent of McGraw-Hill Education.
330) What is the term for is a broad administrative area that deals with identifying individuals in
a system and controlling their access to resources within that system by associating user rights
and restrictions with the established identity?
A) Identity management.
B) Master data management.
C) Data validation.
D) Data latency.
Answer: A
Explanation: Identity management is a broad administrative area that deals with identifying
individuals in a system (such as a country, a network, or an enterprise) and controlling their
access to resources within that system by associating user rights and restrictions with the
established identity.
Difficulty: 1 Easy
Topic: Using a Relational Database for Business Advantages
Bloom's: Remember
Learning Outcome: 06-03 Identify the business advantages of a relational database.
Accessibility: Keyboard Navigation
Gradable: automatic
331) Which of the following focuses on how individual users logically access information to
meet their own particular business needs?
A) Physical view
B) Logical view
C) Data mart view
D) Data view
Answer: B
Explanation: This is the definition of logical view.
Difficulty: 1 Easy
Topic: Using a Relational Database for Business Advantages
Bloom's: Remember
Learning Outcome: 06-03 Identify the business advantages of a relational database.
Accessibility: Keyboard Navigation
Gradable: automatic
130
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written consent of McGraw-Hill Education.
332) The example the book gave of www.EllisIsland.org, which generates more than 2.5 billion
hits, is a site that offers a database that can easily adjust to handle massive volumes of
information. What is this an example of?
A) Increased scalability and performance
B) Increased information security
C) Reduced information redundancy
D) Increased flexibility
Answer: A
Explanation: The Ellis Island website is an example of increased scalability and performance.
Difficulty: 2 Medium
Topic: Using a Relational Database for Business Advantages
Bloom's: Understand
Learning Outcome: 06-03 Identify the business advantages of a relational database.
Accessibility: Keyboard Navigation
Gradable: automatic
333) One of the primary goals of a database is to eliminate information redundancy by recording
each piece of data in only one place in the database. What does the elimination of information
redundancy do for a database?
A) Reduces disk space requirements
B) Makes updating information easier
C) Improves information quality
D) All of the above
Answer: D
Explanation: One primary goal of a database is to eliminate information redundancy by
recording each piece of information in only one place in the database, because it saves disk
space, information updates are easier, and improves information quality.
Difficulty: 2 Medium
Topic: Using a Relational Database for Business Advantages
Bloom's: Understand
Learning Outcome: 06-03 Identify the business advantages of a relational database.
Accessibility: Keyboard Navigation
Gradable: automatic
131
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written consent of McGraw-Hill Education.
334) What are rules that help ensure the quality of information?
A) Information integrity
B) Integrity constraints
C) Information quality
D) Information ethics
Answer: B
Explanation: This is the definition of integrity constraints.
Difficulty: 1 Easy
Topic: Using a Relational Database for Business Advantages
Bloom's: Remember
Learning Outcome: 06-03 Identify the business advantages of a relational database.
Accessibility: Keyboard Navigation
Gradable: automatic
335) What are the rules that enforce basic and fundamental information-based constraints?
A) Responsibly integrity constraints
B) Quality constraints
C) Web integrity constraints
D) Relational integrity constraints
Answer: D
Explanation: This is the definition of relational integrity constraints
Difficulty: 1 Easy
Topic: Using a Relational Database for Business Advantages
Bloom's: Remember
Learning Outcome: 06-03 Identify the business advantages of a relational database.
Accessibility: Keyboard Navigation
Gradable: automatic
336) Which of the following will enforce business rules vital to an organization's success and
often require more insight and knowledge than relational integrity constraints?
A) Quality business constraints
B) Critical web constraints
C) Business critical integrity constraints
D) Web integrity constraints
Answer: C
Explanation: This is the definition of business critical integrity constraints.
Difficulty: 1 Easy
Topic: Using a Relational Database for Business Advantages
Bloom's: Remember
Learning Outcome: 06-03 Identify the business advantages of a relational database.
Accessibility: Keyboard Navigation
Gradable: automatic
132
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written consent of McGraw-Hill Education.
337) What type of website is an interactive website kept constantly updated and relevant to the
needs of its customers using a database?
A) Data-driven website
B) Interactive website
C) Database performing website
D) Data processing website
Answer: A
Explanation: This is the definition a data-driven website.
Difficulty: 1 Easy
Topic: Driving Websites with Data
Bloom's: Remember
Learning Outcome: 06-04 Explain the business benefits of a data-driven website.
Accessibility: Keyboard Navigation
Gradable: automatic
338) Which of the following offers an advantage of using a data-driven website?
A) Easy to eliminate human errors
B) Easy to manage content
C) Easy to store large amounts of data
D) All of the above
Answer: D
Explanation: All are advantages of a data-driven website.
Difficulty: 1 Easy
Topic: Driving Websites with Data
Bloom's: Remember
Learning Outcome: 06-04 Explain the business benefits of a data-driven website.
Accessibility: Keyboard Navigation
Gradable: automatic
133
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written consent of McGraw-Hill Education.
339) Which of the below statements means the same as easy to manage content?
A) Website owners can make changes only with the aid of MIS professionals
B) The website cannot organize customer data
C) Users can update data-driven website with little or no training
D) Users with extensive training can update data-driven websites
Answer: C
Explanation: Easy to manage content advantage means that website owners can make changes
without relying on MIS professionals and users can update data-driven website with little or no
training.
Difficulty: 2 Medium
Topic: Driving Websites with Data
Bloom's: Understand
Learning Outcome: 06-04 Explain the business benefits of a data-driven website.
Accessibility: Keyboard Navigation
Gradable: automatic
340) Which of the following is not an example of an advantage to using the Web to access
organizational databases?
A) Web browsers are much easier to use than a computer based database
B) The Web interface requires few or no changes to the database model
C) It is cleaner and virus-free
D) It costs less
Answer: C
Explanation: There are a number of advantages to using the Web to access company databases
including 1) Web browsers are much easier to use than a computer based database, 2) the Web
interface requires few or no changes to the database model, and 3) it costs less.
Difficulty: 2 Medium
Topic: Driving Websites with Data
Bloom's: Remember
Learning Outcome: 06-04 Explain the business benefits of a data-driven website.
Accessibility: Keyboard Navigation
Gradable: automatic
134
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written consent of McGraw-Hill Education.
341) Which of the below does not describe Zappos database?
A) Zappos database was high scalable
B) Zappos database was highly flexible
C) Zappos database was highly secure
D) Zappos database was highly redundant
Answer: D
Explanation: Zappos.com is a great example of a data-driven website and was ranked as the
most available Internet retailer because it is scalable, highly flexible, and has secure database.
Difficulty: 2 Medium
Topic: Driving Websites with Data
Bloom's: Understand
Learning Outcome: 06-04 Explain the business benefits of a data-driven website.
Accessibility: Keyboard Navigation
Gradable: automatic
342) Which of the following is not an advantage to a data-driven website?
A) Development
B) Minimizing human error
C) Increasing update costs
D) More efficient
Answer: C
Explanation: A data-driven website cuts production and update costs.
Difficulty: 2 Medium
Topic: Driving Websites with Data
Bloom's: Understand
Learning Outcome: 06-04 Explain the business benefits of a data-driven website.
Accessibility: Keyboard Navigation
Gradable: automatic
343) Who is the person responsible for creating the original website content?
A) Content creator
B) Content editor
C) Static information
D) Dynamic information
Answer: A
Explanation: A content creator is the person responsible for creating the original website
content.
Difficulty: 1 Easy
Topic: Driving Websites with Data
Bloom's: Remember
Learning Outcome: 06-04 Explain the business benefits of a data-driven website.
Accessibility: Keyboard Navigation
Gradable: automatic
135
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written consent of McGraw-Hill Education.
344) Who is the person responsible for updating and maintaining website content?
A) Content creator
B) Content editor
C) Static information
D) Dynamic information
Answer: B
Explanation: A content editor is the person responsible for updating and maintaining website
content.
Difficulty: 1 Easy
Topic: Driving Websites with Data
Bloom's: Remember
Learning Outcome: 06-04 Explain the business benefits of a data-driven website.
Accessibility: Keyboard Navigation
Gradable: automatic
345) What includes fixed data incapable of change in the event of a user action?
A) Content creator
B) Content editor
C) Static information
D) Dynamic information
Answer: C
Explanation: Static information includes fixed data incapable of change in the event of a user
action.
Difficulty: 1 Easy
Topic: Driving Websites with Data
Bloom's: Remember
Learning Outcome: 06-04 Explain the business benefits of a data-driven website.
Accessibility: Keyboard Navigation
Gradable: automatic
346) What includes data that change based on user actions?
A) Content creator
B) Content editor
C) Static information
D) Dynamic information
Answer: D
Explanation: Dynamic information includes data that change based on user actions.
Difficulty: 1 Easy
Topic: Driving Websites with Data
Bloom's: Remember
Learning Outcome: 06-04 Explain the business benefits of a data-driven website.
Accessibility: Keyboard Navigation
Gradable: automatic
136
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written consent of McGraw-Hill Education.
347) What is stored in a dynamic catalog, or an area of a website that stores information about
products in a database?
A) Dynamic website
B) Data-driven website
C) Static information
D) Dynamic information
Answer: A
Explanation: Dynamic website information is stored in a dynamic catalog, or an area of a
website that stores information about products in a database.
Difficulty: 1 Easy
Topic: Driving Websites with Data
Bloom's: Remember
Learning Outcome: 06-04 Explain the business benefits of a data-driven website.
Accessibility: Keyboard Navigation
Gradable: automatic
348) What is an interactive website kept constantly updated and relevant to the needs of its
customers using a database?
A) Dynamic website
B) Data-driven website
C) Static information
D) Dynamic information
Answer: B
Explanation: A data-driven website is an interactive website kept constantly updated and
relevant to the needs of its customers using a database.
Difficulty: 1 Easy
Topic: Driving Websites with Data
Bloom's: Remember
Learning Outcome: 06-04 Explain the business benefits of a data-driven website.
Accessibility: Keyboard Navigation
Gradable: automatic
137
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written consent of McGraw-Hill Education.
349) What is a content creator?
A) The person responsible for creating the original website content.
B) The person responsible for updating and maintaining website content.
C) Includes fixed data incapable of change in the event of a user action.
D) Includes data that change based on user action.
Answer: A
Explanation: A content creator is the person responsible for creating the original website
content.
Difficulty: 1 Easy
Topic: Driving Websites with Data
Bloom's: Remember
Learning Outcome: 06-04 Explain the business benefits of a data-driven website.
Accessibility: Keyboard Navigation
Gradable: automatic
350) What is a content editor?
A) The person responsible for creating the original website content.
B) The person responsible for updating and maintaining website content.
C) Includes fixed data incapable of change in the event of a user action.
D) Includes data that change based on user action.
Answer: B
Explanation: A content editor is the person responsible for updating and maintaining website
content.
Difficulty: 1 Easy
Topic: Driving Websites with Data
Bloom's: Remember
Learning Outcome: 06-04 Explain the business benefits of a data-driven website.
Accessibility: Keyboard Navigation
Gradable: automatic
138
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written consent of McGraw-Hill Education.
351) What is static information?
A) The person responsible for creating the original website content.
B) The person responsible for updating and maintaining website content.
C) Includes fixed data incapable of change in the event of a user action.
D) Includes data that change based on user action.
Answer: C
Explanation: Static information includes fixed data incapable of change in the event of a user
action.
Difficulty: 1 Easy
Topic: Driving Websites with Data
Bloom's: Remember
Learning Outcome: 06-04 Explain the business benefits of a data-driven website.
Accessibility: Keyboard Navigation
Gradable: automatic
352) What is dynamic information?
A) The person responsible for creating the original website content.
B) The person responsible for updating and maintaining website content.
C) Includes fixed data incapable of change in the event of a user action.
D) Includes data that change based on user action.
Answer: D
Explanation: Dynamic information includes data that change based on user action.
Difficulty: 1 Easy
Topic: Driving Websites with Data
Bloom's: Remember
Learning Outcome: 06-04 Explain the business benefits of a data-driven website.
Accessibility: Keyboard Navigation
Gradable: automatic
139
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written consent of McGraw-Hill Education.
353) What is a dynamic website?
A) The person responsible for creating the original website content.
B) Includes data that change based on user action.
C) Information is stored in a dynamic catalog, or an area of a website that stores information
about products in a database.
D) An interactive website kept constantly updated and relevant to the needs of its customers
using a database.
Answer: C
Explanation: Dynamic website information is stored in a dynamic catalog, or an area of a
website that stores information about products in a database.
Difficulty: 1 Easy
Topic: Driving Websites with Data
Bloom's: Remember
Learning Outcome: 06-04 Explain the business benefits of a data-driven website.
Accessibility: Keyboard Navigation
Gradable: automatic
354) What is data-driven website?
A) The person responsible for creating the original website content.
B) Includes data that change based on user action.
C) Information is stored in a dynamic catalog, or an area of a website that stores information
about products in a database.
D) An interactive website kept constantly updated and relevant to the needs of its customers
using a database.
Answer: D
Explanation: A data-driven website is an interactive website kept constantly updated and
relevant to the needs of its customers using a database.
Difficulty: 1 Easy
Topic: Driving Websites with Data
Bloom's: Remember
Learning Outcome: 06-04 Explain the business benefits of a data-driven website.
Accessibility: Keyboard Navigation
Gradable: automatic
140
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written consent of McGraw-Hill Education.
355) Business analysis is difficult from operational databases. Which of the following is a reason
why?
A) Every department has its own method for recording data.
B) Lack of data standards across departments.
C) The data, if available, were often incorrect or incomplete.
D) All of the above.
Answer: D
Explanation: All of the above are reasons business analysis is difficult from operational
databases.
Difficulty: 3 Hard
Topic: Data Warehousing
Bloom's: Analyze
Learning Outcome: 06-05 Describe the roles and purposes of data warehouses and data marts in
an organization.
Accessibility: Keyboard Navigation
Gradable: automatic
356) Business analysis is difficult to achieve from operational databases. Which of the following
is not a reason why?
A) Inconsistent data definitions.
B) Lack of data standards.
C) Effective direct data access.
D) Poor data quality.
Answer: C
Explanation: Operational databases did not offer effective direct data access.
Difficulty: 2 Medium
Topic: Data Warehousing
Bloom's: Analyze
Learning Outcome: 06-05 Describe the roles and purposes of data warehouses and data marts in
an organization.
Accessibility: Keyboard Navigation
Gradable: automatic
141
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written consent of McGraw-Hill Education.
357) Which of the following is not a dirty data problem?
A) Duplicate data.
B) Inaccurate data.
C) Specific data.
D) Non-integrated data.
Answer: C
Explanation: Specific data is not a dirty data problem.
Difficulty: 2 Medium
Topic: Data Warehousing
Bloom's: Remember
Learning Outcome: 06-05 Describe the roles and purposes of data warehouses and data marts in
an organization.
Accessibility: Keyboard Navigation
Gradable: automatic
358) Companies can choose information cleansing software from several vendors. Which of the
following is not a vendor mentioned in your text?
A) Oracle.
B) SAS.
C) Ascential Software.
D) McAffee.
Answer: D
Explanation: Companies can choose information cleansing software from several vendors,
including Oracle, SAS, Ascential Software, and Group 1 Software.
Difficulty: 3 Hard
Topic: Data Warehousing
Bloom's: Remember
Learning Outcome: 06-05 Describe the roles and purposes of data warehouses and data marts in
an organization.
Accessibility: Keyboard Navigation
Gradable: automatic
142
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written consent of McGraw-Hill Education.
359) What is erroneous or flawed data?
A) Data set.
B) Dirty data.
C) Data map.
D) Data point.
Answer: B
Explanation: Dirty data is erroneous or flawed data.
Difficulty: 1 Easy
Topic: Data Warehousing
Bloom's: Remember
Learning Outcome: 06-05 Describe the roles and purposes of data warehouses and data marts in
an organization.
Accessibility: Keyboard Navigation
Gradable: automatic
360) What is an organized collection of data?
A) Data set.
B) Dirty data.
C) Data map.
D) Data point.
Answer: A
Explanation: A data set is an organized collection of data.
Difficulty: 1 Easy
Topic: Business Intelligence
Bloom's: Remember
Learning Outcome: 06-06 Identify the advantages of using business intelligence to support
managerial decision making.
Accessibility: Keyboard Navigation
Gradable: automatic
143
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written consent of McGraw-Hill Education.
361) What is a technique for establishing a match, or balance, between the source data and the
target data warehouse?
A) Data set.
B) Dirty data.
C) Data map.
D) Data point.
Answer: C
Explanation: A data map is a technique for establishing a match, or balance, between the source
data and the target data warehouse.
Difficulty: 1 Easy
Topic: Business Intelligence
Bloom's: Remember
Learning Outcome: 06-06 Identify the advantages of using business intelligence to support
managerial decision making.
Accessibility: Keyboard Navigation
Gradable: automatic
362) What is an individual item on a graph or a chart?
A) Data set.
B) Dirty data.
C) Data map.
D) Data point.
Answer: D
Explanation: A data point is an individual item on a graph or a chart.
Difficulty: 1 Easy
Topic: Business Intelligence
Bloom's: Remember
Learning Outcome: 06-06 Identify the advantages of using business intelligence to support
managerial decision making.
Accessibility: Keyboard Navigation
Gradable: automatic
144
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written consent of McGraw-Hill Education.
363) What is a central location in which data is stored and managed?
A) Repository.
B) Data warehouse.
C) Data aggregation.
D) Data broker.
Answer: A
Explanation: A repository is a central location in which data is stored and managed.
Difficulty: 1 Easy
Topic: Data Warehousing
Bloom's: Remember
Learning Outcome: 06-06 Identify the advantages of using business intelligence to support
managerial decision making.
Accessibility: Keyboard Navigation
Gradable: automatic
364) What is a collection of data from various sources for the purpose of data processing?
A) Repository.
B) Data warehouse.
C) Data aggregation.
D) Data broker.
Answer: C
Explanation: Data aggregation is a collection of data from various sources for the purpose of
data processing.
Difficulty: 1 Easy
Topic: Data Warehousing
Bloom's: Remember
Learning Outcome: 06-06 Identify the advantages of using business intelligence to support
managerial decision making.
Accessibility: Keyboard Navigation
Gradable: automatic
145
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written consent of McGraw-Hill Education.
365) What is a business that collects personal information about consumers and sells that
information to other organizations?
A) Repository.
B) Data warehouse.
C) Data aggregation.
D) Data broker.
Answer: D
Explanation: A data broker is a business that collects personal information about consumers
and sells that information to other organizations.
Difficulty: 1 Easy
Topic: Business Intelligence
Bloom's: Remember
Learning Outcome: 06-06 Identify the advantages of using business intelligence to support
managerial decision making.
Accessibility: Keyboard Navigation
Gradable: automatic
366) ________ can compare two or more data sets to identify patterns and trends.
A) Comparative analysis.
B) Competitive monitoring.
C) Data-driven decision management.
D) Competitive analysis.
Answer: A
Explanation: Comparative analysis can compare two or more data sets to identify patterns and
trends.
Difficulty: 1 Easy
Topic: Business Intelligence
Bloom's: Remember
Learning Outcome: 06-06 Identify the advantages of using business intelligence to support
managerial decision making.
Accessibility: Keyboard Navigation
Gradable: automatic
146
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written consent of McGraw-Hill Education.
367) BI can help managers with ________, where a company keeps tabs of its competitor's
activities on the web using software that automatically tracks all competitor website activities
such as discounts and new products.
A) Comparative analysis.
B) Competitive monitoring.
C) Data-driven decision management.
D) Source data.
Answer: B
Explanation: BI can help managers with competitive monitoring, where a company keeps tabs
of its competitor's activities on the web using software that automatically tracks all competitor
website activities such as discounts and new products.
Difficulty: 1 Easy
Topic: Business Intelligence
Bloom's: Remember
Learning Outcome: 06-06 Identify the advantages of using business intelligence to support
managerial decision making.
Accessibility: Keyboard Navigation
Gradable: automatic
368) Which of the following is an approach to business governance that values decisions that can
be backed up with verifiable data?
A) Comparative analysis.
B) Competitive monitoring.
C) Data-driven decision management.
D) Source data.
Answer: C
Explanation: Data-driven decision management is an approach to business governance that
values decisions that can be backed up with verifiable data.
Difficulty: 1 Easy
Topic: Business Intelligence
Bloom's: Remember
Learning Outcome: 06-06 Identify the advantages of using business intelligence to support
managerial decision making.
Accessibility: Keyboard Navigation
Gradable: automatic
147
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written consent of McGraw-Hill Education.
369) Which of the following identifies the primary location where data is collected?
A) Comparative analysis.
B) Competitive monitoring.
C) Data-driven decision management.
D) Source data.
Answer: D
Explanation: Source data identifies the primary location where data is collected.
Difficulty: 1 Easy
Topic: Business Intelligence
Bloom's: Remember
Learning Outcome: 06-06 Identify the advantages of using business intelligence to support
managerial decision making.
Accessibility: Keyboard Navigation
Gradable: automatic
370) What is a storage repository that holds a vast amount of raw data in its original format until
the business needs it?
A) Data broker.
B) Data lake.
C) Data map.
D) Data point.
Answer: B
Explanation: A data lake is a storage repository that holds a vast amount of raw data in its
original format until the business needs it.
Difficulty: 1 Easy
Topic: Business Intelligence
Bloom's: Remember
Learning Outcome: 06-06 Identify the advantages of using business intelligence to support
managerial decision making.
Accessibility: Keyboard Navigation
Gradable: automatic
148
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written consent of McGraw-Hill Education.
371) What is a data broker?
A) A business that collects personal information about consumers and sells that information to
other organizations.
B) A storage repository that holds a vast amount of raw data in its original format until the
business needs it.
C) A technique for establishing a match, or balance, between the source data and the target data
warehouse.
D) An approach to business governance that values decisions that can be backed up with
verifiable data.
Answer: A
Explanation: A data broker is a business that collects personal information about consumers
and sells that information to other organizations.
Difficulty: 1 Easy
Topic: Business Intelligence
Bloom's: Remember
Learning Outcome: 06-06 Identify the advantages of using business intelligence to support
managerial decision making.
Accessibility: Keyboard Navigation
Gradable: automatic
372) What is a data lake?
A) A business that collects personal information about consumers and sells that information to
other organizations.
B) A storage repository that holds a vast amount of raw data in its original format until the
business needs it.
C) A technique for establishing a match, or balance, between the source data and the target data
warehouse.
D) An approach to business governance that values decisions that can be backed up with
verifiable data.
Answer: B
Explanation: A data lake is a storage repository that holds a vast amount of raw data in its
original format until the business needs it.
Difficulty: 1 Easy
Topic: Business Intelligence
Bloom's: Remember
Learning Outcome: 06-06 Identify the advantages of using business intelligence to support
managerial decision making.
Accessibility: Keyboard Navigation
Gradable: automatic
149
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written consent of McGraw-Hill Education.
373) What is a data map?
A) A business that collects personal information about consumers and sells that information to
other organizations.
B) A storage repository that holds a vast amount of raw data in its original format until the
business needs it.
C) A technique for establishing a match, or balance, between the source data and the target data
warehouse.
D) An approach to business governance that values decisions that can be backed up with
verifiable data.
Answer: C
Explanation: A data map is a technique for establishing a match, or balance, between the source
data and the target data warehouse.
Difficulty: 1 Easy
Topic: Business Intelligence
Bloom's: Remember
Learning Outcome: 06-06 Identify the advantages of using business intelligence to support
managerial decision making.
Accessibility: Keyboard Navigation
Gradable: automatic
374) What is data-driven decision management?
A) A business that collects personal information about consumers and sells that information to
other organizations.
B) A storage repository that holds a vast amount of raw data in its original format until the
business needs it.
C) A technique for establishing a match, or balance, between the source data and the target data
warehouse.
D) An approach to business governance that values decisions that can be backed up with
verifiable data.
Answer: D
Explanation: Data-driven decision management is an approach to business governance that
values decisions that can be backed up with verifiable data.
Difficulty: 1 Easy
Topic: Business Intelligence
Bloom's: Remember
Learning Outcome: 06-06 Identify the advantages of using business intelligence to support
managerial decision making.
Accessibility: Keyboard Navigation
Gradable: automatic
150
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written consent of McGraw-Hill Education.
375) What is source data?
A) Identifies the primary location where data is collected.
B) A storage repository that holds a vast amount of raw data in its original format until the
business needs it.
C) A technique for establishing a match, or balance, between the source data and the target data
warehouse.
D) An approach to business governance that values decisions that can be backed up with
verifiable data.
Answer: A
Explanation: Source data identifies the primary location where data is collected.
Difficulty: 1 Easy
Topic: Business Intelligence
Bloom's: Remember
Learning Outcome: 06-06 Identify the advantages of using business intelligence to support
managerial decision making.
Accessibility: Keyboard Navigation
Gradable: automatic
376) What is a data point?
A) Identifies the primary location where data is collected.
B) An individual item on a graph or chart.
C) A technique for establishing a match, or balance, between the source data and the target data
warehouse.
D) An approach to business governance that values decisions that can be backed up with
verifiable data.
Answer: B
Explanation: A data point is an individual item on a graph or chart.
Difficulty: 1 Easy
Topic: Business Intelligence
Bloom's: Remember
Learning Outcome: 06-06 Identify the advantages of using business intelligence to support
managerial decision making.
Accessibility: Keyboard Navigation
Gradable: automatic
151
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written consent of McGraw-Hill Education.
377) Business intelligence can provide managers with the ability to make better decisions. Which
of the following is not an example of how different industries use business intelligence?
A) Analyze popular vacation locations with current flight listings.
B) Understand customer credit card usage and nonpayment rates.
C) Compare the demographics of patients with critical illnesses.
D) All of the above are examples of how industries use business intelligence.
Answer: D
Explanation: All of the above are examples of how industries use business intelligence.
Difficulty: 2 Medium
Topic: Business Intelligence
Bloom's: Remember
Learning Outcome: 06-06 Identify the advantages of using business intelligence to support
managerial decision making.
Accessibility: Keyboard Navigation
Gradable: automatic
378) Business intelligence can provide managers with the ability to make better decisions. Which
of the following is not an example of how different industries use business intelligence?
A) Predict claim amounts and medical coverage costs.
B) Track crime patterns, locations, and criminal behavior.
C) Identify the primary locations where data is collected.
D) Predict sales, inventory levels, and distribution.
Answer: C
Explanation: All of the above are examples of how industries use business intelligence except
identify the primary locations where data is collected, which is the definition of source data.
Difficulty: 2 Medium
Topic: Business Intelligence
Bloom's: Remember
Learning Outcome: 06-06 Identify the advantages of using business intelligence to support
managerial decision making.
Accessibility: Keyboard Navigation
Gradable: automatic
152
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written consent of McGraw-Hill Education.
379) Which of the following questions is an example of how managers can use BI to answer
tough business questions?
A) Where has the business been?
B) Where is the business now?
C) Where is the business going?
D) All of the above.
Answer: D
Explanation: All of the above are examples of how managers can use BI to answer tough
business questions.
Difficulty: 2 Medium
Topic: Business Intelligence
Bloom's: Remember
Learning Outcome: 06-06 Identify the advantages of using business intelligence to support
managerial decision making.
Accessibility: Keyboard Navigation
Gradable: automatic
380) Managers can use BI to answer tough business questions. Which of the following describes
the value of knowing where the business has been?
A) A historical perspective offers important variables for determining trends and patterns.
B) Looking at the current business situation allows managers to take effective action to solve
issues before they grow out of control.
C) Setting strategic direction is critical for planning and creating solid business strategies.
D) None of the above.
Answer: A
Explanation: A historical perspective offers important variables for determining trends and
patterns.
Difficulty: 3 Hard
Topic: Business Intelligence
Bloom's: Remember
Learning Outcome: 06-06 Identify the advantages of using business intelligence to support
managerial decision making.
Accessibility: Keyboard Navigation
Gradable: automatic
153
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written consent of McGraw-Hill Education.
381) Managers can use BI to answer tough business questions. Which of the following describes
the value of knowing where the business has been?
A) A historical perspective offers important variables for determining trends and patterns.
B) Looking at the current business situation allows managers to take effective action to solve
issues before they grow out of control.
C) Setting strategic direction is critical for planning and creating solid business strategies.
D) None of the above.
Answer: B
Explanation: Looking at the current business situation allows managers to take effective action
to solve issues before they grow out of control.
Difficulty: 3 Hard
Topic: Business Intelligence
Bloom's: Remember
Learning Outcome: 06-06 Identify the advantages of using business intelligence to support
managerial decision making.
Accessibility: Keyboard Navigation
Gradable: automatic
382) Managers can use BI to answer tough business questions. Which of the following describes
the value of knowing where the business is now?
A) A historical perspective offers important variables for determining trends and patterns.
B) Looking at the current business situation allows managers to take effective action to solve
issues before they grow out of control.
C) Setting strategic direction is critical for planning and creating solid business strategies.
D) None of the above.
Answer: B
Explanation: Looking at the current business situation allows managers to take effective action
to solve issues before they grow out of control.
Difficulty: 3 Hard
Topic: Business Intelligence
Bloom's: Remember
Learning Outcome: 06-06 Identify the advantages of using business intelligence to support
managerial decision making.
Accessibility: Keyboard Navigation
Gradable: automatic
154
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written consent of McGraw-Hill Education.
383) Managers can use BI to answer tough business questions. Which of the following describes
the value of knowing where the business is going?
A) A historical perspective offers important variables for determining trends and patterns.
B) Looking at the current business situation allows managers to take effective action to solve
issues before they grow out of control.
C) Setting strategic direction is critical for planning and creating solid business strategies.
D) None of the above.
Answer: C
Explanation: Setting strategic direction is critical for planning and creating solid business
strategies.
Difficulty: 3 Hard
Topic: Business Intelligence
Bloom's: Remember
Learning Outcome: 06-06 Identify the advantages of using business intelligence to support
managerial decision making.
Accessibility: Keyboard Navigation
Gradable: automatic
384) Data-driven decision management is usually undertaken as a way to gain a competitive
advantage. A study from the MIT Center for Digital Business found that organizations driven
most by data-based decision making had ________ productivity rates and ________ profits.
A) 4% lower, 6% higher
B) 4% higher, 6% lower
C) 4% higher, 6% higher
D) 4% lower, 6% lower
Answer: C
Explanation: A study from the MIT Center for Digital Business found that organizations driven
most by data-based decision making had 4% higher productivity rates and 6% higher profits.
Difficulty: 3 Hard
Topic: Business Intelligence
Bloom's: Remember
Learning Outcome: 06-06 Identify the advantages of using business intelligence to support
managerial decision making.
Accessibility: Keyboard Navigation
Gradable: automatic
155
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written consent of McGraw-Hill Education.
385) Business analysis is difficult from operational databases. Which of the following is not a
reason why?
A) Every department has its own method for recording data.
B) When sharing data, it matches and users get the data they need.
C) The data is of poor quality.
D) The data collected is not always useful for intended purposes.
Answer: B
Explanation: All of the following are reasons why business analysis is different except when
sharing data, it matches and users get the data they need.
Difficulty: 2 Medium
Topic: Business Intelligence
Bloom's: Analyze
Learning Outcome: 06-06 Identify the advantages of using business intelligence to support
managerial decision making.
Accessibility: Keyboard Navigation
Gradable: automatic
386) Business analysis is difficult from operational databases. Which of the following is not a
reason why?
A) Every department has its own method for recording data.
B) Data stored in operational databases did not allow users direct access.
C) The data is standardized.
D) The data collected is not always useful for intended purposes.
Answer: C
Explanation: All of the following are reasons why business analysis is different except the data
is standardized.
Difficulty: 2 Medium
Topic: Business Intelligence
Bloom's: Analyze
Learning Outcome: 06-06 Identify the advantages of using business intelligence to support
managerial decision making.
Accessibility: Keyboard Navigation
Gradable: automatic
156
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written consent of McGraw-Hill Education.
387) What does standardization of data elements accomplish?
A) Greater accuracy.
B) Completeness and completeness.
C) Increases the quality of information.
D) All of the above.
Answer: D
Explanation: Standardization of data elements allows for greater accuracy, completeness, and
consistency and increases the quality of the information in making strategic business decisions.
Difficulty: 2 Medium
Topic: Business Intelligence
Bloom's: Remember
Learning Outcome: 06-06 Identify the advantages of using business intelligence to support
managerial decision making.
Accessibility: Keyboard Navigation
Gradable: automatic
388) In which ways does a data warehouse enable business users to be more effective?
A) Analyzing trends.
B) Identifying financial issues.
C) Understanding competitors.
D) All of the above.
Answer: D
Explanation: Standardization of data elements allows for greater accuracy, completeness, and
consistency and increases the quality of the information in making strategic business decisions.
Difficulty: 2 Medium
Topic: Business Intelligence
Bloom's: Remember
Learning Outcome: 06-06 Identify the advantages of using business intelligence to support
managerial decision making.
Accessibility: Keyboard Navigation
Gradable: automatic
157
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written consent of McGraw-Hill Education.
389) Businesses collect a tremendous amount of ________ information as part of their routine
operations.
A) operational
B) transactional
C) aggregate
D) comparative
Answer: B
Explanation: Businesses collect a tremendous amount of transactional information as part of
their routine operations.
Difficulty: 3 Hard
Topic: Business Intelligence
Bloom's: Remember
Learning Outcome: 06-06 Identify the advantages of using business intelligence to support
managerial decision making.
Accessibility: Keyboard Navigation
Gradable: automatic
390) Kassandra Young is a business manager at Weith Productions. Although she does not have
a background in technology, her job requires her to work with analytical tools to make datadriven decisions. To make her job easier, what can she customize to display data quickly and run
custom reports?
A) Data point
B) Information cleansing
C) Dashboard
D) Data set
Answer: C
Explanation: Business managers can customize dashboards to display the data they want to see
and run custom reports on the fly.
Difficulty: 3 Hard
Topic: Business Intelligence
Bloom's: Remember
Learning Outcome: 06-06 Identify the advantages of using business intelligence to support
managerial decision making.
Accessibility: Keyboard Navigation
Gradable: automatic
158
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written consent of McGraw-Hill Education.
391) What processes and manages algorithms across many machines in a computing
environment?
A) Distributed computing
B) Advanced analytics
C) Analysis paralysis
D) Data artist
Answer: A
Explanation: Distributed computing processes and manages algorithms across many machines
in a computing environment.
Difficulty: 1 Easy
Topic: Big Data
Bloom's: Remember
Learning Outcome: 06-07 Identify the four common characteristics of big data.
Accessibility: Keyboard Navigation
Gradable: automatic
392) What focuses on forecasting future trends and producing insights using sophisticated
quantitative methods, including statistics, descriptive and predictive data mining, simulation, and
optimization?
A) Distributed computing
B) Advanced analytics
C) Analysis paralysis
D) Data artist
Answer: B
Explanation: Advanced analytics focuses on forecasting future trends and producing insights
using sophisticated quantitative methods, including statistics, descriptive and predictive data
mining, simulation, and optimization.
Difficulty: 1 Easy
Topic: Big Data
Bloom's: Remember
Learning Outcome: 06-07 Identify the four common characteristics of big data.
Accessibility: Keyboard Navigation
Gradable: automatic
159
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written consent of McGraw-Hill Education.
393) What is distributed computing?
A) Processes and manages algorithms across many machines in a computing environment.
B) Focuses on forecasting future trends and producing insights using sophisticated quantitative
methods, including statistics, descriptive and predictive data mining, simulation, and
optimization.
C) Occurs when the user goes into an emotional state of over-analysis (or over-thinking) a
situation so that a decision or action is never taken, in effect paralyzing the outcome.
D) A business analytics specialist who uses visual tools to help people understand complex data.
Answer: A
Explanation: Distributed computing processes and manages algorithms across many machines
in a computing environment.
Difficulty: 1 Easy
Topic: Big Data
Bloom's: Remember
Learning Outcome: 06-07 Identify the four common characteristics of big data.
Accessibility: Keyboard Navigation
Gradable: automatic
394) What focuses on forecasting future trends and producing insights using sophisticated
quantitative methods, including statistics, descriptive and predictive data mining, simulation, and
optimization?
A) Big data
B) Distributed computing
C) Advanced analytics
D) Data scientist
Answer: C
Explanation: Advanced analytics focuses on forecasting future trends and producing insights
using sophisticated quantitative methods, including statistics, descriptive and predictive data
mining, simulation, and optimization.
Difficulty: 1 Easy
Topic: Big Data
Bloom's: Remember
Learning Outcome: 06-07 Identify the four common characteristics of big data.
Accessibility: Keyboard Navigation
Gradable: automatic
160
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written consent of McGraw-Hill Education.
395) In terms of big data what is variety?
A) Includes different forms of structured and unstructured data.
B) Includes the uncertainty of data, including biases, noise, and abnormalities.
C) Includes the scale of data.
D) Includes the analysis of streaming data as it travels around the Internet.
Answer: A
Explanation: Variety includes different forms of structured and unstructured data.
Difficulty: 1 Easy
Topic: Big Data
Bloom's: Remember
Learning Outcome: 06-07 Identify the four common characteristics of big data.
Accessibility: Keyboard Navigation
Gradable: automatic
396) In terms of big data what is veracity?
A) Includes different forms of structured and unstructured data.
B) Includes the uncertainty of data, including biases, noise, and abnormalities.
C) Includes the scale of data.
D) Includes the analysis of streaming data as it travels around the Internet.
Answer: B
Explanation: Veracity includes the uncertainty of data, including biases, noise, and
abnormalities.
Difficulty: 1 Easy
Topic: Big Data
Bloom's: Remember
Learning Outcome: 06-07 Identify the four common characteristics of big data.
Accessibility: Keyboard Navigation
Gradable: automatic
397) In terms of big data what is volume?
A) Includes different forms of structured and unstructured data.
B) Includes the uncertainty of data, including biases, noise, and abnormalities.
C) Includes the scale of data.
D) Includes the analysis of streaming data as it travels around the Internet.
Answer: C
Explanation: Volume includes the scale of data.
Difficulty: 1 Easy
Topic: Big Data
Bloom's: Remember
Learning Outcome: 06-07 Identify the four common characteristics of big data.
Accessibility: Keyboard Navigation
Gradable: automatic
161
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written consent of McGraw-Hill Education.
398) In terms of big data what is velocity?
A) Includes different forms of structured and unstructured data.
B) Includes the uncertainty of data, including biases, noise, and abnormalities.
C) Includes the scale of data.
D) Includes the analysis of streaming data as it travels around the Internet.
Answer: D
Explanation: Velocity includes the analysis of streaming data as it travels around the Internet.
Difficulty: 1 Easy
Topic: Big Data
Bloom's: Remember
Learning Outcome: 06-07 Identify the four common characteristics of big data.
Accessibility: Keyboard Navigation
Gradable: automatic
399) In terms of big data what includes different forms of structured and unstructured data?
A) Variety
B) Veracity
C) Volume
D) Velocity
Answer: A
Explanation: Variety includes different forms of structured and unstructured data.
Difficulty: 1 Easy
Topic: Big Data
Bloom's: Remember
Learning Outcome: 06-07 Identify the four common characteristics of big data.
Accessibility: Keyboard Navigation
Gradable: automatic
400) In terms of big data what includes the uncertainty of data, including biases, noise, and
abnormalities?
A) Variety
B) Veracity
C) Volume
D) Velocity
Answer: B
Explanation: Veracity includes the uncertainty of data, including biases, noise, and
abnormalities.
Difficulty: 1 Easy
Topic: Big Data
Bloom's: Remember
Learning Outcome: 06-07 Identify the four common characteristics of big data.
Accessibility: Keyboard Navigation
Gradable: automatic
162
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written consent of McGraw-Hill Education.
401) In terms of big data what includes the scale of data?
A) Variety
B) Veracity
C) Volume
D) Velocity
Answer: C
Explanation: Volume includes the scale of data.
Difficulty: 1 Easy
Topic: Big Data
Bloom's: Remember
Learning Outcome: 06-07 Identify the four common characteristics of big data.
Accessibility: Keyboard Navigation
Gradable: automatic
402) In terms of big data what includes the analysis of streaming data as it travels around the
Internet?
A) Variety
B) Veracity
C) Volume
D) Velocity
Answer: D
Explanation: Velocity includes the analysis of streaming data as it travels around the Internet.
Difficulty: 1 Easy
Topic: Big Data
Bloom's: Remember
Learning Outcome: 06-07 Identify the four common characteristics of big data.
Accessibility: Keyboard Navigation
Gradable: automatic
163
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written consent of McGraw-Hill Education.
403) What is a collection of large, complex data sets, including structured and unstructured data,
which cannot be analyzed using traditional database methods and tools?
A) Big data
B) Distributed computing
C) Advanced analytics
D) Data scientist
Answer: A
Explanation: Big data is a collection of large, complex data sets, including structured and
unstructured data, which cannot be analyzed using traditional database methods and tools.
Difficulty: 1 Easy
Topic: Big Data
Bloom's: Remember
Learning Outcome: 06-07 Identify the four common characteristics of big data.
Accessibility: Keyboard Navigation
Gradable: automatic
404) What is big data?
A) A collection of large, complex data sets, including structured and unstructured data, which
cannot be analyzed using traditional database methods and tools.
B) Processes and manages algorithms across many machines in a computing environment.
C) Focuses on forecasting future trends and producing insights using sophisticated quantitative
methods, including statistics, descriptive and predictive data mining, simulation, and
optimization.
D) Extracts knowledge from data by performing statistical analysis, data mining, and advanced
analytics on big data to identify trends, market changes, and other relevant information.
Answer: A
Explanation: Big data is a collection of large, complex data sets, including structured and
unstructured data, which cannot be analyzed using traditional database methods and tools.
Difficulty: 1 Easy
Topic: Big Data
Bloom's: Remember
Learning Outcome: 06-07 Identify the four common characteristics of big data.
Accessibility: Keyboard Navigation
Gradable: automatic
164
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written consent of McGraw-Hill Education.
405) What is distributed computing?
A) A collection of large, complex data sets, including structured and unstructured data, which
cannot be analyzed using traditional database methods and tools.
B) Processes and manages algorithms across many machines in a computing environment.
C) Focuses on forecasting future trends and producing insights using sophisticated quantitative
methods, including statistics, descriptive and predictive data mining, simulation, and
optimization.
D) Extracts knowledge from data by performing statistical analysis, data mining, and advanced
analytics on big data to identify trends, market changes, and other relevant information.
Answer: B
Explanation: Distributed computing processes and manages algorithms across many machines
in a computing environment.
Difficulty: 1 Easy
Topic: Big Data
Bloom's: Remember
Learning Outcome: 06-07 Identify the four common characteristics of big data.
Accessibility: Keyboard Navigation
Gradable: automatic
406) What is advanced analytics?
A) A collection of large, complex data sets, including structured and unstructured data, which
cannot be analyzed using traditional database methods and tools.
B) Processes and manages algorithms across many machines in a computing environment.
C) Focuses on forecasting future trends and producing insights using sophisticated quantitative
methods, including statistics, descriptive and predictive data mining, simulation, and
optimization.
D) Extracts knowledge from data by performing statistical analysis, data mining, and advanced
analytics on big data to identify trends, market changes, and other relevant information.
Answer: C
Explanation: Advanced analytics focuses on forecasting future trends and producing insights
using sophisticated quantitative methods, including statistics, descriptive and predictive data
mining, simulation, and optimization.
Difficulty: 1 Easy
Topic: Big Data
Bloom's: Remember
Learning Outcome: 06-07 Identify the four common characteristics of big data.
Accessibility: Keyboard Navigation
Gradable: automatic
165
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written consent of McGraw-Hill Education.
407) What is the process of analyzing data to extract information not offered by the raw data
alone?
A) Data integrity
B) Data mart analysis
C) Data mining
D) Data extraction
Answer: C
Explanation: Data mining is the process of analyzing data to extract information not offered by
the raw data alone?
Difficulty: 1 Easy
Topic: Data Mining
Bloom's: Remember
Learning Outcome: 06-08 Explain data mining and identify the three elements of data mining.
Accessibility: Keyboard Navigation
Gradable: automatic
408) What are the two main objectives associated with data mining?
A) Uncovering tactics and plans
B) Uncovering trends and patterns
C) Uncovering intelligence and unstructured data issues
D) Uncovering competitors and market advantages
Answer: B
Explanation: The two main objectives of data mining are uncovering trends and patterns.
Difficulty: 1 Easy
Topic: Data Mining
Bloom's: Remember
Learning Outcome: 06-08 Explain data mining and identify the three elements of data mining.
Accessibility: Keyboard Navigation
Gradable: automatic
166
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written consent of McGraw-Hill Education.
409) Which of the following uses a variety of techniques to find patterns and relationships in
large volumes of information that predict future behavior and guide decision making?
A) Data analysis tools
B) Electronic analysis tools
C) Data-mining tools
D) Data integrity tools
Answer: C
Explanation: Data-mining tools uses a variety of techniques to find patterns and relationships in
large volumes of information that predict future behavior and guide decision making.
Difficulty: 1 Easy
Topic: Data Mining
Bloom's: Remember
Learning Outcome: 06-08 Explain data mining and identify the three elements of data mining.
Accessibility: Keyboard Navigation
Gradable: automatic
410) Which of the following is not a common form of data mining analysis?
A) Division organization
B) Classification
C) Estimation
D) Clustering
Answer: A
Explanation: Data mining approaches decision making with a few different activities in mind
include classification, estimation, affinity grouping, and clustering.
Difficulty: 2 Medium
Topic: Data Mining
Bloom's: Understand
Learning Outcome: 06-08 Explain data mining and identify the three elements of data mining.
Accessibility: Keyboard Navigation
Gradable: automatic
167
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written consent of McGraw-Hill Education.
411) Which of the following forms of data mining assigns records to one of a predefined set of
classes?
A) Clustering
B) Classification
C) Estimation
D) Affinity grouping
Answer: B
Explanation: Classification assigns records to one of a predefined set of classes.
Difficulty: 1 Easy
Topic: Data Mining
Bloom's: Remember
Learning Outcome: 06-08 Explain data mining and identify the three elements of data mining.
Accessibility: Keyboard Navigation
Gradable: automatic
412) What is another term for data that is already contained in a database or a spreadsheet?
A) Structured data
B) Unstructured data
C) Text mining
D) Web mining
Answer: A
Explanation: Structured data is another term for data that is already contained in a database or a
spreadsheet.
Difficulty: 2 Medium
Topic: Data Mining
Bloom's: Understand
Learning Outcome: 06-08 Explain data mining and identify the three elements of data mining.
Accessibility: Keyboard Navigation
Gradable: automatic
413) What is another term for data that does not exist in a fixed location?
A) Structured data
B) Unstructured data
C) Text mining
D) Web mining
Answer: B
Explanation: Unstructured data does not exist in a fixed location.
Difficulty: 1 Easy
Topic: Data Mining
Bloom's: Remember
Learning Outcome: 06-08 Explain data mining and identify the three elements of data mining.
Accessibility: Keyboard Navigation
Gradable: automatic
168
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written consent of McGraw-Hill Education.
414) What analyzes unstructured data to find trends and patterns in words and sentences?
A) Structured data
B) Unstructured data
C) Text analytics
D) Web analytics
Answer: C
Explanation: Text analytics analyzes unstructured data to find trends and patterns in words and
sentences.
Difficulty: 1 Easy
Topic: Data Mining
Bloom's: Remember
Learning Outcome: 06-08 Explain data mining and identify the three elements of data mining.
Accessibility: Keyboard Navigation
Gradable: automatic
415) What is web analytics?
A) Unstructured data associated with websites to identify consumer behavior and website
navigation
B) Analyzes structured data associated with a website
C) Filters information, both structured and unstructured, to help identify strong web customers
D) None of the above
Answer: A
Explanation: Web analytics is unstructured data associated with websites to identify consumer
behavior and website navigation.
Difficulty: 1 Easy
Topic: Data Mining
Bloom's: Remember
Learning Outcome: 06-08 Explain data mining and identify the three elements of data mining.
Accessibility: Keyboard Navigation
Gradable: automatic
169
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written consent of McGraw-Hill Education.
416) What is the technique used to divide information sets into mutually exclusive groups such
that the members of each group are as close together as possible to one another and the different
groups are as far apart as possible?
A) Statistical detection
B) Cluster analysis
C) Association detection
D) Social media analytics
Answer: B
Explanation: Cluster analysis is the technique used to divide information sets into mutually
exclusive groups such that the members of each group are as close together as possible to one
another and the different groups are as far apart as possible.
Difficulty: 1 Easy
Topic: Data Mining
Bloom's: Remember
Learning Outcome: 06-08 Explain data mining and identify the three elements of data mining.
Accessibility: Keyboard Navigation
Gradable: automatic
417) What is an example of using cluster analysis in business to create target-marketing
strategies?
A) Google search
B) First name information
C) Zip code segmentation
D) Last name associations
Answer: C
Explanation: A great example of using cluster analysis in business is to create target-marketing
strategies based on zip codes.
Difficulty: 2 Medium
Topic: Data Mining
Bloom's: Understand
Learning Outcome: 06-08 Explain data mining and identify the three elements of data mining.
Accessibility: Keyboard Navigation
Gradable: automatic
170
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written consent of McGraw-Hill Education.
418) Which of the below reveals the relationship between variables along with the nature and
frequency of the relationship?
A) Association detection
B) Masking detection tool
C) Cluster grouping
D) Blocking barriers
Answer: A
Explanation: Association detection below reveals the relationship between variables along with
the nature and frequency of the relationship.
Difficulty: 1 Easy
Topic: Data Mining
Bloom's: Remember
Learning Outcome: 06-08 Explain data mining and identify the three elements of data mining.
Accessibility: Keyboard Navigation
Gradable: automatic
419) What is a common association detection analysis technique where you analyze certain items
to detect customers' buying behavior and predict future behavior?
A) Clustering factors
B) Mashup technology
C) Market basket analysis
D) Drill-down basket analysis
Answer: C
Explanation: Market basket analysis a common association detection analysis technique where
you analyze certain items to detect customers' buying behavior and predict future behavior.
Difficulty: 1 Easy
Topic: Data Mining
Bloom's: Remember
Learning Outcome: 06-08 Explain data mining and identify the three elements of data mining.
Accessibility: Keyboard Navigation
Gradable: automatic
171
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written consent of McGraw-Hill Education.
420) What is prediction?
A) A statement about what will happen or might happen in the future, for example, predicting
future sales or employee turnover.
B) A statistical process that finds the way to make a design, system, or decision as effective as
possible, for example, finding the values of controllable variables that determine maximal
productivity or minimal waste.
C) Predictions based on time-series information.
D) A statistical process for estimating the relationships among variables.
Answer: A
Explanation: Prediction is a statement about what will happen or might happen in the future, for
example, predicting future sales or employee turnover.
Difficulty: 1 Easy
Topic: Data Mining
Bloom's: Remember
Learning Outcome: 06-08 Explain data mining and identify the three elements of data mining.
Accessibility: Keyboard Navigation
Gradable: automatic
421) What is optimization?
A) A statement about what will happen or might happen in the future, for example, predicting
future sales or employee turnover.
B) A statistical process that finds the way to make a design, system, or decision as effective as
possible, for example, finding the values of controllable variables that determine maximal
productivity or minimal waste.
C) Predictions based on time-series information.
D) A statistical process for estimating the relationships among variables.
Answer: B
Explanation: Optimization is a statistical process that finds the way to make a design, system,
or decision as effective as possible, for example, finding the values of controllable variables that
determine maximal productivity or minimal waste.
Difficulty: 1 Easy
Topic: Data Mining
Bloom's: Remember
Learning Outcome: 06-08 Explain data mining and identify the three elements of data mining.
Accessibility: Keyboard Navigation
Gradable: automatic
172
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written consent of McGraw-Hill Education.
422) What are forecasts?
A) A statement about what will happen or might happen in the future, for example, predicting
future sales or employee turnover.
B) A statistical process that finds the way to make a design, system, or decision as effective as
possible, for example, finding the values of controllable variables that determine maximal
productivity or minimal waste.
C) Predictions based on time-series information.
D) A statistical process for estimating the relationships among variables.
Answer: C
Explanation: Forecasts are predictions based on time-series information.
Difficulty: 1 Easy
Topic: Data Mining
Bloom's: Remember
Learning Outcome: 06-08 Explain data mining and identify the three elements of data mining.
Accessibility: Keyboard Navigation
Gradable: automatic
423) What is regression?
A) A statement about what will happen or might happen in the future, for example, predicting
future sales or employee turnover.
B) A statistical process that finds the way to make a design, system, or decision as effective as
possible, for example, finding the values of controllable variables that determine maximal
productivity or minimal waste.
C) Predictions based on time-series information.
D) A statistical process for estimating the relationships among variables.
Answer: D
Explanation: Regression is a statistical process for estimating the relationships among variables.
Difficulty: 1 Easy
Topic: Data Mining
Bloom's: Remember
Learning Outcome: 06-08 Explain data mining and identify the three elements of data mining.
Accessibility: Keyboard Navigation
Gradable: automatic
173
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written consent of McGraw-Hill Education.
424) What is a statement about what will happen or might happen in the future, for example,
predicting future sales or employee turnover?
A) Prediction
B) Optimization
C) Forecasting
D) Regression
Answer: A
Explanation: Prediction is a statement about what will happen or might happen in the future, for
example, predicting future sales or employee turnover.
Difficulty: 1 Easy
Topic: Data Mining
Bloom's: Remember
Learning Outcome: 06-08 Explain data mining and identify the three elements of data mining.
Accessibility: Keyboard Navigation
Gradable: automatic
425) What is a statistical process that finds the way to make a design, system, or decision as
effective as possible, for example, finding the values of controllable variables that determine
maximal productivity or minimal waste?
A) Prediction
B) Optimization
C) Forecasting
D) Regression
Answer: B
Explanation: Optimization is a statistical process that finds the way to make a design, system,
or decision as effective as possible, for example, finding the values of controllable variables that
determine maximal productivity or minimal waste.
Difficulty: 1 Easy
Topic: Data Mining
Bloom's: Remember
Learning Outcome: 06-08 Explain data mining and identify the three elements of data mining.
Accessibility: Keyboard Navigation
Gradable: automatic
174
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written consent of McGraw-Hill Education.
426) What are predictions based on time-series information?
A) Prediction
B) Optimization
C) Forecasting
D) Regression
Answer: C
Explanation: Forecasts are predictions based on time-series information.
Difficulty: 1 Easy
Topic: Data Mining
Bloom's: Remember
Learning Outcome: 06-08 Explain data mining and identify the three elements of data mining.
Accessibility: Keyboard Navigation
Gradable: automatic
427) What is a statistical process for estimating the relationships among variables?
A) Prediction
B) Optimization
C) Forecasting
D) Regression
Answer: D
Explanation: Regression is a statistical process for estimating the relationships among variables.
Difficulty: 1 Easy
Topic: Data Mining
Bloom's: Remember
Learning Outcome: 06-08 Explain data mining and identify the three elements of data mining.
Accessibility: Keyboard Navigation
Gradable: automatic
175
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written consent of McGraw-Hill Education.
428) What is classification?
A) Determines values for an unknown continuous variable behavior or estimated future value.
B) Determine which things go together.
C) Segments a heterogeneous population of more homogeneous subgroups.
D) Assigns records to one of a predefined set of classes.
Answer: D
Explanation: Classification assigns records to one of a predefined set of classes.
Difficulty: 1 Easy
Topic: Data Mining
Bloom's: Remember
Learning Outcome: 06-08 Explain data mining and identify the three elements of data mining.
Accessibility: Keyboard Navigation
Gradable: automatic
429) What is estimation?
A) Determines values for an unknown continuous variable behavior or estimated future value.
B) Determine which things go together.
C) Segments a heterogeneous population of more homogeneous subgroups.
D) Assigns records to one of a predefined set of classes.
Answer: A
Explanation: Estimation determines values for an unknown continuous variable behavior or
estimated future value.
Difficulty: 1 Easy
Topic: Data Mining
Bloom's: Remember
Learning Outcome: 06-08 Explain data mining and identify the three elements of data mining.
Accessibility: Keyboard Navigation
Gradable: automatic
430) What is being accomplished by affinity grouping?
A) Determines values for an unknown continuous variable behavior or estimated future value.
B) Determines which things go together.
C) Segments a heterogeneous population of more homogeneous subgroups.
D) Assigns records to one of a predefined set of classes.
Answer: B
Explanation: Affinity grouping determines which things go together.
Difficulty: 1 Easy
Topic: Data Mining
Bloom's: Remember
Learning Outcome: 06-08 Explain data mining and identify the three elements of data mining.
Accessibility: Keyboard Navigation
Gradable: automatic
176
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written consent of McGraw-Hill Education.
431) What does clustering accomplish?
A) Determines values for an unknown continuous variable behavior or estimated future value.
B) Determines which things go together.
C) Segments a heterogeneous population of more homogeneous subgroups.
D) Assigns records to one of a predefined set of classes.
Answer: C
Explanation: Clustering segments a heterogeneous population of more homogeneous
subgroups.
Difficulty: 1 Easy
Topic: Data Mining
Bloom's: Remember
Learning Outcome: 06-08 Explain data mining and identify the three elements of data mining.
Accessibility: Keyboard Navigation
Gradable: automatic
432) What assigns records to one of a predefined set of classes?
A) Classification
B) Estimation
C) Affinity grouping
D) Clustering
Answer: A
Explanation: Classification assigns records to one of a predefined set of classes.
Difficulty: 1 Easy
Topic: Data Mining
Bloom's: Remember
Learning Outcome: 06-08 Explain data mining and identify the three elements of data mining.
Accessibility: Keyboard Navigation
Gradable: automatic
177
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written consent of McGraw-Hill Education.
433) What determines values for an unknown continuous variable behavior or estimated future
value?
A) Classification
B) Estimation
C) Affinity grouping
D) Clustering
Answer: B
Explanation: Estimation determines values for an unknown continuous variable behavior or
estimated future value.
Difficulty: 1 Easy
Topic: Data Mining
Bloom's: Remember
Learning Outcome: 06-08 Explain data mining and identify the three elements of data mining.
Accessibility: Keyboard Navigation
Gradable: automatic
434) What determines which things go together?
A) Classification
B) Estimation
C) Affinity grouping
D) Clustering
Answer: C
Explanation: Affinity grouping determines which things go together.
Difficulty: 1 Easy
Topic: Data Mining
Bloom's: Remember
Learning Outcome: 06-08 Explain data mining and identify the three elements of data mining.
Accessibility: Keyboard Navigation
Gradable: automatic
178
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written consent of McGraw-Hill Education.
435) What segments a heterogeneous population of more homogeneous subgroups?
A) Classification
B) Estimation
C) Affinity grouping
D) Clustering
Answer: D
Explanation: Clustering segments a heterogeneous population of more homogeneous
subgroups.
Difficulty: 1 Easy
Topic: Data Mining
Bloom's: Remember
Learning Outcome: 06-08 Explain data mining and identify the three elements of data mining.
Accessibility: Keyboard Navigation
Gradable: automatic
436) What is data mining?
A) The common term for the representation of multidimensional information
B) A particular attribute of information
C) Uses a variety of techniques to find patterns and relationships in large volumes of information
and infer rules from them that predict future behavior and guide decision making
D) Process of analyzing data to extract information not offered by the raw data alone
Answer: D
Explanation: Data mining is the process of analyzing data to extract information not offered by
the raw data alone.
Difficulty: 1 Easy
Topic: Data Mining
Bloom's: Remember
Learning Outcome: 06-08 Explain data mining and identify the three elements of data mining.
Accessibility: Keyboard Navigation
Gradable: automatic
179
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written consent of McGraw-Hill Education.
437) What displays information graphically so it can be easily understood?
A) Informing
B) Infographics
C) Data visualization
D) Business intelligence dashboards
Answer: B
Explanation: Infographics (information graphics) displays information graphically so it can be
easily understood.
Difficulty: 1 Easy
Topic: Data Analytics
Bloom's: Remember
Learning Outcome: 06-09 Explain the importance of data analytics and data visualization.
Accessibility: Keyboard Navigation
Gradable: automatic
438) What can present the results of large data analysis looking for patterns and relationships
that monitor changes in variables over time?
A) Informing
B) Infographics
C) Data visualization
D) Business intelligence dashboards
Answer: B
Explanation: Infographics can present the results of large data analysis looking for patterns and
relationships that monitor changes in variables over time.
Difficulty: 1 Easy
Topic: Data Analytics
Bloom's: Remember
Learning Outcome: 06-09 Explain the importance of data analytics and data visualization.
Accessibility: Keyboard Navigation
Gradable: automatic
180
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written consent of McGraw-Hill Education.
439) What describes technologies that allow users to "see" or visualize data to transform
information into a business perspective?
A) Informing
B) Infographics
C) Data visualization
D) Business intelligence dashboards
Answer: C
Explanation: Data visualization describes technologies that allow users to "see" or visualize
data to transform information into a business perspective.
Difficulty: 1 Easy
Topic: Data Analytics
Bloom's: Remember
Learning Outcome: 06-09 Explain the importance of data analytics and data visualization.
Accessibility: Keyboard Navigation
Gradable: automatic
440) What moves beyond Excel graphs and charts into sophisticated analysis techniques such as
pie charts, controls, instruments, maps, time-series graphs, and more?
A) Informing
B) Infographics
C) Data visualization tools
D) Business intelligence dashboards
Answer: C
Explanation: Data visualization tools move beyond Excel graphs and charts into sophisticated
analysis techniques such as pie charts, controls, instruments, maps, time-series graphs, and more.
Difficulty: 1 Easy
Topic: Data Analytics
Bloom's: Remember
Learning Outcome: 06-09 Explain the importance of data analytics and data visualization.
Accessibility: Keyboard Navigation
Gradable: automatic
181
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written consent of McGraw-Hill Education.
441) What can help uncover correlations and trends in data that would otherwise go
unrecognized?
A) Informing
B) Infographics
C) Data visualization tools
D) Business intelligence dashboards
Answer: C
Explanation: Data visualization tools can help uncover correlations and trends in data that
would otherwise go unrecognized.
Difficulty: 1 Easy
Topic: Data Analytics
Bloom's: Remember
Learning Outcome: 06-09 Explain the importance of data analytics and data visualization.
Accessibility: Keyboard Navigation
Gradable: automatic
442) What tracks corporate metrics such as critical success factors and key performance
indicators and include advanced capabilities such as interactive controls allowing users to
manipulate data for analysis?
A) Informing
B) Infographics
C) Data visualization tools
D) Business intelligence dashboards
Answer: D
Explanation: Business intelligence dashboards track corporate metrics such as critical success
factors and key performance indicators and include advanced capabilities such as interactive
controls allowing users to manipulate data for analysis.
Difficulty: 1 Easy
Topic: Data Analytics
Bloom's: Remember
Learning Outcome: 06-09 Explain the importance of data analytics and data visualization.
Accessibility: Keyboard Navigation
Gradable: automatic
182
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written consent of McGraw-Hill Education.
443) What is a data scientist?
A) A collection of large, complex data sets, including structured and unstructured data, which
cannot be analyzed using traditional database methods and tools.
B) Processes and manages algorithms across many machines in a computing environment.
C) Focuses on forecasting future trends and producing insights using sophisticated quantitative
methods, including statistics, descriptive and predictive data mining, simulation, and
optimization.
D) Extracts knowledge from data by performing statistical analysis, data mining, and advanced
analytics on big data to identify trends, market changes, and other relevant information.
Answer: D
Explanation: A data scientist extracts knowledge from data by performing statistical analysis,
data mining, and advanced analytics on big data to identify trends, market changes, and other
relevant information.
Difficulty: 1 Easy
Topic: Data Analytics
Bloom's: Remember
Learning Outcome: 06-09 Explain the importance of data analytics and data visualization.
Accessibility: Keyboard Navigation
Gradable: automatic
444) What processes and manages algorithms across many machines in a computing
environment?
A) Big data
B) Distributed computing
C) Advanced analytics
D) Data scientist
Answer: B
Explanation: Distributed computing processes and manages algorithms across many machines
in a computing environment.
Difficulty: 1 Easy
Topic: Data Analytics
Bloom's: Remember
Learning Outcome: 06-09 Explain the importance of data analytics and data visualization.
Accessibility: Keyboard Navigation
Gradable: automatic
183
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written consent of McGraw-Hill Education.
445) What is social media analytics?
A) Analyzes text flowing across the Internet, including unstructured text from blogs and
messages.
B) The process of analyzing recorded calls to gather information; brings structure to customer
interactions and exposes information buried in customer contact center interactions with an
enterprise.
C) Analyzes unstructured data to find trends and patterns in words and sentences.
D) Analyzes unstructured data associated with websites to identify consumer behavior and
website navigation.
Answer: A
Explanation: Social media analytics analyzes text flowing across the Internet, including
unstructured text from blogs and messages.
Difficulty: 1 Easy
Topic: Data Analytics
Bloom's: Remember
Learning Outcome: 06-09 Explain the importance of data analytics and data visualization.
Accessibility: Keyboard Navigation
Gradable: automatic
446) What is speech analytics?
A) Analyzes text flowing across the Internet, including unstructured text from blogs and
messages.
B) The process of analyzing recorded calls to gather information; brings structure to customer
interactions and exposes information buried in customer contact center interactions with an
enterprise.
C) Analyzes unstructured data to find trends and patterns in words and sentences.
D) Analyzes unstructured data associated with websites to identify consumer behavior and
website navigation.
Answer: B
Explanation: Speech analytics is the process of analyzing recorded calls to gather information;
brings structure to customer interactions and exposes information buried in customer contact
center interactions with an enterprise.
Difficulty: 1 Easy
Topic: Data Analytics
Bloom's: Remember
Learning Outcome: 06-09 Explain the importance of data analytics and data visualization.
Accessibility: Keyboard Navigation
Gradable: automatic
184
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written consent of McGraw-Hill Education.
447) What is text analytics?
A) Analyzes text flowing across the Internet, including unstructured text from blogs and
messages.
B) The process of analyzing recorded calls to gather information; brings structure to customer
interactions and exposes information buried in customer contact center interactions with an
enterprise.
C) Analyzes unstructured data to find trends and patterns in words and sentences.
D) Analyzes unstructured data associated with websites to identify consumer behavior and
website navigation.
Answer: C
Explanation: Text analytics analyzes unstructured data to find trends and patterns in words and
sentences.
Difficulty: 1 Easy
Topic: Data Analytics
Bloom's: Remember
Learning Outcome: 06-09 Explain the importance of data analytics and data visualization.
Accessibility: Keyboard Navigation
Gradable: automatic
448) What is web analytics?
A) Analyzes text flowing across the Internet, including unstructured text from blogs and
messages.
B) The process of analyzing recorded calls to gather information; brings structure to customer
interactions and exposes information buried in customer contact center interactions with an
enterprise.
C) Analyzes unstructured data to find trends and patterns in words and sentences.
D) Analyzes unstructured data associated with websites to identify consumer behavior and
website navigation.
Answer: D
Explanation: Web analytics analyzes unstructured data associated with websites to identify
consumer behavior and website navigation.
Difficulty: 1 Easy
Topic: Data Analytics
Bloom's: Remember
Learning Outcome: 06-09 Explain the importance of data analytics and data visualization.
Accessibility: Keyboard Navigation
Gradable: automatic
185
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written consent of McGraw-Hill Education.
449) What analyzes text flowing across the Internet, including unstructured text from blogs and
messages?
A) Social media analytics
B) Speech analytics
C) Text analytics
D) Web analytics
Answer: A
Explanation: Social media analytics analyzes text flowing across the Internet, including
unstructured text from blogs and messages.
Difficulty: 1 Easy
Topic: Data Analytics
Bloom's: Remember
Learning Outcome: 06-09 Explain the importance of data analytics and data visualization.
Accessibility: Keyboard Navigation
Gradable: automatic
450) What is the process of analyzing recorded calls to gather information; brings structure to
customer interactions and exposes information buried in customer contact center interactions
with an enterprise?
A) Social media analytics
B) Speech analytics
C) Text analytics
D) Web analytics
Answer: B
Explanation: Speech analytics is the process of analyzing recorded calls to gather information;
brings structure to customer interactions and exposes information buried in customer contact
center interactions with an enterprise.
Difficulty: 1 Easy
Topic: Data Analytics
Bloom's: Remember
Learning Outcome: 06-09 Explain the importance of data analytics and data visualization.
Accessibility: Keyboard Navigation
Gradable: automatic
186
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written consent of McGraw-Hill Education.
451) What analyzes unstructured data to find trends and patterns in words and sentences?
A) Social media analytics
B) Speech analytics
C) Text analytics
D) Web analytics
Answer: C
Explanation: Text analytics analyzes unstructured data to find trends and patterns in words and
sentences.
Difficulty: 1 Easy
Topic: Data Analytics
Bloom's: Remember
Learning Outcome: 06-09 Explain the importance of data analytics and data visualization.
Accessibility: Keyboard Navigation
Gradable: automatic
452) What analyzes unstructured data associated with websites to identify consumer behavior
and website navigation?
A) Social media analytics
B) Speech analytics
C) Text analytics
D) Web analytics
Answer: D
Explanation: Web analytics analyzes unstructured data associated with websites to identify
consumer behavior and website navigation.
Difficulty: 1 Easy
Topic: Data Analytics
Bloom's: Remember
Learning Outcome: 06-09 Explain the importance of data analytics and data visualization.
Accessibility: Keyboard Navigation
Gradable: automatic
187
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written consent of McGraw-Hill Education.
453) What are advanced analytics?
A) Processes and manages algorithms across many machines in a computing environment.
B) Focuses on forecasting future trends and producing insights using sophisticated quantitative
methods, including statistics, descriptive and predictive data mining, simulation, and
optimization.
C) Occurs when the user goes into an emotional state of over-analysis (or over-thinking) a
situation so that a decision or action is never taken, in effect paralyzing the outcome.
D) A business analytics specialist who uses visual tools to help people understand complex data.
Answer: B
Explanation: Advanced analytics focuses on forecasting future trends and producing insights
using sophisticated quantitative methods, including statistics, descriptive and predictive data
mining, simulation, and optimization.
Difficulty: 1 Easy
Topic: Data Analytics
Bloom's: Remember
Learning Outcome: 06-09 Explain the importance of data analytics and data visualization.
Accessibility: Keyboard Navigation
Gradable: automatic
454) What is analysis paralysis?
A) Processes and manages algorithms across many machines in a computing environment.
B) Focuses on forecasting future trends and producing insights using sophisticated quantitative
methods, including statistics, descriptive and predictive data mining, simulation, and
optimization.
C) Occurs when the user goes into an emotional state of over-analysis (or over-thinking) a
situation so that a decision or action is never taken, in effect paralyzing the outcome.
D) A business analytics specialist who uses visual tools to help people understand complex data.
Answer: C
Explanation: Analysis paralysis occurs when the user goes into an emotional state of overanalysis (or over-thinking) a situation so that a decision or action is never taken, in effect
paralyzing the outcome.
Difficulty: 1 Easy
Topic: Data Analytics
Bloom's: Remember
Learning Outcome: 06-09 Explain the importance of data analytics and data visualization.
Accessibility: Keyboard Navigation
Gradable: automatic
188
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written consent of McGraw-Hill Education.
455) What is a data artist?
A) Processes and manages algorithms across many machines in a computing environment.
B) Focuses on forecasting future trends and producing insights using sophisticated quantitative
methods, including statistics, descriptive and predictive data mining, simulation, and
optimization.
C) Occurs when the user goes into an emotional state of over-analysis (or over-thinking) a
situation so that a decision or action is never taken, in effect paralyzing the outcome.
D) A business analytics specialist who uses visual tools to help people understand complex data.
Answer: D
Explanation: Data artist is a business analytics specialist who uses visual tools to help people
understand complex data.
Difficulty: 1 Easy
Topic: Data Analytics
Bloom's: Remember
Learning Outcome: 06-09 Explain the importance of data analytics and data visualization.
Accessibility: Keyboard Navigation
Gradable: automatic
456) What occurs when the user goes into an emotional state of over-analysis (or over-thinking)
a situation so that a decision or action is never taken, in effect paralyzing the outcome?
A) Distributed computing
B) Advanced analytics
C) Analysis paralysis
D) Data artist
Answer: C
Explanation: Analysis paralysis occurs when the user goes into an emotional state of overanalysis (or over-thinking) a situation so that a decision or action is never taken, in effect
paralyzing the outcome.
Difficulty: 1 Easy
Topic: Data Analytics
Bloom's: Remember
Learning Outcome: 06-09 Explain the importance of data analytics and data visualization.
Accessibility: Keyboard Navigation
Gradable: automatic
189
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written consent of McGraw-Hill Education.
457) What is a business analytics specialist who uses visual tools to help people understand
complex data?
A) Distributed computing
B) Advanced analytics
C) Analysis paralysis
D) Data artist
Answer: D
Explanation: Data artist is a business analytics specialist who uses visual tools to help people
understand complex data.
Difficulty: 1 Easy
Topic: Data Analytics
Bloom's: Remember
Learning Outcome: 06-09 Explain the importance of data analytics and data visualization.
Accessibility: Keyboard Navigation
Gradable: automatic
458) What occurs when the user goes into an emotional state of over-analysis (or over-thinking)
a situation so that a decision or action is never taken, in effect paralyzing the outcome?
A) Analytical paradox
B) Analytical analysis
C) Analysis paralysis
D) Analysis paradox
Answer: C
Explanation: Analysis paralysis occurs when the user goes into an emotional state of overanalysis (or over-thinking) a situation so that a decision or action is never taken, in effect
paralyzing the outcome.
Difficulty: 1 Easy
Topic: Data Analytics
Bloom's: Remember
Learning Outcome: 06-09 Explain the importance of data analytics and data visualization.
Accessibility: Keyboard Navigation
Gradable: automatic
190
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written consent of McGraw-Hill Education.
459) What is fast data?
A) Processes and manages algorithms across many machines in a computing environment.
B) A data value that is numerically distant from most of the other data points in a set of data.
C) Occurs when the user goes into an emotional state of over-analysis (or over-thinking) a
situation so that a decision or action is never taken, in effect paralyzing the outcome.
D) The application of big data analytics to smaller data sets in near-real or real-time in order to
solve a problem or create business value.
Answer: D
Explanation: Fast data is the application of big data analytics to smaller data sets in near-real or
real-time in order to solve a problem or create business value.
Difficulty: 1 Easy
Topic: Data Analytics
Bloom's: Remember
Learning Outcome: 06-09 Explain the importance of data analytics and data visualization.
Accessibility: Keyboard Navigation
Gradable: automatic
460) What an outlier?
A) Processes and manages algorithms across many machines in a computing environment.
B) A data value that is numerically distant from most of the other data points in a set of data.
C) Occurs when the user goes into an emotional state of over-analysis (or over-thinking) a
situation so that a decision or action is never taken, in effect paralyzing the outcome.
D) The application of big data analytics to smaller data sets in near-real or real-time in order to
solve a problem or create business value.
Answer: B
Explanation: An outlier is a data value that is numerically distant from most of the other data
points in a set of data.
Difficulty: 1 Easy
Topic: Data Analytics
Bloom's: Remember
Learning Outcome: 06-09 Explain the importance of data analytics and data visualization.
Accessibility: Keyboard Navigation
Gradable: automatic
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461) What is a data value that is numerically distant from most of the other data points in a set of
data?
A) Fast data
B) Outlier
C) Analysis paralysis
D) Cube
Answer: B
Explanation: An outlier is a data value that is numerically distant from most of the other data
points in a set of data.
Difficulty: 1 Easy
Topic: Data Analytics
Bloom's: Remember
Learning Outcome: 06-09 Explain the importance of data analytics and data visualization.
Accessibility: Keyboard Navigation
Gradable: automatic
462) What is the application of big data analytics to smaller data sets in near-real or real-time in
order to solve a problem or create business value?
A) Fast data
B) Outlier
C) Analysis paralysis
D) Cube
Answer: A
Explanation: Fast data is the application of big data analytics to smaller data sets in near-real or
real-time in order to solve a problem or create business value.
Difficulty: 1 Easy
Topic: Data Analytics
Bloom's: Remember
Learning Outcome: 06-09 Explain the importance of data analytics and data visualization.
Accessibility: Keyboard Navigation
Gradable: automatic
192
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463) Explain the four primary traits that determine the value of information.
Answer: Information is data converted into a meaningful and useful context. Information can
tell an organization how its current operations are performing and help it estimate and strategize
about how future operations might perform. It is important to understand the different levels,
formats, and granularities of information along with the four primary traits that help determine
the value of information, which include (1) information type: transactional and analytical; (2)
information timeliness; (3) information quality; (4) information governance.
Difficulty: 3 Hard
Topic: The Business Benefits of High-Quality Information
Bloom's: Analyze
Learning Outcome: 06-01 Explain the four primary traits that determine the value of
information.
Accessibility: Keyboard Navigation
Gradable: manual
464) Describe a database, a database management system, and the relational database model.
Answer: A database maintains information about various types of objects (inventory), events
(transactions), people (employees), and places (warehouses). A database management system
(DBMS) creates, reads, updates, and deletes data in a database while controlling access and
security. A DBMS provides methodologies for creating, updating, storing, and retrieving data in
a database. In addition, a DBMS provides facilities for controlling data access and security,
allowing data sharing, and enforcing data integrity. The relational database model allows users to
create, read, update, and delete data in a relational database.
Difficulty: 3 Hard
Topic: Storing Information Using a Relational Database Management System
Bloom's: Analyze
Learning Outcome: 06-02 Describe a database, a database management system, and the
relational database model.
Accessibility: Keyboard Navigation
Gradable: manual
193
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written consent of McGraw-Hill Education.
465) Identify the business advantages of a relational database.
Answer: Many business managers are familiar with Excel and other spreadsheet programs they
can use to store business data. Although spreadsheets are excellent for supporting some data
analysis, they offer limited functionality in terms of security, accessibility, and flexibility and can
rarely scale to support business growth. From a business perspective, relational databases offer
many advantages over using a text document or a spreadsheet, including increased flexibility,
increased scalability and performance, reduced information redundancy, increased information
integrity (quality), and increased information security.
Difficulty: 3 Hard
Topic: Using a Relational Database for Business Advantages
Bloom's: Analyze
Learning Outcome: 06-03 Identify the business advantages of a relational database.
Accessibility: Keyboard Navigation
Gradable: manual
466) Explain the business benefits of a data-driven website.
Answer: A data-driven website is an interactive website kept constantly updated and relevant to
the needs of its customers using a database. Data-driven capabilities are especially useful when
the website offers a great deal of information, products, or services because visitors are
frequently annoyed if they are buried under an avalanche of information when searching a
website. Many companies use the Web to make some of the information in their internal
databases available to customers and business partners.
Difficulty: 3 Hard
Topic: Driving Websites with Data
Bloom's: Analyze
Learning Outcome: 06-04 Explain the business benefits of a data-driven website.
Accessibility: Keyboard Navigation
Gradable: manual
467) Define a data warehouse, and provide a few reasons it can make a manager more effective.
Answer: A data warehouse is a logical collection of information, gathered from many different
operational databases, that supports business analysis and decision making. The primary value of
a data warehouse is to combine information, more specifically, strategic information, throughout
an organization into a single repository in such a way that the people who need that information
can make decisions and undertake business analysis.
Difficulty: 3 Hard
Topic: Data Warehousing
Bloom's: Analyze
Learning Outcome: 06-05 Describe the roles and purposes of data warehouses and data marts in
an organization.
Accessibility: Keyboard Navigation
Gradable: manual
194
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written consent of McGraw-Hill Education.
468) Explain ETL and the role of a data mart in business.
Answer: Extraction, transformation, and loading (ETL) is a process that extracts information
from internal and external databases, transforms it using a common set of enterprise definitions,
and loads it into a data warehouse. The data warehouse then sends portions (or subsets) of the
information to data marts. A data mart contains a subset of data warehouse information. To
distinguish between data warehouses and data marts, think of data warehouses as having a more
organizational focus and data marts as having a functional focus.
Difficulty: 3 Hard
Topic: Data Warehousing
Bloom's: Analyze
Learning Outcome: 06-05 Describe the roles and purposes of data warehouses and data marts in
an organization.
Accessibility: Keyboard Navigation
Gradable: manual
469) Identify the advantages of using business intelligence to support managerial decision
making.
Answer: Many organizations today find it next to impossible to understand their own strengths
and weaknesses, let alone their biggest competitors, due to enormous volumes of organizational
data being inaccessible to all but the MIS department. Organization data include far more than
simple structured data elements in a database; the set of data also includes unstructured data such
as voice mail, customer phone calls, text messages, video clips, along with numerous new forms
of data, such as tweets from Twitter. Managers today find themselves in the position of being
data rich and information poor, and they need to implement business intelligence systems to
solve this challenge.
Difficulty: 3 Hard
Topic: Business Intelligence
Bloom's: Analyze
Learning Outcome: 06-06 Identify the advantages of using business intelligence to support
managerial decision making.
Accessibility: Keyboard Navigation
Gradable: manual
195
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written consent of McGraw-Hill Education.
470) Define data mining, and explain the three common forms for mining structured and
unstructured data.
Answer: Data mining is the process of analyzing data to extract information not offered by the
raw data alone. Data mining can also begin at a summary information level (coarse granularity)
and progress through increasing levels of detail (drilling down), or the reverse (drilling up). Data
mining occurs on structured data that are already in a database or a spreadsheet. Unstructured
data do not exist in a fixed location and can include text documents, PDFs, voice messages,
emails, and so on. Three common forms for mining structured and unstructured data are cluster
analysis, association detection, and statistical analysis.
Difficulty: 3 Hard
Topic: Data Mining
Bloom's: Analyze
Learning Outcome: 06-08 Explain data mining and identify the three elements of data mining.
Accessibility: Keyboard Navigation
Gradable: manual
Business Driven Information Systems, 6e (Baltzan)
Chapter 1 Management Information Systems: Business Driven MIS
1) Companies today are successful when they combine the power of the information age with
traditional business methods.
Answer: TRUE
Explanation: Companies today are successful when they combine the power of the information
age with traditional business methods.
Difficulty: 1 Easy
Topic: Competing in the Information Age
Bloom's: Remember
Learning Outcome: 01-01 Describe the information age and the differences among data,
information, business intelligence, and knowledge.
Accessibility: Keyboard Navigation
Gradable: automatic
2) Competitive intelligence is information collected from multiple sources such as suppliers,
customers, competitors, partners, and industries that analyzes patterns, trends, and relationships
for strategic decision making.
Answer: FALSE
Explanation: This is the definition of business intelligence which is information collected from
multiple sources such as suppliers, customers, competitors, partners, and industries that analyzes
patterns, trends, and relationships for strategic decision making.
Difficulty: 1 Easy
Topic: Competing in the Information Age
Bloom's: Remember
Learning Outcome: 01-01 Describe the information age and the differences among data,
196
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written consent of McGraw-Hill Education.
information, business intelligence, and knowledge.
Accessibility: Keyboard Navigation
Gradable: automatic
3) Business intelligence is information collected from multiple sources such as suppliers,
customers, competitors, partners, and industries that analyzes patterns, trends, and relationships
for strategic decision making.
Answer: TRUE
Explanation: This is the definition of business intelligence.
Difficulty: 1 Easy
Topic: Competing in the Information Age
Bloom's: Remember
Learning Outcome: 01-01 Describe the information age and the differences among data,
information, business intelligence, and knowledge.
Accessibility: Keyboard Navigation
Gradable: automatic
4) The information age is the present time, during which infinite quantities of facts are widely
available to anyone who can use a computer.
Answer: TRUE
Explanation: The information age is the present time, during which infinite quantities of facts
are widely available to anyone who can use a computer.
Difficulty: 1 Easy
Topic: Competing in the Information Age
Bloom's: Remember
Learning Outcome: 01-01 Describe the information age and the differences among data,
information, business intelligence, and knowledge.
Accessibility: Keyboard Navigation
Gradable: automatic
5) Technology provides countless business opportunities, but can also lead to pitfalls and traps
for a business.
Answer: TRUE
Explanation: Technology provides countless business opportunities, but can also lead to pitfalls
and traps for a business.
Difficulty: 2 Medium
Topic: Competing in the Information Age
Bloom's: Understand
Learning Outcome: 01-01 Describe the information age and the differences among data,
information, business intelligence, and knowledge.
Accessibility: Keyboard Navigation
Gradable: automatic
197
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written consent of McGraw-Hill Education.
6) Top managers use social intelligence to define the future of the business, analyzing markets,
industries and economies to determine the strategic direction the company must follow to remain
unprofitable.
Answer: FALSE
Explanation: Top managers use business intelligence, not social intelligence, to remain
profitable not unprofitable.
Difficulty: 2 Medium
Topic: Competing in the Information Age
Bloom's: Understand
Learning Outcome: 01-01 Describe the information age and the differences among data,
information, business intelligence, and knowledge.
Accessibility: Keyboard Navigation
Gradable: automatic
7) A variable is a business intelligence characteristic that stands for a value that cannot change
over time.
Answer: FALSE
Explanation: A variable is a data characteristic that can change over time.
Difficulty: 2 Medium
Topic: Competing in the Information Age
Bloom's: Understand
Learning Outcome: 01-01 Describe the information age and the differences among data,
information, business intelligence, and knowledge.
Accessibility: Keyboard Navigation
Gradable: automatic
8) A fact is the confirmation or validation of an event or object. In the past, people primarily
learned facts from books.
Answer: TRUE
Explanation: A fact is the confirmation or validation of an event or object. In the past, people
primarily learned facts from books.
Difficulty: 1 Easy
Topic: Competing in the Information Age
Bloom's: Understand
Learning Outcome: 01-01 Describe the information age and the differences among data,
information, business intelligence, and knowledge.
Accessibility: Keyboard Navigation
Gradable: automatic
9) Zappos is not a technology company; its primary business focus is to sell books.
198
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written consent of McGraw-Hill Education.
Answer: FALSE
Explanation: Zappos is not a technology company; its primary business focus is to sell shoes,
bags, clothing, and accessories.
Difficulty: 2 Medium
Topic: Competing in the Information Age
Bloom's: Understand
Learning Outcome: 01-01 Describe the information age and the differences among data,
information, business intelligence, and knowledge.
Accessibility: Keyboard Navigation
Gradable: automatic
199
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written consent of McGraw-Hill Education.
10) Order date, amount sold, and customer number are all forms of data.
Answer: TRUE
Explanation: Order date, amount sold, and customer number are all forms of data.
Difficulty: 2 Medium
Topic: Competing in the Information Age
Bloom's: Understand
Learning Outcome: 01-01 Describe the information age and the differences among data,
information, business intelligence, and knowledge.
Accessibility: Keyboard Navigation
Gradable: automatic
11) Choosing not to fire a sales representative who is underperforming knowing that person is
experiencing family problems is a form of knowledge.
Answer: TRUE
Explanation: Choosing not to fire a sales representative who is underperforming knowing that
person is experiencing family problems is a form of knowledge.
Difficulty: 2 Medium
Topic: Competing in the Information Age
Bloom's: Understand
Learning Outcome: 01-01 Describe the information age and the differences among data,
information, business intelligence, and knowledge.
Accessibility: Keyboard Navigation
Gradable: automatic
12) Information is data converted into a meaningful and useful context. The truth about
information is that its value is only as good as the people who use it. People using the same
information can make different decisions depending on how they interpret or analyze the
information.
Answer: TRUE
Explanation: Information is data converted into a meaningful and useful context. The truth
about information is that its value is only as good as the people who use it.
Difficulty: 2 Medium
Topic: Competing in the Information Age
Bloom's: Understand
Learning Outcome: 01-01 Describe the information age and the differences among data,
information, business intelligence, and knowledge.
Accessibility: Keyboard Navigation
Gradable: automatic
200
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written consent of McGraw-Hill Education.
13) The Internet of Things (IoT) is a world where interconnected, Internet-enabled devices or
"things" can collect and share data without human intervention.
Answer: TRUE
Explanation: The Internet of Things (IoT) is a world where interconnected, Internet-enabled
devices or "things" can collect and share data without human intervention.
Difficulty: 1 Easy
Topic: Competing in the Information Age
Bloom's: Remember
Learning Outcome: 01-01 Describe the information age and the differences among data,
information, business intelligence, and knowledge.
Accessibility: Keyboard Navigation
Gradable: automatic
14) Machine to machine (M2M) refers to devices that connect directly to other devices.
Answer: TRUE
Explanation: Machine to machine (M2M) refers to devices that connect directly to other
devices.
Difficulty: 1 Easy
Topic: Competing in the Information Age
Bloom's: Remember
Learning Outcome: 01-01 Describe the information age and the differences among data,
information, business intelligence, and knowledge.
Accessibility: Keyboard Navigation
Gradable: automatic
15) The Internet of Things (IoT) refers to devices that connect directly to other devices.
Answer: FALSE
Explanation: The Internet of Things (IoT) is a world where interconnected, Internet-enabled
devices or "things" can collect and share data without human intervention.
Difficulty: 1 Easy
Topic: Competing in the Information Age
Bloom's: Remember
Learning Outcome: 01-01 Describe the information age and the differences among data,
information, business intelligence, and knowledge.
Accessibility: Keyboard Navigation
Gradable: automatic
201
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written consent of McGraw-Hill Education.
16) Predictive analytics extracts information from data and uses it to predict future trends and
identify behavioral patterns.
Answer: TRUE
Explanation: Predictive analytics extracts information from data and uses it to predict future
trends and identify behavioral patterns.
Difficulty: 1 Easy
Topic: Competing in the Information Age
Bloom's: Remember
Learning Outcome: 01-01 Describe the information age and the differences among data,
information, business intelligence, and knowledge.
Accessibility: Keyboard Navigation
Gradable: automatic
17) Predictive analytics is a world where interconnected, Internet-enabled devices or "things" can
collect and share data without human intervention.
Answer: FALSE
Explanation: The Internet of Things (IoT) is a world where interconnected, Internet-enabled
devices or "things" can collect and share data without human intervention.
Difficulty: 1 Easy
Topic: Competing in the Information Age
Bloom's: Remember
Learning Outcome: 01-01 Describe the information age and the differences among data,
information, business intelligence, and knowledge.
Accessibility: Keyboard Navigation
Gradable: automatic
202
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written consent of McGraw-Hill Education.
18) Top managers use predictive analytics to define the future of the business, analyzing
markets, industries, and economies to determine the strategic direction the company must follow
to remain profitable. Tony will set the strategic direction for his firm, which might include
introducing new flavors of potato chips or sports drinks as new product lines or schools and
hospitals as new market segments.
Answer: TRUE
Explanation: Top managers use predictive analytics to define the future of the business,
analyzing markets, industries, and economies to determine the strategic direction the company
must follow to remain profitable. Tony will set the strategic direction for his firm, which might
include introducing new flavors of potato chips or sports drinks as new product lines or schools
and hospitals as new market segments.
Difficulty: 3 Hard
Topic: Competing in the Information Age
Bloom's: Understand
Learning Outcome: 01-01 Describe the information age and the differences among data,
information, business intelligence, and knowledge.
Accessibility: Keyboard Navigation
Gradable: automatic
19) Machine to machine (M2M) extracts information from data and uses it to predict future
trends and identify behavioral patterns.
Answer: FALSE
Explanation: Predictive analytics extracts information from data and uses it to predict future
trends and identify behavioral patterns.
Difficulty: 1 Easy
Topic: Competing in the Information Age
Bloom's: Remember
Learning Outcome: 01-01 Describe the information age and the differences among data,
information, business intelligence, and knowledge.
Accessibility: Keyboard Navigation
Gradable: automatic
203
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written consent of McGraw-Hill Education.
20) Knowledge workers are individuals valued for their ability to mitigate risk and implement
critical human resource rules and regulations.
Answer: FALSE
Explanation: Knowledge workers are individuals valued for their ability to interpret and
analyze information.
Difficulty: 2 Medium
Topic: Competing in the Information Age
Bloom's: Understand
Learning Outcome: 01-01 Describe the information age and the differences among data,
information, business intelligence, and knowledge.
Accessibility: Keyboard Navigation
Gradable: automatic
21) Using only data and information to make decisions and solve problems is the key to finding
success in business. These are also the only core drivers of the information age and the building
blocks of business systems.
Answer: FALSE
Explanation: Using data, information, business intelligence, and knowledge to make decisions
and solve problems is the key to finding success in business. These are also the core drivers of
the information age and the building blocks of business systems.
Difficulty: 3 Hard
Topic: Competing in the Information Age
Bloom's: Understand
Learning Outcome: 01-01 Describe the information age and the differences among data,
information, business intelligence, and knowledge.
Accessibility: Keyboard Navigation
Gradable: automatic
22) Big data is a collection of large complex data sets, including structured and unstructured,
which cannot be analyzed using traditional database methods and tools.
Answer: TRUE
Explanation: Big data is a collection of large complex data sets, including structured and
unstructured, which cannot be analyzed using traditional database methods and tools.
Difficulty: 1 Easy
Topic: Competing in the Information Age
Bloom's: Remember
Learning Outcome: 01-01 Describe the information age and the differences among data,
information, business intelligence, and knowledge.
Accessibility: Keyboard Navigation
Gradable: automatic
204
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written consent of McGraw-Hill Education.
23) Big data is a view of data at a particular moment in time.
Answer: FALSE
Explanation: A snapshot is a view of data at a particular moment in time.
Difficulty: 1 Easy
Topic: Competing in the Information Age
Bloom's: Remember
Learning Outcome: 01-01 Describe the information age and the differences among data,
information, business intelligence, and knowledge.
Accessibility: Keyboard Navigation
Gradable: automatic
24) A snapshot is a view of data at a particular moment in time.
Answer: TRUE
Explanation: A snapshot is a view of data at a particular moment in time.
Difficulty: 1 Easy
Topic: Competing in the Information Age
Bloom's: Remember
Learning Outcome: 01-01 Describe the information age and the differences among data,
information, business intelligence, and knowledge.
Accessibility: Keyboard Navigation
Gradable: automatic
25) A static report can include updating daily stock market prices or the calculation of available
inventory.
Answer: FALSE
Explanation: A dynamic report can include updating daily stock market prices or the
calculation of available inventory.
Difficulty: 1 Easy
Topic: Competing in the Information Age
Bloom's: Remember
Learning Outcome: 01-01 Describe the information age and the differences among data,
information, business intelligence, and knowledge.
Accessibility: Keyboard Navigation
Gradable: automatic
205
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written consent of McGraw-Hill Education.
26) A dynamic report can include updating daily stock market prices or the calculation of
available inventory.
Answer: TRUE
Explanation: A dynamic report can include updating daily stock market prices or the
calculation of available inventory.
Difficulty: 1 Easy
Topic: Competing in the Information Age
Bloom's: Remember
Learning Outcome: 01-01 Describe the information age and the differences among data,
information, business intelligence, and knowledge.
Accessibility: Keyboard Navigation
Gradable: automatic
27) Business analytics is the scientific process of transforming data into insight for making better
decisions.
Answer: TRUE
Explanation: Business analytics is the scientific process of transforming data into insight for
making better decisions.
Difficulty: 1 Easy
Topic: Competing in the Information Age
Bloom's: Remember
Learning Outcome: 01-01 Describe the information age and the differences among data,
information, business intelligence, and knowledge.
Accessibility: Keyboard Navigation
Gradable: automatic
28) Descriptive analytics use techniques that describe past performance and history.
Answer: TRUE
Explanation: Descriptive analytics use techniques that describe past performance and history.
Difficulty: 1 Easy
Topic: Competing in the Information Age
Bloom's: Remember
Learning Outcome: 01-01 Describe the information age and the differences among data,
information, business intelligence, and knowledge.
Accessibility: Keyboard Navigation
Gradable: automatic
206
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written consent of McGraw-Hill Education.
29) Predictive analytics use techniques that extract information from data and use it to predict
future trends and identify behavioral patterns.
Answer: TRUE
Explanation: Predictive analytics use techniques that extract information from data and use it to
predict future trends and identify behavioral patterns.
Difficulty: 1 Easy
Topic: Competing in the Information Age
Bloom's: Remember
Learning Outcome: 01-01 Describe the information age and the differences among data,
information, business intelligence, and knowledge.
Accessibility: Keyboard Navigation
Gradable: automatic
30) Prescriptive analytics use techniques that create models indicating the best decision to make
or course of action to take.
Answer: TRUE
Explanation: Prescriptive analytics use techniques that create models indicating the best
decision to make or course of action to take.
Difficulty: 1 Easy
Topic: Competing in the Information Age
Bloom's: Remember
Learning Outcome: 01-01 Describe the information age and the differences among data,
information, business intelligence, and knowledge.
Accessibility: Keyboard Navigation
Gradable: automatic
31) Knowledge assets, also called intellectual capital, are the human, structural, and recorded
resources available to the organization.
Answer: TRUE
Explanation: Knowledge assets, also called intellectual capital, are the human, structural, and
recorded resources available to the organization.
Difficulty: 1 Easy
Topic: Competing in the Information Age
Bloom's: Remember
Learning Outcome: 01-01 Describe the information age and the differences among data,
information, business intelligence, and knowledge.
Accessibility: Keyboard Navigation
Gradable: automatic
207
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written consent of McGraw-Hill Education.
32) Knowledge assets reside within the minds of members, customers, and colleagues and
include physical structures and recorded media.
Answer: TRUE
Explanation: Knowledge assets reside within the minds of members, customers, and colleagues
and include physical structures and recorded media.
Difficulty: 1 Easy
Topic: Competing in the Information Age
Bloom's: Remember
Learning Outcome: 01-01 Describe the information age and the differences among data,
information, business intelligence, and knowledge.
Accessibility: Keyboard Navigation
Gradable: automatic
33) Knowledge facilitators help harness the wealth of knowledge in the organization.
Answer: TRUE
Explanation: Knowledge facilitators help harness the wealth of knowledge in the organization.
Difficulty: 1 Easy
Topic: Competing in the Information Age
Bloom's: Remember
Learning Outcome: 01-01 Describe the information age and the differences among data,
information, business intelligence, and knowledge.
Accessibility: Keyboard Navigation
Gradable: automatic
34) Descriptive analytics is the scientific process of transforming data into insight for making
better decisions.
Answer: FALSE
Explanation: Business analytics is the scientific process of transforming data into insight for
making better decisions.
Difficulty: 1 Easy
Topic: Competing in the Information Age
Bloom's: Remember
Learning Outcome: 01-01 Describe the information age and the differences among data,
information, business intelligence, and knowledge.
Accessibility: Keyboard Navigation
Gradable: automatic
208
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written consent of McGraw-Hill Education.
35) Business analytics use techniques that describe past performance and history.
Answer: FALSE
Explanation: Descriptive analytics use techniques that describe past performance and history.
Difficulty: 1 Easy
Topic: Competing in the Information Age
Bloom's: Remember
Learning Outcome: 01-01 Describe the information age and the differences among data,
information, business intelligence, and knowledge.
Accessibility: Keyboard Navigation
Gradable: automatic
36) Prescriptive analytics use techniques that extract information from data and use it to predict
future trends and identify behavioral patterns.
Answer: FALSE
Explanation: Predictive analytics use techniques that extract information from data and use it to
predict future trends and identify behavioral patterns.
Difficulty: 1 Easy
Topic: Competing in the Information Age
Bloom's: Remember
Learning Outcome: 01-01 Describe the information age and the differences among data,
information, business intelligence, and knowledge.
Accessibility: Keyboard Navigation
Gradable: automatic
37) Predictive analytics use techniques that create models indicating the best decision to make or
course of action to take.
Answer: FALSE
Explanation: Prescriptive analytics use techniques that create models indicating the best
decision to make or course of action to take.
Difficulty: 1 Easy
Topic: Competing in the Information Age
Bloom's: Remember
Learning Outcome: 01-01 Describe the information age and the differences among data,
information, business intelligence, and knowledge.
Accessibility: Keyboard Navigation
Gradable: automatic
209
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written consent of McGraw-Hill Education.
38) Analytics, also called intellectual capital, are the human, structural, and recorded resources
available to the organization.
Answer: FALSE
Explanation: Knowledge assets, also called intellectual capital, are the human, structural, and
recorded resources available to the organization.
Difficulty: 1 Easy
Topic: Competing in the Information Age
Bloom's: Remember
Learning Outcome: 01-01 Describe the information age and the differences among data,
information, business intelligence, and knowledge.
Accessibility: Keyboard Navigation
Gradable: automatic
39) Knowledge facilitators reside within the minds of members, customers, and colleagues and
include physical structures and recorded media.
Answer: FALSE
Explanation: Knowledge assets reside within the minds of members, customers, and colleagues
and include physical structures and recorded media.
Difficulty: 1 Easy
Topic: Competing in the Information Age
Bloom's: Remember
Learning Outcome: 01-01 Describe the information age and the differences among data,
information, business intelligence, and knowledge.
Accessibility: Keyboard Navigation
Gradable: automatic
40) Structured data extracts information from data and uses it to predict future trends and
identify behavioral patterns.
Answer: FALSE
Explanation: Predictive analytics extracts information from data and uses it to predict future
trends and identify behavioral patterns.
Difficulty: 1 Easy
Topic: Competing in the Information Age
Bloom's: Remember
Learning Outcome: 01-01 Describe the information age and the differences among data,
information, business intelligence, and knowledge.
Accessibility: Keyboard Navigation
Gradable: automatic
210
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written consent of McGraw-Hill Education.
41) Unstructured data extracts information from data and uses it to predict future trends and
identify behavioral patterns.
Answer: FALSE
Explanation: Predictive analytics extracts information from data and uses it to predict future
trends and identify behavioral patterns.
Difficulty: 1 Easy
Topic: Competing in the Information Age
Bloom's: Remember
Learning Outcome: 01-01 Describe the information age and the differences among data,
information, business intelligence, and knowledge.
Accessibility: Keyboard Navigation
Gradable: automatic
42) Structured data is data that has a defined length, type, and format and includes numbers,
dates, or strings such as Customer Address.
Answer: TRUE
Explanation: Structured data is data that has a defined length, type, and format and includes
numbers, dates, or strings such as Customer Address.
Difficulty: 1 Easy
Topic: Competing in the Information Age
Bloom's: Remember
Learning Outcome: 01-01 Describe the information age and the differences among data,
information, business intelligence, and knowledge.
Accessibility: Keyboard Navigation
Gradable: automatic
43) Unstructured data is data that is not defined and does not follow a specified format and is
typically free-form text such as emails, Twitter tweets, and text messages.
Answer: TRUE
Explanation: Unstructured data is data that is not defined and does not follow a specified format
and is typically free-form text such as emails, Twitter tweets, and text messages.
Difficulty: 1 Easy
Topic: Competing in the Information Age
Bloom's: Remember
Learning Outcome: 01-01 Describe the information age and the differences among data,
information, business intelligence, and knowledge.
Accessibility: Keyboard Navigation
Gradable: automatic
211
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written consent of McGraw-Hill Education.
44) Unstructured data is data that has a defined length, type, and format and includes numbers,
dates, or strings such as Customer Address.
Answer: FALSE
Explanation: Structured data is data that has a defined length, type, and format and includes
numbers, dates, or strings such as Customer Address.
Difficulty: 1 Easy
Topic: Competing in the Information Age
Bloom's: Remember
Learning Outcome: 01-01 Describe the information age and the differences among data,
information, business intelligence, and knowledge.
Accessibility: Keyboard Navigation
Gradable: automatic
45) Structured data is data that is not defined and does not follow a specified format and is
typically free-form text such as emails, Twitter tweets, and text messages.
Answer: FALSE
Explanation: Unstructured data is data that is not defined and does not follow a specified format
and is typically free-form text such as emails, Twitter tweets, and text messages.
Difficulty: 1 Easy
Topic: Competing in the Information Age
Bloom's: Remember
Learning Outcome: 01-01 Describe the information age and the differences among data,
information, business intelligence, and knowledge.
Accessibility: Keyboard Navigation
Gradable: automatic
46) Unstructured data extracts information from data and uses it to predict future trends and
identify behavioral patterns.
Answer: FALSE
Explanation: Predictive analytics extracts information from data and uses it to predict future
trends and identify behavioral patterns.
Difficulty: 1 Easy
Topic: Competing in the Information Age
Bloom's: Remember
Learning Outcome: 01-01 Describe the information age and the differences among data,
information, business intelligence, and knowledge.
Accessibility: Keyboard Navigation
Gradable: automatic
212
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written consent of McGraw-Hill Education.
47) Companies update business strategies continuously as internal and external environments
change.
Answer: TRUE
Explanation: Companies update business strategies continuously as internal and external
environments change.
Difficulty: 1 Easy
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Remember
Learning Outcome: 01-02 Explain systems thinking and how management information systems
enable business communications.
Accessibility: Keyboard Navigation
Gradable: automatic
48) The finance department performs the function of selling goods or services.
Answer: FALSE
Explanation: The sales department performs the function of selling goods or services.
Difficulty: 1 Easy
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Remember
Learning Outcome: 01-02 Explain systems thinking and how management information systems
enable business communications.
Accessibility: Keyboard Navigation
Gradable: automatic
49) The marketing department supports sales by planning, pricing, and promoting goods or
services.
Answer: TRUE
Explanation: The marketing department supports sales by planning, pricing, and promoting
goods or services.
Difficulty: 1 Easy
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Remember
Learning Outcome: 01-02 Explain systems thinking and how management information systems
enable business communications.
Accessibility: Keyboard Navigation
Gradable: automatic
213
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written consent of McGraw-Hill Education.
50) The operations management department manages the process of converting or transforming
resources into goods or services.
Answer: TRUE
Explanation: The operations management department manages the process of converting or
transforming resources into goods or services.
Difficulty: 1 Easy
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Remember
Learning Outcome: 01-02 Explain systems thinking and how management information systems
enable business communications.
Accessibility: Keyboard Navigation
Gradable: automatic
51) The accounting and finance departments primarily use monetary data.
Answer: TRUE
Explanation: The accounting and finance departments primarily use monetary data.
Difficulty: 2 Medium
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Understand
Learning Outcome: 01-02 Explain systems thinking and how management information systems
enable business communications.
Accessibility: Keyboard Navigation
Gradable: automatic
52) The sales and marketing departments primarily use monetary data.
Answer: FALSE
Explanation: The sales and marketing departments primarily use transactional data.
Difficulty: 2 Medium
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Understand
Learning Outcome: 01-02 Explain systems thinking and how management information systems
enable business communications.
Accessibility: Keyboard Navigation
Gradable: automatic
214
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written consent of McGraw-Hill Education.
53) For an organization to succeed, every department or functional area must work
independently to be most effective.
Answer: FALSE
Explanation: For an organization to succeed, every department or functional area must work
together or interdependently sharing common information and not be a "silo".
Difficulty: 1 Easy
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Remember
Learning Outcome: 01-02 Explain systems thinking and how management information systems
enable business communications.
Accessibility: Keyboard Navigation
Gradable: automatic
54) Successful companies today operate cross-functionally, integrating the operations of all
departments.
Answer: TRUE
Explanation: Successful companies today operate cross-functionally, integrating the operations
of all departments.
Difficulty: 1 Easy
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Remember
Learning Outcome: 01-02 Explain systems thinking and how management information systems
enable business communications.
Accessibility: Keyboard Navigation
Gradable: automatic
55) MIS is a tool that is most valuable when it leverages the talents of people who know how to
use and manage it effectively.
Answer: TRUE
Explanation: MIS is a tool that is most valuable when it leverages the talents of people who
know how to use and manage it effectively.
Difficulty: 2 Medium
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Understand
Learning Outcome: 01-02 Explain systems thinking and how management information systems
enable business communications.
Accessibility: Keyboard Navigation
Gradable: automatic
215
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written consent of McGraw-Hill Education.
56) The chief technology officer is responsible for ensuring the security of business systems and
developing strategies and safeguards against attacks from hackers and viruses.
Answer: FALSE
Explanation: The chief technology officer is responsible for ensuring the speed, accuracy,
availability, and reliability for MIS.
Difficulty: 1 Easy
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Remember
Learning Outcome: 01-02 Explain systems thinking and how management information systems
enable business communications.
Accessibility: Keyboard Navigation
Gradable: automatic
57) The chief security officer is responsible for ensuring the security of business systems and
developing strategies and safeguards against attacks from hackers and viruses.
Answer: TRUE
Explanation: The chief security officer is responsible for ensuring the security of business
systems and developing strategies and safeguards against attacks from hackers and viruses.
Difficulty: 1 Easy
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Remember
Learning Outcome: 01-02 Explain systems thinking and how management information systems
enable business communications.
Accessibility: Keyboard Navigation
Gradable: automatic
58) The chief data officer is responsible for ensuring the speed, accuracy, availability, and
reliability for MIS.
Answer: FALSE
Explanation: The chief technology officer is responsible for ensuring the speed, accuracy,
availability, and reliability for MIS.
Difficulty: 1 Easy
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Remember
Learning Outcome: 01-02 Explain systems thinking and how management information systems
enable business communications.
Accessibility: Keyboard Navigation
Gradable: automatic
216
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written consent of McGraw-Hill Education.
59) The chief privacy officer is responsible for ensuring the ethical and legal use of information
within a company.
Answer: TRUE
Explanation: The chief privacy officer is responsible for ensuring the ethical and legal use of
information within a company.
Difficulty: 1 Easy
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Remember
Learning Outcome: 01-02 Explain systems thinking and how management information systems
enable business communications.
Accessibility: Keyboard Navigation
Gradable: automatic
60) The business decisions made by the marketing department include promotional data, sales
data, and advertising data.
Answer: TRUE
Explanation: The business decision the marketing department makes includes promotion data,
sales data, and advertising data.
Difficulty: 1 Easy
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Remember
Learning Outcome: 01-02 Explain systems thinking and how management information systems
enable business communications.
Accessibility: Keyboard Navigation
Gradable: automatic
61) The business decisions made by the human resources department include employee data,
promotion data, and vacation data.
Answer: TRUE
Explanation: The business decision the human resources department makes includes employee
data, promotion data, and vacation data.
Difficulty: 1 Easy
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Remember
Learning Outcome: 01-02 Explain systems thinking and how management information systems
enable business communications.
Accessibility: Keyboard Navigation
Gradable: automatic
217
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written consent of McGraw-Hill Education.
62) The business decisions made by the finance department include investment data, monetary
data, and reporting data.
Answer: TRUE
Explanation: The business decision the finance department makes includes investment data,
monetary data, and reporting data.
Difficulty: 1 Easy
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Remember
Learning Outcome: 01-02 Explain systems thinking and how management information systems
enable business communications.
Accessibility: Keyboard Navigation
Gradable: automatic
63) The business decisions made by the accounting department include transactional data,
purchasing data, payroll data and tax data.
Answer: TRUE
Explanation: The business decisions the accounting department makes includes transactional
data, purchasing data, payroll data and tax data.
Difficulty: 1 Easy
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Remember
Learning Outcome: 01-02 Explain systems thinking and how management information systems
enable business communications.
Accessibility: Keyboard Navigation
Gradable: automatic
64) The business decisions made by the sales department include potential customer data, sales
report data, commission data, and customer support data.
Answer: TRUE
Explanation: The business decisions the sales department makes include potential customer
data, sales report data, commission data, and customer support data.
Difficulty: 1 Easy
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Remember
Learning Outcome: 01-02 Explain systems thinking and how management information systems
enable business communications.
Accessibility: Keyboard Navigation
Gradable: automatic
218
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written consent of McGraw-Hill Education.
65) The business decisions made by the operations management department include
manufacturing data, distribution data, and production data.
Answer: TRUE
Explanation: The business decisions the operations management department makes include
manufacturing data, distribution data, and production data.
Difficulty: 1 Easy
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Remember
Learning Outcome: 01-02 Explain systems thinking and how management information systems
enable business communications.
Accessibility: Keyboard Navigation
Gradable: automatic
66) The business decisions made by the finance department include promotion data, sales data,
and advertising data.
Answer: FALSE
Explanation: The business decision the marketing department makes includes promotion data,
sales data, and advertising data.
Difficulty: 1 Easy
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Remember
Learning Outcome: 01-02 Explain systems thinking and how management information systems
enable business communications.
Accessibility: Keyboard Navigation
Gradable: automatic
67) The business decisions made by the accounting department include employee data,
promotion data, and vacation data.
Answer: FALSE
Explanation: The business decision the human resources department makes includes employee
data, promotion data, and vacation data.
Difficulty: 1 Easy
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Remember
Learning Outcome: 01-02 Explain systems thinking and how management information systems
enable business communications.
Accessibility: Keyboard Navigation
Gradable: automatic
219
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written consent of McGraw-Hill Education.
68) The business decisions made by the human resources department include investment data,
monetary data, and reporting data.
Answer: FALSE
Explanation: The business decision the finance department makes includes investment data,
monetary data, and reporting data.
Difficulty: 1 Easy
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Remember
Learning Outcome: 01-02 Explain systems thinking and how management information systems
enable business communications.
Accessibility: Keyboard Navigation
Gradable: automatic
69) The business decisions made by the marketing department include transactional data,
purchasing data, payroll data and tax data.
Answer: FALSE
Explanation: The business decisions the accounting department makes include transactional
data, purchasing data, payroll data and tax data.
Difficulty: 1 Easy
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Remember
Learning Outcome: 01-02 Explain systems thinking and how management information systems
enable business communications.
Accessibility: Keyboard Navigation
Gradable: automatic
70) The business decisions made by the human resources department include potential customer
data, sales report data, commission data, and customer support data.
Answer: FALSE
Explanation: The business decisions the sales department makes include potential customer
data, sales report data, commission data, and customer support data.
Difficulty: 1 Easy
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Remember
Learning Outcome: 01-02 Explain systems thinking and how management information systems
enable business communications.
Accessibility: Keyboard Navigation
Gradable: automatic
220
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written consent of McGraw-Hill Education.
71) The business decisions made by the accounting department include manufacturing data,
distribution data, and production data.
Answer: FALSE
Explanation: The business decisions the operations management department makes include
manufacturing data, distribution data, and production data.
Difficulty: 1 Easy
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Remember
Learning Outcome: 01-02 Explain systems thinking and how management information systems
enable business communications.
Accessibility: Keyboard Navigation
Gradable: automatic
72) The chief data officer is responsible for (1) overseeing all uses of MIS and ensuring that MIS
strategically aligns with business goals and objectives.
Answer: FALSE
Explanation: The chief information officer is responsible for (1) overseeing all uses of MIS and
ensuring that MIS strategically aligns with business goals and objectives.
Difficulty: 1 Easy
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Remember
Learning Outcome: 01-02 Explain systems thinking and how management information systems
enable business communications.
Accessibility: Keyboard Navigation
Gradable: automatic
73) The chief knowledge officer is responsible for collecting, maintaining, and distributing
company knowledge.
Answer: TRUE
Explanation: The chief knowledge officer is responsible for collecting, maintaining, and
distributing company knowledge.
Difficulty: 1 Easy
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Remember
Learning Outcome: 01-02 Explain systems thinking and how management information systems
enable business communications.
Accessibility: Keyboard Navigation
Gradable: automatic
221
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written consent of McGraw-Hill Education.
74) Most organizations maintain positions such as chief executive officer (CEO), chief financial
officer (CFO), and chief operations officer (COO) at the strategic level.
Answer: TRUE
Explanation: Most organizations maintain positions such as chief executive officer (CEO),
chief financial officer (CFO), and chief operations officer (COO) at the strategic level.
Difficulty: 1 Easy
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Remember
Learning Outcome: 01-02 Explain systems thinking and how management information systems
enable business communications.
Accessibility: Keyboard Navigation
Gradable: automatic
75) The chief knowledge officer is responsible for (1) overseeing all uses of MIS and ensuring
that MIS strategically aligns with business goals and objectives.
Answer: FALSE
Explanation: The chief information officer is responsible for (1) overseeing all uses of MIS and
ensuring that MIS strategically aligns with business goals and objectives.
Difficulty: 1 Easy
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Remember
Learning Outcome: 01-02 Explain systems thinking and how management information systems
enable business communications.
Accessibility: Keyboard Navigation
Gradable: automatic
76) The chief knowledge officer is responsible for collecting, maintaining, and distributing
company knowledge.
Answer: TRUE
Explanation: The chief knowledge officer is responsible for collecting, maintaining, and
distributing company knowledge.
Difficulty: 1 Easy
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Remember
Learning Outcome: 01-02 Explain systems thinking and how management information systems
enable business communications.
Accessibility: Keyboard Navigation
Gradable: automatic
222
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written consent of McGraw-Hill Education.
77) The chief data officer (CDO) is responsible for determining the types of information the
enterprise will capture, retain, analyze, and share.
Answer: TRUE
Explanation: The chief data officer (CDO) is responsible for determining the types of
information the enterprise will capture, retain, analyze, and share.
Difficulty: 1 Easy
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Remember
Learning Outcome: 01-02 Explain systems thinking and how management information systems
enable business communications.
Accessibility: Keyboard Navigation
Gradable: automatic
78) The chief data office (CDO) is responsible for ensuring the throughput, speed, accuracy,
availability, and reliability of an organization's information technology.
Answer: FALSE
Explanation: The chief technology officer (CTO) is responsible for ensuring the throughput,
speed, accuracy, availability, and reliability of an organization's information technology.
Difficulty: 1 Easy
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Remember
Learning Outcome: 01-02 Explain systems thinking and how management information systems
enable business communications.
Accessibility: Keyboard Navigation
Gradable: automatic
79) The chief technology officer (CSO) is responsible for ensuring the security of MIS systems
and developing strategies and MIS safeguards against attacks from hackers and viruses.
Answer: FALSE
Explanation: The chief security officer (CSO) is responsible for ensuring the security of MIS
systems and developing strategies and MIS safeguards against attacks from hackers and viruses.
Difficulty: 1 Easy
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Remember
Learning Outcome: 01-02 Explain systems thinking and how management information systems
enable business communications.
Accessibility: Keyboard Navigation
Gradable: automatic
223
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written consent of McGraw-Hill Education.
80) The chief privacy officer (CPO) is responsible for ensuring the ethical and legal use of
information within an organization.
Answer: TRUE
Explanation: The chief privacy officer (CPO) is responsible for ensuring the ethical and legal
use of information within an organization.
Difficulty: 1 Easy
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Remember
Learning Outcome: 01-02 Explain systems thinking and how management information systems
enable business communications.
Accessibility: Keyboard Navigation
Gradable: automatic
81) The chief intellectual property officer (CIPO) is responsible for collecting, maintaining, and
distributing the organization's knowledge.
Answer: FALSE
Explanation: The chief knowledge officer (CKO) is responsible for collecting, maintaining, and
distributing the organization's knowledge.
Difficulty: 2 Medium
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Remember
Learning Outcome: 01-02 Explain systems thinking and how management information systems
enable business communications.
Accessibility: Keyboard Navigation
Gradable: automatic
82) The chief security officer (CSO) is responsible for ensuring the security of MIS systems and
developing strategies and MIS safeguards against attacks from hackers and viruses.
Answer: TRUE
Explanation: The chief security officer (CSO) is responsible for ensuring the security of MIS
systems and developing strategies and MIS safeguards against attacks from hackers and viruses.
Difficulty: 1 Easy
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Remember
Learning Outcome: 01-02 Explain systems thinking and how management information systems
enable business communications.
Accessibility: Keyboard Navigation
Gradable: automatic
224
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written consent of McGraw-Hill Education.
83) According to Fast Company magazine, a few executive levels you might see created over the
next decade include chief intellectual property officer, chief automation officer, and chief user
experience officer.
Answer: TRUE
Explanation: According to Fast Company magazine, a few executive levels you might see
created over the next decade include chief intellectual property officer, chief automation officer,
and chief user experience officer.
Difficulty: 2 Medium
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Understand
Learning Outcome: 01-02 Explain systems thinking and how management information systems
enable business communications.
Accessibility: Keyboard Navigation
Gradable: automatic
84) The difference between existing MIS workplace knowledge and the knowledge required to
fulfill the business goals and strategies is called an MIS skill set.
Answer: FALSE
Explanation: The difference between existing MIS workplace knowledge and the knowledge
required to fulfill the business goals and strategies is called an MIS skills gap.
Difficulty: 2 Medium
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Understand
Learning Outcome: 01-02 Explain systems thinking and how management information systems
enable business communications.
Accessibility: Keyboard Navigation
Gradable: automatic
85) Most CTOs do not possess a well-rounded knowledge of all aspects of MIS, like hardware,
software, and telecommunications.
Answer: FALSE
Explanation: Most CTOs possess a well-rounded knowledge of all aspects of MIS, including
hardware, software, and telecommunications.
Difficulty: 2 Medium
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Remember
Learning Outcome: 01-02 Explain systems thinking and how management information systems
enable business communications.
Accessibility: Keyboard Navigation
Gradable: automatic
225
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written consent of McGraw-Hill Education.
86) Many CPOs are lawyers by training, enabling them to understand the often complex legal
issues surrounding the use of information.
Answer: TRUE
Explanation: Many CPOs are lawyers by training, enabling them to understand the often
complex legal issues surrounding the use of information.
Difficulty: 2 Medium
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Understand
Learning Outcome: 01-02 Explain systems thinking and how management information systems
enable business communications.
Accessibility: Keyboard Navigation
Gradable: automatic
87) Common approaches to closing an MIS skills gap include social recruiting, off-site training,
mentoring services, and competitive salaries.
Answer: FALSE
Explanation: Common approaches to closing an MIS skills gap include social recruiting, offsite training, mentoring services, and partnerships with universities.
Difficulty: 1 Easy
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Remember
Learning Outcome: 01-02 Explain systems thinking and how management information systems
enable business communications.
Accessibility: Keyboard Navigation
Gradable: automatic
88) MIS skills gap is the difference between existing MIS workplace knowledge and the
knowledge required to fulfill the business goals and strategies.
Answer: FALSE
Explanation: This is the definition of MIS skills gap.
Difficulty: 1 Easy
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Remember
Learning Outcome: 01-02 Explain systems thinking and how management information systems
enable business communications.
Accessibility: Keyboard Navigation
Gradable: automatic
226
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written consent of McGraw-Hill Education.
89) Closing the MIS skills gap by aligning the current workforce with potential future business
needs is a simple proposition.
Answer: FALSE
Explanation: Closing the MIS skills gap by aligning the current workforce with potential future
business needs is a complicated proposition.
Difficulty: 2 Medium
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Remember
Learning Outcome: 01-02 Explain systems thinking and how management information systems
enable business communications.
Accessibility: Keyboard Navigation
Gradable: automatic
90) In many instances, an MIS job will remain unfilled for an extended period of time when an
employer needs to hire someone who has a very specific set of skills. In recruiting lingo, such
candidates are referred to as purple turtles.
Answer: FALSE
Explanation: In recruiting lingo, such candidates are referred to as purple squirrels.
Difficulty: 2 Medium
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Understand
Learning Outcome: 01-02 Explain systems thinking and how management information systems
enable business communications.
Accessibility: Keyboard Navigation
Gradable: automatic
91) Goods are material items or products that customer's will buy to satisfy a want or need.
Answer: TRUE
Explanation: Goods are material items or products that customer's will buy to satisfy a want or
need.
Difficulty: 1 Easy
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Remember
Learning Outcome: 01-02 Explain systems thinking and how management information systems
enable business communications.
Accessibility: Keyboard Navigation
Gradable: automatic
227
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written consent of McGraw-Hill Education.
92) Waiting tables, teaching, and cutting hair are all examples of services that people pay for to
fulfill their needs.
Answer: TRUE
Explanation: Waiting tables, teaching, and cutting hair are all examples of services that people
pay for to fulfill their needs.
Difficulty: 1 Easy
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Remember
Learning Outcome: 01-02 Explain systems thinking and how management information systems
enable business communications.
Accessibility: Keyboard Navigation
Gradable: automatic
93) An overview of systems thinking includes input, process, output, and finances.
Answer: FALSE
Explanation: An overview of the systems thinking includes input, process, output, and
feedback.
Difficulty: 1 Easy
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Remember
Learning Outcome: 01-02 Explain systems thinking and how management information systems
enable business communications.
Accessibility: Keyboard Navigation
Gradable: automatic
94) A stakeholder is a person or group that has an interest or concern in an organization.
Stakeholders drive business strategies, and depending on the stakeholder's perspective, the
business strategy can change.
Answer: TRUE
Explanation: A stakeholder is a person or group that has an interest or concern in an
organization. Stakeholders drive business strategies, and depending on the stakeholder's
perspective, the business strategy can change. It is not uncommon to find stakeholders' business
strategies have conflicting interests such as investors looking to increase profits by eliminating
employee jobs.
Difficulty: 1 Easy
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Remember
Learning Outcome: 01-02 Explain systems thinking and how management information systems
enable business communications.
Accessibility: Keyboard Navigation
Gradable: automatic
228
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written consent of McGraw-Hill Education.
95) It is not uncommon to find stakeholders' business strategies have conflicting interests such as
investors looking to increase profits by eliminating employee jobs.
Answer: TRUE
Explanation: A stakeholder is a person or group that has an interest or concern in an
organization. Stakeholders drive business strategies, and depending on the stakeholder's
perspective, the business strategy can change. It is not uncommon to find stakeholders' business
strategies have conflicting interests such as investors looking to increase profits by eliminating
employee jobs.
Difficulty: 2 Medium
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Understand
Learning Outcome: 01-02 Explain systems thinking and how management information systems
enable business communications.
Accessibility: Keyboard Navigation
Gradable: automatic
96) Cars, groceries, and clothing are all examples of goods.
Answer: TRUE
Explanation: Cars, groceries, and clothing are all examples of goods.
Difficulty: 1 Easy
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Remember
Learning Outcome: 01-02 Explain systems thinking and how management information systems
enable business communications.
Accessibility: Keyboard Navigation
Gradable: automatic
97) Production is the process where a business takes raw materials and processes them or
converts them into a finished product for its goods or services.
Answer: TRUE
Difficulty: 1 Easy
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Remember
Learning Outcome: 01-02 Explain systems thinking and how management information systems
enable business communications.
Accessibility: Keyboard Navigation
Gradable: automatic
229
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98) Productivity is the rate at which goods and services are produced based upon total output
given total inputs.
Answer: TRUE
Explanation: Productivity is the rate at which goods and services are produced based upon total
output given total inputs.
Difficulty: 1 Easy
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Remember
Learning Outcome: 01-02 Explain systems thinking and how management information systems
enable business communications.
Accessibility: Keyboard Navigation
Gradable: automatic
99) Lettuce, tomatoes, patty, bun, and ketchup are included in the output of making a hamburger.
Answer: FALSE
Explanation: Lettuce, tomatoes, patty, bun, and ketchup are included as inputs of making a
hamburger.
Difficulty: 2 Medium
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Remember
Learning Outcome: 01-02 Explain systems thinking and how management information systems
enable business communications.
Accessibility: Keyboard Navigation
Gradable: automatic
100) Cooking a patty and putting the ingredients together are included in the process of making a
hamburger.
Answer: TRUE
Explanation: Cooking a patty and putting the ingredients together are included in the process of
making a hamburger.
Difficulty: 2 Medium
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Remember
Learning Outcome: 01-02 Explain systems thinking and how management information systems
enable business communications.
Accessibility: Keyboard Navigation
Gradable: automatic
230
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written consent of McGraw-Hill Education.
101) Bread, cheese, and butter are included in the process of making a grilled cheese sandwich.
Answer: TRUE
Explanation: Bread, cheese, and butter are included as the inputs of making a grilled cheese
sandwich.
Difficulty: 2 Medium
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Remember
Learning Outcome: 01-02 Explain systems thinking and how management information systems
enable business communications.
Accessibility: Keyboard Navigation
Gradable: automatic
102) A grilled cheese sandwich is considered the final output of a making-a-sandwich process.
Answer: TRUE
Explanation: A grilled cheese sandwich is considered the final output of a making-a-sandwich
process.
Difficulty: 2 Medium
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Understand
Learning Outcome: 01-02 Explain systems thinking and how management information systems
enable business communications.
Accessibility: Keyboard Navigation
Gradable: automatic
103) If a business could produce the same hamburger with less expensive inputs it would
probably see a decrease in profits.
Answer: FALSE
Explanation: If a business could produce the same hamburger with less expensive inputs it
would probably see an increase in profits.
Difficulty: 3 Hard
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Analyze
Learning Outcome: 01-02 Explain systems thinking and how management information systems
enable business communications.
Accessibility: Keyboard Navigation
Gradable: automatic
231
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written consent of McGraw-Hill Education.
104) If a business could produce more hamburgers with the same inputs it would see a rise in
productivity and possibly an increase in profits.
Answer: TRUE
Explanation: If a business could produce more hamburgers with the same inputs it would see a
rise in productivity and possibly an increase in profits.
Difficulty: 3 Hard
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Analyze
Learning Outcome: 01-02 Explain systems thinking and how management information systems
enable business communications.
Accessibility: Keyboard Navigation
Gradable: automatic
105) A leadership plan that achieves a specific set of goals or objectives is a business strategy.
Answer: TRUE
Explanation: A leadership plan that achieves a specific set of goals or objectives is a business
strategy.
Difficulty: 1 Easy
Topic: Identifying Competitive Advantages
Bloom's: Remember
Learning Outcome: 01-03 Explain why competitive advantages are temporary along with the
four key areas of a SWOT analysis.
Accessibility: Keyboard Navigation
Gradable: automatic
106) When a company is the first to market with a competitive advantage, it gains a particular
benefit known as competitive intelligence.
Answer: FALSE
Explanation: When a company is the first to market with a competitive advantage, it gains a
particular benefit known as a first-mover advantage.
Difficulty: 1 Easy
Topic: Identifying Competitive Advantages
Bloom's: Remember
Learning Outcome: 01-03 Explain why competitive advantages are temporary along with the
four key areas of a SWOT analysis.
Accessibility: Keyboard Navigation
Gradable: automatic
232
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written consent of McGraw-Hill Education.
107) To combat business challenges leaders communicate and execute business strategies from
the Greek word stratus for army and ago for leading.
Answer: TRUE
Explanation: To combat business challenges leaders communicate and execute business
strategies from the Greek word stratus for army and ago for leading.
Difficulty: 2 Medium
Topic: Identifying Competitive Advantages
Bloom's: Understand
Learning Outcome: 01-03 Explain why competitive advantages are temporary along with the
four key areas of a SWOT analysis.
Accessibility: Keyboard Navigation
Gradable: automatic
108) Businesses rarely need to update business strategies as the business environment remains
relatively stable.
Answer: FALSE
Explanation: Businesses constantly need to update business strategies as the business
environment rapidly changes.
Difficulty: 2 Medium
Topic: Identifying Competitive Advantages
Bloom's: Understand
Learning Outcome: 01-03 Explain why competitive advantages are temporary along with the
four key areas of a SWOT analysis.
Accessibility: Keyboard Navigation
Gradable: automatic
109) Attracting new customers, decreasing costs, and entering new markets are all examples of
successful business strategies.
Answer: TRUE
Explanation: Attracting new customers, decreasing costs, and entering new markets are all
examples of business strategies.
Difficulty: 2 Medium
Topic: Identifying Competitive Advantages
Bloom's: Remember
Learning Outcome: 01-03 Explain why competitive advantages are temporary along with the
four key areas of a SWOT analysis.
Accessibility: Keyboard Navigation
Gradable: automatic
233
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written consent of McGraw-Hill Education.
110) Decreasing customer loyalty, increasing costs, and decreasing sales are all examples of
business strategies.
Answer: FALSE
Explanation: Increasing customer loyalty, decreasing costs, and increasing sales are all
examples of business strategies.
Difficulty: 2 Medium
Topic: Identifying Competitive Advantages
Bloom's: Remember
Learning Outcome: 01-03 Explain why competitive advantages are temporary along with the
four key areas of a SWOT analysis.
Accessibility: Keyboard Navigation
Gradable: automatic
111) A first-mover advantage is the process of gathering information about the competitive
environment, including competitors' plans, activities, and products, to improve a company's
ability to succeed.
Answer: FALSE
Explanation: Competitive intelligence is the process of gathering information about the
competitive environment, including competitors' plans, activities, and products, to improve a
company's ability to succeed.
Difficulty: 1 Easy
Topic: Identifying Competitive Advantages
Bloom's: Remember
Learning Outcome: 01-03 Explain why competitive advantages are temporary along with the
four key areas of a SWOT analysis.
Accessibility: Keyboard Navigation
Gradable: automatic
112) FedEx created a first-mover advantage by developing its customer self-service software,
which allows people to request parcel pickups, print mailing slips, and track parcels online.
Answer: TRUE
Explanation: FedEx created a first-mover advantage by developing its customer self-service
software, which allows people to request parcel pickups, print mailing slips, and track parcels
online.
Difficulty: 1 Easy
Topic: Identifying Competitive Advantages
Bloom's: Remember
Learning Outcome: 01-03 Explain why competitive advantages are temporary along with the
four key areas of a SWOT analysis.
Accessibility: Keyboard Navigation
Gradable: automatic
234
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written consent of McGraw-Hill Education.
113) A SWOT analysis will evaluate potential internal strengths, internal weaknesses, and
external opportunities.
Answer: TRUE
Explanation: A SWOT analysis will evaluate potential internal strengths, internal weaknesses,
and external opportunities.
Difficulty: 1 Easy
Topic: Identify the Four Key Areas of SWOT
Bloom's: Remember
Learning Outcome: 01-04 Identify the four key areas of a SWOT analysis.
Accessibility: Keyboard Navigation
Gradable: automatic
114) A SWOT analysis evaluates an organization's strengths, weaknesses, opportunities, and
threats to identify significant influences that work for or against business strategies.
Answer: TRUE
Explanation: A SWOT analysis evaluates an organization's strengths, weaknesses,
opportunities, and threats to identify significant influences that work for or against business
strategies.
Difficulty: 1 Easy
Topic: Identify the Four Key Areas of SWOT
Bloom's: Remember
Learning Outcome: 01-04 Identify the four key areas of a SWOT analysis.
Accessibility: Keyboard Navigation
Gradable: automatic
115) A SWOT analysis evaluates an organization's strengths, weaknesses, objectives, and
threats.
Answer: FALSE
Explanation: A SWOT analysis evaluates an organization's strengths, weaknesses,
opportunities, and threats to identify significant influences that work for or against business
strategies.
Difficulty: 1 Easy
Topic: Identify the Four Key Areas of SWOT
Bloom's: Remember
Learning Outcome: 01-04 Identify the four key areas of a SWOT analysis.
Accessibility: Keyboard Navigation
Gradable: automatic
235
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written consent of McGraw-Hill Education.
116) A SWOT analysis evaluates an organization's strengths, worries, opportunities, and
technologies to identify significant influences that work for or against business strategies.
Answer: FALSE
Explanation: A SWOT analysis evaluates an organization's strengths, weaknesses,
opportunities, and threats to identify significant influences that work for or against business
strategies.
Difficulty: 1 Easy
Topic: Identify the Four Key Areas of SWOT
Bloom's: Remember
Learning Outcome: 01-04 Identify the four key areas of a SWOT analysis.
Accessibility: Keyboard Navigation
Gradable: automatic
117) In a SWOT analysis strengths and weaknesses originate inside an organization, or
internally. Opportunities and threats originate outside an organization, or externally and cannot
always be anticipated or controlled.
Answer: TRUE
Explanation: Strengths and weaknesses originate inside an organization, or internally.
Opportunities and threats originate outside an organization, or externally and cannot always be
anticipated or controlled.
Difficulty: 1 Easy
Topic: Identify the Four Key Areas of SWOT
Bloom's: Remember
Learning Outcome: 01-04 Identify the four key areas of a SWOT analysis.
Accessibility: Keyboard Navigation
Gradable: automatic
118) In a SWOT analysis potential internal strengths are helpful when they identify all key
strengths associated with the competitive advantage including cost advantages, new and/or
innovative services, special expertise and/or experience, proven market leader, improved
marketing campaigns, and so on.
Answer: TRUE
Explanation: Potential internal strengths are helpful when they identify all key strengths
associated with the competitive advantage including cost advantages, new and/or innovative
services, special expertise and/or experience, proven market leader, improved marketing
campaigns, and so on.
Difficulty: 1 Easy
Topic: Identify the Four Key Areas of SWOT
Bloom's: Remember
Learning Outcome: 01-04 Identify the four key areas of a SWOT analysis.
Accessibility: Keyboard Navigation
Gradable: automatic
236
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written consent of McGraw-Hill Education.
119) In a SWOT analysis potential internal weaknesses are harmful when they identify all key
areas that require improvement. Weaknesses focus on the absence of certain strengths, including
absence of an Internet marketing plan, damaged reputation, problem areas for service, outdated
technology, employee issues, and so on.
Answer: TRUE
Explanation: In a SWOT analysis potential internal weaknesses are harmful when they identify
all key areas that require improvement. Weaknesses focus on the absence of certain strengths,
including absence of an Internet marketing plan, damaged reputation, problem areas for service,
outdated technology, employee issues, and so on.
Difficulty: 1 Easy
Topic: Identify the Four Key Areas of SWOT
Bloom's: Remember
Learning Outcome: 01-04 Identify the four key areas of a SWOT analysis.
Accessibility: Keyboard Navigation
Gradable: automatic
120) In a SWOT analysis potential external opportunities are helpful when they identify all
significant trends along with how the organization can benefit from each, including new markets,
additional customer groups, legal changes, innovative technologies, population changes,
competitor issues, and so on.
Answer: TRUE
Explanation: Potential external opportunities are helpful when they identify all significant
trends along with how the organization can benefit from each, including new markets, additional
customer groups, legal changes, innovative technologies, population changes, competitor issues,
and so on.
Difficulty: 1 Easy
Topic: Identify the Four Key Areas of SWOT
Bloom's: Remember
Learning Outcome: 01-04 Identify the four key areas of a SWOT analysis.
Accessibility: Keyboard Navigation
Gradable: automatic
237
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written consent of McGraw-Hill Education.
121) In a SWOT analysis potential external threats are harmful when they identify all threats or
risks detrimental to your organization, including new market entrants, substitute products,
employee turnover, differentiating products, shrinking markets, adverse changes in regulations,
economic shifts, and so on.
Answer: TRUE
Explanation: Potential external threats are harmful when they identify all threats or risks
detrimental to your organization, including new market entrants, substitute products, employee
turnover, differentiating products, shrinking markets, adverse changes in regulations, economic
shifts, and so on.
Difficulty: 1 Easy
Topic: Identify the Four Key Areas of SWOT
Bloom's: Remember
Learning Outcome: 01-04 Identify the four key areas of a SWOT analysis.
Accessibility: Keyboard Navigation
Gradable: automatic
122) Competitive advantages provide the same product or service either at a lower price or with
additional value that can fetch premium prices.
Answer: TRUE
Explanation: Competitive advantages provide the same product or service either at a lower
price or with additional value that can fetch premium prices.
Difficulty: 2 Medium
Topic: The Five Forces Model--Evaluating Industry Attractiveness
Bloom's: Remember
Learning Outcome: 01-05 Describe Porter's Five Forces Model and explain each of the five
forces.
Accessibility: Keyboard Navigation
Gradable: automatic
123) Mark Peterson identified the Porter's Five Forces Model which analyzes the competitive
forces within a business environment.
Answer: FALSE
Explanation: Michael Porter identified the Porter's Five Forces Model which analyzes the
competitive forces within a business environment.
Difficulty: 2 Medium
Topic: The Five Forces Model--Evaluating Industry Attractiveness
Bloom's: Understand
Learning Outcome: 01-05 Describe Porter's Five Forces Model and explain each of the five
forces.
Accessibility: Keyboard Navigation
Gradable: automatic
238
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written consent of McGraw-Hill Education.
124) Porter's Five Forces Model outlines the process for a sales strategy.
Answer: FALSE
Explanation: Porter's Five Forces Model analyzes the competitive forces within the
environment in which a company operates to assess the potential for profitability in an industry.
Difficulty: 1 Easy
Topic: The Five Forces Model--Evaluating Industry Attractiveness
Bloom's: Remember
Learning Outcome: 01-05 Describe Porter's Five Forces Model and explain each of the five
forces.
Accessibility: Keyboard Navigation
Gradable: automatic
125) With the Five Forces Model, companies should watch the forces in the market. If the forces
are strong competition generally increases and if the forces are weak competition typically
decreases.
Answer: TRUE
Explanation: With the Five Forces Model, companies should watch the forces in the market. If
the forces are strong competition generally increases and if the forces are weak competition
typically decreases.
Difficulty: 2 Medium
Topic: The Five Forces Model--Evaluating Industry Attractiveness
Bloom's: Understand
Learning Outcome: 01-05 Describe Porter's Five Forces Model and explain each of the five
forces.
Accessibility: Keyboard Navigation
Gradable: automatic
126) There are many challenges to changing doctors, including transferring medical records and
losing the doctor patient relationship along with the doctor's knowledge of the patient's history.
Changing doctors provides a great example of switching costs.
Answer: TRUE
Explanation: Switching costs are costs that make customers reluctant to switch to another
product or service. Switching costs include financial as well as intangible values.
Difficulty: 2 Medium
Topic: The Five Forces Model--Evaluating Industry Attractiveness
Bloom's: Understand
Learning Outcome: 01-05 Describe Porter's Five Forces Model and explain each of the five
forces.
Accessibility: Keyboard Navigation
Gradable: automatic
239
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written consent of McGraw-Hill Education.
127) Supplier power is one of Porter's five forces and it measures the suppliers' ability to
influence the prices they charge for supplies (including materials, labor, and services).
Answer: TRUE
Explanation: Supplier power is one of Porter's five forces that measures the suppliers' ability to
influence the prices they charge for supplies (including materials, labor, and services).
Difficulty: 1 Easy
Topic: The Five Forces Model--Evaluating Industry Attractiveness
Bloom's: Remember
Learning Outcome: 01-05 Describe Porter's Five Forces Model and explain each of the five
forces.
Accessibility: Keyboard Navigation
Gradable: automatic
128) Polaroid had a unique competitive advantage for many years until it forgot to observe
competitive intelligence. The firm went bankrupt when people began taking digital pictures.
Polaroid provides a great example of Porter's supplier power.
Answer: FALSE
Explanation: This is an example of Porter's threat of substitute products or services.
Difficulty: 3 Hard
Topic: The Five Forces Model--Evaluating Industry Attractiveness
Bloom's: Analyze
Learning Outcome: 01-05 Describe Porter's Five Forces Model and explain each of the five
forces.
Accessibility: Keyboard Navigation
Gradable: automatic
129) Product differentiation occurs when a company develops unique differences in its products
or services with the intent to influence demand.
Answer: TRUE
Explanation: Product differentiation occurs when a company develops unique differences in its
products or services with the intent to influence demand.
Difficulty: 1 Easy
Topic: The Five Forces Model--Evaluating Industry Attractiveness
Bloom's: Remember
Learning Outcome: 01-05 Describe Porter's Five Forces Model and explain each of the five
forces.
Accessibility: Keyboard Navigation
Gradable: automatic
240
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written consent of McGraw-Hill Education.
130) Buyer power is the ability of buyers to affect the price they must pay for an item.
Answer: TRUE
Explanation: Buyer power is the ability of buyers to affect the price they must pay for an item.
Difficulty: 1 Easy
Topic: The Five Forces Model--Evaluating Industry Attractiveness
Bloom's: Remember
Learning Outcome: 01-05 Describe Porter's Five Forces Model and explain each of the five
forces.
Accessibility: Keyboard Navigation
Gradable: automatic
131) Rivalry among existing competitors refers to the ability of buyers to affect the price they
must pay for an item.
Answer: FALSE
Explanation: Buyer power is the ability of buyers to affect the price they must pay for an item.
Difficulty: 1 Easy
Topic: The Five Forces Model--Evaluating Industry Attractiveness
Bloom's: Remember
Learning Outcome: 01-05 Describe Porter's Five Forces Model and explain each of the five
forces.
Accessibility: Keyboard Navigation
Gradable: automatic
132) The threat of substitute products or services refers to the power of customers to purchase
alternatives.
Answer: TRUE
Explanation: The threat of substitute products or services refers to the power of customers to
purchase alternatives.
Difficulty: 1 Easy
Topic: The Five Forces Model--Evaluating Industry Attractiveness
Bloom's: Remember
Learning Outcome: 01-05 Describe Porter's Five Forces Model and explain each of the five
forces.
Accessibility: Keyboard Navigation
Gradable: automatic
241
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written consent of McGraw-Hill Education.
133) The threat of substitute products or services refers to the power of competitors to enter a
new market.
Answer: FALSE
Explanation: The threat of substitute products or services refers to the power of customers to
purchase alternatives.
Difficulty: 1 Easy
Topic: The Five Forces Model--Evaluating Industry Attractiveness
Bloom's: Remember
Learning Outcome: 01-05 Describe Porter's Five Forces Model and explain each of the five
forces.
Accessibility: Keyboard Navigation
Gradable: automatic
134) Tiffany & Company competes in the marketplace by offering high cost custom jewelry.
Tiffany & Company is following a broad market and cost leadership strategy.
Answer: FALSE
Explanation: Tiffany & Company is following a focused market with high cost differentiation
strategy.
Difficulty: 3 Hard
Topic: The Three Generic Strategies--Choosing a Business Focus
Bloom's: Analyze
Learning Outcome: 01-06 Compare Porter's three generic strategies.
Accessibility: Keyboard Navigation
Gradable: automatic
135) Porter has identified three generic business strategies including focused, broad cost
leadership, and switching strategy.
Answer: FALSE
Explanation: Porter has identified three generic business strategies: 1) broad cost leadership, 2)
broad differentiation, and 3) focused strategy.
Difficulty: 1 Easy
Topic: The Three Generic Strategies--Choosing a Business Focus
Bloom's: Remember
Learning Outcome: 01-06 Compare Porter's three generic strategies.
Accessibility: Keyboard Navigation
Gradable: automatic
242
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written consent of McGraw-Hill Education.
136) According to Porter's three generic strategies, Walmart is following a business strategy that
focuses on 'broad market and low cost'.
Answer: TRUE
Explanation: An example of a business that uses the business strategy 'broad market and low
cost' is Walmart.
Difficulty: 2 Medium
Topic: The Three Generic Strategies--Choosing a Business Focus
Bloom's: Understand
Learning Outcome: 01-06 Compare Porter's three generic strategies.
Accessibility: Keyboard Navigation
Gradable: automatic
137) According to Porter it is recommended to adopt only one of the three generic strategies.
Answer: TRUE
Explanation: According to Porter it is recommended to adopt only one of the three generic
strategies.
Difficulty: 2 Medium
Topic: The Three Generic Strategies--Choosing a Business Focus
Bloom's: Understand
Learning Outcome: 01-06 Compare Porter's three generic strategies.
Accessibility: Keyboard Navigation
Gradable: automatic
138) Buyer power is included as one of Porter's three generic strategies.
Answer: FALSE
Explanation: Buyer power is included as one of Porter's five forces.
Difficulty: 2 Medium
Topic: The Three Generic Strategies--Choosing a Business Focus
Bloom's: Understand
Learning Outcome: 01-06 Compare Porter's three generic strategies.
Accessibility: Keyboard Navigation
Gradable: automatic
243
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written consent of McGraw-Hill Education.
139) Value chain analysis views a firm as a series of business processes that each adds value to
the product or service.
Answer: TRUE
Explanation: Value chain analysis views a firm as a series of business processes that each adds
value to the product or service.
Difficulty: 1 Easy
Topic: Value Chain Analysis--Executing Business Strategies
Bloom's: Remember
Learning Outcome: 01-07 Demonstrate how a company can add value by using Porter's value
chain analysis.
Accessibility: Keyboard Navigation
Gradable: automatic
140) A standardized set of activities that accomplish a specific task is called a supply chain
component.
Answer: FALSE
Explanation: A standardized set of activities that accomplish a specific task is called a business
process.
Difficulty: 1 Easy
Topic: Value Chain Analysis--Executing Business Strategies
Bloom's: Remember
Learning Outcome: 01-07 Demonstrate how a company can add value by using Porter's value
chain analysis.
Accessibility: Keyboard Navigation
Gradable: automatic
141) The value chain will group a company's activities into two categories: primary value
activities and support value activities.
Answer: TRUE
Explanation: The value chain will group a company's activities into two categories: primary
value activities and support value activities.
Difficulty: 2 Medium
Topic: Value Chain Analysis--Executing Business Strategies
Bloom's: Understand
Learning Outcome: 01-07 Demonstrate how a company can add value by using Porter's value
chain analysis.
Accessibility: Keyboard Navigation
Gradable: automatic
244
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written consent of McGraw-Hill Education.
142) A business process is a standardized set of activities that accomplish a specific task, such as
processing a customer's order.
Answer: TRUE
Explanation: A business process is a standardized set of activities that accomplish a specific
task, such as processing a customer's order.
Difficulty: 1 Easy
Topic: Value Chain Analysis--Executing Business Strategies
Bloom's: Remember
Learning Outcome: 01-07 Demonstrate how a company can add value by using Porter's value
chain analysis.
Accessibility: Keyboard Navigation
Gradable: automatic
143) A primary value activity is a standardized set of activities that accomplish a specific task,
such as processing a customer's order.
Answer: FALSE
Explanation: A business process is a standardized set of activities that accomplish a specific
task, such as processing a customer's order.
Difficulty: 1 Easy
Topic: Value Chain Analysis--Executing Business Strategies
Bloom's: Remember
Learning Outcome: 01-07 Demonstrate how a company can add value by using Porter's value
chain analysis.
Accessibility: Keyboard Navigation
Gradable: automatic
144) Inbound logistics and operations are part of the primary value activities.
Answer: TRUE
Explanation: Inbound logistics and operations are part of the primary value activities.
Difficulty: 1 Easy
Topic: Value Chain Analysis--Executing Business Strategies
Bloom's: Remember
Learning Outcome: 01-07 Demonstrate how a company can add value by using Porter's value
chain analysis.
Accessibility: Keyboard Navigation
Gradable: automatic
245
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written consent of McGraw-Hill Education.
145) Inbound logistics and operations are part of the support value activities.
Answer: FALSE
Explanation: Inbound logistics and operations are part of the primary value activities.
Difficulty: 1 Easy
Topic: Value Chain Analysis--Executing Business Strategies
Bloom's: Remember
Learning Outcome: 01-07 Demonstrate how a company can add value by using Porter's value
chain analysis.
Accessibility: Keyboard Navigation
Gradable: automatic
146) Firm infrastructure and human resource management are part of the primary value
activities.
Answer: FALSE
Explanation: Firm infrastructure and human resource management are part of the support value
activities.
Difficulty: 1 Easy
Topic: Value Chain Analysis--Executing Business Strategies
Bloom's: Remember
Learning Outcome: 01-07 Demonstrate how a company can add value by using Porter's value
chain analysis.
Accessibility: Keyboard Navigation
Gradable: automatic
147) Firm infrastructure and human resource management are part of the support value activities.
Answer: TRUE
Explanation: Firm infrastructure and human resource management are part of the support value
activities.
Difficulty: 1 Easy
Topic: Value Chain Analysis--Executing Business Strategies
Bloom's: Remember
Learning Outcome: 01-07 Demonstrate how a company can add value by using Porter's value
chain analysis.
Accessibility: Keyboard Navigation
Gradable: automatic
246
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written consent of McGraw-Hill Education.
148) Which of the following is not considered a core driver of the information age?
A) Information.
B) Business Intelligence.
C) Competitive Intelligence.
D) Data.
Answer: C
Explanation: The core drivers of the information age include data, information, business
intelligence, and knowledge.
Difficulty: 2 Medium
Topic: Competing in the Information Age
Bloom's: Understand
Learning Outcome: 01-01 Describe the information age and the differences among data,
information, business intelligence, and knowledge.
Accessibility: Keyboard Navigation
Gradable: automatic
149) Which of the following is not considered a core driver of the information age?
A) Information.
B) Business Intelligence.
C) Knowledge.
D) Variables.
Answer: D
Explanation: The core drivers of the information age include data, information, business
intelligence, and knowledge.
Difficulty: 2 Medium
Topic: Competing in the Information Age
Bloom's: Understand
Learning Outcome: 01-01 Describe the information age and the differences among data,
information, business intelligence, and knowledge.
Accessibility: Keyboard Navigation
Gradable: automatic
247
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written consent of McGraw-Hill Education.
150) Which of the following is considered a core driver of the information age?
A) Fact.
B) Goods.
C) Competitive Intelligence.
D) Data.
Answer: D
Explanation: The core drivers of the information age include data, information, business
intelligence, and knowledge.
Difficulty: 2 Medium
Topic: Competing in the Information Age
Bloom's: Understand
Learning Outcome: 01-01 Describe the information age and the differences among data,
information, business intelligence, and knowledge.
Accessibility: Keyboard Navigation
Gradable: automatic
151) Which of the following is considered a core driver of the information age?
A) Information.
B) Business Intelligence.
C) Knowledge.
D) All of the above.
Answer: D
Explanation: The core drivers of the information age include data, information, business
intelligence, and knowledge.
Difficulty: 2 Medium
Topic: Competing in the Information Age
Bloom's: Understand
Learning Outcome: 01-01 Describe the information age and the differences among data,
information, business intelligence, and knowledge.
Accessibility: Keyboard Navigation
Gradable: automatic
248
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written consent of McGraw-Hill Education.
152) Why do students need to study information technology?
A) Information technology is everywhere in business
B) Information technology is rarely discussed in business
C) Information technology is rarely used in organizations
D) Information technology is found in only a few businesses
Answer: A
Explanation: Information technology is everywhere in business.
Difficulty: 1 Easy
Topic: Competing in the Information Age
Bloom's: Remember
Learning Outcome: 01-01 Describe the information age and the differences among data,
information, business intelligence, and knowledge.
Accessibility: Keyboard Navigation
Gradable: automatic
153) Why do students need to study information technology?
A) Information technology is everywhere in business
B) Information technology is frequently discussed in business
C) Information technology is frequently used in organizations
D) All of the above.
Answer: D
Explanation: Information technology is everywhere in business, frequently discussed in
business, and frequently used in organizations.
Difficulty: 1 Easy
Topic: Competing in the Information Age
Bloom's: Remember
Learning Outcome: 01-01 Describe the information age and the differences among data,
information, business intelligence, and knowledge.
Accessibility: Keyboard Navigation
Gradable: automatic
249
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written consent of McGraw-Hill Education.
154) What is the confirmation or validation of an event or object?
A) Fact.
B) Data.
C) Information technology.
D) Business Intelligence.
Answer: A
Explanation: A fact is the confirmation or validation of an event or object.
Difficulty: 1 Easy
Topic: Competing in the Information Age
Bloom's: Remember
Learning Outcome: 01-01 Describe the information age and the differences among data,
information, business intelligence, and knowledge.
Accessibility: Keyboard Navigation
Gradable: automatic
155) The age we live in has infinite quantities of facts that are widely available to anyone who
can use a computer. What age is this statement referring to?
A) Data age.
B) Information age.
C) Business intelligence age.
D) Internet of Things
Answer: B
Explanation: The information age has infinite quantities of facts that are widely available to
anyone who can use a computer.
Difficulty: 1 Easy
Topic: Competing in the Information Age
Bloom's: Remember
Learning Outcome: 01-01 Describe the information age and the differences among data,
information, business intelligence, and knowledge.
Accessibility: Keyboard Navigation
Gradable: automatic
250
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written consent of McGraw-Hill Education.
156) Which of the following is not a technology company but used technology to revamp the
business process of selling books?
A) Netflix.
B) Dell.
C) Zappos.
D) Amazon.
Answer: D
Explanation: Amazon is not a technology company but used technology to revamp the business
process of selling books.
Difficulty: 1 Easy
Topic: Competing in the Information Age
Bloom's: Remember
Learning Outcome: 01-01 Describe the information age and the differences among data,
information, business intelligence, and knowledge.
Accessibility: Keyboard Navigation
Gradable: automatic
157) Which of the following is not a technology company but used technology to revamp the
business process of renting videos?
A) Netflix.
B) Dell.
C) Zappos.
D) Amazon.
Answer: A
Explanation: Netflix is not a technology company but used technology to revamp the business
process of renting videos.
Difficulty: 1 Easy
Topic: Competing in the Information Age
Bloom's: Remember
Learning Outcome: 01-01 Describe the information age and the differences among data,
information, business intelligence, and knowledge.
Accessibility: Keyboard Navigation
Gradable: automatic
251
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written consent of McGraw-Hill Education.
158) Which of the following is not a technology company but used technology to revamp the
business process of selling shoes?
A) Netflix.
B) Dell.
C) Zappos.
D) Amazon.
Answer: C
Explanation: Zappos is not a technology company but used technology to revamp the business
process of selling shoes.
Difficulty: 1 Easy
Topic: Competing in the Information Age
Bloom's: Remember
Learning Outcome: 01-01 Describe the information age and the differences among data,
information, business intelligence, and knowledge.
Accessibility: Keyboard Navigation
Gradable: automatic
159) What is data?
A) Raw facts that describe the characteristics of an event or object.
B) Data converted into a meaningful and useful context.
C) Information collected from multiple sources that analyzes patterns, trends, and relationships
for strategic decision making.
D) Skills, experience, and expertise, coupled with information and intelligence, that creates a
person's intellectual resources.
Answer: A
Explanation: Data are raw facts that describe the characteristics of an event or object.
Difficulty: 1 Easy
Topic: Competing in the Information Age
Bloom's: Remember
Learning Outcome: 01-01 Describe the information age and the differences among data,
information, business intelligence, and knowledge.
Accessibility: Keyboard Navigation
Gradable: automatic
252
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written consent of McGraw-Hill Education.
160) What is information?
A) Raw facts that describe the characteristics of an event or object.
B) Data converted into a meaningful and useful context.
C) Information collected from multiple sources that analyzes patterns, trends, and relationships
for strategic decision making.
D) Skills, experience, and expertise, coupled with information and intelligence that creates a
person's intellectual resources.
Answer: B
Explanation: Information is data converted into a meaningful and useful context.
Difficulty: 1 Easy
Topic: Competing in the Information Age
Bloom's: Remember
Learning Outcome: 01-01 Describe the information age and the differences among data,
information, business intelligence, and knowledge.
Accessibility: Keyboard Navigation
Gradable: automatic
161) What is business intelligence?
A) Raw facts that describe the characteristics of an event or object.
B) Data converted into a meaningful and useful context.
C) Information collected from multiple sources that analyzes patterns, trends, and relationships
for strategic decision making.
D) Skills, experience, and expertise, coupled with information and intelligence, which creates a
person's intellectual resources.
Answer: C
Explanation: Business intelligence is information collected from multiple sources that analyzes
patterns, trends, and relationships for strategic decision making.
Difficulty: 1 Easy
Topic: Competing in the Information Age
Bloom's: Remember
Learning Outcome: 01-01 Describe the information age and the differences among data,
information, business intelligence, and knowledge.
Accessibility: Keyboard Navigation
Gradable: automatic
253
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written consent of McGraw-Hill Education.
162) What is knowledge?
A) Raw facts that describe the characteristics of an event or object.
B) Data converted into a meaningful and useful context.
C) Information collected from multiple sources that analyzes patterns, trends, and relationships
for strategic decision making.
D) Skills, experience, and expertise, coupled with information and intelligence that creates a
person's intellectual resources.
Answer: D
Explanation: Knowledge includes skills, experience, and expertise, coupled with information
and intelligence that creates a person's intellectual resources.
Difficulty: 1 Easy
Topic: Competing in the Information Age
Bloom's: Remember
Learning Outcome: 01-01 Describe the information age and the differences among data,
information, business intelligence, and knowledge.
Accessibility: Keyboard Navigation
Gradable: automatic
163) Which of the following is considered information?
A) Quantity sold
B) Date sold
C) Best-selling item by month
D) Product sold
Answer: C
Explanation: Best-selling item by month is information.
Difficulty: 1 Easy
Topic: Competing in the Information Age
Bloom's: Remember
Learning Outcome: 01-01 Describe the information age and the differences among data,
information, business intelligence, and knowledge.
Accessibility: Keyboard Navigation
Gradable: automatic
254
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written consent of McGraw-Hill Education.
164) Which of the following is considered data?
A) Quantity sold
B) Best customer by month
C) Best-selling item by month
D) Worst-selling item by month
Answer: A
Explanation: Quantity sold is data.
Difficulty: 1 Easy
Topic: Competing in the Information Age
Bloom's: Remember
Learning Outcome: 01-01 Describe the information age and the differences among data,
information, business intelligence, and knowledge.
Accessibility: Keyboard Navigation
Gradable: automatic
165) Cheryl Steffan is the operations manager for Nature's Bread Company, which specializes in
providing natural products for health conscious individuals. Cheryl is responsible for compiling,
analyzing, and evaluating daily sales numbers to determine the company's profitability and
forecast production for the next day. Which of the following is an example of a piece of data
Cheryl would be using to successfully perform her job?
A) Craig Newmark is customer number 15467.
B) Compare the costs of supplies including energy over the last five years to determine the bestselling product by month.
C) Best-selling product by day.
D) Best-selling product changes when Tony the best baker is working.
Answer: A
Explanation: Data is raw facts that describe the characteristics of an event or object. Data for
Cheryl would include Craig Newmark is customer number 15467.
Difficulty: 3 Hard
Topic: Competing in the Information Age
Bloom's: Analyze
Learning Outcome: 01-01 Describe the information age and the differences among data,
information, business intelligence, and knowledge.
Accessibility: Keyboard Navigation
Gradable: automatic
255
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written consent of McGraw-Hill Education.
166) Cheryl Steffan is the operations manager for Nature's Bread Company, which specializes in
providing natural products for health conscious individuals. Cheryl is responsible for compiling,
analyzing, and evaluating daily sales numbers to determine the company's profitability and
forecast production for the next day. Which of the following is an example of the type of
information Cheryl would be using to successfully perform her job?
A) Craig Newmark is customer number 15467.
B) Flour Power is supplier number 8745643.
C) Best-selling product by day.
D) Best-selling product changes when Tony the best baker is working.
Answer: C
Explanation: Best-selling product by day is an example of information.
Difficulty: 3 Hard
Topic: Competing in the Information Age
Bloom's: Analyze
Learning Outcome: 01-01 Describe the information age and the differences among data,
information, business intelligence, and knowledge.
Accessibility: Keyboard Navigation
Gradable: automatic
167) Cheryl Steffan is the operations manager for Nature's Bread Company, which specializes in
providing natural products for health conscious individuals. Cheryl is responsible for compiling,
analyzing, and evaluating daily sales numbers to determine the company's profitability and
forecast production for the next day. Which of the following is an example of knowledge that
Cheryl would be using to successfully perform her job?
A) Craig Newmark is customer number 15467.
B) Flour Power is supplier number 8745643.
C) Best-selling product by day
D) Best-selling product changes when Tony the best baker is working.
Answer: D
Explanation: Knowledge would include knowing that the best baker is Tony and that when he
works the best-selling product changes.
Difficulty: 3 Hard
Topic: Competing in the Information Age
Bloom's: Analyze
Learning Outcome: 01-01 Describe the information age and the differences among data,
information, business intelligence, and knowledge.
Accessibility: Keyboard Navigation
Gradable: automatic
256
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written consent of McGraw-Hill Education.
168) Data is useful for understanding individual sales, but to gain deeper insight into a business
data needs to be turned into information. Which of the following offers an example of turning
data into information?
A) Who are my best customers?
B) What is my best-selling product?
C) What is my worst-selling product?
D) All of the above
Answer: D
Explanation: Questions outlined in the book include: Who are my best customers? Who are my
least-profitable customers? What is my best-selling product? What is my slowest-selling
product? Who is my strongest sales representative? Who is my weakest sales representative?
Difficulty: 2 Medium
Topic: Competing in the Information Age
Bloom's: Understand
Learning Outcome: 01-01 Describe the information age and the differences among data,
information, business intelligence, and knowledge.
Accessibility: Keyboard Navigation
Gradable: automatic
169) Which of the following provides an example of information?
A) Who is customer number 12345XX?
B) What is product number 12345XX?
C) What customer number is Bob Smith?
D) What is my worst-selling product?
Answer: D
Explanation: What is my worst-selling product is an example of taking data and turning it into
information.
Difficulty: 2 Medium
Topic: Competing in the Information Age
Bloom's: Understand
Learning Outcome: 01-01 Describe the information age and the differences among data,
information, business intelligence, and knowledge.
Accessibility: Keyboard Navigation
Gradable: automatic
257
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written consent of McGraw-Hill Education.
170) Which of the following provides an example of data?
A) Who are my best customers?
B) What is my best-selling product?
C) What is my worst-selling product?
D) Who is customer number 12345XX?
Answer: D
Explanation: Who is customer number 12345XX is an example of data.
Difficulty: 2 Medium
Topic: Competing in the Information Age
Bloom's: Understand
Learning Outcome: 01-01 Describe the information age and the differences among data,
information, business intelligence, and knowledge.
Accessibility: Keyboard Navigation
Gradable: automatic
171) Business intelligence is information collected from multiple sources. Which of the
following provides an example of a source that would be included in business intelligence?
A) Suppliers.
B) Customers.
C) Competitors.
D) All of the above.
Answer: D
Explanation: Business Intelligence is information collected from multiple sources such as
suppliers, customers, competitors, partners, and industries that analyzes patterns, trends, and
relationships for strategic decision making.
Difficulty: 1 Easy
Topic: Competing in the Information Age
Bloom's: Remember
Learning Outcome: 01-01 Describe the information age and the differences among data,
information, business intelligence, and knowledge.
Accessibility: Keyboard Navigation
Gradable: automatic
258
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written consent of McGraw-Hill Education.
172) Which of the following represents the core drives of the information age?
A) Data, Information, Business Intelligence, Knowledge.
B) Fact, Data, Intelligence, Experience.
C) Fact, Intelligence, Business Skills, Knowledge.
D) Data, Intelligence, Business Information, Knowledge.
Answer: A
Explanation: Data, Information, Business Intelligence, and Knowledge are the core drivers of
the information age.
Difficulty: 1 Easy
Topic: Competing in the Information Age
Bloom's: Remember
Learning Outcome: 01-01 Describe the information age and the differences among data,
information, business intelligence, and knowledge.
Accessibility: Keyboard Navigation
Gradable: automatic
173) Which of the following is not a core driver of the information age?
A) Information.
B) Knowledge.
C) Internet of Things.
D) Data.
Answer: C
Explanation: The core drivers of the information age are data, information, business
intelligence, and knowledge.
Difficulty: 1 Easy
Topic: Competing in the Information Age
Bloom's: Remember
Learning Outcome: 01-01 Describe the information age and the differences among data,
information, business intelligence, and knowledge.
Accessibility: Keyboard Navigation
Gradable: automatic
259
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written consent of McGraw-Hill Education.
174) Which of the following represents the definition of a variable?
A) A data characteristic that is collected through competitive intelligence and cannot change
over time.
B) A data characteristic that stands for a value that changes or varies over time.
C) A data characteristic that stands for a value that does not change or vary over time.
D) A data characteristic that is collected only through competitive intelligence and can change
over time.
Answer: B
Explanation: A variable is a data characteristic that stands for a value that changes or varies
over time and can be manipulated to help improve profits.
Difficulty: 2 Medium
Topic: Competing in the Information Age
Bloom's: Understand
Learning Outcome: 01-01 Describe the information age and the differences among data,
information, business intelligence, and knowledge.
Accessibility: Keyboard Navigation
Gradable: automatic
175) Today's workers are referred to as ________ and they use BI along with personal
experience to make decisions based on both information and intuition, a valuable resource for
any company.
A) Knowledge workers
B) Knowledge thinkers
C) Knowledge resources
D) Knowledge players
Answer: A
Explanation: Today's workers are commonly referred to as knowledge workers and they use BI
along with personal experience to make decisions based on both information and intuition, a
valuable resource for any company."
Difficulty: 1 Easy
Topic: Competing in the Information Age
Bloom's: Remember
Learning Outcome: 01-01 Describe the information age and the differences among data,
information, business intelligence, and knowledge.
Accessibility: Keyboard Navigation
Gradable: automatic
260
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written consent of McGraw-Hill Education.
176) What is information collected from multiple sources such as suppliers, customers,
competitors, partners, and industries that analyzes patterns, trends, and relationships for strategic
decision making?
A) Supplier's intelligence.
B) Social intelligence.
C) Employee intelligence.
D) Business intelligence.
Answer: D
Explanation: Business intelligence is information collected from multiple sources such as
suppliers, customers, competitors, partners, and industries that analyzes patterns, trends, and
relationships for strategic decision making.
Difficulty: 1 Easy
Topic: Competing in the Information Age
Bloom's: Remember
Learning Outcome: 01-01 Describe the information age and the differences among data,
information, business intelligence, and knowledge.
Accessibility: Keyboard Navigation
Gradable: automatic
177) Information is data converted into useful, meaningful context. What are data characteristics
that change or vary over time?
A) Facts.
B) Variables.
C) Supplies.
D) Services.
Answer: B
Explanation: A variable is a data characteristic that stands for a value that changes or varies
over time.
Difficulty: 1 Easy
Topic: Competing in the Information Age
Bloom's: Remember
Learning Outcome: 01-01 Describe the information age and the differences among data,
information, business intelligence, and knowledge.
Accessibility: Keyboard Navigation
Gradable: automatic
261
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written consent of McGraw-Hill Education.
178) Which of the below is the key term that defines the confirmation or validation of an event
or object?
A) Buyer power.
B) Data.
C) Fact.
D) Entry barrier.
Answer: C
Explanation: A fact is the confirmation or validation of an event or object.
Difficulty: 1 Easy
Topic: Competing in the Information Age
Bloom's: Remember
Learning Outcome: 01-01 Describe the information age and the differences among data,
information, business intelligence, and knowledge.
Accessibility: Keyboard Navigation
Gradable: automatic
179) What is data converted into a meaningful and useful context?
A) Competitive intelligence.
B) Information.
C) Buyer power.
D) First-mover advantage.
Answer: B
Explanation: Information is data converted into a meaningful and useful context.
Difficulty: 1 Easy
Topic: Competing in the Information Age
Bloom's: Remember
Learning Outcome: 01-01 Describe the information age and the differences among data,
information, business intelligence, and knowledge.
Accessibility: Keyboard Navigation
Gradable: automatic
262
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written consent of McGraw-Hill Education.
180) What is a world where interconnected, Internet-enabled devices or "things" can collect and
share data without human intervention?
A) Internet of Things
B) Predictive Analytics
C) Machine to Machine
D) Flat World
Answer: A
Explanation: The Internet of Things is a world where interconnected, Internet-enabled devices
or "things" can collect and share data without human intervention.
Difficulty: 1 Easy
Topic: Competing in the Information Age
Bloom's: Remember
Learning Outcome: 01-01 Describe the information age and the differences among data,
information, business intelligence, and knowledge.
Accessibility: Keyboard Navigation
Gradable: automatic
181) What refers to devices that connect directly to other devices?
A) Internet of Things
B) Predictive Analytics
C) Machine to Machine
D) Flat World
Answer: C
Explanation: Machine to machine (M2M), which refers to devices that connect directly to other
devices.
Difficulty: 1 Easy
Topic: Competing in the Information Age
Bloom's: Remember
Learning Outcome: 01-01 Describe the information age and the differences among data,
information, business intelligence, and knowledge.
Accessibility: Keyboard Navigation
Gradable: automatic
263
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written consent of McGraw-Hill Education.
182) What extracts information from data and uses it to predict future trends and identify
behavioral patterns?
A) Internet of Things
B) Predictive Analytics
C) Machine to Machine
D) Flat World
Answer: B
Explanation: Predictive analytics, which extracts information from data and uses it to predict
future trends and identify behavioral patterns.
Difficulty: 1 Easy
Topic: Competing in the Information Age
Bloom's: Remember
Learning Outcome: 01-01 Describe the information age and the differences among data,
information, business intelligence, and knowledge.
Accessibility: Keyboard Navigation
Gradable: automatic
183) What is the Internet of Things?
A) A world where interconnected, Internet-enabled devices or "things" can collect and share data
without human intervention.
B) Extracts information from data and uses it to predict future trends and identify behavioral
patterns.
C) Refers to devices that connect directly to other devices.
D) Opportunities to change the way people purchase books.
Answer: A
Explanation: The Internet of Things is a world where interconnected, Internet-enabled devices
or "things" can collect and share data without human intervention.
Difficulty: 1 Easy
Topic: Competing in the Information Age
Bloom's: Remember
Learning Outcome: 01-01 Describe the information age and the differences among data,
information, business intelligence, and knowledge.
Accessibility: Keyboard Navigation
Gradable: automatic
264
Copyright 2019 © McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior
written consent of McGraw-Hill Education.
184) What is machine to machine?
A) A world where interconnected, Internet-enabled devices or "things" can collect and share data
without human intervention.
B) Extracts information from data and uses it to predict future trends and identify behavioral
patterns.
C) Refers to devices that connect directly to other devices.
D) Opportunities to change the way people purchase books.
Answer: C
Explanation: Machine to machine (M2M), which refers to devices that connect directly to other
devices.
Difficulty: 1 Easy
Topic: Competing in the Information Age
Bloom's: Remember
Learning Outcome: 01-01 Describe the information age and the differences among data,
information, business intelligence, and knowledge.
Accessibility: Keyboard Navigation
Gradable: automatic
185) What is predictive analytics?
A) A world where interconnected, Internet-enabled devices or "things" can collect and share data
without human intervention.
B) Techniques that extract information from data and use it to predict future trends and identify
behavioral patterns.
C) Refers to devices that connect directly to other devices.
D) Opportunities to change the way people purchase books.
Answer: B
Explanation: Predictive analytics are techniques that extract information from data and use it to
predict future trends and identify behavioral patterns.
Difficulty: 1 Easy
Topic: Competing in the Information Age
Bloom's: Remember
Learning Outcome: 01-01 Describe the information age and the differences among data,
information, business intelligence, and knowledge.
Accessibility: Keyboard Navigation
Gradable: automatic
265
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written consent of McGraw-Hill Education.
186) What is the science of fact-based decision making?
A) Business intelligence.
B) Information.
C) Knowledge.
D) Analytics.
Answer: D
Explanation: Analytics is the science of fact-based decision making
Difficulty: 1 Easy
Topic: Competing in the Information Age
Bloom's: Remember
Learning Outcome: 01-01 Describe the information age and the differences among data,
information, business intelligence, and knowledge.
Accessibility: Keyboard Navigation
Gradable: automatic
187) What is the scientific process of transforming data into insight for making better decisions?
A) Business analytics.
B) Descriptive analytics.
C) Prescriptive analytics.
D) Predictive analytics.
Answer: A
Explanation: Business analytics is the scientific process of transforming data into insight for
making better decisions.
Difficulty: 1 Easy
Topic: Competing in the Information Age
Bloom's: Remember
Learning Outcome: 01-01 Describe the information age and the differences among data,
information, business intelligence, and knowledge.
Accessibility: Keyboard Navigation
Gradable: automatic
266
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written consent of McGraw-Hill Education.
188) What uses techniques that describe past performance and history?
A) Business analytics.
B) Descriptive analytics.
C) Prescriptive analytics.
D) Predictive analytics.
Answer: B
Explanation: Descriptive analytics use techniques that describe past performance and history.
Difficulty: 1 Easy
Topic: Competing in the Information Age
Bloom's: Remember
Learning Outcome: 01-01 Describe the information age and the differences among data,
information, business intelligence, and knowledge.
Accessibility: Keyboard Navigation
Gradable: automatic
189) What uses techniques that extract information from data and use it to predict future trends
and identify behavioral patterns?
A) Business analytics.
B) Descriptive analytics.
C) Prescriptive analytics.
D) Predictive analytics.
Answer: D
Explanation: Predictive analytics use techniques that extract information from data and use it to
predict future trends and identify behavioral patterns.
Difficulty: 1 Easy
Topic: Competing in the Information Age
Bloom's: Remember
Learning Outcome: 01-01 Describe the information age and the differences among data,
information, business intelligence, and knowledge.
Accessibility: Keyboard Navigation
Gradable: automatic
267
Copyright 2019 © McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior
written consent of McGraw-Hill Education.
190) What uses techniques that create models indicating the best decision to make or course of
action to take?
A) Business analytics.
B) Descriptive analytics.
C) Prescriptive analytics.
D) Predictive analytics.
Answer: C
Explanation: Prescriptive analytics use techniques that create models indicating the best
decision to make or course of action to take.
Difficulty: 1 Easy
Topic: Competing in the Information Age
Bloom's: Remember
Learning Outcome: 01-01 Describe the information age and the differences among data,
information, business intelligence, and knowledge.
Accessibility: Keyboard Navigation
Gradable: automatic
191) What are business analytics?
A) The scientific process of transforming data into insight for making better decisions.
B) Uses techniques that describe past performance and history.
C) Uses techniques that extract information from data and use it to predict future trends and
identify behavioral patterns.
D) Uses techniques that create models indicating the best decision to make or course of action to
take.
Answer: A
Explanation: Business analytics is the scientific process of transforming data into insight for
making better decisions.
Difficulty: 1 Easy
Topic: Competing in the Information Age
Bloom's: Remember
Learning Outcome: 01-01 Describe the information age and the differences among data,
information, business intelligence, and knowledge.
Accessibility: Keyboard Navigation
Gradable: automatic
268
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written consent of McGraw-Hill Education.
192) What are descriptive analytics?
A) The scientific process of transforming data into insight for making better decisions.
B) Uses techniques that describe past performance and history.
C) Uses techniques that extract information from data and use it to predict future trends and
identify behavioral patterns.
D) Uses techniques that create models indicating the best decision to make or course of action to
take.
Answer: B
Explanation: Descriptive analytics use techniques that describe past performance and history.
Difficulty: 1 Easy
Topic: Competing in the Information Age
Bloom's: Remember
Learning Outcome: 01-01 Describe the information age and the differences among data,
information, business intelligence, and knowledge.
Accessibility: Keyboard Navigation
Gradable: automatic
193) What are predictive analytics?
A) The scientific process of transforming data into insight for making better decisions.
B) Uses techniques that describe past performance and history.
C) Uses techniques that extract information from data and use it to predict future trends and
identify behavioral patterns.
D) Uses techniques that create models indicating the best decision to make or course of action to
take.
Answer: C
Explanation: Predictive analytics use techniques that extract information from data and use it to
predict future trends and identify behavioral patterns.
Difficulty: 1 Easy
Topic: Competing in the Information Age
Bloom's: Remember
Learning Outcome: 01-01 Describe the information age and the differences among data,
information, business intelligence, and knowledge.
Accessibility: Keyboard Navigation
Gradable: automatic
269
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written consent of McGraw-Hill Education.
194) What are prescriptive analytics?
A) The scientific process of transforming data into insight for making better decisions.
B) Uses techniques that describe past performance and history.
C) Uses techniques that extract information from data and use it to predict future trends and
identify behavioral patterns.
D) Uses techniques that create models indicating the best decision to make or course of action to
take.
Answer: D
Explanation: Prescriptive analytics use techniques that create models indicating the best
decision to make or course of action to take.
Difficulty: 1 Easy
Topic: Competing in the Information Age
Bloom's: Remember
Learning Outcome: 01-01 Describe the information age and the differences among data,
information, business intelligence, and knowledge.
Accessibility: Keyboard Navigation
Gradable: automatic
195) What are the three primary areas of analytics?
A) Descriptive analytics, predictive analytics, and prescriptive analytics.
B) Descriptive analytics, primary analytics, response analytics.
C) Descriptive analytics, future analytics, past analytics.
D) Technique analytics, future analytics, past analytics.
Answer: A
Explanation: The three primary areas of analytics includes descriptive analytics, predictive
analytics, and prescriptive analytics.
Difficulty: 1 Easy
Topic: Competing in the Information Age
Bloom's: Remember
Learning Outcome: 01-01 Describe the information age and the differences among data,
information, business intelligence, and knowledge.
Accessibility: Keyboard Navigation
Gradable: automatic
270
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written consent of McGraw-Hill Education.
196) What are the human, structural, and recorded resources available to the organization?
A) Knowledge assets.
B) Knowledge facilitators.
C) Predictive analytics.
D) Business analytics.
Answer: A
Explanation: Knowledge assets, also called intellectual capital, are the human, structural, and
recorded resources available to the organization.
Difficulty: 1 Easy
Topic: Competing in the Information Age
Bloom's: Remember
Learning Outcome: 01-01 Describe the information age and the differences among data,
information, business intelligence, and knowledge.
Accessibility: Keyboard Navigation
Gradable: automatic
197) What resides within the minds of members, customers, and colleagues and include physical
structures and recorded media?
A) Knowledge assets.
B) Knowledge facilitators.
C) Predictive analytics.
D) Business analytics.
Answer: A
Explanation: Knowledge assets reside within the minds of members, customers, and colleagues
and include physical structures and recorded media.
Difficulty: 1 Easy
Topic: Competing in the Information Age
Bloom's: Remember
Learning Outcome: 01-01 Describe the information age and the differences among data,
information, business intelligence, and knowledge.
Accessibility: Keyboard Navigation
Gradable: automatic
271
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written consent of McGraw-Hill Education.
198) What helps harness the wealth of knowledge in the organization?
A) Knowledge assets.
B) Knowledge facilitators.
C) Predictive analytics.
D) Business analytics.
Answer: B
Explanation: Knowledge facilitators help harness the wealth of knowledge in the organization.
Difficulty: 1 Easy
Topic: Competing in the Information Age
Bloom's: Remember
Learning Outcome: 01-01 Describe the information age and the differences among data,
information, business intelligence, and knowledge.
Accessibility: Keyboard Navigation
Gradable: automatic
199) What helps acquire and catalog the knowledge assets in an organization?
A) Knowledge assets.
B) Knowledge facilitators.
C) Predictive analytics.
D) Business analytics.
Answer: B
Explanation: Knowledge facilitators help acquire and catalog the knowledge assets in an
organization.
Difficulty: 1 Easy
Topic: Competing in the Information Age
Bloom's: Remember
Learning Outcome: 01-01 Describe the information age and the differences among data,
information, business intelligence, and knowledge.
Accessibility: Keyboard Navigation
Gradable: automatic
272
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written consent of McGraw-Hill Education.
200) What data is created by a machine without human intervention?
A) Human-generated.
B) Machine-generated.
C) Machine-to-machine (M2M)
D) Unstructured data.
Answer: B
Explanation: Machine-generated data is created by a machine without human intervention
Difficulty: 1 Easy
Topic: Competing in the Information Age
Bloom's: Remember
Learning Outcome: 01-01 Describe the information age and the differences among data,
information, business intelligence, and knowledge.
Accessibility: Keyboard Navigation
Gradable: automatic
201) What data is data that humans, in interaction with computers, generate?
A) Human-generated.
B) Machine-generated.
C) Machine-to-machine (M2M)
D) Static report.
Answer: A
Explanation: Human-generated data is data that humans, in interaction with computers,
generate.
Difficulty: 1 Easy
Topic: Competing in the Information Age
Bloom's: Remember
Learning Outcome: 01-01 Describe the information age and the differences among data,
information, business intelligence, and knowledge.
Accessibility: Keyboard Navigation
Gradable: automatic
273
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written consent of McGraw-Hill Education.
202) What type of structured data includes sensor data, point-of-sale data, and web log data?
A) Human-generated.
B) Machine-generated.
C) Machine-to-machine (M2M)
D) Systems thinking.
Answer: B
Explanation: Machine-generated data includes sensor data, point-of-sale data, and web log data.
Difficulty: 1 Easy
Topic: Competing in the Information Age
Bloom's: Remember
Learning Outcome: 01-01 Describe the information age and the differences among data,
information, business intelligence, and knowledge.
Accessibility: Keyboard Navigation
Gradable: automatic
203) What type of structured data includes input data, click-stream data, or gaming data?
A) Human-generated.
B) Machine-generated.
C) Machine-to-machine (M2M)
D) Systems thinking
Answer: A
Explanation: Human-generated data includes input data, click-stream data, or gaming data.
Difficulty: 1 Easy
Topic: Competing in the Information Age
Bloom's: Remember
Learning Outcome: 01-01 Describe the information age and the differences among data,
information, business intelligence, and knowledge.
Accessibility: Keyboard Navigation
Gradable: automatic
274
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written consent of McGraw-Hill Education.
204) Which of the following describes structured data?
A) A defined length, type, and format.
B) Includes numbers, dates, or strings such as Customer Address.
C) Is typically stored in a relational database or spreadsheet.
D) All of the above.
Answer: D
Explanation: Structured data has a defined length, type and format and includes numbers, dates,
or strings such as Customer Address. Structured data is typically stored in a traditional system
such as a relational database or spreadsheet.
Difficulty: 3 Hard
Topic: Competing in the Information Age
Bloom's: Remember
Learning Outcome: 01-01 Describe the information age and the differences among data,
information, business intelligence, and knowledge.
Accessibility: Keyboard Navigation
Gradable: automatic
205) What refers to devices that connect directly to other devices?
A) Human-generated.
B) Machine-generated.
C) Machine-to-machine (M2M).
D) Systems thinking.
Answer: C
Explanation: Machine to machine (M2M) refers to devices that connect directly to other
devices.
Difficulty: 1 Easy
Topic: Competing in the Information Age
Bloom's: Remember
Learning Outcome: 01-01 Describe the information age and the differences among data,
information, business intelligence, and knowledge.
Accessibility: Keyboard Navigation
Gradable: automatic
275
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written consent of McGraw-Hill Education.
206) What are the characteristics of unstructured data?
A) Does not follow a specified format.
B) Free-form text.
C) Emails, twitter tweets, and text messages.
D) All of the above.
Answer: D
Explanation: Unstructured data does not follow a specified format and is typically free-form
text such as emails, Twitter tweets, and text messages.
Difficulty: 3 Hard
Topic: Competing in the Information Age
Bloom's: Analyze
Learning Outcome: 01-01 Describe the information age and the differences among data,
information, business intelligence, and knowledge.
Accessibility: Keyboard Navigation
Gradable: automatic
207) Which of the following does not describe unstructured data?
A) Does not follow a specified format.
B) A defined length, type, and format.
C) Free-form text.
D) Emails, twitter tweets, and text messages.
Answer: B
Explanation: Unstructured data does not follow a specified format and is typically free-form
text such as emails, Twitter tweets, and text messages.
Difficulty: 1 Easy
Topic: Competing in the Information Age
Bloom's: Remember
Learning Outcome: 01-01 Describe the information age and the differences among data,
information, business intelligence, and knowledge.
Accessibility: Keyboard Navigation
Gradable: automatic
276
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written consent of McGraw-Hill Education.
208) Which of the following does not describe structured data?
A) A defined length.
B) Emails, twitter tweets, and text messages are examples of structured data.
C) Is typically stored in a relational database or spreadsheet.
D) A defined format.
Answer: B
Explanation: Structured data has a defined length, type and format and includes numbers, dates,
or strings such as Customer Address. Structured data is typically stored in a traditional system
such as a relational database or spreadsheet.
Difficulty: 3 Hard
Topic: Competing in the Information Age
Bloom's: Remember
Learning Outcome: 01-01 Describe the information age and the differences among data,
information, business intelligence, and knowledge.
Accessibility: Keyboard Navigation
Gradable: automatic
209) What is a snapshot?
A) A world where interconnected, Internet-enabled devices or "things" can collect and share data
without human intervention.
B) A view of data at a particular moment in time.
C) Refers to devices that connect directly to other devices.
D) Opportunities to change the way people purchase books.
Answer: B
Explanation: A snapshot is a view of data at a particular moment in time.
Difficulty: 1 Easy
Topic: Competing in the Information Age
Bloom's: Remember
Learning Outcome: 01-01 Describe the information age and the differences among data,
information, business intelligence, and knowledge.
Accessibility: Keyboard Navigation
Gradable: automatic
277
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written consent of McGraw-Hill Education.
210) What is a view of data at a particular moment in time?
A) Knowledge.
B) Big data.
C) Snapshot.
D) Unstructured data.
Answer: C
Explanation: A snapshot is a view of data at a particular moment in time.
Difficulty: 1 Easy
Topic: Competing in the Information Age
Bloom's: Remember
Learning Outcome: 01-01 Describe the information age and the differences among data,
information, business intelligence, and knowledge.
Accessibility: Keyboard Navigation
Gradable: automatic
211) What is a collection of large complex data sets that cannot be analyzed using traditional
database methods and tools?
A) Knowledge.
B) Big data.
C) Snapshot.
D) Internet of Things.
Answer: B
Explanation: Big data is a collection of large complex data sets, including structured and
unstructured, which cannot be analyzed using traditional database methods and tools.
Difficulty: 1 Easy
Topic: Competing in the Information Age
Bloom's: Remember
Learning Outcome: 01-01 Describe the information age and the differences among data,
information, business intelligence, and knowledge.
Accessibility: Keyboard Navigation
Gradable: automatic
278
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written consent of McGraw-Hill Education.
212) What is a report?
A) A document containing data organized in a table, matrix, or graphical format allowing users
to easily comprehend and understand information.
B) A collection of large complex data sets, including structured and unstructured, which cannot
be analyzed using traditional database methods and tools.
C) A view of data at a particular moment in time.
D) A world where interconnected, Internet-enabled devices or "things" can collect and share data
without human intervention.
Answer: A
Explanation: A report is a document containing data organized in a table, matrix, or graphical
format allowing users to easily comprehend and understand information.
Difficulty: 1 Easy
Topic: Competing in the Information Age
Bloom's: Remember
Learning Outcome: 01-01 Describe the information age and the differences among data,
information, business intelligence, and knowledge.
Accessibility: Keyboard Navigation
Gradable: automatic
213) What is big data?
A) A document containing data organized in a table, matrix, or graphical format allowing users
to easily comprehend and understand information.
B) A collection of large complex data sets, including structured and unstructured, which cannot
be analyzed using traditional database methods and tools.
C) A view of data at a particular moment in time.
D) A world where interconnected, Internet-enabled devices or "things" can collect and share data
without human intervention.
Answer: B
Explanation: A collection of large complex data sets, including structured and unstructured,
which cannot be analyzed using traditional database methods and tools
Difficulty: 1 Easy
Topic: Competing in the Information Age
Bloom's: Remember
Learning Outcome: 01-01 Describe the information age and the differences among data,
information, business intelligence, and knowledge.
Accessibility: Keyboard Navigation
Gradable: automatic
279
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written consent of McGraw-Hill Education.
214) What type of report is created based on data that does not change?
A) Static report.
B) Dynamic report.
C) Variable report.
D) Structured report.
Answer: A
Explanation: A static report is created based on data that does not change.
Difficulty: 1 Easy
Topic: Competing in the Information Age
Bloom's: Remember
Learning Outcome: 01-01 Describe the information age and the differences among data,
information, business intelligence, and knowledge.
Accessibility: Keyboard Navigation
Gradable: automatic
215) What type of report changes automatically during creation?
A) Static report.
B) Dynamic report.
C) Variable report.
D) Structured report.
Answer: B
Explanation: A dynamic report changes automatically during creation.
Difficulty: 1 Easy
Topic: Competing in the Information Age
Bloom's: Remember
Learning Outcome: 01-01 Describe the information age and the differences among data,
information, business intelligence, and knowledge.
Accessibility: Keyboard Navigation
Gradable: automatic
280
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written consent of McGraw-Hill Education.
216) What type of report can include a sales report from last year or salary report from five years
ago?
A) Static report.
B) Dynamic report.
C) Variable report.
D) Structured report.
Answer: A
Explanation: A static report is created based on data that does not change. Static reports can
include a sales report from last year or salary report from five years ago.
Difficulty: 1 Easy
Topic: Competing in the Information Age
Bloom's: Remember
Learning Outcome: 01-01 Describe the information age and the differences among data,
information, business intelligence, and knowledge.
Accessibility: Keyboard Navigation
Gradable: automatic
217) What type of report can include updating daily stock market prices or the calculation of
available inventory?
A) Static report.
B) Dynamic report.
C) Variable report.
D) Structured report.
Answer: B
Explanation: A dynamic report changes automatically during creation. Dynamic reports can
include updating daily stock market prices or the calculation of available inventory.
Difficulty: 1 Easy
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Remember
Learning Outcome: 01-02 Explain systems thinking and how management information systems
enable business communications.
Accessibility: Keyboard Navigation
Gradable: automatic
281
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written consent of McGraw-Hill Education.
218) How are the majority of companies today typically organized?
A) By departments or functional areas.
B) By departments or financial areas.
C) By degree or financial areas.
D) By manager or knowledge area.
Answer: A
Explanation: Companies today are typically organized by departments or functional areas.
Difficulty: 1 Easy
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Remember
Learning Outcome: 01-02 Explain systems thinking and how management information systems
enable business communications.
Accessibility: Keyboard Navigation
Gradable: automatic
219) How does the text recommend that a company operate if it wants to be successful in the
information age?
A) Functionally independent between departments.
B) Interdependently between departments.
C) Together as one department with little or no independence.
D) Each department acting as its own individual business unit.
Answer: B
Explanation: For companies to operate as a whole and be successful in our current business
environment today, they must operate interdependently between departments.
Difficulty: 1 Easy
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Remember
Learning Outcome: 01-02 Explain systems thinking and how management information systems
enable business communications.
Accessibility: Keyboard Navigation
Gradable: automatic
282
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written consent of McGraw-Hill Education.
220) Most companies are typically organized by departments or functional areas. Which of the
following is not a common department found in a company?
A) Accounting.
B) Payroll.
C) Marketing.
D) Human Resources.
Answer: B
Explanation: Payroll is part of the accounting department.
Difficulty: 1 Easy
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Remember
Learning Outcome: 01-02 Explain systems thinking and how management information systems
enable business communications.
Accessibility: Keyboard Navigation
Gradable: automatic
221) The sales department needs to rely on information from operations to understand ________.
A) Inventory.
B) Customer orders.
C) Demand forecasts.
D) All of the above.
Answer: D
Explanation: Sales needs to rely on information from operations to understand inventory, place
orders, and forecast consumer demand.
Difficulty: 2 Medium
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Understand
Learning Outcome: 01-02 Explain systems thinking and how management information systems
enable business communications.
Accessibility: Keyboard Navigation
Gradable: automatic
283
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written consent of McGraw-Hill Education.
222) Which of the following represents the department that maintains policies, plans, and
procedures for the effective management of employees?
A) Human Resources.
B) Sales.
C) Employee Resources.
D) Employee Relations.
Answer: A
Explanation: Human resources maintains policies, plans, and procedures for the effective
management of employees.
Difficulty: 1 Easy
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Remember
Learning Outcome: 01-02 Explain systems thinking and how management information systems
enable business communications.
Accessibility: Keyboard Navigation
Gradable: automatic
223) Greg works for Geneva Steel Corporation. Greg's duties include managing the overall
processes for the company and transforming the steel resources into goods. Which department
would Greg most likely work in?
A) Accounting
B) Operations Management
C) Marketing
D) CIO
Answer: B
Explanation: Operations management manages the process of converting or transforming of
resources into goods or services.
Difficulty: 2 Medium
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Understand
Learning Outcome: 01-02 Explain systems thinking and how management information systems
enable business communications.
Accessibility: Keyboard Navigation
Gradable: automatic
284
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written consent of McGraw-Hill Education.
224) Information technology can enable departments to more efficiently and effectively perform
their core ________.
A) Facts.
B) Feedback mechanisms.
C) Business operations.
D) Media issues.
Answer: C
Explanation: Information technology can enable departments to more efficiently and effectively
perform their business operations.
Difficulty: 2 Medium
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Understand
Learning Outcome: 01-02 Explain systems thinking and how management information systems
enable business communications.
Accessibility: Keyboard Navigation
Gradable: automatic
225) The department within a company that records, measures, and reports monetary transactions
is called ________.
A) Accounting.
B) Marketing.
C) Human Resources.
D) Operations Management.
Answer: A
Explanation: The department within a company that records, measures, and reports monetary
transactions is accounting.
Difficulty: 1 Easy
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Remember
Learning Outcome: 01-02 Explain systems thinking and how management information systems
enable business communications.
Accessibility: Keyboard Navigation
Gradable: automatic
285
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written consent of McGraw-Hill Education.
226) The department within a company that performs the function of selling goods or services is
called ________.
A) Marketing.
B) Sales.
C) Finance.
D) Operations Management.
Answer: B
Explanation: The department with a company that performs the function of selling goods or
services is sales.
Difficulty: 1 Easy
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Remember
Learning Outcome: 01-02 Explain systems thinking and how management information systems
enable business communications.
Accessibility: Keyboard Navigation
Gradable: automatic
227) The department within a company that supports the sales by planning, pricing, and
promoting goods or services is called ________.
A) Sales.
B) Operations Management.
C) Accounting.
D) Marketing.
Answer: D
Explanation: The department within a company that supports the sales by planning, pricing, and
promoting goods or services is marketing.
Difficulty: 1 Easy
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Remember
Learning Outcome: 01-02 Explain systems thinking and how management information systems
enable business communications.
Accessibility: Keyboard Navigation
Gradable: automatic
286
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written consent of McGraw-Hill Education.
228) Which department tracks strategic financial issues, including money, banking, credit,
investments, and assets?
A) Sales.
B) Operations Management.
C) Accounting.
D) Finance.
Answer: D
Explanation: Finance department tracks strategic financial issues, including money, banking,
credit, investments, and assets.
Difficulty: 1 Easy
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Remember
Learning Outcome: 01-02 Explain systems thinking and how management information systems
enable business communications.
Accessibility: Keyboard Navigation
Gradable: automatic
229) Which department manages the process of converting or transforming resources into goods
or services?
A) Sales.
B) Operations Management.
C) Accounting.
D) Finance.
Answer: B
Explanation: Operations management department manages the process of converting or
transforming resources into goods or services.
Difficulty: 1 Easy
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Remember
Learning Outcome: 01-02 Explain systems thinking and how management information systems
enable business communications.
Accessibility: Keyboard Navigation
Gradable: automatic
287
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written consent of McGraw-Hill Education.
230) Which department records, measures, and reports monetary transactions?
A) Sales.
B) Operations Management.
C) Accounting.
D) Finance.
Answer: C
Explanation: Accounting records, measures, and reports monetary transactions.
Difficulty: 1 Easy
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Remember
Learning Outcome: 01-02 Explain systems thinking and how management information systems
enable business communications.
Accessibility: Keyboard Navigation
Gradable: automatic
231) Which department maintains policies, plans, and procedures for the effective management
of employees?
A) Sales.
B) Operations Management.
C) Accounting.
D) Human Resources.
Answer: D
Explanation: The human resources department maintains policies, plans, and procedures for the
effective management of employees.
Difficulty: 1 Easy
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Remember
Learning Outcome: 01-02 Explain systems thinking and how management information systems
enable business communications.
Accessibility: Keyboard Navigation
Gradable: automatic
288
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written consent of McGraw-Hill Education.
232) Which activities belong in the accounting department?
A) Records, measures, and reports monetary transactions.
B) Tracks strategic financial issues, including money, banking, credit, investments, and assets.
C) Supports the sales by planning, pricing, and promoting goods or services is marketing.
D) Relies on information from operations to understand inventory, place orders, and forecast
consumer demand.
Answer: A
Explanation: Accounting records, measures, and reports monetary transactions.
Difficulty: 1 Easy
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Remember
Learning Outcome: 01-02 Explain systems thinking and how management information systems
enable business communications.
Accessibility: Keyboard Navigation
Gradable: automatic
233) Which activities belong in the finance department?
A) Records, measures, and reports monetary transactions.
B) Tracks strategic financial issues, including money, banking, credit, investments, and assets.
C) Supports the sales by planning, pricing, and promoting goods or services is marketing.
D) Relies on information from operations to understand inventory, place orders, and forecast
consumer demand.
Answer: B
Explanation: Finance department tracks strategic financial issues, including money, banking,
credit, investments, and assets.
Difficulty: 1 Easy
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Remember
Learning Outcome: 01-02 Explain systems thinking and how management information systems
enable business communications.
Accessibility: Keyboard Navigation
Gradable: automatic
289
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written consent of McGraw-Hill Education.
234) Which activities belong in the marketing department?
A) Records, measures, and reports monetary transactions.
B) Tracks strategic financial issues, including money, banking, credit, investments, and assets.
C) Supports the sales by planning, pricing, and promoting goods or services is marketing.
D) Relies on information from operations to understand inventory, place orders, and forecast
consumer demand.
Answer: C
Explanation: The department within a company that supports the sales by planning, pricing, and
promoting goods or services is marketing.
Difficulty: 1 Easy
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Remember
Learning Outcome: 01-02 Explain systems thinking and how management information systems
enable business communications.
Accessibility: Keyboard Navigation
Gradable: automatic
235) Which activities belong in the sales department?
A) Records, measures, and reports monetary transactions.
B) Tracks strategic financial issues, including money, banking, credit, investments, and assets.
C) Supports the sales by planning, pricing, and promoting goods or services is marketing.
D) Relies on information from operations to understand inventory, place orders, and forecast
consumer demand.
Answer: D
Explanation: Sales needs to rely on information from operations to understand inventory, place
orders, and forecast consumer demand.
Difficulty: 1 Easy
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Remember
Learning Outcome: 01-02 Explain systems thinking and how management information systems
enable business communications.
Accessibility: Keyboard Navigation
Gradable: automatic
290
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written consent of McGraw-Hill Education.
236) Which activities belong in the human resources department?
A) Records, measures, and reports monetary transactions.
B) Tracks strategic financial issues, including money, banking, credit, investments, and assets.
C) Supports the sales by planning, pricing, and promoting goods or services is marketing.
D) Maintains policies, plans, and procedures for the effective management of employees.
Answer: D
Explanation: Human resources maintains policies, plans, and procedures for the effective
management of employees.
Difficulty: 1 Easy
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Remember
Learning Outcome: 01-02 Explain systems thinking and how management information systems
enable business communications.
Accessibility: Keyboard Navigation
Gradable: automatic
237) Which activities belong in the operations management department?
A) Records, measures, and reports monetary transactions.
B) Manages the process of converting or transforming resources into goods or services.
C) Supports the sales by planning, pricing, and promoting goods or services is marketing.
D) Maintains policies, plans, and procedures for the effective management of employees.
Answer: B
Explanation: Operations management manages the process of converting or transforming
resources into goods or services.
Difficulty: 1 Easy
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Remember
Learning Outcome: 01-02 Explain systems thinking and how management information systems
enable business communications.
Accessibility: Keyboard Navigation
Gradable: automatic
291
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written consent of McGraw-Hill Education.
238) Which data types are typically found in the marketing department?
A) Promotion data, sales data, advertising data.
B) Employee data, promotion data, vacation data.
C) Investment data, monetary data, reporting data.
D) Transactional data, purchasing data, payroll data, tax data.
Answer: A
Explanation: The marketing department includes promotion data, sales data, and advertising
data.
Difficulty: 1 Easy
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Remember
Learning Outcome: 01-02 Explain systems thinking and how management information systems
enable business communications.
Accessibility: Keyboard Navigation
Gradable: automatic
239) Which data types are typically found in the human resources department?
A) Promotion data, sales data, advertising data.
B) Employee data, promotion data, vacation data.
C) Investment data, monetary data, reporting data.
D) Transactional data, purchasing data, payroll data, tax data.
Answer: B
Explanation: The human resources department includes employee data, promotion data, and
vacation data.
Difficulty: 1 Easy
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Remember
Learning Outcome: 01-02 Explain systems thinking and how management information systems
enable business communications.
Accessibility: Keyboard Navigation
Gradable: automatic
292
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written consent of McGraw-Hill Education.
240) Which data types are typically found in the finance department?
A) Promotion data, sales data, advertising data.
B) Employee data, promotion data, vacation data.
C) Investment data, monetary data, reporting data.
D) Transactional data, purchasing data, payroll data, tax data.
Answer: C
Explanation: The finance department includes investment data, monetary data, and reporting
data.
Difficulty: 1 Easy
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Remember
Learning Outcome: 01-02 Explain systems thinking and how management information systems
enable business communications.
Accessibility: Keyboard Navigation
Gradable: automatic
241) Which data types are typically found in the accounting department?
A) Promotion data, sales data, advertising data.
B) Employee data, promotion data, vacation data.
C) Investment data, monetary data, reporting data.
D) Transactional data, purchasing data, payroll data, tax data.
Answer: D
Explanation: The accounting department includes transactional data, purchasing data, payroll
data, and tax data.
Difficulty: 1 Easy
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Remember
Learning Outcome: 01-02 Explain systems thinking and how management information systems
enable business communications.
Accessibility: Keyboard Navigation
Gradable: automatic
293
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written consent of McGraw-Hill Education.
242) Which data types are typically found in the sales department?
A) Sales data, customer data, commission data, and customer support data.
B) Employee data, promotion data, vacation data.
C) Investment data, monetary data, reporting data.
D) Transactional data, purchasing data, payroll data, tax data.
Answer: A
Explanation: The sales department has sales data, customer data, commission data, and
customer support data.
Difficulty: 1 Easy
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Remember
Learning Outcome: 01-02 Explain systems thinking and how management information systems
enable business communications.
Accessibility: Keyboard Navigation
Gradable: automatic
243) Which data types are typically found in the operations management department?
A) Manufacturing data, distribution data, and production data.
B) Sales data, customer data, commission data, and customer support data.
C) Employee data, promotion data, vacation data.
D) Investment data, monetary data, reporting data.
Answer: A
Explanation: The operations management department has manufacturing data, distribution data,
and production data.
Difficulty: 1 Easy
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Remember
Learning Outcome: 01-02 Explain systems thinking and how management information systems
enable business communications.
Accessibility: Keyboard Navigation
Gradable: automatic
294
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written consent of McGraw-Hill Education.
244) Which of the following represents the relationship between functional areas in a business?
A) Independent
B) Autonomous
C) Interdependent
D) Self-sufficient
Answer: C
Explanation: Functional areas are interdependent.
Difficulty: 1 Easy
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Remember
Learning Outcome: 01-02 Explain systems thinking and how management information systems
enable business communications.
Accessibility: Keyboard Navigation
Gradable: automatic
245) Which of the following represents the types of data commonly found in the accounting
department?
A) Tax data.
B) Payroll data.
C) Transactional data.
D) All of the above.
Answer: D
Explanation: Tax, payroll and transactional data are all found in the accounting department.
Difficulty: 1 Easy
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Understand
Learning Outcome: 01-02 Explain systems thinking and how management information systems
enable business communications.
Accessibility: Keyboard Navigation
Gradable: automatic
295
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written consent of McGraw-Hill Education.
246) Which of the following represents the types of data commonly found in the finance
department?
A) Monetary data.
B) Technology data.
C) Production data.
D) Employee data.
Answer: A
Explanation: Monetary data is most commonly found in the finance department.
Difficulty: 2 Medium
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Understand
Learning Outcome: 01-02 Explain systems thinking and how management information systems
enable business communications.
Accessibility: Keyboard Navigation
Gradable: automatic
247) Which of the following represents the types of data commonly found in the human resource
department?
A) Financial data.
B) Technology data.
C) Production data.
D) Employee data.
Answer: D
Explanation: Employee data is most commonly found in the human resource department.
Difficulty: 2 Medium
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Understand
Learning Outcome: 01-02 Explain systems thinking and how management information systems
enable business communications.
Accessibility: Keyboard Navigation
Gradable: automatic
296
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written consent of McGraw-Hill Education.
248) Which of the following represents the types of data commonly found in the sales
department?
A) Customer data.
B) Sales Report data.
C) Commission data.
D) All of the above.
Answer: D
Explanation: All of these data types are found in the sales department.
Difficulty: 2 Medium
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Understand
Learning Outcome: 01-02 Explain systems thinking and how management information systems
enable business communications.
Accessibility: Keyboard Navigation
Gradable: automatic
249) Which of the following represents the types of data commonly found in the marketing
department?
A) Promotional data.
B) Payroll data.
C) Tax data.
D) Employee data.
Answer: A
Explanation: Promotional data is most commonly found in the marketing department.
Difficulty: 2 Medium
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Understand
Learning Outcome: 01-02 Explain systems thinking and how management information systems
enable business communications.
Accessibility: Keyboard Navigation
Gradable: automatic
297
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written consent of McGraw-Hill Education.
250) Which of the following represents the types of data commonly found in the operations
management department?
A) Monetary data.
B) Payroll data.
C) Production data.
D) Employee data.
Answer: C
Explanation: Production data is most commonly found in the operations management
department.
Difficulty: 2 Medium
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Understand
Learning Outcome: 01-02 Explain systems thinking and how management information systems
enable business communications.
Accessibility: Keyboard Navigation
Gradable: automatic
251) Who is responsible for collecting, maintaining, and distributing company knowledge?
A) Chief Knowledge Officer (CKO).
B) Chief Privacy Officer (CPO).
C) Chief Technology Officer (CTO).
D) Chief Information Officer (CIO).
Answer: A
Explanation: The CKO is responsible for collecting, maintaining, and distributing company
knowledge.
Difficulty: 1 Easy
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Remember
Learning Outcome: 01-02 Explain systems thinking and how management information systems
enable business communications.
Accessibility: Keyboard Navigation
Gradable: automatic
298
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written consent of McGraw-Hill Education.
252) Who is responsible for ensuring the ethical and legal use of information within a company?
A) Chief Knowledge Officer (CKO).
B) Chief Privacy Officer (CPO).
C) Chief Technology Officer (CTO).
D) Chief Information Officer (CIO).
Answer: B
Explanation: The CPO is responsible for ensuring the ethical and legal use of information
within a company.
Difficulty: 1 Easy
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Remember
Learning Outcome: 01-02 Explain systems thinking and how management information systems
enable business communications.
Accessibility: Keyboard Navigation
Gradable: automatic
253) Who is responsible for ensuring the speed, accuracy, availability, and reliability of the
management information systems?
A) Chief Knowledge Officer (CKO).
B) Chief Privacy Officer (CPO).
C) Chief Technology Officer (CTO).
D) Chief Information Officer (CIO).
Answer: C
Explanation: The CTO is responsible for ensuring the speed, accuracy, availability, and
reliability of the management information systems.
Difficulty: 1 Easy
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Remember
Learning Outcome: 01-02 Explain systems thinking and how management information systems
enable business communications.
Accessibility: Keyboard Navigation
Gradable: automatic
299
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written consent of McGraw-Hill Education.
254) Who is responsible for overseeing all uses of MIS and ensuring that MIS strategically
aligns with business goals and objectives?
A) Chief Knowledge Officer (CKO).
B) Chief Privacy Officer (CPO).
C) Chief Technology Officer (CTO).
D) Chief Information Officer (CIO).
Answer: D
Explanation: The CIO is responsible for overseeing all uses of MIS and ensuring that MIS
strategically aligns with business goals and objectives.
Difficulty: 1 Easy
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Remember
Learning Outcome: 01-02 Explain systems thinking and how management information systems
enable business communications.
Accessibility: Keyboard Navigation
Gradable: automatic
255) Who is responsible for ensuring the security of business systems and developing strategies
and safeguards against attacks by hackers and viruses?
A) Chief Knowledge Officer (CKO).
B) Chief Security Office (CSO).
C) Chief Technology Officer (CTO).
D) Chief Information Officer (CIO).
Answer: B
Explanation: The CSO is responsible for ensuring the security of business systems and
developing strategies and safeguards against attacks by hackers and viruses.
Difficulty: 1 Easy
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Remember
Learning Outcome: 01-02 Explain systems thinking and how management information systems
enable business communications.
Accessibility: Keyboard Navigation
Gradable: automatic
300
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written consent of McGraw-Hill Education.
256) Trina Hauger works for Johnson Electric as a corporate lawyer and part of her duties are to
ensure the ethical and legal use of information within the company. Which of the following
represents Trina's role at Johnson Electric?
A) Chief Knowledge Officer (CKO).
B) Chief Privacy Officer (CPO).
C) Chief Technology Officer (CTO).
D) Chief Information Officer (CIO).
Answer: B
Explanation: The CPO is responsible for ensuring the ethical and legal use of information
within a company.
Difficulty: 2 Medium
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Understand
Learning Outcome: 01-02 Explain systems thinking and how management information systems
enable business communications.
Accessibility: Keyboard Navigation
Gradable: automatic
257) The challenge that companies today sometimes have is that they are departmentalized and
act independently of each other. One solution that can help a company work ________ includes
management information systems.
A) Variables.
B) Human resource data.
C) Interdepartmentally.
D) Resource information systems.
Answer: C
Explanation: Management information systems is a business function, like accounting and
human resources, which moves information about people, products, and processes across the
company to facilitate decision-making and problem-solving.
Difficulty: 1 Easy
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Remember
Learning Outcome: 01-02 Explain systems thinking and how management information systems
enable business communications.
Accessibility: Keyboard Navigation
Gradable: automatic
301
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written consent of McGraw-Hill Education.
258) Susan Stewart is an executive at Equity Title where she is responsible for collecting,
maintaining and distributing knowledge for the company. What is Susan's role at Equity Title?
A) Chief Knowledge Officer (CKO).
B) Chief Technology Officer (CTO).
C) Chief Information Officer (CIO).
D) Chief Security Officer (CSO).
Answer: A
Explanation: The Chief knowledge officer (CKO) is responsible for collecting, maintaining,
and distributing company knowledge.
Difficulty: 1 Easy
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Remember
Learning Outcome: 01-02 Explain systems thinking and how management information systems
enable business communications.
Accessibility: Keyboard Navigation
Gradable: automatic
259) What is the primary responsibility of the CTO?
A) Overseeing all uses of MIS.
B) Ensuring the security of business systems.
C) Ensuring speed, accuracy, and reliability for MIS.
D) Collecting and distributing company information.
Answer: C
Explanation: The chief technology officer is responsible for ensuring the speed, accuracy,
availability, and reliability for MIS.
Difficulty: 1 Easy
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Remember
Learning Outcome: 01-02 Explain systems thinking and how management information systems
enable business communications.
Accessibility: Keyboard Navigation
Gradable: automatic
302
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written consent of McGraw-Hill Education.
260) Jeremy Bridges is an executive for Green Web Designs, where his primary role is to ensure
the security of business systems and develop strategies to protect the company from online
viruses and hackers. What is Jeremy's role within the company?
A) Chief Executive Officer (CEO).
B) Chief Security Officer (CSO).
C) Chief Procurement Officer (CPO).
D) Chief Technology Officer (CTO).
Answer: B
Explanation: The Chief Security Officer is responsible for ensuring the security of business
systems and developing strategies and safeguards against attacks by hackers and viruses.
Difficulty: 2 Medium
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Understand
Learning Outcome: 01-02 Explain systems thinking and how management information systems
enable business communications.
Accessibility: Keyboard Navigation
Gradable: automatic
261) Which role within a company is responsible for overseeing all uses of MIS and ensuring
that MIS strategic aligns with business goals and objectives?
A) Chief knowledge officer (CKO).
B) Chief privacy officer (CPO).
C) Chief information officer (CIO).
D) Chief security officer (CSO).
Answer: C
Explanation: The Chief information officer (CIO) is responsible for (1) overseeing all uses of
MIS and (2) ensuring that MIS strategic aligns with business goals and objectives.
Difficulty: 1 Easy
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Remember
Learning Outcome: 01-02 Explain systems thinking and how management information systems
enable business communications.
Accessibility: Keyboard Navigation
Gradable: automatic
303
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written consent of McGraw-Hill Education.
262) Recently, 150 of the Fortune 500 companies added this position to their list of senior
executives.
A) Chief technology officer (CTO).
B) Chief data officer (CDO).
C) Chief privacy officer (CPO).
D) Chief knowledge officer (CKO).
Answer: C
Explanation: Recently, 150 of the Fortune 500 companies added the CPO position to their list
of senior executives.
Difficulty: 1 Easy
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Remember
Learning Outcome: 01-02 Explain systems thinking and how management information systems
enable business communications.
Accessibility: Keyboard Navigation
Gradable: automatic
263) Who is responsible for ensuring the speed, accuracy, availability, and reliability of the
MIS?
A) Chief technology officer (CTO).
B) Chief security officer (CSO).
C) Chief privacy officer (CPO).
D) Chief data officer (CDO).
Answer: A
Explanation: The CTO is responsible for ensuring the speed, accuracy, availability, and
reliability of the MIS.
Difficulty: 1 Easy
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Remember
Learning Outcome: 01-02 Explain systems thinking and how management information systems
enable business communications.
Accessibility: Keyboard Navigation
Gradable: automatic
304
Copyright 2019 © McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior
written consent of McGraw-Hill Education.
264) Who is responsible for ensuring the ethical and legal use of information within a company?
A) Chief technology officer (CTO).
B) Chief security officer (CSO).
C) Chief privacy officer (CPO).
D) Chief knowledge officer (CKO).
Answer: C
Explanation: The CPO is responsible for ensuring the ethical and legal use of information
within a company.
Difficulty: 1 Easy
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Remember
Learning Outcome: 01-02 Explain systems thinking and how management information systems
enable business communications.
Accessibility: Keyboard Navigation
Gradable: automatic
265) Who is responsible for ensuring the security of business systems and developing strategies
and safeguards against attacks by hackers and viruses?
A) Chief technology officer (CTO).
B) Chief security officer (CSO).
C) Chief privacy officer (CPO).
D) Chief knowledge officer (CKO).
Answer: B
Explanation: The CSO is responsible for ensuring the security of business systems and
developing strategies and safeguards against attacks by hackers and viruses?
Difficulty: 1 Easy
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Remember
Learning Outcome: 01-02 Explain systems thinking and how management information systems
enable business communications.
Accessibility: Keyboard Navigation
Gradable: automatic
305
Copyright 2019 © McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior
written consent of McGraw-Hill Education.
266) Who is responsible for collecting, maintaining, and distributing company knowledge?
A) Chief data officer (CDO).
B) Chief security officer (CSO).
C) Chief privacy officer (CPO).
D) Chief knowledge officer (CKO).
Answer: D
Explanation: The CKO is responsible for collecting, maintaining, and distributing company
knowledge.
Difficulty: 1 Easy
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Remember
Learning Outcome: 01-02 Explain systems thinking and how management information systems
enable business communications.
Accessibility: Keyboard Navigation
Gradable: automatic
267) Who is responsible for 1) overseeing all uses of MIS and 2) ensuring that MIS strategically
aligns with business goals and objectives?
A) Chief information officer (CIO).
B) Chief data officer (CDO).
C) Chief privacy officer (CPO).
D) Chief knowledge officer (CKO).
Answer: A
Explanation: The CIO is responsible for 1) overseeing all uses of MIS and 2) ensuring that MIS
strategically aligns with business goals and objectives.
Difficulty: 1 Easy
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Remember
Learning Outcome: 01-02 Explain systems thinking and how management information systems
enable business communications.
Accessibility: Keyboard Navigation
Gradable: automatic
306
Copyright 2019 © McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior
written consent of McGraw-Hill Education.
268) Who is responsible for determining the types of information the enterprise will capture,
retain, analyze, and share?
A) Chief information officer (CIO).
B) Chief security officer (CSO).
C) Chief data officer (CDO).
D) Chief knowledge officer (CKO).
Answer: C
Explanation: The CDO is responsible for determining the types of information the enterprise
will capture, retain, analyze, and share.
Difficulty: 1 Easy
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Remember
Learning Outcome: 01-02 Explain systems thinking and how management information systems
enable business communications.
Accessibility: Keyboard Navigation
Gradable: automatic
269) Which of the following includes the roles and responsibilities of the CTO?
A) Ensuring the speed, accuracy, availability, and reliability of the MIS.
B) Ensuring the ethnical and legal use of information within a company.
C) Ensuring the security of business systems and developing strategies and safeguards against
attacks by hackers and viruses.
D) Ensuring that MIS strategically aligns with business goals and objectives.
Answer: A
Explanation: The CTO is responsible for ensuring the speed, accuracy, availability, and
reliability of the MIS.
Difficulty: 2 Medium
Topic: The Challenge of Departmental Companies and the MIS Solution; MIS Roles and
Responsibilities
Bloom's: Understand
Learning Outcome: 01-02 Explain systems thinking and how management information systems
enable business communications.
Accessibility: Keyboard Navigation
Gradable: automatic
307
Copyright 2019 © McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior
written consent of McGraw-Hill Education.
270) Which of the following includes the roles and responsibilities of the CIO?
A) Ensuring the speed, accuracy, availability, and reliability of the MIS.
B) Ensuring the ethical and legal use of information within a company.
C) Ensuring the security of business systems and developing strategies and safeguards against
attacks by hackers and viruses.
D) Ensuring that MIS strategically aligns with business goals and objectives.
Answer: D
Explanation: The CIO is responsible for overseeing all uses of MIS and ensuring that MIS
strategically aligns with business goals and objectives.
Difficulty: 1 Easy
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Understand
Learning Outcome: 01-02 Explain systems thinking and how management information systems
enable business communications.
Accessibility: Keyboard Navigation
Gradable: automatic
271) Which of the following includes the roles and responsibilities of the CPO?
A) Ensuring the speed, accuracy, availability, and reliability of the MIS.
B) Ensuring the ethical and legal use of information within a company.
C) Ensuring the security of business systems and developing strategies and safeguards against
attacks by hackers and viruses.
D) Ensuring that MIS strategically aligns with business goals and objectives.
Answer: B
Explanation: The CPO is responsible for ensuring the ethical and legal use of information
within a company.
Difficulty: 1 Easy
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Understand
Learning Outcome: 01-02 Explain systems thinking and how management information systems
enable business communications.
Accessibility: Keyboard Navigation
Gradable: automatic
308
Copyright 2019 © McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior
written consent of McGraw-Hill Education.
272) Which of the following includes the roles and responsibilities of the CSO?
A) Ensuring the speed, accuracy, availability, and reliability of the MIS.
B) Ensuring the ethical and legal use of information within a company.
C) Ensuring the security of business systems and developing strategies and safeguards against
attacks by hackers and viruses.
D) Ensuring that MIS strategically aligns with business goals and objectives.
Answer: C
Explanation: The CSO is responsible for ensuring the security of business systems and
developing strategies and safeguards against attacks by hackers and viruses.
Difficulty: 1 Easy
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Understand
Learning Outcome: 01-02 Explain systems thinking and how management information systems
enable business communications.
Accessibility: Keyboard Navigation
Gradable: automatic
273) Which of the following includes the roles and responsibilities of the CDO?
A) Determining the types of information the enterprise will capture, retain, analyze, and share.
B) Ensuring the ethical and legal use of information within a company.
C) Ensuring the security of business systems and developing strategies and safeguards against
attacks by hackers and viruses.
D) Ensuring that MIS strategically aligns with business goals and objectives.
Answer: A
Explanation: The CDO is responsible for determining the types of information the enterprise
will capture, retain, analyze, and share.
Difficulty: 1 Easy
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Understand
Learning Outcome: 01-02 Explain systems thinking and how management information systems
enable business communications.
Accessibility: Keyboard Navigation
Gradable: automatic
309
Copyright 2019 © McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior
written consent of McGraw-Hill Education.
274) Which of the following includes the roles and responsibilities of the CKO?
A) Determining the types of information the enterprise will capture, retain, analyze, and share.
B) Collecting, maintaining, and distributing company knowledge.
C) Ensuring the security of business systems and developing strategies and safeguards against
attacks by hackers and viruses.
D) Ensuring that MIS strategically aligns with business goals and objectives.
Answer: B
Explanation: The CKO is responsible for collecting, maintaining, and distributing company
knowledge.
Difficulty: 1 Easy
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Understand
Learning Outcome: 01-02 Explain systems thinking and how management information systems
enable business communications.
Accessibility: Keyboard Navigation
Gradable: automatic
275) According to Fast Company magazine, which of the following executive levels might we
see created over the next decade?
A) Chief intellectual property officer.
B) Chief automation officer.
C) Chief user experience officer.
D) All of the above.
Answer: D
Explanation: According to Fast Company magazine, chief intellectual property officer, chief
automation officer, and chief user experience officer are a few executive levels we might see
created over the next decade.
Difficulty: 2 Medium
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Understand
Learning Outcome: 01-02 Explain systems thinking and how management information systems
enable business communications.
Accessibility: Keyboard Navigation
Gradable: automatic
310
Copyright 2019 © McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior
written consent of McGraw-Hill Education.
276) According to Fast Company magazine, chief intellectual property officer is a new executive
level we might see created over the next decade. Which of the following includes the roles and
responsibilities of this officer?
A) Manage and defend intellectual property, copyrights and patents.
B) Determines if a person or business process can be replaced by a robot or software.
C) Create the optimal relationship between user and technology.
D) Ensure the ethical and legal use of information within an organization.
Answer: A
Explanation: The chief intellectual property officer will manage and defend intellectual
property, copyrights, and patents. The world of intellectual property law is vast and complicated
as new innovations continually enter the market.
Difficulty: 1 Easy
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Understand
Learning Outcome: 01-02 Explain systems thinking and how management information systems
enable business communications.
Accessibility: Keyboard Navigation
Gradable: automatic
277) According to Fast Company magazine, chief automation officer is a new executive level we
might see created over the next decade. Which of the following includes the roles and
responsibilities of this officer?
A) Manage and defend intellectual property, copy-rights and patents.
B) Determines if a person or business process can be replaced by a robot or software.
C) Create the optimal relationship between user and technology.
D) Ensure the ethical and legal use of information within an organization.
Answer: B
Explanation: The chief automation officer determines if a person or business process can be
replaced by a robot or software. As we continue to automate jobs a member of the core
leadership team of the future will be put in charge of identifying opportunities for companies to
become more competitive through automation.
Difficulty: 2 Medium
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Understand
Learning Outcome: 01-02 Explain systems thinking and how management information systems
enable business communications.
Accessibility: Keyboard Navigation
Gradable: automatic
311
Copyright 2019 © McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior
written consent of McGraw-Hill Education.
278) According to Fast Company magazine, chief user experience officer. is a new executive
level we might see created over the next decade. Which of the following includes the roles and
responsibilities of this officer?
A) Manage and defend intellectual property, copy-rights and patents.
B) Determines if a person or business process can be replaced by a robot or software.
C) Create the optimal relationship between user and technology.
D) Ensure the ethical and legal use of information within an organization.
Answer: C
Explanation: Chief user experience officer will create the optimal relationship between user and
technology. User experience used to be an afterthought for hardware and software designers.
Difficulty: 2 Medium
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Understand
Learning Outcome: 01-02 Explain systems thinking and how management information systems
enable business communications.
Accessibility: Keyboard Navigation
Gradable: automatic
279) Jason Charney is the CIO of Zapp Industries. Which of the following does not describe his
primary responsibilities?
A) Manage and defend intellectual property, copyrights and patents.
B) Oversee all the uses of information technology.
C) Ensure the strategic alignment of MIS with business goals and objectives.
D) Have tremendous insight into the capabilities of MIS.
Answer: A
Explanation: The chief information officer (CIO) is responsible for (1) overseeing all uses of
information technology and (2) ensuring the strategic alignment of MIS with business goals and
objectives. CIOs must possess a solid and detailed understanding of every aspect of an
organization coupled with tremendous insight into the capability of MIS
Difficulty: 3 Hard
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Understand
Learning Outcome: 01-02 Explain systems thinking and how management information systems
enable business communications.
Accessibility: Keyboard Navigation
Gradable: automatic
312
Copyright 2019 © McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior
written consent of McGraw-Hill Education.
280) Which of the following is not a broad function of a CIO?
A) Manager.
B) Follower.
C) Communicator.
D) Leader.
Answer: B
Explanation: Broad functions of a CIO include manager, leader, and communicator.
Difficulty: 2 Medium
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Understand
Learning Outcome: 01-02 Explain systems thinking and how management information systems
enable business communications.
Accessibility: Keyboard Navigation
Gradable: automatic
281) Jason Charney is the CIO of Zapp Industries. Which of the following is among his primary
responsibilities?
A) Advocate and communicate the MIS strategy by building and maintaining strong executive
relationships.
B) Determine the types of information the enterprise will capture, retain, analyze, and share.
C) Ensure the efficiency of MIS systems throughout the organization.
D) Develop MIS safeguards against attacks from hackers and viruses.
Answer: A
Explanation: Being a communicator is a broad function of a CIO; the CIO must advocate and
communicate the MIS strategy by building and maintaining strong executive relationships.
Difficulty: 3 Hard
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Understand
Learning Outcome: 01-02 Explain systems thinking and how management information systems
enable business communications.
Accessibility: Keyboard Navigation
Gradable: automatic
313
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written consent of McGraw-Hill Education.
282) What is the difference between the CIO and CDO of an organization?
A) The CIO is responsible for the data, regardless of the information system; the CDO is
responsible for the information systems through which data is stored and processed
B) The CIO is responsible for the information systems through which data is stored and
processed; the CDO is responsible for the data, regardless of the information system.
C) The CIO is responsible for ensuring the throughput, speed, accuracy, availability, and
reliability of an organizations information technology; the CDO is responsible for determining
the types of information the enterprise will capture, retain, analyze, and share.
D) The CIO is responsible for determining the types of information the enterprise will capture,
retain, analyze, and share; the CDO is responsible for ensuring the throughput, speed, accuracy,
availability, and reliability of an organizations information technology
Answer: B
Explanation: The CIO is responsible for the information systems through which data is stored
and processed; the CDO is responsible for the data, regardless of the information system.
Difficulty: 3 Hard
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Understand
Learning Outcome: 01-02 Explain systems thinking and how management information systems
enable business communications.
Accessibility: Keyboard Navigation
Gradable: automatic
283) What is the difference between existing MIS workplace knowledge and the knowledge
required to fulfill business goals and strategies?
A) Off-site training.
B) MIS skills gap.
C) Social recruiting.
D) Information security.
Answer: B
Explanation: This is the definition of MIS skills gap.
Difficulty: 1 Easy
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Understand
Learning Outcome: 01-02 Explain systems thinking and how management information systems
enable business communications.
Accessibility: Keyboard Navigation
Gradable: automatic
314
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written consent of McGraw-Hill Education.
284) Which of the following is a common approach to closing an MIS skills gap?
A) Social recruiting.
B) Off-site training.
C) Mentoring services.
D) All of the above.
Answer: D
Explanation: Common approaches to closing an MIS skills gap include social recruiting, offsite training, mentoring services, and partnerships with universities.
Difficulty: 1 Easy
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Understand
Learning Outcome: 01-02 Explain systems thinking and how management information systems
enable business communications.
Accessibility: Keyboard Navigation
Gradable: automatic
285) Which of the following is not a common approach to closing an MIS skills gap?
A) Social recruiting.
B) Off-site training.
C) Competitive salary.
D) Mentoring services.
Answer: C
Explanation: Common approaches to closing an MIS skills gap include social recruiting, offsite training, mentoring services, and partnerships with universities.
Difficulty: 2 Medium
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Understand
Learning Outcome: 01-02 Explain systems thinking and how management information systems
enable business communications.
Accessibility: Keyboard Navigation
Gradable: automatic
315
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written consent of McGraw-Hill Education.
286) In recruiting lingo, what are perfect MIS candidates sometimes called?
A) Turquoise turtles.
B) Red rabbits.
C) Purple squirrels.
D) White unicorns.
Answer: C
Explanation: Purple squirrels. Squirrels in the real world are not purple–recruiters use this term
to imply that finding the perfect job candidate with exactly the right qualifications, education,
and salary expectations can be a daunting task.
Difficulty: 2 Medium
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Understand
Learning Outcome: 01-02 Explain systems thinking and how management information systems
enable business communications.
Accessibility: Keyboard Navigation
Gradable: automatic
287) What first-ever national appointment was made by President Barack Obama?
A) National Chief Security Officer
B) National Chief Privacy Officer
C) National Chief Technology Officer
D) All of these
Answer: C
Explanation: President Barack Obama appointed the first-ever National Chief Technology
Officer.
Difficulty: 1 Easy
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Remember
Learning Outcome: 01-02 Explain systems thinking and how management information systems
enable business communications.
Accessibility: Keyboard Navigation
Gradable: automatic
316
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written consent of McGraw-Hill Education.
288) Eric Eberly holds an executive position at Parker Industries. He has designed and
implemented a system to collect, maintain, and share information across the many departments
of Parker Industries. He's also instilled an updating protocol requiring department heads to keep
the system up-to-date. Based on this description, what position does Eric hold?
A) Chief information officer (CIO).
B) Chief security officer (CSO).
C) Chief data officer (CDO).
D) Chief knowledge officer (CKO).
Answer: D
Explanation: Based on this description, Eric is the chief knowledge officer (CKO) at Parker
Industries.
Difficulty: 3 Hard
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Remember
Learning Outcome: 01-02 Explain systems thinking and how management information systems
enable business communications.
Accessibility: Keyboard Navigation
Gradable: automatic
289) Cody Osterman holds an executive position at Trek Enterprises. His role is the newest
senior executive position at the organization. He has advised the company on privacy procedures
and processes, and has initiated a training program for employees about the privacy policy,
customer confidentiality, and data security. Based on this description, what position does Cody
hold at Trek Enterprises?
A) Chief information officer (CIO).
B) Chief security officer (CSO).
C) Chief data officer (CDO).
D) Chief privacy officer (CPO).
Answer: D
Explanation: Based on this description, Cody is the chief privacy officer (CPO) at Trek
Enterprises.
Difficulty: 3 Hard
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Remember
Learning Outcome: 01-02 Explain systems thinking and how management information systems
enable business communications.
Accessibility: Keyboard Navigation
Gradable: automatic
317
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written consent of McGraw-Hill Education.
290) Sara McGuire holds an executive position at Henry Commerce. She is a big-picture thinker,
and makes sure the technology strategy at Henry Commerce serves its business strategy. She has
a well-rounded knowledge of MIS and her primary responsibilities include the efficiency of
Henry Commerce's MIS systems. Based on this description, what position does Sara hold?
A) Chief information officer (CIO).
B) Chief technology officer (CTO).
C) Chief data officer (CDO).
D) Chief privacy officer (CPO).
Answer: B
Explanation: Based on this description, Sara is the chief technology officer (CTO) of Henry
Commerce.
Difficulty: 3 Hard
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Remember
Learning Outcome: 01-02 Explain systems thinking and how management information systems
enable business communications.
Accessibility: Keyboard Navigation
Gradable: automatic
291) Sara McGuire holds an executive position at Henry Commerce. She is a big-picture thinker,
and makes sure the technology strategy at Henry Commerce serves its business strategy. She has
a well-rounded knowledge of MIS and her primary responsibilities include the efficiency of
Henry Commerce's MIS systems. Based on this description, what position does Sara hold?
A) Chief information officer (CIO).
B) Chief technology officer (CTO).
C) Chief data officer (CDO).
D) Chief privacy officer (CPO).
Answer: B
Explanation: Based on this description, Sara is the Chief technology officer (CTO) of Henry
Commerce.
Difficulty: 3 Hard
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Remember
Learning Outcome: 01-02 Explain systems thinking and how management information systems
enable business communications.
Accessibility: Keyboard Navigation
Gradable: automatic
318
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written consent of McGraw-Hill Education.
292) Adam Nation holds an executive position at PH Corporation. He has an extensive
understanding of networks and telecommunications. Adam is aware of the informationtechnology threats the company faces, and institutes security protocols and safeguards to secure
the MIS systems at PH Corporation. Based on this description, what position does Adam hold?
A) Chief security officer (CSO).
B) Chief technology officer (CTO).
C) Chief data officer (CDO).
D) Chief privacy officer (CPO).
Answer: A
Explanation: Based on this description, Adam is the Chief security officer (CSO) of PH
Corporation.
Difficulty: 3 Hard
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Remember
Learning Outcome: 01-02 Explain systems thinking and how management information systems
enable business communications.
Accessibility: Keyboard Navigation
Gradable: automatic
293) Jim Coleman holds an executive position at Keck-Howes Group. Jim has improved the
quality of the data gathered by the organization, and has also created a model to decrease the cost
of managing data while increasing the value of the data gathered. Based on this description, what
position does Jim hold at Keck-Howes Group?
A) Chief security officer (CSO).
B) Chief technology officer (CTO).
C) Chief data officer (CDO).
D) Chief privacy officer (CPO).
Answer: C
Explanation: Based on this description, Jim is the chief data officer (CDO) of Keck-Howes
Group.
Difficulty: 3 Hard
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Remember
Learning Outcome: 01-02 Explain systems thinking and how management information systems
enable business communications.
Accessibility: Keyboard Navigation
Gradable: automatic
319
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written consent of McGraw-Hill Education.
294) Feedback is information that returns to its original transmitter and modifies the transmitter's
actions. What would the original transmitter include?
A) Input, Transform, Output.
B) Input, Transform, Outnumber.
C) Output, Input, Performer.
D) Input, Process, Transform.
Answer: A
Explanation: Feedback is information that returns to its original transmitter and modifies the
transmitter's actions. The original transmitter includes input - transform - output.
Difficulty: 2 Medium
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Understand
Learning Outcome: 01-03 Explain why competitive advantages are temporary along with the
four key areas of a SWOT analysis.
Accessibility: Keyboard Navigation
Gradable: automatic
295) MIS is a business function. Which of the following does MIS perform to help aid the
company in decision making and problem solving?
A) Moves information about people.
B) Moves processes across the company to improve systems.
C) Moves information about products.
D) All of the above.
Answer: D
Explanation: MIS is a business function, which moves information about people, products, and
processes across the company to facilitate decision making and problem solving.
Difficulty: 1 Easy
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Remember
Learning Outcome: 01-03 Explain why competitive advantages are temporary along with the
four key areas of a SWOT analysis.
Accessibility: Keyboard Navigation
Gradable: automatic
320
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written consent of McGraw-Hill Education.
296) In terms of system thinking, what is data entered in a computer?
A) Input.
B) Output.
C) Process
D) Feedback
Answer: A
Explanation: Input is data entered in a computer.
Difficulty: 1 Easy
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Remember
Learning Outcome: 01-03 Explain why competitive advantages are temporary along with the
four key areas of a SWOT analysis.
Accessibility: Keyboard Navigation
Gradable: automatic
297) In terms of system thinking, what controls to ensure correct processes?
A) Input.
B) Output.
C) Process
D) Feedback
Answer: D
Explanation: Feedback is the controls that ensures correct processing.
Difficulty: 1 Easy
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Remember
Learning Outcome: 01-03 Explain why competitive advantages are temporary along with the
four key areas of a SWOT analysis.
Accessibility: Keyboard Navigation
Gradable: automatic
321
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written consent of McGraw-Hill Education.
298) In terms of system thinking, what is the resulting information from the computer program?
A) Input.
B) Output.
C) Process
D) Feedback
Answer: B
Explanation: Output is the resulting information from the computer program.
Difficulty: 1 Easy
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Remember
Learning Outcome: 01-03 Explain why competitive advantages are temporary along with the
four key areas of a SWOT analysis.
Accessibility: Keyboard Navigation
Gradable: automatic
299) In terms of system thinking, what is the computer program that processes the data?
A) Input.
B) Output.
C) Process
D) Feedback
Answer: C
Explanation: Process is the computer program that processes the data.
Difficulty: 1 Easy
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Remember
Learning Outcome: 01-03 Explain why competitive advantages are temporary along with the
four key areas of a SWOT analysis.
Accessibility: Keyboard Navigation
Gradable: automatic
322
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written consent of McGraw-Hill Education.
300) In terms of system thinking, what is input?
A) Data entered in a computer
B) Controls to ensure correct processes
C) The resulting information from the computer program
D) The computer program that processes the data
Answer: A
Explanation: Input is data entered in a computer.
Difficulty: 1 Easy
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Remember
Learning Outcome: 01-03 Explain why competitive advantages are temporary along with the
four key areas of a SWOT analysis.
Accessibility: Keyboard Navigation
Gradable: automatic
301) In terms of system thinking, what is output?
A) Data entered in a computer
B) Controls to ensure correct processes
C) The resulting information from the computer program
D) The computer program that processes the data
Answer: C
Explanation: Output is the resulting information from the computer program.
Difficulty: 1 Easy
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Remember
Learning Outcome: 01-03 Explain why competitive advantages are temporary along with the
four key areas of a SWOT analysis.
Accessibility: Keyboard Navigation
Gradable: automatic
323
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written consent of McGraw-Hill Education.
302) In terms of system thinking, what is feedback?
A) Data entered in a computer
B) Controls to ensure correct processes
C) The resulting information from the computer program
D) The computer program that processes the data
Answer: B
Explanation: Feedback is controls to ensure correct processes.
Difficulty: 1 Easy
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Remember
Learning Outcome: 01-03 Explain why competitive advantages are temporary along with the
four key areas of a SWOT analysis.
Accessibility: Keyboard Navigation
Gradable: automatic
303) In terms of system thinking, what is process?
A) Data entered in a computer
B) Controls to ensure correct processes
C) The resulting information from the computer program
D) The computer program that processes the data
Answer: D
Explanation: Process is the computer program that processes the data
Difficulty: 1 Easy
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Remember
Learning Outcome: 01-03 Explain why competitive advantages are temporary along with the
four key areas of a SWOT analysis.
Accessibility: Keyboard Navigation
Gradable: automatic
324
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written consent of McGraw-Hill Education.
304) A system is a collection of parts that link to achieve a common purpose. Systems thinking is
a way of monitoring ________.
A) The entire system.
B) A division within the sales role.
C) The executive team.
D) The company's competitors.
Answer: A
Explanation: A system is a collection of parts that link to achieve a common purpose, where
systems thinking is a way of monitoring the entire system by viewing multiple inputs being
processed or transformed to produce outputs while continuously gathering feedback on each part.
Difficulty: 2 Medium
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Understand
Learning Outcome: 01-03 Explain why competitive advantages are temporary along with the
four key areas of a SWOT analysis.
Accessibility: Keyboard Navigation
Gradable: automatic
305) MIS can be an important enabler of business success and innovation. Which of the below
statements is accurate when referring to MIS?
A) MIS equals business success and innovation.
B) MIS represents business success and innovation.
C) MIS is not a valuable tool that leverages talent.
D) MIS is a valuable tool that can leverage the talents of people who know how to use and
manage it effectively.
Answer: D
Explanation: It is a valuable tool that can leverage the talents of people who know how to use
and manage it effectively
Difficulty: 2 Medium
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Understand
Learning Outcome: 01-03 Explain why competitive advantages are temporary along with the
four key areas of a SWOT analysis.
Accessibility: Keyboard Navigation
Gradable: automatic
325
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written consent of McGraw-Hill Education.
306) What is a way of monitoring the entire system in a company, by viewing the multiple inputs
being processed to produce outputs?
A) Feedback thinking.
B) Systems thinking.
C) Output management.
D) Operational thinking.
Answer: B
Explanation: Systems thinking is a way of monitoring the entire system by viewing multiple
inputs being processed or transformed to produce outputs while continuously gathering feedback
on each part.
Difficulty: 1 Easy
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Remember
Learning Outcome: 01-03 Explain why competitive advantages are temporary along with the
four key areas of a SWOT analysis.
Accessibility: Keyboard Navigation
Gradable: automatic
307) Which of the following statements is true?
A) MIS equals business success.
B) MIS equals business innovation.
C) MIS represents business success and innovation.
D) MIS enables business success and innovation.
Answer: D
Explanation: MIS is an important enabler of business success and innovation.
Difficulty: 1 Easy
Topic: The Solution Management Information's Systems
Bloom's: Remember
Learning Outcome: 01-03 Explain why competitive advantages are temporary along with the
four key areas of a SWOT analysis.
Accessibility: Keyboard Navigation
Gradable: automatic
326
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written consent of McGraw-Hill Education.
308) What is the name of a company's internal computer department?
A) Management information systems (MIS)
B) Information systems (IS)
C) Information technology (IT)
D) All of the above
Answer: D
Explanation: Typical organizations have an internal MIS department often called Information
Technology (IT), Information Systems (IS), or Management Information Systems (MIS).
Difficulty: 1 Easy
Topic: The Solution Management Information's Systems
Bloom's: Remember
Learning Outcome: 01-03 Explain why competitive advantages are temporary along with the
four key areas of a SWOT analysis.
Accessibility: Keyboard Navigation
Gradable: automatic
309) What are material items or products that customers will buy to satisfy a want or need?
A) Goods
B) Services
C) Production
D) Productivity
Answer: A
Explanation: Goods are material items or products that customers will buy to satisfy a want or
need.
Difficulty: 1 Easy
Topic: The Solution Management Information's Systems
Bloom's: Remember
Learning Outcome: 01-03 Explain why competitive advantages are temporary along with the
four key areas of a SWOT analysis.
Accessibility: Keyboard Navigation
Gradable: automatic
327
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written consent of McGraw-Hill Education.
310) What are tasks performed by people that customers will buy to satisfy a want or need?
A) Goods
B) Services
C) Production
D) Productivity
Answer: B
Explanation: Services are tasks performed by people that customers will buy to satisfy a want
or need.
Difficulty: 1 Easy
Topic: The Solution Management Information's Systems
Bloom's: Remember
Learning Outcome: 01-03 Explain why competitive advantages are temporary along with the
four key areas of a SWOT analysis.
Accessibility: Keyboard Navigation
Gradable: automatic
311) What is the process where a business takes raw materials and processes them or converts
them into a finished product for its goods or services?
A) Goods
B) Services
C) Production
D) Productivity
Answer: C
Explanation: Production is the process where a business takes raw materials and processes them
or converts them into a finished product for its goods or services.
Difficulty: 1 Easy
Topic: The Solution Management Information's Systems
Bloom's: Remember
Learning Outcome: 01-03 Explain why competitive advantages are temporary along with the
four key areas of a SWOT analysis.
Accessibility: Keyboard Navigation
Gradable: automatic
328
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written consent of McGraw-Hill Education.
312) What is the rate at which goods and services are produced based upon total output given
total inputs?
A) Goods
B) Services
C) Production
D) Productivity
Answer: D
Explanation: Productivity is the rate at which goods and services are produced based upon total
output given total inputs.
Difficulty: 1 Easy
Topic: The Solution Management Information's Systems
Bloom's: Remember
Learning Outcome: 01-03 Explain why competitive advantages are temporary along with the
four key areas of a SWOT analysis.
Accessibility: Keyboard Navigation
Gradable: automatic
313) What are goods?
A) Material items or products that customers will buy to satisfy a want or need.
B) Tasks performed by people that customers will buy to satisfy a want or need.
C) The process where a business takes raw materials and processes them or converts them into a
finished product for its goods or services.
D) The rate at which goods and services are produced based upon total output given total inputs.
Answer: A
Explanation: Goods are material items or products that customers will buy to satisfy a want or
need.
Difficulty: 1 Easy
Topic: The Solution Management Information's Systems
Bloom's: Remember
Learning Outcome: 01-03 Explain why competitive advantages are temporary along with the
four key areas of a SWOT analysis.
Accessibility: Keyboard Navigation
Gradable: automatic
329
Copyright 2019 © McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior
written consent of McGraw-Hill Education.
314) What are services?
A) Material items or products that customers will buy to satisfy a want or need.
B) Tasks performed by people that customers will buy to satisfy a want or need.
C) The process where a business takes raw materials and processes them or converts them into a
finished product for its goods or services.
D) The rate at which goods and services are produced based upon total output given total inputs.
Answer: B
Explanation: Services are tasks performed by people that customers will buy to satisfy a want
or need.
Difficulty: 1 Easy
Topic: The Solution Management Information's Systems
Bloom's: Remember
Learning Outcome: 01-03 Explain why competitive advantages are temporary along with the
four key areas of a SWOT analysis.
Accessibility: Keyboard Navigation
Gradable: automatic
315) What is production?
A) Material items or products that customers will buy to satisfy a want or need.
B) Tasks performed by people that customers will buy to satisfy a want or need.
C) The process where a business takes raw materials and processes them or converts them into a
finished product for its goods or services.
D) The rate at which goods and services are produced based upon total output given total inputs.
Answer: C
Explanation: Production is the process where a business takes raw materials and processes them
or converts them into a finished product for its goods or services.
Difficulty: 1 Easy
Topic: The Solution Management Information's Systems
Bloom's: Remember
Learning Outcome: 01-03 Explain why competitive advantages are temporary along with the
four key areas of a SWOT analysis.
Accessibility: Keyboard Navigation
Gradable: automatic
330
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written consent of McGraw-Hill Education.
316) What is productivity?
A) Material items or products that customers will buy to satisfy a want or need.
B) Tasks performed by people that customers will buy to satisfy a want or need.
C) The process where a business takes raw materials and processes them or converts them into a
finished product for its goods or services.
D) The rate at which goods and services are produced based upon total output given total inputs.
Answer: D
Explanation: Productivity is the rate at which goods and services are produced based upon total
output given total inputs.
Difficulty: 1 Easy
Topic: The Solution Management Information's Systems
Bloom's: Remember
Learning Outcome: 01-03 Explain why competitive advantages are temporary along with the
four key areas of a SWOT analysis.
Accessibility: Keyboard Navigation
Gradable: automatic
317) Cars, groceries, and clothing belong in which category?
A) Goods
B) Services
C) Production
D) Productivity
Answer: A
Explanation: Cars, groceries, and clothing belong in the goods category.
Difficulty: 1 Easy
Topic: The Solution Management Information's Systems
Bloom's: Remember
Learning Outcome: 01-03 Explain why competitive advantages are temporary along with the
four key areas of a SWOT analysis.
Accessibility: Keyboard Navigation
Gradable: automatic
331
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written consent of McGraw-Hill Education.
318) Teaching, waiting tables, and cutting hair belong in which category?
A) Goods
B) Services
C) Production
D) Productivity
Answer: B
Explanation: Teaching, waiting tables, and cutting hair belong in the services category.
Difficulty: 1 Easy
Topic: The Solution Management Information's Systems
Bloom's: Remember
Learning Outcome: 01-03 Explain why competitive advantages are temporary along with the
four key areas of a SWOT analysis.
Accessibility: Keyboard Navigation
Gradable: automatic
319) Which of the following is considered a good?
A) Cars
B) Groceries
C) Clothing
D) All of the above
Answer: D
Explanation: Cars, groceries, and clothing belong in the goods category.
Difficulty: 1 Easy
Topic: The Solution Management Information's Systems
Bloom's: Remember
Learning Outcome: 01-03 Explain why competitive advantages are temporary along with the
four key areas of a SWOT analysis.
Accessibility: Keyboard Navigation
Gradable: automatic
332
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written consent of McGraw-Hill Education.
320) Which of the following is considered a service?
A) Teaching
B) Waiting tables
C) Cutting hair
D) All of the above
Answer: D
Explanation: Teaching, waiting tables, and cutting hair belong in the services category.
Difficulty: 1 Easy
Topic: The Solution Management Information's Systems
Bloom's: Remember
Learning Outcome: 01-03 Explain why competitive advantages are temporary along with the
four key areas of a SWOT analysis.
Accessibility: Keyboard Navigation
Gradable: automatic
321) Which of the following is considered a good?
A) Cars
B) Teaching
C) Waiting tables
D) All of the above
Answer: A
Explanation: Cars, groceries, and clothing belong in the goods category.
Difficulty: 1 Easy
Topic: The Solution Management Information's Systems
Bloom's: Remember
Learning Outcome: 01-03 Explain why competitive advantages are temporary along with the
four key areas of a SWOT analysis.
Accessibility: Keyboard Navigation
Gradable: automatic
333
Copyright 2019 © McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior
written consent of McGraw-Hill Education.
322) Which of the following is considered a service?
A) Cars
B) Groceries
C) Cutting hair
D) All of the above
Answer: C
Explanation: Teaching, waiting tables, and cutting hair belong in the services category.
Difficulty: 1 Easy
Topic: The Solution Management Information's Systems
Bloom's: Remember
Learning Outcome: 01-03 Explain why competitive advantages are temporary along with the
four key areas of a SWOT analysis.
Accessibility: Keyboard Navigation
Gradable: automatic
323) Which of the following is considered a good?
A) Milk and eggs
B) Managing a team
C) Selling groceries
D) All of the above
Answer: A
Explanation: Milk and eggs are groceries. Cars, groceries, and clothing belong in the goods
category.
Difficulty: 1 Easy
Topic: The Solution Management Information's Systems
Bloom's: Remember
Learning Outcome: 01-03 Explain why competitive advantages are temporary along with the
four key areas of a SWOT analysis.
Accessibility: Keyboard Navigation
Gradable: automatic
334
Copyright 2019 © McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior
written consent of McGraw-Hill Education.
324) Which of the following is considered a service?
A) Selling groceries
B) Managing a team
C) Cutting hair
D) All of the above
Answer: D
Explanation: Selling groceries, managing a team, teaching, waiting tables, and cutting hair
belong in the services category.
Difficulty: 1 Easy
Topic: The Solution Management Information's Systems
Bloom's: Remember
Learning Outcome: 01-03 Explain why competitive advantages are temporary along with the
four key areas of a SWOT analysis.
Accessibility: Keyboard Navigation
Gradable: automatic
325) The lettuce, tomatoes, patty, bun, and ketchup are included in which category of making a
hamburger?
A) Input
B) Process
C) Output
D) All of the above
Answer: A
Explanation: Lettuce, tomatoes, patty, bun, and ketchup are all included in the input category of
making a hamburger.
Difficulty: 1 Easy
Topic: The Solution Management Information's Systems
Bloom's: Remember
Learning Outcome: 01-03 Explain why competitive advantages are temporary along with the
four key areas of a SWOT analysis.
Accessibility: Keyboard Navigation
Gradable: automatic
335
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written consent of McGraw-Hill Education.
326) Cooking a patty and putting the ingredients together are included in which category of
making a hamburger?
A) Input
B) Process
C) Output
D) All of the above
Answer: B
Explanation: Cooking a patty and putting the ingredients together are all included in the process
category of making a hamburger.
Difficulty: 1 Easy
Topic: The Solution Management Information's Systems
Bloom's: Remember
Learning Outcome: 01-03 Explain why competitive advantages are temporary along with the
four key areas of a SWOT analysis.
Accessibility: Keyboard Navigation
Gradable: automatic
327) The actual hamburger is included in which category of making a hamburger?
A) Input
B) Process
C) Output
D) All of the above
Answer: C
Explanation: The hamburger is the output in the process of making a hamburger.
Difficulty: 1 Easy
Topic: The Solution Management Information's Systems
Bloom's: Remember
Learning Outcome: 01-03 Explain why competitive advantages are temporary along with the
four key areas of a SWOT analysis.
Accessibility: Keyboard Navigation
Gradable: automatic
336
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written consent of McGraw-Hill Education.
328) Assume you are in the business of producing and selling hamburgers. If you could produce
more hamburgers with the same input what would happen to your productivity and profits
assuming the price of your hamburgers remains the same?
A) Increase in productivity, decrease in profits
B) Increase in productivity, increase in profits
C) Decrease in productivity, decrease in profits
D) Decrease in productivity, increase in profits
Answer: B
Explanation: If you could produce more hamburgers with the same input and the price of your
hamburgers remains the same productivity would increase and profits would increase.
Difficulty: 3 Hard
Topic: The Solution Management Information's Systems
Bloom's: Understand
Learning Outcome: 01-03 Explain why competitive advantages are temporary along with the
four key areas of a SWOT analysis.
Accessibility: Keyboard Navigation
Gradable: automatic
329) Assume you are in the business of producing and selling t-shirts. If you could produce more
t-shirts with the same input what would happen to your productivity and profits assuming the
price of your t-shirts remains the same?
A) Increase in productivity, decrease in profits
B) Increase in productivity, increase in profits
C) Decrease in productivity, decrease in profits
D) Decrease in productivity, increase in profits
Answer: B
Explanation: If you could produce more t-shirts with the same input and the price of your tshirts remains the same productivity would increase and profits would increase.
Difficulty: 3 Hard
Topic: The Solution Management Information's Systems
Bloom's: Understand
Learning Outcome: 01-03 Explain why competitive advantages are temporary along with the
four key areas of a SWOT analysis.
Accessibility: Keyboard Navigation
Gradable: automatic
337
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written consent of McGraw-Hill Education.
330) Assume you are in the business of producing and selling cars. If you could produce more
cars with the same input what would happen to your productivity and profits assuming the price
of your cars remains the same?
A) Increase in productivity, decrease in profits
B) Increase in productivity, increase in profits
C) Decrease in productivity, decrease in profits
D) Decrease in productivity, increase in profits
Answer: B
Explanation: If you could produce more cars with the same input and the price of your cars
remains the same productivity would increase and profits would increase.
Difficulty: 3 Hard
Topic: The Solution Management Information's Systems
Bloom's: Understand
Learning Outcome: 01-03 Explain why competitive advantages are temporary along with the
four key areas of a SWOT analysis.
Accessibility: Keyboard Navigation
Gradable: automatic
331) Which four elements are included in systems thinking?
A) Output, Process, Feedback, and Accounting.
B) Process, Output, Operations, and Accounting.
C) Input, Process, Output, and Feedback.
D) Input, Output, Sales, and Feedback.
Answer: C
Explanation: The systems thinking process includes input, process, output, and feedback.
Difficulty: 1 Easy
Topic: The Solution Management Information's Systems
Bloom's: Remember
Learning Outcome: 01-03 Explain why competitive advantages are temporary along with the
four key areas of a SWOT analysis.
Accessibility: Keyboard Navigation
Gradable: automatic
338
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written consent of McGraw-Hill Education.
332) MIS is a business function, like accounting or sales, which moves information about
people, products, and processes across the company to facilitate decision making and problem
solving. What does MIS stand for?
A) Management Information Strategy.
B) Management Intelligence System.
C) Management Information System.
D) Management Information Strategist.
Answer: C
Explanation: Management Information Systems
Difficulty: 1 Easy
Topic: The Solution Management Information's Systems
Bloom's: Remember
Learning Outcome: 01-03 Explain why competitive advantages are temporary along with the
four key areas of a SWOT analysis.
Accessibility: Keyboard Navigation
Gradable: automatic
333) Shelby Black runs a very successful hair salon in downtown Los Angeles. One of Shelby's
tasks is to input positive and negative customer reviews into her computer system. What type of
information is Shelby gathering?
A) Feedback.
B) Processing.
C) Output management.
D) Sales processing.
Answer: A
Explanation: Feedback is information that returns to its original transmitter (input, transform, or
output) and modifies the transmitter's actions.
Difficulty: 2 Medium
Topic: The Solution Management Information's Systems
Bloom's: Understand
Learning Outcome: 01-03 Explain why competitive advantages are temporary along with the
four key areas of a SWOT analysis.
Accessibility: Keyboard Navigation
Gradable: automatic
339
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written consent of McGraw-Hill Education.
334) Which of the following provides an accurate definition of systems thinking?
A) A way of monitoring the entire system by viewing multiple inputs being processed or
transformed to produce outputs while continuously gathering feedback on each part.
B) A way of monitoring individual components including an input, the process, and an output,
while continuously gathering feedback on the entire system.
C) A way of monitoring the entire system by viewing multiple inputs being processed or
transformed to produce outputs while continuously gathering feedback on the entire system.
D) A way of monitoring singular parts of a system by viewing a single input that is processed or
transformed to produce an entire system that is continuously monitored to gather feedback on
each individual part.
Answer: A
Explanation: Systems thinking is a way of monitoring the entire system by viewing multiple
inputs being processed or transformed to produce outputs while continuously gathering feedback
on each part.
Difficulty: 1 Easy
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Remember
Learning Outcome: 01-02 Explain systems thinking and how management information systems
enable business communications.
Accessibility: Keyboard Navigation
Gradable: automatic
335) If you were thinking about a washing machine as a system which of the following
represents the inputs?
A) The dirty clothes, water, and detergent.
B) The clean clothes.
C) The wash and rinse cycle.
D) The light indicating that the washer is off balance and has stopped.
Answer: A
Explanation: The inputs for a washing machine include the dirty clothes, water, and detergent.
Difficulty: 1 Easy
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Remember
Learning Outcome: 01-02 Explain systems thinking and how management information systems
enable business communications.
Accessibility: Keyboard Navigation
Gradable: automatic
340
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written consent of McGraw-Hill Education.
336) If you were thinking about a washing machine as a system which of the following
represents the process?
A) The dirty clothes, water, and detergent.
B) The clean clothes.
C) The wash and rinse cycle.
D) The light indicating that the washer is off balance and has stopped.
Answer: C
Explanation: The process for a washing machine includes the wash and rinse cycle.
Difficulty: 1 Easy
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Remember
Learning Outcome: 01-02 Explain systems thinking and how management information systems
enable business communications.
Accessibility: Keyboard Navigation
Gradable: automatic
337) If you were thinking about a washing machine as a system which of the following
represents the feedback?
A) The dirty clothes, water, and detergent.
B) The clean clothes.
C) The wash and rinse cycle.
D) The light indicating that the washer is off balance and has stopped.
Answer: D
Explanation: The feedback for a washing machine includes a light indicating that the washer is
off balance and has stopped.
Difficulty: 1 Easy
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Remember
Learning Outcome: 01-02 Explain systems thinking and how management information systems
enable business communications.
Accessibility: Keyboard Navigation
Gradable: automatic
341
Copyright 2019 © McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior
written consent of McGraw-Hill Education.
338) If you were thinking about a washing machine as a system which of the following
represents the outputs?
A) The dirty clothes, water, and detergent.
B) The clean clothes.
C) The wash and rinse cycle.
D) The light indicating that the washer is off balance and has stopped.
Answer: B
Explanation: The output for a washing machine includes clean clothes.
Difficulty: 1 Easy
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Remember
Learning Outcome: 01-02 Explain systems thinking and how management information systems
enable business communications.
Accessibility: Keyboard Navigation
Gradable: automatic
339) If you were thinking about an oven as a system which of the following represents the input?
A) The uncooked food.
B) The cooked food.
C) A light indicating that the oven has reached the preheated temperature.
D) The oven running at 350 degrees for 20 minutes.
Answer: A
Explanation: The input for an oven includes the uncooked food.
Difficulty: 1 Easy
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Remember
Learning Outcome: 01-02 Explain systems thinking and how management information systems
enable business communications.
Accessibility: Keyboard Navigation
Gradable: automatic
342
Copyright 2019 © McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior
written consent of McGraw-Hill Education.
340) If you were thinking about an oven as a system which of the following represents the
output?
A) The uncooked food.
B) The cooked food.
C) A light indicating that the oven has reached the preheated temperature.
D) The oven running at 350 degrees for 20 minutes.
Answer: B
Explanation: The output for an oven includes the cooked food.
Difficulty: 1 Easy
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Remember
Learning Outcome: 01-02 Explain systems thinking and how management information systems
enable business communications.
Accessibility: Keyboard Navigation
Gradable: automatic
341) If you were thinking about an oven as a system which of the following represents the
process?
A) The uncooked food.
B) The cooked food.
C) A light indicating that the oven has reached the preheated temperature.
D) The oven running at 350 degrees for 20 minutes.
Answer: D
Explanation: The process for an oven includes running at 350 degrees for 20 minutes.
Difficulty: 1 Easy
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Remember
Learning Outcome: 01-02 Explain systems thinking and how management information systems
enable business communications.
Accessibility: Keyboard Navigation
Gradable: automatic
343
Copyright 2019 © McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior
written consent of McGraw-Hill Education.
342) If you were thinking about an oven as a system which of the following represents the
feedback?
A) The uncooked food.
B) The cooked food.
C) A light indicating that the oven has reached the preheated temperature.
D) The oven running at 350 degrees for 20 minutes.
Answer: C
Explanation: The feedback for an oven includes a light indicating that the oven has reached the
preheated temperature.
Difficulty: 1 Easy
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Remember
Learning Outcome: 01-02 Explain systems thinking and how management information systems
enable business communications.
Accessibility: Keyboard Navigation
Gradable: automatic
343) If you were thinking about a home theater system which of the following represents the
inputs?
A) The DVD player, DVD movie, speakers, TV, and electricity.
B) Playing the movie including the audio through the speakers and the video on the TV.
C) A message stating that the disk is dirty and cannot be played.
D) Spinning the disk to play, pause, rewind, or fast forward.
Answer: A
Explanation: A home theater system requires inputs of the DVD player, DVD movie, speakers,
TV, and electricity.
Difficulty: 1 Easy
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Remember
Learning Outcome: 01-02 Explain systems thinking and how management information systems
enable business communications.
Accessibility: Keyboard Navigation
Gradable: automatic
344
Copyright 2019 © McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior
written consent of McGraw-Hill Education.
344) If you were thinking about a home theater system which of the following represents the
outputs?
A) The DVD player, DVD movie, speakers, TV, and electricity.
B) Playing the movie including the audio through the speakers and the video on the TV.
C) A message stating that the disk is dirty and cannot be played.
D) Spinning the disk to play, pause, rewind, or fast forward.
Answer: B
Explanation: The output of a home theater system includes playing the movie including the
audio through the speakers and the video on the TV.
Difficulty: 1 Easy
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Remember
Learning Outcome: 01-02 Explain systems thinking and how management information systems
enable business communications.
Accessibility: Keyboard Navigation
Gradable: automatic
345) If you were thinking about a home theater system which of the following represents the
process?
A) The DVD player, DVD movie, speakers, TV, and electricity.
B) Playing the movie including the audio through the speakers and the video on the TV.
C) A message stating that the disk is dirty and cannot be played.
D) Spinning the disk to play, pause, rewind, or fast forward.
Answer: D
Explanation: The process of a home theater system includes spinning the disk to play, pause,
rewind, or fast forward.
Difficulty: 1 Easy
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Remember
Learning Outcome: 01-02 Explain systems thinking and how management information systems
enable business communications.
Accessibility: Keyboard Navigation
Gradable: automatic
345
Copyright 2019 © McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior
written consent of McGraw-Hill Education.
346) If you were thinking about a home theater system which of the following represents the
feedback?
A) The DVD player, DVD movie, speakers, TV, and electricity.
B) Playing the movie including the audio through the speakers and the video on the TV.
C) A message stating that the disk is dirty and cannot be played.
D) Spinning the disk to play, pause, rewind, or fast forward.
Answer: C
Explanation: The feedback from a home theater system includes a message stating that the disk
is dirty and cannot be played.
Difficulty: 1 Easy
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Remember
Learning Outcome: 01-02 Explain systems thinking and how management information systems
enable business communications.
Accessibility: Keyboard Navigation
Gradable: automatic
347) Which of the following is not a typical way that a company would duplicate a competitive
advantage?
A) Acquiring the new technology.
B) Copying the business operations.
C) Hiring away key employees.
D) Carrying large product inventories.
Answer: D
Explanation: Ways that companies duplicate competitive advantages include acquiring new
technology, copying the business operations, and hiring away key employees.
Difficulty: 2 Medium
Topic: Identifying Competitive Advantages
Bloom's: Understand
Learning Outcome: 01-03 Explain why competitive advantages are temporary along with the
four key areas of a SWOT analysis.
Accessibility: Keyboard Navigation
Gradable: automatic
346
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written consent of McGraw-Hill Education.
348) When a company is the first to market with a competitive advantage, this is called a firstmover advantage. All of the following companies were first-movers except ________.
A) FedEx – online self-service software.
B) Apple – iPad.
C) Apple – iPod.
D) Microsoft – Bing Search Engine.
Answer: D
Explanation: First-mover advantage is an advantage that occurs when a company can
significantly increase its market share by being first with a competitive advantage. Google was
first to market with search engine technology.
Difficulty: 3 Hard
Topic: Identifying Competitive Advantages
Bloom's: Analyze
Learning Outcome: 01-03 Explain why competitive advantages are temporary along with the
four key areas of a SWOT analysis.
Accessibility: Keyboard Navigation
Gradable: automatic
349) A business strategy achieves a specific set of goals which include ________.
A) Developing new products or services, attracting new competition.
B) Increasing costs, attracting new competition.
C) Attracting new customers, developing new products or services.
D) All of the above.
Answer: C
Explanation: A business strategy is a leadership plan that achieves a specific set of goals or
objectives such as developing new products or services, entering new markets, increasing
customer loyalty, attracting new customers, increasing sales, and decreasing costs.
Difficulty: 1 Easy
Topic: Identifying Competitive Advantages
Bloom's: Remember
Learning Outcome: 01-03 Explain why competitive advantages are temporary along with the
four key areas of a SWOT analysis.
Accessibility: Keyboard Navigation
Gradable: automatic
347
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written consent of McGraw-Hill Education.
350) Which of the following is a tool a manager can use to analyze competitive intelligence and
identify competitive advantages?
A) The three generic strategies.
B) The threat of substitute buyer power.
C) Differentiated costs.
D) Supplier loyalty.
Answer: A
Explanation: Managers utilize three common tools to analyze competitive intelligence and
develop competitive advantages including: 1) the five forces model, 2) the three generic
strategies, and 3) value chain analysis.
Difficulty: 1 Easy
Topic: Identifying Competitive Advantages
Bloom's: Remember
Learning Outcome: 01-03 Explain why competitive advantages are temporary along with the
four key areas of a SWOT analysis.
Accessibility: Keyboard Navigation
Gradable: automatic
351) Identifying competitive advantages can be difficult and explains why they are typically
________.
A) Temporary.
B) Satisfactory.
C) Terminated.
D) Unsuccessful.
Answer: A
Explanation: Competitive advantages are typically temporary.
Difficulty: 1 Easy
Topic: Identifying Competitive Advantages
Bloom's: Remember
Learning Outcome: 01-03 Explain why competitive advantages are temporary along with the
four key areas of a SWOT analysis.
Accessibility: Keyboard Navigation
Gradable: automatic
348
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written consent of McGraw-Hill Education.
352) Updating business strategies is a continuous undertaking as internal and external
environments ________.
A) Become less competitive.
B) Remain stagnant.
C) Rapidly change.
D) Become more consistent.
Answer: C
Explanation: Updating business strategies is a continuous undertaking as internal and external
environments rapidly change.
Difficulty: 2 Medium
Topic: Identifying Competitive Advantages
Bloom's: Understand
Learning Outcome: 01-03 Explain why competitive advantages are temporary along with the
four key areas of a SWOT analysis.
Accessibility: Keyboard Navigation
Gradable: automatic
353) Which of the following represents a reason why competitive advantages are typically
temporary?
A) The competitor will hire away your key employees.
B) The competitor quickly seeks ways to duplicate your business operations.
C) The competitor will purchase new technology.
D) All of the above.
Answer: D
Explanation: Competitive advantages are typically temporary, because competitors often
quickly seek ways to duplicate them by acquiring new technology, copying the business
operations, and hiring away key employees.
Difficulty: 2 Medium
Topic: Identifying Competitive Advantages
Bloom's: Understand
Learning Outcome: 01-03 Explain why competitive advantages are temporary along with the
four key areas of a SWOT analysis.
Accessibility: Keyboard Navigation
Gradable: automatic
349
Copyright 2019 © McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior
written consent of McGraw-Hill Education.
354) What is a competitive advantage?
A) A product that an organization's customers place a lesser value on than similar offerings from
a competitor.
B) A feature of a product or service on which customers place a lesser value than they do on
similar offerings from a supplier.
C) A service that an organization's customers place a lesser value on than similar offerings from
a supplier.
D) A feature of a product or service on which customers place a greater value than they do on
similar offerings from competitors.
Answer: D
Explanation: This is the definition of competitive advantage.
Difficulty: 1 Easy
Topic: Identifying Competitive Advantages
Bloom's: Understand
Learning Outcome: 01-03 Explain why competitive advantages are temporary along with the
four key areas of a SWOT analysis.
Accessibility: Keyboard Navigation
Gradable: automatic
355) All of the following are common tools used in industry to analyze and develop competitive
advantages, except ________.
A) Five Forces Model
B) Three Generic Strategies
C) Competitive analysis model
D) Value chain analysis
Answer: C
Explanation: A competitive analysis model is not discussed in this text.
Difficulty: 1 Easy
Topic: Identifying Competitive Advantages
Bloom's: Understand
Learning Outcome: 01-03 Explain why competitive advantages are temporary along with the
four key areas of a SWOT analysis.
Accessibility: Keyboard Navigation
Gradable: automatic
350
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written consent of McGraw-Hill Education.
356) The process of gathering information about the competitive environment, including
competitors' plans, activities, and products, to improve a company's ability to succeed is the
definition of ________.
A) Feedback.
B) Information.
C) Competitive intelligence.
D) Data.
Answer: C
Explanation: Competitive intelligence is the process of gathering information about the
competitive environment, including competitors' plans, activities, and products, to improve a
company's ability to succeed.
Difficulty: 1 Easy
Topic: Identifying Competitive Advantages
Bloom's: Remember
Learning Outcome: 01-03 Explain why competitive advantages are temporary along with the
four key areas of a SWOT analysis.
Accessibility: Keyboard Navigation
Gradable: automatic
357) What is a person or group that has an interest or concern in an organization?
A) Stakeholder
B) Business strategy
C) Supplier
D) Partner
Answer: A
Explanation: A stakeholder is a person or group that has an interest or concern in an
organization.
Difficulty: 1 Easy
Topic: Identifying Competitive Advantages
Bloom's: Understand
Learning Outcome: 01-03 Explain why competitive advantages are temporary along with the
four key areas of a SWOT analysis.
Accessibility: Keyboard Navigation
Gradable: automatic
351
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written consent of McGraw-Hill Education.
358) Which group of stakeholder's primary interests include reliable contracts, ethical materials
handling, and responsible production?
A) Partners/Suppliers
B) Shareholders/Investors
C) Community
D) Government
Answer: A
Explanation: Partners/suppliers primary interest are in reliable contracts, ethical materials
handling, and responsible production.
Difficulty: 1 Easy
Topic: Identifying Competitive Advantages
Bloom's: Understand
Learning Outcome: 01-03 Explain why competitive advantages are temporary along with the
four key areas of a SWOT analysis.
Accessibility: Keyboard Navigation
Gradable: automatic
359) Which group of stakeholder's primary interests include adhering to regulations/laws,
increasing employment, and ethical taxation reporting?
A) Partners/Suppliers
B) Shareholders/Investors
C) Community
D) Government
Answer: D
Explanation: Government primary interests include adhere to regulations/laws, increase
employment, and ethical taxation reporting.
Difficulty: 1 Easy
Topic: Identifying Competitive Advantages
Bloom's: Understand
Learning Outcome: 01-03 Explain why competitive advantages are temporary along with the
four key areas of a SWOT analysis.
Accessibility: Keyboard Navigation
Gradable: automatic
352
Copyright 2019 © McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior
written consent of McGraw-Hill Education.
360) Which group of stakeholder's primary interests include maximizing profits, growing market
share, and high return on investment?
A) Partners/Suppliers
B) Shareholders/Investors
C) Community
D) Government
Answer: B
Explanation: Shareholders/investors primary interests include maximize profits, grow market
share, and high return on investment.
Difficulty: 1 Easy
Topic: Identifying Competitive Advantages
Bloom's: Understand
Learning Outcome: 01-03 Explain why competitive advantages are temporary along with the
four key areas of a SWOT analysis.
Accessibility: Keyboard Navigation
Gradable: automatic
361) Which group of stakeholder's primary interests include exceptional customer service, highquality products, and ethical dealings?
A) Partners/Suppliers
B) Shareholders/Investors
C) Community
D) Customers
Answer: D
Explanation: Customers primary interests includes exceptional customer service, high-quality
products, and ethical dealings.
Difficulty: 1 Easy
Topic: Identifying Competitive Advantages
Bloom's: Understand
Learning Outcome: 01-03 Explain why competitive advantages are temporary along with the
four key areas of a SWOT analysis.
Accessibility: Keyboard Navigation
Gradable: automatic
353
Copyright 2019 © McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior
written consent of McGraw-Hill Education.
362) Which group of stakeholder's primary interests include fair compensation, job security, and
ethical conduct/treatment?
A) Employees
B) Shareholders/Investors
C) Community
D) Customers
Answer: A
Explanation: Employees primary interests include fair compensation, job security, and ethical
conduct/treatment.
Difficulty: 1 Easy
Topic: Identifying Competitive Advantages
Bloom's: Understand
Learning Outcome: 01-03 Explain why competitive advantages are temporary along with the
four key areas of a SWOT analysis.
Accessibility: Keyboard Navigation
Gradable: automatic
363) Which group of stakeholder's primary interests include professional associations, ethical
recycling, and increasing employment?
A) Employees
B) Shareholders/Investors
C) Community
D) Customers
Answer: C
Explanation: Community primary interests include professional associations, ethical recycling,
and increasing employment.
Difficulty: 1 Easy
Topic: Identifying Competitive Advantages
Bloom's: Understand
Learning Outcome: 01-03 Explain why competitive advantages are temporary along with the
four key areas of a SWOT analysis.
Accessibility: Keyboard Navigation
Gradable: automatic
354
Copyright 2019 © McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior
written consent of McGraw-Hill Education.
364) A ________ features a product or service on which customers place a greater value than
they do on similar offerings from competitors.
A) Competitive advantage
B) Competitor advantage
C) Power advantage
D) First mover advantage
Answer: A
Explanation: A competitive features a product or service on which customers place a greater
value than they do on similar offerings from competitors.
Difficulty: 1 Easy
Topic: Identifying Competitive Advantages
Bloom's: Remember
Learning Outcome: 01-03 Explain why competitive advantages are temporary along with the
four key areas of a SWOT analysis.
Accessibility: Keyboard Navigation
Gradable: automatic
365) Which of the following evaluates a project's position?
A) SWOT Analysis
B) The Five Forces Model
C) Value Chain Analysis
D) Three Generic Strategies
Answer: A
Explanation: A SWOT Analysis evaluates a project's position.
Difficulty: 1 Easy
Topic: Identifying Competitive Advantages
Bloom's: Understand
Learning Outcome: 01-03 Explain why competitive advantages are temporary along with the
four key areas of a SWOT analysis.
Accessibility: Keyboard Navigation
Gradable: automatic
355
Copyright 2019 © McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior
written consent of McGraw-Hill Education.
366) What is a SWOT analysis?
A) Evaluates an organization's strengths, weaknesses, opportunities, and threats to identify
significant influences that work for or against business strategies.
B) Analyzes the competitive forces within the environment in which a company operates to
assess the potential for profitability in an industry.
C) Views a firm as a series of business processes, each of which adds value to the product or
service.
D) Generic business strategies that are neither organization nor industry specific and can be
applied to any business, product, or service.
Answer: A
Explanation: A SWOT analysis evaluates an organization's strengths, weaknesses,
opportunities, and threats to identify significant influences that work for or against business
strategies.
Difficulty: 1 Easy
Topic: Identify the Four Key Areas of SWOT
Bloom's: Understand
Learning Outcome: 01-04 Identify the four key areas of a SWOT analysis.
Accessibility: Keyboard Navigation
Gradable: automatic
367) What evaluates industry attractiveness?
A) SWOT Analysis
B) The Five Forces Model
C) Value Chain Analysis
D) Three Generic Strategies
Answer: B
Explanation: The five forces model evaluates industry attractiveness.
Difficulty: 1 Easy
Topic: Identifying Competitive Advantages
Bloom's: Understand
Learning Outcome: 01-03 Explain why competitive advantages are temporary along with the
four key areas of a SWOT analysis.
Accessibility: Keyboard Navigation
Gradable: automatic
356
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written consent of McGraw-Hill Education.
368) What is Porter's Five Forces Model?
A) Evaluates an organization's strengths, weaknesses, opportunities, and threats to identify
significant influences that work for or against business strategies.
B) Analyzes the competitive forces within the environment in which a company operates to
assess the potential for profitability in an industry.
C) Views a firm as a series of business processes, each of which adds value to the product or
service.
D) Generic business strategies that are neither organization nor industry specific and can be
applied to any business, product, or service.
Answer: B
Explanation: The five forces model analyzes the competitive forces within the environment in
which a company operates to assess the potential for profitability in an industry.
Difficulty: 1 Easy
Topic: Identifying Competitive Advantages
Bloom's: Understand
Learning Outcome: 01-03 Explain why competitive advantages are temporary along with the
four key areas of a SWOT analysis.
Accessibility: Keyboard Navigation
Gradable: automatic
369) What executes business strategy?
A) SWOT Analysis
B) The Five Forces Model
C) Value Chain Analysis
D) Three Generic Strategies
Answer: C
Explanation: The value chain analysis executes business strategy.
Difficulty: 1 Easy
Topic: Identifying Competitive Advantages
Bloom's: Understand
Learning Outcome: 01-03 Explain why competitive advantages are temporary along with the
four key areas of a SWOT analysis.
Accessibility: Keyboard Navigation
Gradable: automatic
357
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written consent of McGraw-Hill Education.
370) What is a value chain analysis?
A) Evaluates an organization's strengths, weaknesses, opportunities, and threats to identify
significant influences that work for or against business strategies.
B) Analyzes the competitive forces within the environment in which a company operates to
assess the potential for profitability in an industry.
C) Views a firm as a series of business processes, each of which adds value to the product or
service.
D) Generic business strategies that are neither organization nor industry specific and can be
applied to any business, product, or service.
Answer: C
Explanation: Value chain analysis, which views a firm as a series of business processes, each of
which adds value to the product or service.
Difficulty: 1 Easy
Topic: Identifying Competitive Advantages
Bloom's: Understand
Learning Outcome: 01-03 Explain why competitive advantages are temporary along with the
four key areas of a SWOT analysis.
Accessibility: Keyboard Navigation
Gradable: automatic
371) Which strategy below helps an organization choose its business focus?
A) SWOT Analysis
B) The Five Forces Model
C) Value Chain Analysis
D) Three Generic Strategies
Answer: D
Explanation: The three generic strategies chooses the business focus.
Difficulty: 1 Easy
Topic: Identifying Competitive Advantages
Bloom's: Understand
Learning Outcome: 01-03 Explain why competitive advantages are temporary along with the
four key areas of a SWOT analysis.
Accessibility: Keyboard Navigation
Gradable: automatic
358
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written consent of McGraw-Hill Education.
372) What are Porter's three generic strategies?
A) Evaluates an organization's strengths, weaknesses, opportunities, and threats to identify
significant influences that work for or against business strategies.
B) Analyzes the competitive forces within the environment in which a company operates to
assess the potential for profitability in an industry.
C) Views a firm as a series of business processes, each of which adds value to the product or
service.
D) Generic business strategies that are neither organization nor industry specific and can be
applied to any business, product, or service.
Answer: D
Explanation: Porter's three generic strategies are generic business strategies that are neither
organization nor industry specific and can be applied to any business, product, or service.
Difficulty: 1 Easy
Topic: Identifying Competitive Advantages
Bloom's: Understand
Learning Outcome: 01-03 Explain why competitive advantages are temporary along with the
four key areas of a SWOT analysis.
Accessibility: Keyboard Navigation
Gradable: automatic
373) What is included in a SWOT analysis?
A) Strengths, weaknesses, organizations, and technology.
B) Strengths, weaknesses, opportunities, and threats.
C) Success, willingness, opportunities, and technology.
D) Success, weaknesses, organizations, and threats.
Answer: B
Explanation: SWOT includes strengths, weaknesses, opportunities, and threats.
Difficulty: 1 Easy
Topic: Identify the Four Key Areas of SWOT
Bloom's: Understand
Learning Outcome: 01-04 Identify the four key areas of a SWOT analysis.
Accessibility: Keyboard Navigation
Gradable: automatic
359
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written consent of McGraw-Hill Education.
374) Which of the following statements is correct when considering a SWOT analysis?
A) Strengths and weaknesses originate inside an organization.
B) Opportunities and threats originate inside an organization.
C) Strengths and threats originate inside an organization.
D) Opportunities and weaknesses organization outside an organization.
Answer: A
Explanation: Strengths and weaknesses originate inside an organization.
Difficulty: 1 Easy
Topic: Identify the Four Key Areas of SWOT
Bloom's: Understand
Learning Outcome: 01-04 Identify the four key areas of a SWOT analysis.
Accessibility: Keyboard Navigation
Gradable: automatic
375) Which of the following statements is correct when considering a SWOT analysis?
A) Strengths and weaknesses originate outside an organization.
B) Opportunities and threats originate outside an organization.
C) Strengths and threats originate inside an organization.
D) Opportunities and weaknesses organization outside an organization.
Answer: B
Explanation: Opportunities and threats originate outside an organization.
Difficulty: 1 Easy
Topic: Identify the Four Key Areas of SWOT
Bloom's: Understand
Learning Outcome: 01-04 Identify the four key areas of a SWOT analysis.
Accessibility: Keyboard Navigation
Gradable: automatic
376) Which of the following are included as potential internal strengths in a SWOT analysis that
are helpful to an organization?
A) Core competencies, market leaders, cost advantages, excellent management.
B) Lack of strategic direction, obsolete technologies, lack of managerial talent, outdated product line.
C) Expanded product line, increase in demand, new markets, new regulations.
D) New entrants, substitute products, shrinking markets, costly regulatory, requirements.
Answer: A
Explanation: Internal strengths include core competencies, market leaders, cost advantages,
excellent management.
Difficulty: 1 Easy
Topic: Identify the Four Key Areas of SWOT
Bloom's: Understand
Learning Outcome: 01-04 Identify the four key areas of a SWOT analysis.
Accessibility: Keyboard Navigation
Gradable: automatic
360
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written consent of McGraw-Hill Education.
377) Which of the following are included as potential internal weaknesses in a SWOT analysis
that are harmful to an organization?
A) Core competencies, market leaders, cost advantages, excellent management.
B) Lack of strategic direction, obsolete technologies, lack of managerial talent, outdated product
line.
C) Expanded product line, increase in demand, new markets, new regulations.
D) New entrants, substitute products, shrinking markets, costly regulatory, requirements.
Answer: B
Explanation: Internal weaknesses that are harmful to an organization include lack of strategic
direction, obsolete technologies, lack of managerial talent, outdated and product line.
Difficulty: 1 Easy
Topic: Identify the Four Key Areas of SWOT
Bloom's: Understand
Learning Outcome: 01-04 Identify the four key areas of a SWOT analysis.
Accessibility: Keyboard Navigation
Gradable: automatic
378) Which of the following are included as potential external opportunities in a SWOT analysis
that are helpful to an organization?
A) Core competencies, market leaders, cost advantages, excellent management.
B) Lack of strategic direction, obsolete technologies, lack of managerial talent, outdated, product
line.
C) Expanded product line, increase in demand, new markets, new regulations.
D) New entrants, substitute products, shrinking markets, costly regulatory, requirements.
Answer: C
Explanation: Potential external opportunities that are helpful include expanded product line,
increase in demand, new markets, new regulations.
Difficulty: 1 Easy
Topic: Identify the Four Key Areas of SWOT
Bloom's: Understand
Learning Outcome: 01-04 Identify the four key areas of a SWOT analysis.
Accessibility: Keyboard Navigation
Gradable: automatic
361
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written consent of McGraw-Hill Education.
379) Which of the following are included as potential external weaknesses in a SWOT analysis
that are harmful to an organization?
A) Core competencies, market leaders, cost advantages, excellent management.
B) Lack of strategic direction, obsolete technologies, lack of managerial talent, outdated, product line.
C) Expanded product line, increase in demand, new markets, new regulations.
D) New entrants, substitute products, shrinking markets, costly regulatory, requirements.
Answer: D
Explanation: External weaknesses that are harmful to an organization include new entrants,
substitute products, shrinking markets, costly regulatory, requirements
Difficulty: 1 Easy
Topic: Identify the Four Key Areas of SWOT
Bloom's: Understand
Learning Outcome: 01-04 Identify the four key areas of a SWOT analysis.
Accessibility: Keyboard Navigation
Gradable: automatic
380) Where would you categorize strengths in a SWOT analysis?
A) Internal, helpful
B) Internal, harmful
C) External, helpful
D) External, harmful
Answer: A
Explanation: Strengths are internal and helpful.
Difficulty: 1 Easy
Topic: Identify the Four Key Areas of SWOT
Bloom's: Understand
Learning Outcome: 01-04 Identify the four key areas of a SWOT analysis.
Accessibility: Keyboard Navigation
Gradable: automatic
381) Where would you categorize weaknesses in a SWOT analysis?
A) Internal, helpful
B) Internal, harmful
C) External, helpful
D) External, harmful
Answer: B
Explanation: Weaknesses are internal and harmful.
Difficulty: 1 Easy
Topic: Identify the Four Key Areas of SWOT
Bloom's: Understand
Learning Outcome: 01-04 Identify the four key areas of a SWOT analysis.
Accessibility: Keyboard Navigation
Gradable: automatic
362
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written consent of McGraw-Hill Education.
382) Where would you categorize opportunities in a SWOT analysis?
A) Internal, helpful
B) Internal, harmful
C) External, helpful
D) External, harmful
Answer: C
Explanation: Opportunities are external and helpful.
Difficulty: 1 Easy
Topic: Identify the Four Key Areas of SWOT
Bloom's: Understand
Learning Outcome: 01-04 Identify the four key areas of a SWOT analysis.
Accessibility: Keyboard Navigation
Gradable: automatic
383) Where would you categorize threats in a SWOT analysis?
A) Internal, helpful
B) Internal, harmful
C) External, helpful
D) External, harmful
Answer: D
Explanation: Threats are external and harmful.
Difficulty: 1 Easy
Topic: Identify the Four Key Areas of SWOT
Bloom's: Understand
Learning Outcome: 01-04 Identify the four key areas of a SWOT analysis.
Accessibility: Keyboard Navigation
Gradable: automatic
384) Which of the following describes a stakeholder?
A) A leadership plan that achieves a specific set of goals or objectives.
B) A feature of a product or service on which customers place a greater value.
C) A person or group that has an interest or concern in an organization.
D) Information about a competitive environment.
Answer: C
Explanation: A stakeholder is a person or group that has an interest or concern in an
organization.
Difficulty: 1 Easy
Topic: Identifying Competitive Advantages
Bloom's: Remember
Learning Outcome: 01-03 Explain why competitive advantages are temporary along with the
four key areas of a SWOT analysis.
Accessibility: Keyboard Navigation
Gradable: automatic
363
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written consent of McGraw-Hill Education.
385) There are many different stakeholders found in an organization. Stakeholders drive business
strategies, and depending on the stakeholder's perspective, the business strategy can change.
Which of the following is a main concern for customers?
A) Exceptional customer service.
B) Fair compensation.
C) Professional associations.
D) Reliable contracts.
Answer: A
Explanation: Stakeholders drive business strategies, and depending on the stakeholder's
perspective, the business strategy can change. Customers of an organization are generally
concerned with exceptional customer service, high-quality products, and ethical dealing.
Difficulty: 1 Easy
Topic: Identifying Competitive Advantages
Bloom's: Remember
Learning Outcome: 01-03 Explain why competitive advantages are temporary along with the
four key areas of a SWOT analysis.
Accessibility: Keyboard Navigation
Gradable: automatic
386) There are many different stakeholders found in an organization. Stakeholders drive business
strategies, and depending on the stakeholder's perspective, the business strategy can change.
Which of the following is a main concern for employees?
A) Exceptional customer service.
B) Fair compensation.
C) Professional associations.
D) Reliable contracts.
Answer: B
Explanation: Stakeholders drive business strategies, and depending on the stakeholder's
perspective, the business strategy can change. Employees of an organization are generally
concerned with fair compensation, job security, and ethical conduct/treatment.
Difficulty: 1 Easy
Topic: Identifying Competitive Advantages
Bloom's: Remember
Learning Outcome: 01-03 Explain why competitive advantages are temporary along with the
four key areas of a SWOT analysis.
Accessibility: Keyboard Navigation
Gradable: automatic
364
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written consent of McGraw-Hill Education.
387) There are many different stakeholders found in an organization. Stakeholders drive business
strategies, and depending on the stakeholder's perspective, the business strategy can change.
Which of the following is a main concern for the community?
A) Exceptional customer service.
B) Fair compensation.
C) Professional associations.
D) Reliable contracts.
Answer: C
Explanation: Stakeholders drive business strategies, and depending on the stakeholder's
perspective, the business strategy can change. The community around an organization is
generally concerned with professional associations, ethical recycling, and increase in
employment.
Difficulty: 1 Easy
Topic: Identifying Competitive Advantages
Bloom's: Remember
Learning Outcome: 01-03 Explain why competitive advantages are temporary along with the
four key areas of a SWOT analysis.
Accessibility: Keyboard Navigation
Gradable: automatic
388) There are many different stakeholders found in an organization. Stakeholders drive business
strategies, and depending on the stakeholder's perspective, the business strategy can change.
Which of the following is a main concern for partners/suppliers?
A) Exceptional customer service.
B) Fair compensation.
C) Professional associations.
D) Reliable contracts.
Answer: D
Explanation: Stakeholders drive business strategies, and depending on the stakeholder's
perspective, the business strategy can change. Partners/suppliers of an organization are generally
concerned with reliable contracts, ethical materials handling, and responsible production.
Difficulty: 1 Easy
Topic: Identifying Competitive Advantages
Bloom's: Remember
Learning Outcome: 01-03 Explain why competitive advantages are temporary along with the
four key areas of a SWOT analysis.
Accessibility: Keyboard Navigation
Gradable: automatic
365
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written consent of McGraw-Hill Education.
389) There are many different stakeholders found in an organization. Stakeholders drive business
strategies, and depending on the stakeholder's perspective, the business strategy can change.
Which of the following is a main concern for the government?
A) Maximize profits.
B) Adhere to regulations/laws.
C) Exceptional customer service.
D) Reliable contracts.
Answer: B
Explanation: Stakeholders drive business strategies, and depending on the stakeholder's
perspective, the business strategy can change. The government is generally concerned that
organizations adhere to regulations/laws, increase employment, and ethically report taxation.
Difficulty: 1 Easy
Topic: Identifying Competitive Advantages
Bloom's: Remember
Learning Outcome: 01-03 Explain why competitive advantages are temporary along with the
four key areas of a SWOT analysis.
Accessibility: Keyboard Navigation
Gradable: automatic
390) There are many different stakeholders found in an organization. Stakeholders drive business
strategies, and depending on the stakeholder's perspective, the business strategy can change.
Which of the following is a main concern for shareholders/investors?
A) Maximize profits.
B) Adhere to regulations/laws.
C) Exceptional customer service.
D) Reliable contracts.
Answer: A
Explanation: Stakeholders drive business strategies, and depending on the stakeholder's
perspective, the business strategy can change. Shareholders/investors are generally concerned
that organizations maximize profits, grow the market share, and have a high return on
investment.
Difficulty: 1 Easy
Topic: Identifying Competitive Advantages
Bloom's: Remember
Learning Outcome: 01-03 Explain why competitive advantages are temporary along with the
four key areas of a SWOT analysis.
Accessibility: Keyboard Navigation
Gradable: automatic
366
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written consent of McGraw-Hill Education.
391) There are many different stakeholders found in an organization with common business
interests. Depending on the stakeholder's perspective, the business strategy can change. Which of
the following is not a main concern for shareholders/investors?
A) Maximize profits.
B) Grow market share.
C) Job security.
D) High return on investment.
Answer: C
Explanation: Shareholders/investors are generally concerned that organizations maximize
profits, grow the market share, and have a high return on investment. It is not uncommon to find
stakeholders' business strategies have conflicting interests such as investors looking to increase
profits by eliminating employee jobs.
Difficulty: 1 Easy
Topic: Identifying Competitive Advantages
Bloom's: Remember
Learning Outcome: 01-03 Explain why competitive advantages are temporary along with the
four key areas of a SWOT analysis.
Accessibility: Keyboard Navigation
Gradable: automatic
392) What does a SWOT analysis do?
A) Evaluates an organizations strengths, weaknesses, objectives, and threats.
B) Evaluates an organization's strengths, weaknesses, opportunities, and threats.
C) Evaluates an organization's supporters, weaknesses, opportunities, and technology.
D) Evaluates an organization's systems, warehouses, outputs, and technology.
Answer: B
Explanation: A SWOT analysis evaluates an organization's strengths, weaknesses,
opportunities, and threats to identify significant influences that work for or against business
strategies.
Difficulty: 1 Easy
Topic: Identify the Four Key Areas of SWOT
Bloom's: Remember
Learning Outcome: 01-04 Identify the four key areas of a SWOT analysis.
Accessibility: Keyboard Navigation
Gradable: automatic
367
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written consent of McGraw-Hill Education.
393) In a SWOT analysis, strengths and weaknesses originate ________ an organization.
A) Inside (internally).
B) Outside (externally).
C) Both Inside (internally) and Outside (externally).
D) None of the above.
Answer: A
Explanation: Strengths and weaknesses originate inside an organization, or internally.
Opportunities and threats originate outside an organization, or externally, and cannot always be
anticipated or controlled.
Difficulty: 1 Easy
Topic: Identify the Four Key Areas of SWOT
Bloom's: Remember
Learning Outcome: 01-04 Identify the four key areas of a SWOT analysis.
Accessibility: Keyboard Navigation
Gradable: automatic
394) In a SWOT analysis, opportunities and threats originate ________ an organization.
A) Inside (internally).
B) Outside (externally).
C) Both Inside (internally) and Outside (externally).
D) None of the above.
Answer: B
Explanation: Strengths and weaknesses originate inside an organization, or internally.
Opportunities and threats originate outside an organization, or externally, and cannot always be
anticipated or controlled.
Difficulty: 1 Easy
Topic: Identify the Four Key Areas of SWOT
Bloom's: Remember
Learning Outcome: 01-04 Identify the four key areas of a SWOT analysis.
Accessibility: Keyboard Navigation
Gradable: automatic
368
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written consent of McGraw-Hill Education.
395) In a SWOT analysis, which of the following could you discover as potential internal
strengths (helpful)?
A) Cost advantages.
B) Damaged reputation.
C) New markets.
D) Competitor issues.
Answer: A
Explanation: Potential internal strengths (helpful) identify all key strengths associated with the
competitive advantage, including cost advantages.
Difficulty: 1 Easy
Topic: Identify the Four Key Areas of SWOT
Bloom's: Remember
Learning Outcome: 01-04 Identify the four key areas of a SWOT analysis.
Accessibility: Keyboard Navigation
Gradable: automatic
396) In a SWOT analysis, which of the following could you discover as potential inner
weaknesses (harmful)?
A) Cost advantages.
B) Damaged reputation.
C) New markets.
D) Competitor issues.
Answer: B
Explanation: Potential internal weaknesses (harmful) identify all key areas that require
improvement, including a damaged reputation.
Difficulty: 1 Easy
Topic: Identify the Four Key Areas of SWOT
Bloom's: Remember
Learning Outcome: 01-04 Identify the four key areas of a SWOT analysis.
Accessibility: Keyboard Navigation
Gradable: automatic
369
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written consent of McGraw-Hill Education.
397) In a SWOT analysis, which of the following could you discover as potential external
opportunities (helpful)?
A) Cost advantages.
B) Damaged reputation.
C) New markets.
D) Improved marketing campaigns.
Answer: C
Explanation: Potential internal weaknesses (harmful) identify all significant trends along with
how the organization can benefit from each, including new markets.
Difficulty: 1 Easy
Topic: Identify the Four Key Areas of SWOT
Bloom's: Remember
Learning Outcome: 01-04 Identify the four key areas of a SWOT analysis.
Accessibility: Keyboard Navigation
Gradable: automatic
398) Managers use four common tools to analyze competitive intelligence and develop
competitive advantages. Which of the following is not one of these tools?
A) The three generic strategies.
B) The Five Forces Model.
C) First-mover advantage.
D) SWOT analysis.
Answer: C
Explanation: Managers use four common tools to analyze competitive intelligence and develop
competitive advantages: SWOT Analysis, the Five Forces Model, the three generic strategies,
and value chain analysis.
Difficulty: 1 Easy
Topic: Identifying Competitive Advantages
Bloom's: Remember
Learning Outcome: 01-03 Explain why competitive advantages are temporary along with the
four key areas of a SWOT analysis.
Accessibility: Keyboard Navigation
Gradable: automatic
370
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written consent of McGraw-Hill Education.
399) The Victory Wireless store in Denver is currently offering a fabulous marketing strategy for
potential new iPhone customers. Victory Wireless offers customers who purchase an iPhone with
a 2-year subscription a free Otter phone case, car charger, ear phones, and speakers. In terms of
Porter's Five Forces what is Victory Wireless attempting to achieve with this marketing strategy?
A) Increase buyer power.
B) Increase substitute products.
C) Decrease supplier power.
D) Decrease buyer power.
Answer: D
Explanation: Victory Wireless is attempting to decrease buyer power by offering products at a
lower price or competing on price.
Difficulty: 3 Hard
Topic: The Five Forces Model--Evaluating Industry Attractiveness
Bloom's: Analyze
Learning Outcome: 01-05 Describe Porter's Five Forces Model and explain each of the five
forces.
Accessibility: Keyboard Navigation
Gradable: automatic
400) Gina Brooks works for Aquarium Retail Services selling high-end salt water fish and tank
supplies. Aquarium Retail Services is the current market leader in Gina's city. Gina has recently
been approached by Deep Blue Incorporated with an opportunity to run its corporate nation-wide
marketing and sales division. Gina decides to jump at the opportunity! Deep Blue is attempting
to gain a competitive ________ by stealing its competitor's key employees.
A) Power
B) Entry Barrier
C) Advantage
D) Loyalty
Answer: C
Explanation: Ways that companies duplicate competitive advantages include acquiring the new
technology, copying business processes, and hiring away employees.
Difficulty: 2 Medium
Topic: The Five Forces Model--Evaluating Industry Attractiveness
Bloom's: Understand
Learning Outcome: 01-05 Describe Porter's Five Forces Model and explain each of the five
forces.
Accessibility: Keyboard Navigation
Gradable: automatic
371
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written consent of McGraw-Hill Education.
401) The banking industry has implemented several competitive advantages including ATM's,
online bill pay services, and electronic statements. Of course, these competitive advantages were
quickly duplicated by any competitor that wanted to remain in the banking industry. These were
all examples of ________ competitive advantages.
A) Acquiring new technology products and services
B) Hiring new employees
C) Reducing expenses
D) Gaining invaluable feedback from customers
Answer: A
Explanation: The banking industry, for example, has utilized competitive advantage by all now
offering ATM's, online bill pay services, and e-statements are all examples of ways they
duplicated each other by acquiring new technology products and services.
Difficulty: 1 Easy
Topic: The Five Forces Model--Evaluating Industry Attractiveness
Bloom's: Remember
Learning Outcome: 01-05 Describe Porter's Five Forces Model and explain each of the five
forces.
Accessibility: Keyboard Navigation
Gradable: automatic
402) Michael Porter defined the Five Forces Model and the potential pressures that can hurt
sales. Which of the following is not one of the potential pressures that can hurt sales?
A) Suppliers can drive down profits by charging more for supplies.
B) New market entrants can steal potential investment capital.
C) Substitute products can steal customers.
D) Competition can steal customers.
Answer: A
Explanation: Michael Porter defined the Five Forces Model. Before formally presenting his
model, he identified pressures that can hurt potential sales, which include: 1) knowledgeable
customers can force down prices by pitting rivals against each other, 2) influential suppliers can
drive down profits by charging higher prices for supplies, 3) competition can steal customer, 4)
new market entrants can steal potential investment capital, and 5) substitute products can steal
customers.
Difficulty: 3 Hard
Topic: The Five Forces Model--Evaluating Industry Attractiveness
Bloom's: Analyze
Learning Outcome: 01-05 Describe Porter's Five Forces Model and explain each of the five
forces.
Accessibility: Keyboard Navigation
Gradable: automatic
372
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written consent of McGraw-Hill Education.
403) Kevin Campbell is an incoming freshman at your college. Kevin is frustrated by the cost of
books, tuition, and expenses and he also needs to purchase a rather expensive laptop. In an effort
to save money, Kevin begins a Facebook group finding other college students who need to
purchase laptops. Soon, Kevin's Facebook group has close to 100,000 students. Kevin decides to
collectively approach different computer companies to see if his group qualifies for a special
discount. What business strategy is Kevin using to purchase laptops?
A) Collecting business intelligence.
B) Decreasing entry barriers.
C) Purchasing a substitute product.
D) Increasing buyer power.
Answer: D
Explanation: Buyer power is one of Porter's Five Forces, which measures the ability of buyers
to affect the price they must pay for an item. Kevin's group is attempting to increase its buyer
power.
Difficulty: 3 Hard
Topic: The Five Forces Model--Evaluating Industry Attractiveness
Bloom's: Analyze
Learning Outcome: 01-05 Describe Porter's Five Forces Model and explain each of the five
forces.
Accessibility: Keyboard Navigation
Gradable: automatic
404) What are costs that make customers reluctant to switch to another product or service?
A) Support activities.
B) Switching costs.
C) Loyalty rewards.
D) Value chain activities.
Answer: B
Explanation: Switching costs is Costs that make customers reluctant to switch to another
product or service.
Difficulty: 1 Easy
Topic: The Five Forces Model--Evaluating Industry Attractiveness
Bloom's: Remember
Learning Outcome: 01-05 Describe Porter's Five Forces Model and explain each of the five
forces.
Accessibility: Keyboard Navigation
Gradable: automatic
373
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written consent of McGraw-Hill Education.
405) Callie Crystal owns and operates one of the most successful local coffee shops in Denver,
called The Edgewater Café. Each time a customer purchases their 100th cup of coffee at The
Edgewater Café they receive a free pound of coffee of their choice. What is Callie attempting to
create with her unique "Free Pound of Coffee" marketing program?
A) Reducing buyer power with a loyalty program.
B) Increasing buyer power with a loyalty program.
C) Decreasing supplier power with a differentiated product.
D) Creating a substitute product.
Answer: A
Explanation: One way to reduce buyer power is with a loyalty program which is a program to
reward customers based on their spending.
Difficulty: 3 Hard
Topic: The Five Forces Model--Evaluating Industry Attractiveness
Bloom's: Analyze
Learning Outcome: 01-05 Describe Porter's Five Forces Model and explain each of the five
forces.
Accessibility: Keyboard Navigation
Gradable: automatic
406) What includes all parties involved, directly or indirectly, in obtaining raw materials or a
product?
A) Support chain.
B) Supply chain.
C) System chain.
D) Supply choice.
Answer: B
Explanation: Supply chain includes all parties involved, directly or indirectly, in obtaining raw
materials or a product.
Difficulty: 1 Easy
Topic: The Five Forces Model--Evaluating Industry Attractiveness
Bloom's: Remember
Learning Outcome: 01-05 Describe Porter's Five Forces Model and explain each of the five
forces.
Accessibility: Keyboard Navigation
Gradable: automatic
374
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written consent of McGraw-Hill Education.
407) Which of the below represents a company in a supply chain?
A) Customer and competitor.
B) Supplier and competitor.
C) Knowledge worker and supplier.
D) Supplier and customer.
Answer: D
Explanation: In a typical supply chain, a company will be both a supplier and a customer.
Difficulty: 1 Easy
Topic: The Five Forces Model--Evaluating Industry Attractiveness
Bloom's: Remember
Learning Outcome: 01-05 Describe Porter's Five Forces Model and explain each of the five
forces.
Accessibility: Keyboard Navigation
Gradable: automatic
408) In the center of Porter's Five Forces model is competition. Which of the below represents
the four outer boxes?
A) Buyer power, systems power, threat of false entrants, and threat of substitute products or
services
B) Buyer power, systems power, threat of new entrants, and threat of substitute products or
services
C) Buyer power, supplier power, threat of new entrants, and threat of substitute products or
services
D) Business power, supplier power, threat of new entrants, and threat of powerful services
Answer: C
Explanation: The four competitive forces that work amongst the power of competitors are
buyer power, supplier power, threat of new entrants, and threat of substitute products or services.
Difficulty: 1 Easy
Topic: The Five Forces Model--Evaluating Industry Attractiveness
Bloom's: Remember
Learning Outcome: 01-05 Describe Porter's Five Forces Model and explain each of the five
forces.
Accessibility: Keyboard Navigation
Gradable: automatic
375
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written consent of McGraw-Hill Education.
409) Shawn McGill is on the executive board for ABC pharmaceuticals. The company produces
the number one selling cancer fighting drug on the market. Due to its incredible success ABC
pharmaceuticals has decided to increase the cost of the drug from $8 a pill to $15 a pill. Which
force is ABC pharmaceutical using to increase its drug price?
A) Supplier power.
B) Buyer power.
C) Threat of false entrants.
D) Business power.
Answer: A
Explanation: Supplier power is One of Porter's five forces, measures the suppliers' ability to
influence the prices they charge for supplies (including materials, labor, and services).
Difficulty: 2 Medium
Topic: The Five Forces Model--Evaluating Industry Attractiveness
Bloom's: Understand
Learning Outcome: 01-05 Describe Porter's Five Forces Model and explain each of the five
forces.
Accessibility: Keyboard Navigation
Gradable: automatic
410) What is one of the most common ways a company can decrease supplier power?
A) Charge lower prices.
B) Charge higher prices.
C) Use MIS to find and create alternative products.
D) Companies cannot impact supplier power.
Answer: C
Explanation: Using MIS to find alternative products is one way of decreasing supplier power.
Difficulty: 2 Medium
Topic: The Five Forces Model--Evaluating Industry Attractiveness
Bloom's: Understand
Learning Outcome: 01-05 Describe Porter's Five Forces Model and explain each of the five
forces.
Accessibility: Keyboard Navigation
Gradable: automatic
376
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written consent of McGraw-Hill Education.
411) If a supplier has high power what can it do to influence its industry?
A) Charge higher prices.
B) Shift costs to industry participants.
C) Limit quality or services.
D) All of the above.
Answer: D
Explanation: If the supplier power is high, the supplier can influence the industry by, 1)
charging higher prices, 2) limiting quality or services, 3) shifting costs to industry participants.
Difficulty: 2 Medium
Topic: The Five Forces Model--Evaluating Industry Attractiveness
Bloom's: Understand
Learning Outcome: 01-05 Describe Porter's Five Forces Model and explain each of the five
forces.
Accessibility: Keyboard Navigation
Gradable: automatic
412) How can a company reduce the threat of substitute products or services?
A) Market the product to less than ten customers.
B) Ignore competitive forces.
C) Offer additional value through wider product distribution.
D) Offer less value making the product far more generic and similar to the competition.
Answer: C
Explanation: One way a company can reduce the threat of substitute products or services is to
offer additional value through wider product distribution.
Difficulty: 2 Medium
Topic: The Five Forces Model--Evaluating Industry Attractiveness
Bloom's: Understand
Learning Outcome: 01-05 Describe Porter's Five Forces Model and explain each of the five
forces.
Accessibility: Keyboard Navigation
Gradable: automatic
377
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written consent of McGraw-Hill Education.
413) Which one of Porter's five forces is high when it is easy for new competitors to enter a
market and low when there are significant entry barriers to joining a market?
A) Threat of new entrants.
B) Threat of substitute products or services.
C) Threat of buyer power.
D) Supply chain competition.
Answer: A
Explanation: Threat of new entrants is one of Porter's five forces, high when it is easy for new
competitors to enter a market and low when there are significant entry barriers to joining a
market.
Difficulty: 1 Easy
Topic: The Five Forces Model--Evaluating Industry Attractiveness
Bloom's: Remember
Learning Outcome: 01-05 Describe Porter's Five Forces Model and explain each of the five
forces.
Accessibility: Keyboard Navigation
Gradable: automatic
414) John Cleaver is the CEO of Tech World, which is a retail store that sells computers,
monitors, cameras, televisions and many other electronic products. John and his executive team
are meeting to brainstorm new ideas on how to grow the business. One idea is to mimic a
competitor's product that is attempting to sell a new product in a different industry. After
performing a Porter's Five Forces analysis John determines that all of the forces are high in this
new industry. What should John do?
A) Explode into the market with an overflow of the product.
B) Contemplate other products to introduce at the same time in this new market.
C) Compare the competitor's prices and offer his product lower in this new market.
D) Not introduce the product because all five forces are strong and this would be a highly risky
business strategy.
Answer: D
Explanation: When the five forces are all strong or high it is a poor business strategy, when the
forces are low, this is a great time to execute the business strategy.
Difficulty: 3 Hard
Topic: The Five Forces Model--Evaluating Industry Attractiveness
Bloom's: Analyze
Learning Outcome: 01-05 Describe Porter's Five Forces Model and explain each of the five
forces.
Accessibility: Keyboard Navigation
Gradable: automatic
378
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written consent of McGraw-Hill Education.
415) What is a feature of a product or service that customers have come to expect and entering
competitors must offer the same if they want to survive?
A) Significant barrier.
B) Entry barrier.
C) Product differentiation.
D) Entry chain.
Answer: B
Explanation: Entry barrier is a feature of a product or service that customers have come to
expect and entering competitors must offer the same for survival.
Difficulty: 1 Easy
Topic: The Five Forces Model--Evaluating Industry Attractiveness
Bloom's: Remember
Learning Outcome: 01-05 Describe Porter's Five Forces Model and explain each of the five
forces.
Accessibility: Keyboard Navigation
Gradable: automatic
416) Which of the following represents a typical supply chain?
A) Company – Customers – Suppliers.
B) Company – Suppliers – Customers.
C) Suppliers – Company – Customers.
D) Suppliers – Customers – Company.
Answer: C
Explanation: A traditional business supply chain operates like this: supplier – company –
customers.
Difficulty: 1 Easy
Topic: The Five Forces Model--Evaluating Industry Attractiveness
Bloom's: Remember
Learning Outcome: 01-05 Describe Porter's Five Forces Model and explain each of the five
forces.
Accessibility: Keyboard Navigation
Gradable: automatic
379
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written consent of McGraw-Hill Education.
417) Imagine you are creating a new product to sell in an up-and-coming market. Which of the
below statements indicates that it would be easy for you as the new entrants to compete in this
market?
A) The threat of new entrants' force is high in the up-and-coming market.
B) The threat of new entrants' force is low in the up-and-coming market.
C) The threat of new entrants' force is impossible to define in the up-and-coming market.
D) All of the above depending on the time of year.
Answer: A
Explanation: The threat of new entrants is high when it is easy for new competitors to enter a
market and low when there are significant entry barriers to joining a market.
Difficulty: 3 Hard
Topic: The Five Forces Model--Evaluating Industry Attractiveness
Bloom's: Analyze
Learning Outcome: 01-05 Describe Porter's Five Forces Model and explain each of the five
forces.
Accessibility: Keyboard Navigation
Gradable: automatic
418) Imagine you are creating a new product to sell in an up-and-coming market. Which of the
below statements indicates that it would be difficult for you to enter this new market?
A) The threat of new entrants' force is high in the up-and-coming market.
B) The threat of new entrants' force is low in the up-and-coming market.
C) The threat of new entrants' force is high during the summer months in the up-and-coming
market.
D) All of the above depending on the time of year.
Answer: B
Explanation: The threat of new entrants is high when it is easy for new competitors to enter a
market and low when there are significant entry barriers to joining a market.
Difficulty: 2 Medium
Topic: The Five Forces Model--Evaluating Industry Attractiveness
Bloom's: Understand
Learning Outcome: 01-05 Describe Porter's Five Forces Model and explain each of the five
forces.
Accessibility: Keyboard Navigation
Gradable: automatic
380
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written consent of McGraw-Hill Education.
419) Which of the following offers an example where Porter's five forces are mostly strong and
competition is high?
A) A dog walking business.
B) A ski resort.
C) A professional hockey team.
D) All of the above.
Answer: A
Explanation: With Porter's five forces model, these are all examples of strong forces, where it
increases competition: 1) a single consumer purchasing milk, 2) a company that makes pencils,
3) coffee from McDonalds, 4) a dog walking business, and 5) a coffee shop.
Difficulty: 2 Medium
Topic: The Five Forces Model--Evaluating Industry Attractiveness
Bloom's: Understand
Learning Outcome: 01-05 Describe Porter's Five Forces Model and explain each of the five
forces.
Accessibility: Keyboard Navigation
Gradable: automatic
420) Which of the following offers an example where Porter's five forces are mostly weak and
competition is low?
A) An international hotel chain purchasing milk.
B) A coffee shop.
C) A single consumer purchasing milk.
D) A dog walking business.
Answer: A
Explanation: With Porter's five forces model, these are all examples of weak forces, where it
decreases competition: 1) an international hotel chain purchasing milk, 2) a company that makes
airline engines, 3) cancer drugs from a pharmaceutical company, 4) a professional hockey team,
and 4) department of Motor Vehicles.
Difficulty: 2 Medium
Topic: The Five Forces Model--Evaluating Industry Attractiveness
Bloom's: Understand
Learning Outcome: 01-05 Describe Porter's Five Forces Model and explain each of the five
forces.
Accessibility: Keyboard Navigation
Gradable: automatic
381
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written consent of McGraw-Hill Education.
421) Some industries' competition is much more intense than others. Retail grocery stores such
as Kroger, Safeway, and Albertson's in the United States experience fierce competition and offer
similar marketing campaigns to compete. What is this an example of in terms of Porter's Five
Forces?
A) Rivalry among new entrants.
B) Rivalry among existing competitors.
C) Threat of substitute products or services.
D) Buyer power.
Answer: B
Explanation: Some industries' competition is much more intense than others. The retail grocery
stores such as Kroger, Safeway, Albertson's, and Ralph's in the United States have fierce
competition and similar programs to compete with each other.
Difficulty: 2 Medium
Topic: The Five Forces Model--Evaluating Industry Attractiveness
Bloom's: Understand
Learning Outcome: 01-05 Describe Porter's Five Forces Model and explain each of the five
forces.
Accessibility: Keyboard Navigation
Gradable: automatic
422) Amazon.com uses a customer profiling system whenever a customer visits its website.
Using this system, Amazon can offer products tailored to that particular customer's profile and
buying pattern. What is Amazon using to achieve this competitive advantage?
A) Rivalry.
B) Buyer power.
C) Product differentiation.
D) Substitute product.
Answer: C
Explanation: Product differentiation is an advantage that occurs when a company develops
unique differences in its products with the intent to influence demand.
Difficulty: 2 Medium
Topic: The Five Forces Model--Evaluating Industry Attractiveness
Bloom's: Understand
Learning Outcome: 01-05 Describe Porter's Five Forces Model and explain each of the five
forces.
Accessibility: Keyboard Navigation
Gradable: automatic
382
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written consent of McGraw-Hill Education.
423) Your boss, Ty Jacob, has asked you to analyze the music industry using Porter's five forces
model. Which of the following represents supplier power in the music industry?
A) Established record labels like EMI, Sony, Universal.
B) Walmart, Target, iTunes.
C) Game systems like Wii, social networks like Facebook.
D) Taylor Swift, Beyoncé, The Beatles, The Stones.
Answer: A
Explanation: An example of supplier power in the music industry includes established record
labels like EMI, Sony, and Universal.
Difficulty: 2 Medium
Topic: The Five Forces Model--Evaluating Industry Attractiveness
Bloom's: Understand
Learning Outcome: 01-05 Describe Porter's Five Forces Model and explain each of the five
forces.
Accessibility: Keyboard Navigation
Gradable: automatic
424) Your boss, Ty Jacob, has asked you to analyze the music industry using Porter's five forces
model. Which of the following represents buyer power in the music industry?
A) Established record labels like EMI, Sony, Universal.
B) Walmart, Target, iTunes.
C) Independent record labels.
D) Game systems like Wii, social networks like Facebook.
Answer: B
Explanation: Buyer power in the music industry includes Walmart, Target, and iTunes who
purchase music from record labels to sell online and in their stores.
Difficulty: 2 Medium
Topic: The Five Forces Model--Evaluating Industry Attractiveness
Bloom's: Understand
Learning Outcome: 01-05 Describe Porter's Five Forces Model and explain each of the five
forces.
Accessibility: Keyboard Navigation
Gradable: automatic
383
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written consent of McGraw-Hill Education.
425) Your boss, Ty Jacob, has asked you to analyze the music industry using Porter's five forces
model. Which of the following represents the threat of substitute products or services in the
music industry?
A) Established record labels like EMI, Sony, Universal.
B) Independent record labels.
C) Game systems like Wii, social networks like Facebook.
D) Taylor Swift, Beyoncé, The Beatles, The Stones.
Answer: C
Explanation: Game systems like Wii and social networks offer alternatives or substitute
products to purchasing music for a consumer.
Difficulty: 2 Medium
Topic: The Five Forces Model--Evaluating Industry Attractiveness
Bloom's: Understand
Learning Outcome: 01-05 Describe Porter's Five Forces Model and explain each of the five
forces.
Accessibility: Keyboard Navigation
Gradable: automatic
426) Your boss, Kerry Miller, has asked you to analyze the soft drink industry using Porter's five
forces model. Which of the following represents supplier power in the soft drink industry?
A) Pepsi requires stores that carry Pepsi products to commit to minimum orders of 1,000 cases.
B) Walmart negotiates a lower cost per bottle from Coke in exchange for premium shelf space in
every Walmart store.
C) Zevia Natural Diet Soda begins selling directly over the Internet.
D) Vitamin water, fruit juice, coffee.
Answer: A
Explanation: Supplier power in the soft drink industry is represented by Pepsi.
Difficulty: 2 Medium
Topic: The Five Forces Model--Evaluating Industry Attractiveness
Bloom's: Understand
Learning Outcome: 01-05 Describe Porter's Five Forces Model and explain each of the five
forces.
Accessibility: Keyboard Navigation
Gradable: automatic
384
Copyright 2019 © McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior
written consent of McGraw-Hill Education.
427) Your boss, Kerry Miller, has asked you to analyze the soft drink industry using Porter's five
forces model. Which of the following represents buyer power in the soft drink industry?
A) Pepsi requires stores that carry Pepsi products to commit to minimum orders of 1,000 cases.
B) Walmart negotiates a lower cost per bottle from Coke in exchange for premium shelf space in
every Walmart store.
C) Zevia Natural Diet Soda begins selling directly over the Internet.
D) Vitamin water, fruit juice, coffee. Coke and Pepsi submit bids to the owner of a football
stadium for the exclusive sale of their products during games.
Answer: B
Explanation: Buyer power in the soft drink industry is represented by Walmart.
Difficulty: 2 Medium
Topic: The Five Forces Model--Evaluating Industry Attractiveness
Bloom's: Understand
Learning Outcome: 01-05 Describe Porter's Five Forces Model and explain each of the five
forces.
Accessibility: Keyboard Navigation
Gradable: automatic
428) Your boss, Kerry Miller, has asked you to analyze the soft drink industry using Porter's five
forces model. Which of the following represents a threat of a new entrant in the soft drink
industry?
A) Pepsi requires stores that carry Pepsi products to commit to minimum orders of 1,000 cases.
B) Walmart negotiates a lower cost per bottle from Coke in exchange for premium shelf space in
every Walmart store.
C) Zevia Natural Diet Soda begins selling directly over the Internet.
D) Vitamin water, fruit juice, coffee.
Answer: C
Explanation: Zevia Natural Diet Soda represents a new entrant in the soft drink industry.
Difficulty: 2 Medium
Topic: The Five Forces Model--Evaluating Industry Attractiveness
Bloom's: Understand
Learning Outcome: 01-05 Describe Porter's Five Forces Model and explain each of the five
forces.
Accessibility: Keyboard Navigation
Gradable: automatic
385
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written consent of McGraw-Hill Education.
429) Your boss, Kerry Miller, has asked you to analyze the soft drink industry using Porter's five
forces model. Which of the following represents a substitute product in the soft drink industry?
A) Pepsi requires stores that carry Pepsi products to commit to minimum orders of 1,000 cases.
B) Walmart negotiates a lower cost per bottle from Coke in exchange for premium shelf space in
every Walmart store.
C) Zevia Natural Diet Soda begins selling directly over the Internet.
D) Vitamin water, fruit juice, coffee.
Answer: D
Explanation: Vitamin water, fruit juice, or coffee are all substitute products to a soft drink.
Difficulty: 2 Medium
Topic: The Five Forces Model--Evaluating Industry Attractiveness
Bloom's: Understand
Learning Outcome: 01-05 Describe Porter's Five Forces Model and explain each of the five
forces.
Accessibility: Keyboard Navigation
Gradable: automatic
430) What is buyer power?
A) The ability of buyers to affect the price they must pay for an item.
B) The suppliers' ability to influence the prices they charge for supplies (including materials,
labor, and services).
C) High when it is easy for new competitors to enter a market and low when there are significant
entry barriers to joining a market.
D) High when there are many alternatives to a product or service and low when there are few
alternatives from which to choose.
Answer: A
Explanation: Buyer power is the ability of buyers to affect the price they must pay for an item.
Difficulty: 1 Easy
Topic: The Five Forces Model--Evaluating Industry Attractiveness
Bloom's: Understand
Learning Outcome: 01-05 Describe Porter's Five Forces Model and explain each of the five
forces.
Accessibility: Keyboard Navigation
Gradable: automatic
386
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written consent of McGraw-Hill Education.
431) What is supplier power?
A) The ability of buyers to affect the price they must pay for an item.
B) The suppliers' ability to influence the prices they charge for supplies (including materials,
labor, and services).
C) High when it is easy for new competitors to enter a market and low when there are significant
entry barriers to joining a market.
D) High when there are many alternatives to a product or service and low when there are few
alternatives from which to choose.
Answer: B
Explanation: Supplier power is the suppliers' ability to influence prices.
Difficulty: 1 Easy
Topic: The Five Forces Model--Evaluating Industry Attractiveness
Bloom's: Understand
Learning Outcome: 01-05 Describe Porter's Five Forces Model and explain each of the five
forces.
Accessibility: Keyboard Navigation
Gradable: automatic
432) What is threat of substitute products or services?
A) The ability of buyers to affect the price they must pay for an item.
B) The suppliers' ability to influence the prices they charge for supplies (including materials,
labor, and services).
C) High when it is easy for new competitors to enter a market and low when there are significant
entry barriers to joining a market.
D) High when there are many alternatives to a product or service and low when there are few
alternatives from which to choose.
Answer: D
Explanation: Threat of substitute products or services is high when there are many alternatives
to a product or service and low when there are few alternatives from which to choose.
Difficulty: 1 Easy
Topic: The Five Forces Model--Evaluating Industry Attractiveness
Bloom's: Understand
Learning Outcome: 01-05 Describe Porter's Five Forces Model and explain each of the five
forces.
Accessibility: Keyboard Navigation
Gradable: automatic
387
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written consent of McGraw-Hill Education.
433) What is threat of new entrants?
A) The ability of buyers to affect the price they must pay for an item.
B) The suppliers' ability to influence the prices they charge for supplies (including materials,
labor, and services).
C) High when it is easy for new competitors to enter a market and low when there are significant
entry barriers to joining a market.
D) High when there are many alternatives to a product or service and low when there are few
alternatives from which to choose.
Answer: C
Explanation: Threat of new entrants is high when it is easy for new competitors to enter a
market and low when there are significant entry barriers to joining a market.
Difficulty: 1 Easy
Topic: The Five Forces Model--Evaluating Industry Attractiveness
Bloom's: Understand
Learning Outcome: 01-05 Describe Porter's Five Forces Model and explain each of the five
forces.
Accessibility: Keyboard Navigation
Gradable: automatic
434) What is rivalry among existing competitors?
A) The ability of buyers to affect the price they must pay for an item.
B) The suppliers' ability to influence the prices they charge for supplies (including materials,
labor, and services).
C) High when it is easy for new competitors to enter a market and low when there are significant
entry barriers to joining a market.
D) High when competition is fierce in a market and low when competitors are more complacent.
Answer: D
Explanation: Rivalry is high when competition is fierce in a market and low when competitors
are more complacent.
Difficulty: 1 Easy
Topic: The Five Forces Model--Evaluating Industry Attractiveness
Bloom's: Understand
Learning Outcome: 01-05 Describe Porter's Five Forces Model and explain each of the five
forces.
Accessibility: Keyboard Navigation
Gradable: automatic
388
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written consent of McGraw-Hill Education.
435) Your boss, Kerry Miller, has asked you to analyze the soft drink industry using Porter's five
forces model. Which of the following represents rivalry in the soft drink industry?
A) Pepsi requires stores that carry Pepsi products to commit to minimum orders of 1,000 cases.
B) Walmart negotiates a lower cost per bottle from Coke in exchange for premium shelf space in
every Walmart store.
C) Zevia Natural Diet Soda begins selling directly over the Internet.
D) Coke and Pepsi submit bids to the owner of a football stadium for the exclusive sale of their
products during games.
Answer: D
Explanation: The rivalry between Coke and Pepsi is famous in the soft drink industry.
Difficulty: 2 Medium
Topic: The Five Forces Model--Evaluating Industry Attractiveness
Bloom's: Understand
Learning Outcome: 01-05 Describe Porter's Five Forces Model and explain each of the five
forces.
Accessibility: Keyboard Navigation
Gradable: automatic
436) Porter identified three generic strategies that a business could follow after identifying a
market it wanted to enter. Which of the following is not included as one of Porter's three generic
strategies?
A) Broad differentiation.
B) Supplier cost differentiation.
C) Focused strategy.
D) Broad cost leadership.
Answer: B
Explanation: Porter has identified three generic business strategies for entering a new market:
1) broad cost leadership, 2) broad differentiation, and 3) focused strategy.
Difficulty: 1 Easy
Topic: The Three Generic Strategies--Choosing a Business Focus
Bloom's: Remember
Learning Outcome: 01-06 Compare Porter's three generic strategies.
Accessibility: Keyboard Navigation
Gradable: automatic
389
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written consent of McGraw-Hill Education.
437) When analyzing Porter's three generic strategies for entering a market, if you have a
focused strategy what market should you target?
A) A niche market.
B) A broad market.
C) Neither niche or broad markets.
D) Both niche and broad markets.
Answer: A
Explanation: When analyzing Porter's three generic strategies for entering a market, if you have
a focused strategy you should target a narrow market, niche market, or a unique market.
Difficulty: 2 Medium
Topic: The Three Generic Strategies--Choosing a Business Focus
Bloom's: Understand
Learning Outcome: 01-06 Compare Porter's three generic strategies.
Accessibility: Keyboard Navigation
Gradable: automatic
438) Which of the following offers an example of a company operating in a narrow focusedmarket operating as the low-cost provider?
A) Walmart.
B) Tiffany & Co.
C) Neiman Marcus.
D) Payless Shoes.
Answer: D
Explanation: Payless competes by offering a specific product (narrow market) - shoes at low
prices. Their strategy is to be the low-cost provider of shoes.
Difficulty: 1 Easy
Topic: The Three Generic Strategies--Choosing a Business Focus
Bloom's: Remember
Learning Outcome: 01-06 Compare Porter's three generic strategies.
Accessibility: Keyboard Navigation
Gradable: automatic
390
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written consent of McGraw-Hill Education.
439) Broad differentiation, broad cost leadership, and ________ create the three generic
strategies identified by Porter.
A) Narrow market leadership
B) High cost versus low cost
C) Focused strategy
D) None of the above
Answer: C
Explanation: The three strategies proposed by Porter are 1) broad cost leadership, 2) broad
differentiation, and 3) focused strategy.
Difficulty: 1 Easy
Topic: The Three Generic Strategies--Choosing a Business Focus
Bloom's: Remember
Learning Outcome: 01-06 Compare Porter's three generic strategies.
Accessibility: Keyboard Navigation
Gradable: automatic
440) Jennifer Bloom is writing a paper and she must determine which of Porter's three generic
strategies The Museum Company has implemented. Jennifer finds out that The Museum
Company offers specialty products found only in museums around the world to affluent
customers. What would Jennifer determine The Museum Company is using as its generic
strategy?
A) Broad market, low cost.
B) Narrow market, high cost.
C) Broad market, high cost.
D) Narrow market, low cost.
Answer: B
Explanation: The Museum Company competes using a narrow market and high cost focus.
Difficulty: 3 Hard
Topic: The Three Generic Strategies--Choosing a Business Focus
Bloom's: Analyze
Learning Outcome: 01-06 Compare Porter's three generic strategies.
Accessibility: Keyboard Navigation
Gradable: automatic
391
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written consent of McGraw-Hill Education.
441) According to Porter companies that wish to dominate broad markets should operate using a
________ strategy.
A) Cost leadership with a low cost
B) Differentiation with a low cost
C) Cost leadership with a high cost
D) All of the above
Answer: A
Explanation: According to Porter broad markets should utilize cost leadership with a low cost
and differentiation with a high cost.
Difficulty: 2 Medium
Topic: The Three Generic Strategies--Choosing a Business Focus
Bloom's: Understand
Learning Outcome: 01-06 Compare Porter's three generic strategies.
Accessibility: Keyboard Navigation
Gradable: automatic
442) Which of the following demonstrates a company that has implemented a low cost, broad
market strategy?
A) Neiman Marcus.
B) Payless Shoes.
C) The Sharper Image.
D) Walmart.
Answer: D
Explanation: Walmart competes by offering a broad range of products at low prices. Its
business strategy is to be the low-cost provider of goods for the cost-conscious consumer.
Difficulty: 1 Easy
Topic: The Three Generic Strategies--Choosing a Business Focus
Bloom's: Remember
Learning Outcome: 01-06 Compare Porter's three generic strategies.
Accessibility: Keyboard Navigation
Gradable: automatic
392
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written consent of McGraw-Hill Education.
443) If a business is following a focused strategy then its competitive scope is ________.
A) Broad market.
B) Narrow market.
C) Broad range products.
D) Broad range of services.
Answer: B
Explanation: When you have a market segment their competitive scope should be a narrow
market, and the cost strategy should be a focused strategy.
Difficulty: 1 Easy
Topic: The Three Generic Strategies--Choosing a Business Focus
Bloom's: Remember
Learning Outcome: 01-06 Compare Porter's three generic strategies.
Accessibility: Keyboard Navigation
Gradable: automatic
444) When applying Porter's three generic strategies, Tiffany & Co. has a competitive scope and
cost strategy that is ________.
A) Broad market – high cost strategy.
B) Narrow market – low cost strategy.
C) Narrow market – high cost strategy.
D) Broad market – low cost strategy.
Answer: C
Explanation: Tiffany & Co. competes by offering a differentiated product, jewelry, at high
prices. Its business strategy allows it to be a high-cost provider of premier designer jewelry to
affluent consumers.
Difficulty: 1 Easy
Topic: The Three Generic Strategies--Choosing a Business Focus
Bloom's: Remember
Learning Outcome: 01-06 Compare Porter's three generic strategies.
Accessibility: Keyboard Navigation
Gradable: automatic
393
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written consent of McGraw-Hill Education.
445) When analyzing the book store industry, some of today's businesses compete with different
business strategies and cost strategies. Which of the following is using a broad market
competitive scope along with a low cost strategy?
A) Amazon.com.
B) Any local independent book store that specializes in antique books.
C) Barnes & Noble.
D) Borders books.
Answer: A
Explanation: Amazon.com competes by offering a broad range of differentiated products at low
prices.
Difficulty: 3 Hard
Topic: The Three Generic Strategies--Choosing a Business Focus
Bloom's: Analyze
Learning Outcome: 01-06 Compare Porter's three generic strategies.
Accessibility: Keyboard Navigation
Gradable: automatic
446) Which of the below is similar to focused strategy versus broad strategy?
A) Large market versus leadership.
B) Large market versus uniqueness.
C) Niche market versus large market.
D) Niche market versus generic.
Answer: C
Explanation: Focused strategies versus broad strategies is synonymous to niche market versus
large markets.
Difficulty: 2 Medium
Topic: The Three Generic Strategies--Choosing a Business Focus
Bloom's: Understand
Learning Outcome: 01-06 Compare Porter's three generic strategies.
Accessibility: Keyboard Navigation
Gradable: automatic
394
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written consent of McGraw-Hill Education.
447) Your boss, Penny Dirks, has asked you to analyze the airline industry using Porter's three
generic strategies. Which of the following companies are using a cost leadership strategy?
A) Southwest, Horizon, Frontier, JetBlue.
B) British Airways, Singapore Airlines, Virgin Atlantic.
C) Sky Taxi – a rent by the hour personal plane service.
D) All of the above.
Answer: A
Explanation: Southwest, Horizon, Frontier, and JetBlue all use cost leadership business
strategies.
Difficulty: 2 Medium
Topic: The Three Generic Strategies--Choosing a Business Focus
Bloom's: Understand
Learning Outcome: 01-06 Compare Porter's three generic strategies.
Accessibility: Keyboard Navigation
Gradable: automatic
448) Your boss, Penny Dirks, has asked you to analyze the airline industry using Porter's three
generic strategies. Which of the following companies are using a differentiation strategy?
A) Southwest, Horizon, Frontier, JetBlue.
B) British Airways, Singapore Airlines, Virgin Atlantic.
C) Sky Taxi – a rent by the hour personal plane service.
D) All of the above.
Answer: B
Explanation: British Airways, Singapore Airlines, and Virgin Atlantic all compete using
differentiation strategies.
Difficulty: 2 Medium
Topic: The Three Generic Strategies--Choosing a Business Focus
Bloom's: Understand
Learning Outcome: 01-06 Compare Porter's three generic strategies.
Accessibility: Keyboard Navigation
Gradable: automatic
395
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written consent of McGraw-Hill Education.
449) Your boss, Penny Dirks, has asked you to analyze the airline industry using Porter's three
generic strategies. Which of the following companies are using a focused strategy?
A) Southwest, Horizon, Frontier, JetBlue.
B) British Airways, Singapore Airlines, Virgin Atlantic.
C) Sky Taxi – a rent by the hour personal plane service.
D) All of the above.
Answer: C
Explanation: Sky Taxi is using a focused-strategy targeting individuals that want to hire private
planes.
Difficulty: 2 Medium
Topic: The Three Generic Strategies--Choosing a Business Focus
Bloom's: Understand
Learning Outcome: 01-06 Compare Porter's three generic strategies.
Accessibility: Keyboard Navigation
Gradable: automatic
450) When reviewing Porter's value chain analysis, which of the below provides customer
support after the sale of goods and services?
A) Inbound logistics.
B) Outbound logistics.
C) Operations.
D) Service.
Answer: D
Explanation: The service activity within the primary value activities will provide customer
support after the sale of goods and services.
Difficulty: 1 Easy
Topic: Value Chain Analysis--Executing Business Strategies
Bloom's: Remember
Learning Outcome: 01-07 Demonstrate how a company can add value by using Porter's value
chain analysis.
Accessibility: Keyboard Navigation
Gradable: automatic
396
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written consent of McGraw-Hill Education.
451) Which of the below represents procurement as part of the support value activities in a value
chain analysis?
A) Purchases inputs such as raw materials, resources, equipment and supplies.
B) Applies MIS to processes to add value.
C) Distributes goods and services to customers.
D) Promotes, prices, and sells products to customers.
Answer: A
Explanation: Procurement is the process of the support value activity which purchases inputs
such as raw materials, resources, equipment and supplies.
Difficulty: 1 Easy
Topic: Value Chain Analysis--Executing Business Strategies
Bloom's: Remember
Learning Outcome: 01-07 Demonstrate how a company can add value by using Porter's value
chain analysis.
Accessibility: Keyboard Navigation
Gradable: automatic
452) What includes support value activities and primary value activities and is used to determine
how to create the greatest possible value for customers?
A) Supplier power.
B) Operations management.
C) Porter's Five Forces Model.
D) The Value Chain analysis.
Answer: D
Explanation: The support activity firm infrastructure coupled with the primary value activity of
outbound logistics is a part of the Value Chain analysis.
Difficulty: 1 Easy
Topic: Value Chain Analysis--Executing Business Strategies
Bloom's: Remember
Learning Outcome: 01-07 Demonstrate how a company can add value by using Porter's value
chain analysis.
Accessibility: Keyboard Navigation
Gradable: automatic
397
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written consent of McGraw-Hill Education.
453) What is a standardized set of activities that accomplishes a specific task?
A) Business strategy.
B) Business outcome.
C) Business process.
D) Knowledge process.
Answer: C
Explanation: A business process is a standardized set of activities that accomplish a specific
task.
Difficulty: 1 Easy
Topic: Value Chain Analysis--Executing Business Strategies
Bloom's: Remember
Learning Outcome: 01-07 Demonstrate how a company can add value by using Porter's value
chain analysis.
Accessibility: Keyboard Navigation
Gradable: automatic
454) Which of the following analyzes a company's business processes and is useful for
determining how to create the greatest possible value for customers?
A) Product analysis.
B) Primary supplier power.
C) Value chain analysis.
D) Buyer chain analysis.
Answer: C
Explanation: The value chain analysis views a firm as a series of business processes that each
add value to the product or service.
Difficulty: 1 Easy
Topic: Value Chain Analysis--Executing Business Strategies
Bloom's: Remember
Learning Outcome: 01-07 Demonstrate how a company can add value by using Porter's value
chain analysis.
Accessibility: Keyboard Navigation
Gradable: automatic
398
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written consent of McGraw-Hill Education.
455) The goal of value chain analysis is to identify processes in which the firm can add value for
the customer and create a competitive advantage for itself, with a ________ or ________.
A) Focused strategy, product differentiation
B) Focused strategy, cost advantage
C) Cost advantage, primary value activities
D) Cost advantage, product differentiation
Answer: D
Explanation: The goal of value chain analysis is to identify processes in which the firm can add
value for the customer and create a competitive advantage for itself, with a cost advantage or
product differentiation.
Difficulty: 2 Medium
Topic: Value Chain Analysis--Executing Business Strategies
Bloom's: Understand
Learning Outcome: 01-07 Demonstrate how a company can add value by using Porter's value
chain analysis.
Accessibility: Keyboard Navigation
Gradable: automatic
456) What are the two main categories in a value chain analysis?
A) Primary value activities & secondary value activities.
B) Primary value activities & support value activities.
C) Primary value activities & strengthening value activities.
D) None of the above.
Answer: B
Explanation: The value chain groups a firm's activities into two categories, primary value
activities, and support value activities.
Difficulty: 1 Easy
Topic: Value Chain Analysis--Executing Business Strategies
Bloom's: Remember
Learning Outcome: 01-07 Demonstrate how a company can add value by using Porter's value
chain analysis.
Accessibility: Keyboard Navigation
Gradable: automatic
399
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written consent of McGraw-Hill Education.
457) Which of the following is not considered a category within the primary value activities in a
value chain analysis?
A) Inbound logistics.
B) Firm infrastructure.
C) Operations.
D) Service.
Answer: B
Explanation: Primary value activities are found at the bottom of the value chain, these include
business processes that acquire raw materials and manufacture, deliver, market, sell, and provide
after-sales services.
Difficulty: 1 Easy
Topic: Value Chain Analysis--Executing Business Strategies
Bloom's: Remember
Learning Outcome: 01-07 Demonstrate how a company can add value by using Porter's value
chain analysis.
Accessibility: Keyboard Navigation
Gradable: automatic
458) Which of the following is not considered a category within the support value activities in a
value chain analysis?
A) Technology development.
B) Outbound logistics.
C) Human resource management.
D) Firm infrastructure.
Answer: B
Explanation: Support value activities are found along the top of the value chain and includes
business processes, such as firm infrastructure, human resource management, technology
development, and procurement that support the primary value activities.
Difficulty: 1 Easy
Topic: Value Chain Analysis--Executing Business Strategies
Bloom's: Remember
Learning Outcome: 01-07 Demonstrate how a company can add value by using Porter's value
chain analysis.
Accessibility: Keyboard Navigation
Gradable: automatic
400
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written consent of McGraw-Hill Education.
459) What is the support value activity that provides employees with training, hiring, and
compensation?
A) Procurement.
B) Operations resource management.
C) Human resource management.
D) Firm infrastructure.
Answer: C
Explanation: Human resource management provides employee training, hiring, and
compensation.
Difficulty: 1 Easy
Topic: Value Chain Analysis--Executing Business Strategies
Bloom's: Remember
Learning Outcome: 01-07 Demonstrate how a company can add value by using Porter's value
chain analysis.
Accessibility: Keyboard Navigation
Gradable: automatic
460) Sandy Fiero works as the Chief Knowledge Officer for Bend Lumbar Company. She has
been given the responsibility to create a product or service that will bring an added value to its
customers to increase the company's revenue. Sandy determines that the best value she can add is
by creating a service that offers free next day shipping on any order over $50. Where in the value
chain is Sandy adding value?
A) The primary value activity outbound logistics.
B) The primary value activity inbound logistics.
C) The primary value activity marketing and sales.
D) The primary value activity operations.
Answer: A
Explanation: Outbound logistics distributes goods and services to customers.
Difficulty: 3 Hard
Topic: Value Chain Analysis--Executing Business Strategies
Bloom's: Analyze
Learning Outcome: 01-07 Demonstrate how a company can add value by using Porter's value
chain analysis.
Accessibility: Keyboard Navigation
Gradable: automatic
401
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written consent of McGraw-Hill Education.
461) When evaluating the value chain, all of the following are included in the primary value
activities except ________.
A) Inbound activities.
B) Operations.
C) Service.
D) MIS development.
Answer: D
Explanation: The primary value activities include 1) inbound logistics, 2) operations, 3)
outbound logistics, 4) marketing and sales, and 5) service.
Difficulty: 1 Easy
Topic: Value Chain Analysis--Executing Business Strategies
Bloom's: Remember
Learning Outcome: 01-07 Demonstrate how a company can add value by using Porter's value
chain analysis.
Accessibility: Keyboard Navigation
Gradable: automatic
462) When evaluating the value chain, which of the following is included in the support value
activities?
A) Inbound activities.
B) Marketing and sales.
C) Firm infrastructure.
D) Finance and sales.
Answer: C
Explanation: The support value activities found along the top of the value chain include 1) firm
infrastructure, 2) human resource management, 3) technology development, and 4) procurement.
Difficulty: 1 Easy
Topic: Value Chain Analysis--Executing Business Strategies
Bloom's: Remember
Learning Outcome: 01-07 Demonstrate how a company can add value by using Porter's value
chain analysis.
Accessibility: Keyboard Navigation
Gradable: automatic
402
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written consent of McGraw-Hill Education.
463) Which of the following decisions does a firm need to make as soon as it has identified the
activities from the value chain that are bringing the highest added value to their customers?
A) Target high value-adding activities to further enhance their value.
B) Target low value-adding activities to increase their value.
C) Perform some combination of the two.
D) All of the above.
Answer: D
Explanation: When a firm has identified the activities from the value chain that are bringing the
highest added value to their customers, they need to make decisions regarding the competitive
advantage by determining whether to 1) Target high value-adding activities to further enhance
their value, 2) Target low value-adding activities to increase their value, and 3) Perform some
combination of the two.
Difficulty: 2 Medium
Topic: Value Chain Analysis--Executing Business Strategies
Bloom's: Understand
Learning Outcome: 01-07 Demonstrate how a company can add value by using Porter's value
chain analysis.
Accessibility: Keyboard Navigation
Gradable: automatic
464) MIS can add value to both primary activities and support activities in the value chain.
Which of the following is not an example of a company adding value by the use of MIS in a
primary activity?
A) Scottrade Corp. creating an online system for employees to track paychecks, benefits,
wellness rewards program, and other employee benefit items.
B) A system for the sales and marketing departments to track specific sales targets and follow up
processes.
C) An easy electronic survey, similar to the survey monkey, to be sent to the customer right after
a service was completed.
D) Royal Crest Dairy using their custom order and delivery system through an easily accessible
Web portal for the customer to track delivery status.
Answer: A
Explanation: MIS can add value to both primary and support activities within a business. All
are primary activities except Scottrade Corp. creating an online system for employees to track
paychecks, benefits, wellness rewards program, and other employee benefit items. This is a
support value activity.
Difficulty: 3 Hard
Topic: Value Chain Analysis--Executing Business Strategies
Bloom's: Analyze
Learning Outcome: 01-07 Demonstrate how a company can add value by using Porter's value
chain analysis.
Accessibility: Keyboard Navigation
Gradable: automatic
403
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written consent of McGraw-Hill Education.
465) MIS can add value to both primary and support activities within a business. Which of the
following is not an example of a company adding value by the use of MIS in a support activity?
A) Netflix creating a business strategy for the video rental market that delivers videos via the
mail.
B) The human resources department creates a tracking system to efficiently reward employees
based on their performance.
C) Scottrade Corp. creating an online system for employees to track paychecks, benefits,
wellness rewards program, and other employee benefit items.
D) The University of Forks creates a program to automatically order office supplies such as pens
and pads of paper for its employees.
Answer: A
Explanation: MIS can add value to both primary and support activities within a business. All
are support activities except for the example, Netflix creating a business strategy for the video
rental market that makes renting a movie simplified with their inexpensive, no late fee, quick
mail delivery system. This is a primary value activity.
Difficulty: 3 Hard
Topic: Value Chain Analysis--Executing Business Strategies
Bloom's: Analyze
Learning Outcome: 01-07 Demonstrate how a company can add value by using Porter's value
chain analysis.
Accessibility: Keyboard Navigation
Gradable: automatic
466) Describe the information age and the differences between data, information, business
intelligence, and knowledge.
Answer: We live in the information age, when infinite quantities of facts are widely available to
anyone who can use a computer. The core drivers of the information age include data,
information, business intelligence, and knowledge. Data are raw facts that describe the
characteristics of an event or object. Information is data converted into a meaningful and useful
context. Business intelligence (BI) is information collected from multiple sources such as
suppliers, customers, competitors, partners, and industries that analyzes patterns, trends, and
relationships for strategic decision making. Knowledge includes the skills, experience, and
expertise, coupled with information and intelligence that creates a person's intellectual resources.
As you move from data to knowledge you include more and more variables for analysis resulting
in better, more precise support for decision making and problem solving.
Difficulty: 3 Hard
Topic: Competing in the Information Age
Bloom's: Analyze
Learning Outcome: 01-01 Describe the information age and the differences among data,
information, business intelligence, and knowledge.
Accessibility: Keyboard Navigation
Gradable: manual
404
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written consent of McGraw-Hill Education.
467) Identify the different departments in a company and why they must work together to
achieve success.
Answer: Companies are typically organized by department or functional area such as
accounting, finance, human resources, marketing, operations management, and sales. Although
each department has its own focus and own data, none can work independently if the company is
to operate as a whole. It is easy to see how a business decision made by one department can
affect other departments. Functional areas are anything but independent in a business. In fact,
functional areas are interdependent. Sales must rely on information from operations to
understand inventory, place orders, calculate transportation costs, and gain insight into product
availability based on production schedules. For an organization to succeed, every department or
functional area must work together sharing common information and not be a "silo." Information
technology can enable departments to more efficiently and effectively perform their business
operations.
Difficulty: 3 Hard
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Analyze
Learning Outcome: 01-02 Explain systems thinking and how management information systems
enable business communications.
Accessibility: Keyboard Navigation
Gradable: manual
468) Define the 6 primary MIS-related strategic positions in an organization along with their
associated responsibilities.
Answer: The chief information officer (CIO) is responsible for overseeing all uses of
information technology and ensuring the strategic alignment of MIS with business goals and
objectives. The chief data officer (CDO) is responsible for determining the types of information
the enterprise will capture, retain, analyze, and share. The chief technology officer (CTO) is
responsible for ensuring the throughput, speed, accuracy, availability, and reliability of an
organization's information technology. The chief security officer (CSO) is responsible for
ensuring the security of the MIS systems and developing strategies and MIS safeguards against
attacks from hackers and viruses. The Chief privacy officer (CPO) is responsible for ensuring the
ethical and legal use of information within an organization. The chief knowledge officer (CKO)
is responsible for collecting, maintaining, and distributing the organization's knowledge.
Difficulty: 3 Hard
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Analyze
Learning Outcome: 01-02 Explain systems thinking and how management information systems
enable business communications.
Accessibility: Keyboard Navigation
Gradable: manual
405
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written consent of McGraw-Hill Education.
469) Explain systems thinking and how management information systems enable business
communications.
Answer: A system is a collection of parts that link to achieve a common purpose. Systems
thinking is a way of monitoring the entire system by viewing multiple inputs being processed or
transformed to produce outputs while continuously gathering feedback on each part. Feedback is
information that returns to its original transmitter (input, transform, or output) and modifies the
transmitter's actions. Feedback helps the system maintain stability. Management information
systems (MIS) is a business function, like accounting and human resources, which moves
information about people, products, and processes across the company to facilitate decision
making and problem solving. MIS incorporates systems thinking to help companies operate
cross-functionally. For example, to fulfill product orders, an MIS for sales moves a single
customer order across all functional areas including sales, order fulfillment, shipping, billing, and
finally customer service. Although different functional areas handle different parts of the sale,
thanks to MIS, to the customer the sale is one continuous process.
Difficulty: 3 Hard
Topic: The Challenge of Departmental Companies and the MIS Solution
Bloom's: Analyze
Learning Outcome: 01-02 Explain systems thinking and how management information systems
enable business communications.
Accessibility: Keyboard Navigation
Gradable: manual
470) Explain why competitive advantages are temporary.
Answer: A competitive advantage is a feature of a product or service on which customers place
a greater value than they do on similar offerings from competitors. Competitive advantages
provide the same product or service either at a lower price or with additional value that can fetch
premium prices. Unfortunately, competitive advantages are typically temporary, because
competitors often quickly seek ways to duplicate them. In turn, organizations must develop a
strategy based on a new competitive advantage. Ways that companies duplicate competitive
advantages include acquiring the new technology, copying business processes, and hiring away
employees.
Difficulty: 3 Hard
Topic: Identifying Competitive Advantages
Bloom's: Analyze
Learning Outcome: 01-03 Explain why competitive advantages are temporary along with the
four key areas of a SWOT analysis.
Accessibility: Keyboard Navigation
Gradable: manual
406
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written consent of McGraw-Hill Education.
471) Describe Porter's Five Forces Model and explain each of the five forces.
Answer: Porter's Five Forces Model analyzes the competitive forces within the environment in
which a company operates, to assess the potential for profitability in an industry. Buyer power is
the ability of buyers to affect the price they must pay for an item. Supplier power is the suppliers'
ability to influence the prices they charge for supplies (including materials, labor, and services).
Threat of substitute products or services is high when there are many alternatives to a product or
service and low when there are few alternatives from which to choose. Threat of new entrants is
high when it is easy for new competitors to enter a market and low when there are significant
entry barriers to entering a market. Rivalry among existing competitors is high when competition
is fierce in a market and low when competition is more complacent.
Difficulty: 3 Hard
Topic: The Five Forces Model--Evaluating Industry Attractiveness
Bloom's: Analyze
Learning Outcome: 01-05 Describe Porter's Five Forces Model and explain each of the five
forces.
Accessibility: Keyboard Navigation
Gradable: manual
472) Compare Porter's three generic strategies.
Answer: Organizations typically follow one of Porter's three generic strategies when entering a
new market: (1) broad cost leadership, (2) broad differentiation, (3) focused strategy. Broad
strategies reach a large market segment. Focused strategies target a niche market. Focused
strategies concentrate on either cost leadership or differentiation.
Difficulty: 3 Hard
Topic: The Three Generic Strategies--Choosing a Business Focus
Bloom's: Analyze
Learning Outcome: 01-06 Compare Porter's three generic strategies.
Accessibility: Keyboard Navigation
Gradable: manual
407
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written consent of McGraw-Hill Education.
473) Demonstrate how a company can add value by using Porter's value chain analysis.
Answer: To identify competitive advantages, Michael Porter created value chain analysis,
which views a firm as a series of business processes that each add value to the product or service.
The goal of value chain analysis is to identify processes in which the firm can add value for the
customer and create a competitive advantage for itself, with a cost advantage or product
differentiation. The value chain groups a firm's activities into two categories—primary value
activities and support value activities. Primary value activities acquire raw materials and
manufacture, deliver, market, sell, and provide after-sales services. Support value activities,
along the top of the value chain in the figure, include firm infrastructure, human resource
management, technology development, and procurement. Not surprisingly, these support the
primary value activities.
Difficulty: 3 Hard
Topic: Value Chain Analysis--Executing Business Strategies
Bloom's: Analyze
Learning Outcome: 01-07 Demonstrate how a company can add value by using Porter's value
chain analysis.
Accessibility: Keyboard Navigation
Gradable: manual
Business Driven Information Systems, 6e (Baltzan)
Chapter 2 Decisions and Processes: Value Driven Business
1) Analytics is the science of fact-based decision making.
Answer: TRUE
Explanation: Analytics is the science of fact-based decision making.
Difficulty: 1 Easy
Topic: Making Organizational Business Decisions
Bloom's: Remember
Learning Outcome: 02-01 Explain the importance of decision making for managers at each of
the three primary organization levels along with the associated decision characteristics.
Accessibility: Keyboard Navigation
Gradable: automatic
2) At the operational level employees are continuously evaluating company operations to hone
the firm's abilities to identify, adapt to, and leverage change.
Answer: FALSE
Explanation: At the managerial level employees are continuously evaluating company
operations to hone the firm's abilities to identify, adapt to, and leverage change.
Difficulty: 1 Easy
Topic: Making Organizational Business Decisions
Bloom's: Remember
Learning Outcome: 02-04 Describe artificial intelligence, and identify its five main types.; 0206 Demonstrate the value of business process modeling, and compare As-Is and To-Be models.;
408
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written consent of McGraw-Hill Education.
02-01 Explain the importance of decision making for managers at each of the three primary
organization levels along with the associated decision characteristics.
Accessibility: Keyboard Navigation
Gradable: automatic
3) At the operational level employees develop, control, and maintain core business activities
required to run the day-to-day operations.
Answer: TRUE
Explanation: At the operational level employees develop, control, and maintain core business
activities required to run the day-to-day operations.
Difficulty: 1 Easy
Topic: Making Organizational Business Decisions
Bloom's: Remember
Learning Outcome: 02-01 Explain the importance of decision making for managers at each of
the three primary organization levels along with the associated decision characteristics.
Accessibility: Keyboard Navigation
Gradable: automatic
4) Operational decisions are considered structured decisions.
Answer: TRUE
Explanation: Operational decisions are considered structured decisions.
Difficulty: 1 Easy
Topic: Making Organizational Business Decisions
Bloom's: Remember
Learning Outcome: 02-01 Explain the importance of decision making for managers at each of
the three primary organization levels along with the associated decision characteristics.
Accessibility: Keyboard Navigation
Gradable: automatic
5) Asking how many employees are out sick is a type of operational question.
Answer: TRUE
Explanation: Asking how many employees are out sick is a type of operational question.
Difficulty: 1 Easy
Topic: Making Organizational Business Decisions
Bloom's: Remember
Learning Outcome: 02-01 Explain the importance of decision making for managers at each of
the three primary organization levels along with the associated decision characteristics.
Accessibility: Keyboard Navigation
Gradable: automatic
6) Strategic decisions are highly structured decisions.
409
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written consent of McGraw-Hill Education.
Answer: FALSE
Explanation: Strategic decisions are highly unstructured decisions.
Difficulty: 1 Easy
Topic: Making Organizational Business Decisions
Bloom's: Remember
Learning Outcome: 02-01 Explain the importance of decision making for managers at each of
the three primary organization levels along with the associated decision characteristics.
Accessibility: Keyboard Navigation
Gradable: automatic
410
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written consent of McGraw-Hill Education.
7) One of the most important and challenging questions confronting managers today is how to
lay the foundation for tomorrow's success while competing to win in today's business
environment.
Answer: TRUE
Explanation: The most important and most challenging question confronting managers today is
how to lay the foundation for tomorrow's success while competing to win in today's business
environment.
Difficulty: 1 Easy
Topic: Making Organizational Business Decisions
Bloom's: Remember
Learning Outcome: 02-01 Explain the importance of decision making for managers at each of
the three primary organization levels along with the associated decision characteristics.
Accessibility: Keyboard Navigation
Gradable: automatic
8) The structure of a typical organization is similar to a pyramid, with different levels that
require one consistent type of information to assist with all managerial decision making.
Answer: FALSE
Explanation: The structure of a typical organization is similar to a pyramid, with different
levels that require different types of information to assist decision making, problem solving, and
opportunity capturing.
Difficulty: 1 Easy
Topic: Making Organizational Business Decisions
Bloom's: Remember
Learning Outcome: 02-01 Explain the importance of decision making for managers at each of
the three primary organization levels along with the associated decision characteristics.
Accessibility: Keyboard Navigation
Gradable: automatic
9) Operational decisions or semistructured decisions arise in situations where established
processes offer potential solutions.
Answer: FALSE
Explanation: Operational decisions are considered structured decisions not semistructured
decision, which arise in situations where established processes offer potential solutions.
Difficulty: 1 Easy
Topic: Making Organizational Business Decisions
Bloom's: Remember
Learning Outcome: 02-01 Explain the importance of decision making for managers at each of
the three primary organization levels along with the associated decision characteristics.
Accessibility: Keyboard Navigation
Gradable: automatic
411
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written consent of McGraw-Hill Education.
10) Unstructured decisions occur in situations in which no procedures or rules exist to guide
decision makers towards the correct choice.
Answer: TRUE
Explanation: Unstructured decisions occur in situations in which no procedures or rules exist to
guide decision makers toward the correct choice.
Difficulty: 1 Easy
Topic: Making Organizational Business Decisions
Bloom's: Remember
Learning Outcome: 02-01 Explain the importance of decision making for managers at each of
the three primary organization levels along with the associated decision characteristics.
Accessibility: Keyboard Navigation
Gradable: automatic
11) At the strategic decision-making level employees develop, control, and maintain core
business activities.
Answer: FALSE
Explanation: At the operational decision-making level employees develop, control, and
maintain core business activities required to run the day-to-day operations.
Difficulty: 1 Easy
Topic: Making Organizational Business Decisions
Bloom's: Remember
Learning Outcome: 02-01 Explain the importance of decision making for managers at each of
the three primary organization levels along with the associated decision characteristics.
Accessibility: Keyboard Navigation
Gradable: automatic
12) Key performance indicators can focus on external and internal measurements.
Answer: TRUE
Explanation: Key performance indicators (KPI's) can focus on external and internal
measurements.
Difficulty: 1 Easy
Topic: Metrics Measuring Business Success
Bloom's: Remember
Learning Outcome: 02-02 Define critical success factors (CSFs) and key performance
indicators (KPIs), and explain how managers use them to measure the success of MIS projects.
Accessibility: Keyboard Navigation
Gradable: automatic
412
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written consent of McGraw-Hill Education.
13) The proportion of the market that a firm captures is called market share.
Answer: TRUE
Explanation: The proportion of the market that a firm captures is called market share.
Difficulty: 1 Easy
Topic: Metrics Measuring Business Success
Bloom's: Remember
Learning Outcome: 02-02 Define critical success factors (CSFs) and key performance
indicators (KPIs), and explain how managers use them to measure the success of MIS projects.
Accessibility: Keyboard Navigation
Gradable: automatic
14) Benchmarks are baseline values the system seeks to attain.
Answer: TRUE
Explanation: Benchmarks are baseline values the system seeks to attain.
Difficulty: 1 Easy
Topic: Metrics Measuring Business Success
Bloom's: Remember
Learning Outcome: 02-02 Define critical success factors (CSFs) and key performance
indicators (KPIs), and explain how managers use them to measure the success of MIS projects.
Accessibility: Keyboard Navigation
Gradable: automatic
15) Effectiveness MIS metrics include throughput, transaction speed, and system availability.
Answer: FALSE
Explanation: Efficiency MIS metrics include throughput, speed, and availability.
Difficulty: 1 Easy
Topic: Metrics Measuring Business Success
Bloom's: Remember
Learning Outcome: 02-02 Define critical success factors (CSFs) and key performance
indicators (KPIs), and explain how managers use them to measure the success of MIS projects.
Accessibility: Keyboard Navigation
Gradable: automatic
413
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written consent of McGraw-Hill Education.
16) Measuring the amount of website traffic is the best way to determine an organization's
success.
Answer: FALSE
Explanation: A large amount of website traffic does not indicate large revenues or website
success.
Difficulty: 1 Easy
Topic: Metrics Measuring Business Success
Bloom's: Remember
Learning Outcome: 02-02 Define critical success factors (CSFs) and key performance
indicators (KPIs), and explain how managers use them to measure the success of MIS projects.
Accessibility: Keyboard Navigation
Gradable: automatic
17) A project is a temporary activity a company undertakes to create a unique product, service,
or result.
Answer: TRUE
Explanation: A project is a temporary activity a company undertakes to create a unique product,
service, or result.
Difficulty: 1 Easy
Topic: Metrics Measuring Business Success
Bloom's: Remember
Learning Outcome: 02-02 Define critical success factors (CSFs) and key performance
indicators (KPIs), and explain how managers use them to measure the success of MIS projects.
Accessibility: Keyboard Navigation
Gradable: automatic
18) Metrics are temporary activities a company undertakes to create a unique product, service, or
result.
Answer: FALSE
Explanation: A project is a temporary activity a company undertakes to create a unique product,
service, or result.
Difficulty: 1 Easy
Topic: Metrics Measuring Business Success
Bloom's: Remember
Learning Outcome: 02-02 Define critical success factors (CSFs) and key performance
indicators (KPIs), and explain how managers use them to measure the success of MIS projects.
Accessibility: Keyboard Navigation
Gradable: automatic
414
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written consent of McGraw-Hill Education.
19) Metrics are measurements that evaluate results to determine whether a project is meeting its
goals.
Answer: TRUE
Explanation: Metrics are measurements that evaluate results to determine whether a project is
meeting its goals.
Difficulty: 1 Easy
Topic: Metrics Measuring Business Success
Bloom's: Remember
Learning Outcome: 02-02 Define critical success factors (CSFs) and key performance
indicators (KPIs), and explain how managers use them to measure the success of MIS projects.
Accessibility: Keyboard Navigation
Gradable: automatic
20) Efficiency MIS metrics include throughput, speed, and availability.
Answer: TRUE
Explanation: Efficiency MIS metrics include throughput, speed, and availability.
Difficulty: 1 Easy
Topic: Metrics Measuring Business Success
Bloom's: Remember
Learning Outcome: 02-02 Define critical success factors (CSFs) and key performance
indicators (KPIs), and explain how managers use them to measure the success of MIS projects.
Accessibility: Keyboard Navigation
Gradable: automatic
21) Effectiveness MIS metrics measure the impact MIS has on business processes and activities,
including customer satisfaction and customer conversion rates.
Answer: TRUE
Explanation: Effectiveness MIS metrics measure the impact MIS has on business processes and
activities, including customer satisfaction and customer conversion rates.
Difficulty: 1 Easy
Topic: Metrics Measuring Business Success
Bloom's: Remember
Learning Outcome: 02-02 Define critical success factors (CSFs) and key performance
indicators (KPIs), and explain how managers use them to measure the success of MIS projects.
Accessibility: Keyboard Navigation
Gradable: automatic
415
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written consent of McGraw-Hill Education.
22) Efficiency MIS metrics measure the impact MIS has on business processes and activities,
including customer satisfaction and customer conversion rates.
Answer: FALSE
Explanation: Effectiveness MIS metrics measure the impact MIS has on business processes and
activities, including customer satisfaction and customer conversion rates.
Difficulty: 1 Easy
Topic: Metrics Measuring Business Success
Bloom's: Remember
Learning Outcome: 02-02 Define critical success factors (CSFs) and key performance
indicators (KPIs), and explain how managers use them to measure the success of MIS projects.
Accessibility: Keyboard Navigation
Gradable: automatic
23) Best practices are the most successful solutions or problem-solving methods that have been
developed by a specific organization or industry.
Answer: TRUE
Explanation: Best practices are the most successful solutions or problem-solving methods that
have been developed by a specific organization or industry.
Difficulty: 1 Easy
Topic: Metrics Measuring Business Success
Bloom's: Remember
Learning Outcome: 02-02 Define critical success factors (CSFs) and key performance
indicators (KPIs), and explain how managers use them to measure the success of MIS projects.
Accessibility: Keyboard Navigation
Gradable: automatic
24) Return on investment indicates the earning power of a project.
Answer: TRUE
Explanation: Return on investment indicates the earning power of a project.
Difficulty: 1 Easy
Topic: Metrics Measuring Business Success
Bloom's: Remember
Learning Outcome: 02-02 Define critical success factors (CSFs) and key performance
indicators (KPIs), and explain how managers use them to measure the success of MIS projects.
Accessibility: Keyboard Navigation
Gradable: automatic
416
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written consent of McGraw-Hill Education.
25) MIS support systems rely on models for computational and analytical routines that
mathematically express relationships among variables.
Answer: TRUE
Explanation: MIS support systems rely on models for computational and analytical routines that
mathematically express relationships among variables.
Difficulty: 1 Easy
Topic: Support Enhancing Decision Making with MIS
Bloom's: Remember
Learning Outcome: 02-03 Classify the different operational support systems, managerial
support systems, and strategic support systems, and explain how managers can use these systems
to make decisions and gain competitive advantages.
Accessibility: Keyboard Navigation
Gradable: automatic
26) A pie chart is a type of graph in which a circle is divided into sectors that each represent a
proportion of the whole.
Answer: TRUE
Explanation: A pie chart is a type of graph in which a circle is divided into sectors that each
represent a proportion of the whole.
Difficulty: 1 Easy
Topic: Support Enhancing Decision Making with MIS
Bloom's: Remember
Learning Outcome: 02-03 Classify the different operational support systems, managerial
support systems, and strategic support systems, and explain how managers can use these systems
to make decisions and gain competitive advantages.
Accessibility: Keyboard Navigation
Gradable: automatic
27) Streamlining information encompasses all of the information contained within a single
business process or unit of work, and its primary purpose is to support the performing of daily
operational or structured decisions.
Answer: FALSE
Explanation: Transactional information encompasses all of the information contained within a
single business process or unit of work, and its primary purpose is to support the performing of
daily operational or structured decisions.
Difficulty: 1 Easy
Topic: Support Enhancing Decision Making with MIS
Bloom's: Remember
Learning Outcome: 02-03 Classify the different operational support systems, managerial
support systems, and strategic support systems, and explain how managers can use these systems
to make decisions and gain competitive advantages.
Accessibility: Keyboard Navigation
Gradable: automatic
417
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written consent of McGraw-Hill Education.
28) A bar chart is a chart or graph that presents grouped data with rectangular bars with lengths
proportional to the values that they represent.
Answer: TRUE
Explanation: A bar chart is a chart or graph that presents grouped data with rectangular bars
with lengths proportional to the values that they represent.
Difficulty: 1 Easy
Topic: Support Enhancing Decision Making with MIS
Bloom's: Remember
Learning Outcome: 02-03 Classify the different operational support systems, managerial
support systems, and strategic support systems, and explain how managers can use these systems
to make decisions and gain competitive advantages.
Accessibility: Keyboard Navigation
Gradable: automatic
29) Sensitivity analysis, what-if analysis, optimization analysis, and market basket analysis are
the common DSS analysis techniques.
Answer: FALSE
Explanation: Sensitivity analysis, what-if analysis, optimization analysis, and goal-seeking
analysis are the common DSS analysis techniques.
Difficulty: 2 Medium
Topic: Support Enhancing Decision Making with MIS
Bloom's: Understand
Learning Outcome: 02-03 Classify the different operational support systems, managerial
support systems, and strategic support systems, and explain how managers can use these systems
to make decisions and gain competitive advantages.
Accessibility: Keyboard Navigation
Gradable: automatic
30) A histogram is a graphical display of data using bars of different heights. It is similar to a bar
chart, but a histogram groups numbers into ranges.
Answer: TRUE
Explanation: A histogram is a graphical display of data using bars of different heights. It is
similar to a bar chart, but a histogram groups numbers into ranges.
Difficulty: 1 Easy
Topic: Support Enhancing Decision Making with MIS
Bloom's: Understand
Learning Outcome: 02-03 Classify the different operational support systems, managerial
support systems, and strategic support systems, and explain how managers can use these systems
to make decisions and gain competitive advantages.
Accessibility: Keyboard Navigation
Gradable: automatic
418
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written consent of McGraw-Hill Education.
31) A sparkline is a small embedded line graph that illustrates a single trend. Sparklines are often
used in reports, presentations, dashboards, and scoreboards. They do not include axes or labels;
context comes from the related content.
Answer: TRUE
Explanation: A sparkline is a small embedded line graph that illustrates a single trend.
Sparklines are often used in reports, presentations, dashboards, and scoreboards. They do not
include axes or labels; context comes from the related content.
Difficulty: 1 Easy
Topic: Support Enhancing Decision Making with MIS
Bloom's: Understand
Learning Outcome: 02-03 Classify the different operational support systems, managerial
support systems, and strategic support systems, and explain how managers can use these systems
to make decisions and gain competitive advantages.
Accessibility: Keyboard Navigation
Gradable: automatic
32) An infographic (information graphic) is a representation of information in a graphic format
designed to make the data easily understandable at a glance. People use infographics to quickly
communicate a message, to simplify the presentation of large amounts of data, to see data
patterns and relationships, and to monitor changes in variables over time.
Answer: TRUE
Explanation: An infographic (information graphic) is a representation of information in a
graphic format designed to make the data easily understandable at a glance. People use
infographics to quickly communicate a message, to simplify the presentation of large amounts of
data, to see data patterns and relationships, and to monitor changes in variables over time.
Difficulty: 1 Easy
Topic: Support Enhancing Decision Making with MIS
Bloom's: Understand
Learning Outcome: 02-03 Classify the different operational support systems, managerial
support systems, and strategic support systems, and explain how managers can use these systems
to make decisions and gain competitive advantages.
Accessibility: Keyboard Navigation
Gradable: automatic
419
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written consent of McGraw-Hill Education.
33) A time-series chart is a graphical representation showing change of a variable over time.
Time-series charts are used for data that changes continuously, such as stock prices. They allow
for a clear visual representation of a change in one variable over a set amount of time.
Answer: TRUE
Explanation: A time-series chart is a graphical representation showing change of a variable
over time. Time-series charts are used for data that changes continuously, such as stock prices.
They allow for a clear visual representation of a change in one variable over a set amount of
time.
Difficulty: 1 Easy
Topic: Support Enhancing Decision Making with MIS
Bloom's: Understand
Learning Outcome: 02-03 Classify the different operational support systems, managerial
support systems, and strategic support systems, and explain how managers can use these systems
to make decisions and gain competitive advantages.
Accessibility: Keyboard Navigation
Gradable: automatic
34) A pivot rotates data to display alternative presentations of the data.
Answer: TRUE
Explanation: Rotates data to display alternative presentations of the data.
Difficulty: 2 Medium
Topic: Support Enhancing Decision Making with MIS
Bloom's: Understand
Learning Outcome: 02-03 Classify the different operational support systems, managerial
support systems, and strategic support systems, and explain how managers can use these systems
to make decisions and gain competitive advantages.
Accessibility: Keyboard Navigation
Gradable: automatic
35) A consolidation rotates data to display alternative presentations of the data.
Answer: FALSE
Explanation: A pivot rotates data to display alternative presentations of the data.
Difficulty: 2 Medium
Topic: Support Enhancing Decision Making with MIS
Bloom's: Understand
Learning Outcome: 02-03 Classify the different operational support systems, managerial
support systems, and strategic support systems, and explain how managers can use these systems
to make decisions and gain competitive advantages.
Accessibility: Keyboard Navigation
Gradable: automatic
420
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written consent of McGraw-Hill Education.
36) Digital dashboards offer consolidation, drill-down, and slice-and-dice capabilities.
Answer: TRUE
Explanation: Digital dashboards offer consolidation, drill-down, and slice-and-dice capabilities.
Difficulty: 2 Medium
Topic: Support Enhancing Decision Making with MIS
Bloom's: Understand
Learning Outcome: 02-03 Classify the different operational support systems, managerial
support systems, and strategic support systems, and explain how managers can use these systems
to make decisions and gain competitive advantages.
Accessibility: Keyboard Navigation
Gradable: automatic
37) Managers use transactional information when making structured decisions at the operational
level.
Answer: TRUE
Explanation: Managers use transactional information when making structured decisions at the
operational level.
Difficulty: 1 Easy
Topic: Support Enhancing Decision Making with MIS
Bloom's: Remember
Learning Outcome: 02-03 Classify the different operational support systems, managerial
support systems, and strategic support systems, and explain how managers can use these systems
to make decisions and gain competitive advantages.
Accessibility: Keyboard Navigation
Gradable: automatic
38) The manipulation of information to create business intelligence in support of strategic
decision making is referred to as OLTP or online transaction processing.
Answer: FALSE
Explanation: The manipulation of information to create business intelligence in support of
strategic decision making is online analytical processing (OLAP).
Difficulty: 1 Easy
Topic: Support Enhancing Decision Making with MIS
Bloom's: Remember
Learning Outcome: 02-03 Classify the different operational support systems, managerial
support systems, and strategic support systems, and explain how managers can use these systems
to make decisions and gain competitive advantages.
Accessibility: Keyboard Navigation
Gradable: automatic
421
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written consent of McGraw-Hill Education.
39) A model is a simplified representation or abstraction of reality.
Answer: TRUE
Explanation: A model is a simplified representation or abstraction of reality.
Difficulty: 1 Easy
Topic: Support Enhancing Decision Making with MIS
Bloom's: Remember
Learning Outcome: 02-03 Classify the different operational support systems, managerial
support systems, and strategic support systems, and explain how managers can use these systems
to make decisions and gain competitive advantages.
Accessibility: Keyboard Navigation
Gradable: automatic
40) Source documents are simplified representation or abstraction of reality.
Answer: FALSE
Explanation: A model is a simplified representation or abstraction of reality.
Difficulty: 1 Easy
Topic: Support Enhancing Decision Making with MIS
Bloom's: Remember
Learning Outcome: 02-03 Classify the different operational support systems, managerial
support systems, and strategic support systems, and explain how managers can use these systems
to make decisions and gain competitive advantages.
Accessibility: Keyboard Navigation
Gradable: automatic
41) Source documents are the original transaction records.
Answer: TRUE
Explanation: Source documents are the original transaction records.
Difficulty: 1 Easy
Topic: Support Enhancing Decision Making with MIS
Bloom's: Remember
Learning Outcome: 02-03 Classify the different operational support systems, managerial
support systems, and strategic support systems, and explain how managers can use these systems
to make decisions and gain competitive advantages.
Accessibility: Keyboard Navigation
Gradable: automatic
422
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written consent of McGraw-Hill Education.
42) Granularity refers to the level of detail in the model or the decision-making process.
Answer: TRUE
Explanation: Granularity refers to the level of detail in the model or the decision-making
process.
Difficulty: 1 Easy
Topic: Support Enhancing Decision Making with MIS
Bloom's: Remember
Learning Outcome: 02-03 Classify the different operational support systems, managerial
support systems, and strategic support systems, and explain how managers can use these systems
to make decisions and gain competitive advantages.
Accessibility: Keyboard Navigation
Gradable: automatic
43) Visualization produces graphical displays of patterns and complex relationships in large
amounts of data.
Answer: TRUE
Explanation: Visualization produces graphical displays of patterns and complex relationships in
large amounts of data.
Difficulty: 1 Easy
Topic: Support Enhancing Decision Making with MIS
Bloom's: Remember
Learning Outcome: 02-03 Classify the different operational support systems, managerial
support systems, and strategic support systems, and explain how managers can use these systems
to make decisions and gain competitive advantages.
Accessibility: Keyboard Navigation
Gradable: automatic
44) A digital dashboard produces graphical displays of patterns and complex relationships in
large amounts of data
Answer: FALSE
Explanation: Visualization produces graphical displays of patterns and complex relationships in
large amounts of data.
Difficulty: 1 Easy
Topic: Support Enhancing Decision Making with MIS
Bloom's: Remember
Learning Outcome: 02-03 Classify the different operational support systems, managerial
support systems, and strategic support systems, and explain how managers can use these systems
to make decisions and gain competitive advantages.
Accessibility: Keyboard Navigation
Gradable: automatic
423
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written consent of McGraw-Hill Education.
45) Intelligent systems are various commercial applications of artificial intelligence.
Answer: TRUE
Explanation: Intelligent systems are various commercial applications of artificial intelligence
Difficulty: 1 Easy
Topic: The Future Artificial Intelligence
Bloom's: Remember
Learning Outcome: 02-04 Describe artificial intelligence, and identify its five main types.
Accessibility: Keyboard Navigation
Gradable: automatic
46) A neural network is a category of efficiency metrics where it attempts to measure the way
the human brain works.
Answer: FALSE
Explanation: A neural network is a category of artificial Intelligence where it always attempts
to emulate the way the human brain works.
Difficulty: 1 Easy
Topic: The Future Artificial Intelligence
Bloom's: Remember
Learning Outcome: 02-04 Describe artificial intelligence, and identify its five main types.
Accessibility: Keyboard Navigation
Gradable: automatic
47) Investment companies use genetic effectiveness metrics to help in trading decisions.
Answer: FALSE
Explanation: Investment companies use genetic algorithms to help in trading decisions.
Difficulty: 1 Easy
Topic: The Future Artificial Intelligence
Bloom's: Remember
Learning Outcome: 02-04 Describe artificial intelligence, and identify its five main types.
Accessibility: Keyboard Navigation
Gradable: automatic
48) A shopping bot is one of the simplest examples of an intelligent agent.
Answer: TRUE
Explanation: A shopping bot is one of the simplest examples of an intelligent agent.
Difficulty: 1 Easy
Topic: The Future Artificial Intelligence
Bloom's: Remember
Learning Outcome: 02-04 Describe artificial intelligence, and identify its five main types.
Accessibility: Keyboard Navigation
Gradable: automatic
424
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written consent of McGraw-Hill Education.
49) Fuzzy logic is a mathematical method of handling imprecise or subjective information.
Answer: TRUE
Explanation: Fuzzy logic is a mathematical method of handling imprecise or subjective
information.
Difficulty: 1 Easy
Topic: The Future Artificial Intelligence
Bloom's: Remember
Learning Outcome: 02-04 Describe artificial intelligence, and identify its five main types.
Accessibility: Keyboard Navigation
Gradable: automatic
50) Fuzzy logic is the process within a genetic algorithm of randomly trying combinations and
evaluating the success (or failure) of the outcome.
Answer: FALSE
Explanation: Mutation is the process within a genetic algorithm of randomly trying
combinations and evaluating the success (or failure) of the outcome.
Difficulty: 1 Easy
Topic: The Future Artificial Intelligence
Bloom's: Remember
Learning Outcome: 02-04 Describe artificial intelligence, and identify its five main types.
Accessibility: Keyboard Navigation
Gradable: automatic
51) Augmented reality is the viewing of the physical world with computer-generated layers of
information added to it.
Answer: TRUE
Explanation: Augmented reality is the viewing of the physical world with computer-generated
layers of information added to it.
Difficulty: 1 Easy
Topic: The Future Artificial Intelligence
Bloom's: Remember
Learning Outcome: 02-04 Describe artificial intelligence, and identify its five main types.
Accessibility: Keyboard Navigation
Gradable: automatic
425
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written consent of McGraw-Hill Education.
52) Google glass is a wearable computer with an optical head-mounted display (OHMD).
Answer: TRUE
Explanation: Google glass is a wearable computer with an optical head-mounted display
(OHMD). Developed by Google, it adds an element of augmented reality to the user's world by
displaying information in a smart phone-like hands-free format.
Difficulty: 1 Easy
Topic: The Future Artificial Intelligence
Bloom's: Remember
Learning Outcome: 02-04 Describe artificial intelligence, and identify its five main types.
Accessibility: Keyboard Navigation
Gradable: automatic
53) A haptic interface uses technology allowing humans to interact with a computer through
bodily sensations and movements—for example, a cell phone vibrating in your pocket. A haptic
interface is primarily implemented and applied in virtual reality environments and is used in
virtual workplaces to enable employees to shake hands, demonstrate products, and collaborate on
projects.
Answer: TRUE
Explanation: A haptic interface uses technology allowing humans to interact with a computer
through bodily sensations and movements—for example, a cell phone vibrating in your pocket.
A haptic interface is primarily implemented and applied in virtual reality environments and is
used in virtual workplaces to enable employees to shake hands, demonstrate products, and
collaborate on projects.
Difficulty: 1 Easy
Topic: The Future Artificial Intelligence
Bloom's: Remember
Learning Outcome: 02-04 Describe artificial intelligence, and identify its five main types.
Accessibility: Keyboard Navigation
Gradable: automatic
54) Virtual workplace is the viewing of the physical world with computer-generated layers of
information added to it.
Answer: FALSE
Explanation: Augmented reality is the viewing of the physical world with computer-generated
layers of information added to it.
Difficulty: 1 Easy
Topic: The Future Artificial Intelligence
Bloom's: Remember
Learning Outcome: 02-04 Describe artificial intelligence, and identify its five main types.
Accessibility: Keyboard Navigation
Gradable: automatic
426
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written consent of McGraw-Hill Education.
55) A virtual workplace is a work environment that is not located in any one physical space.
Answer: TRUE
Explanation: A virtual workplace is a work environment that is not located in any one physical
space.
Difficulty: 1 Easy
Topic: The Future Artificial Intelligence
Bloom's: Remember
Learning Outcome: 02-04 Describe artificial intelligence, and identify its five main types.
Accessibility: Keyboard Navigation
Gradable: automatic
56) Google glass is a work environment that is not located in any one physical space.
Answer: FALSE
Explanation: A virtual workplace is a work environment that is not located in any one physical
space.
Difficulty: 1 Easy
Topic: The Future Artificial Intelligence
Bloom's: Remember
Learning Outcome: 02-04 Describe artificial intelligence, and identify its five main types.
Accessibility: Keyboard Navigation
Gradable: automatic
57) Augmented reality is a wearable computer with an optical head-mounted display (OHMD).
Answer: FALSE
Explanation: Google Glass is a wearable computer with an optical head-mounted display
(OHMD). Developed by Google, it adds an element of augmented reality to the user's world by
displaying information in a smart phone–like hands-free format.
Difficulty: 1 Easy
Topic: The Future Artificial Intelligence
Bloom's: Remember
Learning Outcome: 02-04 Describe artificial intelligence, and identify its five main types.
Accessibility: Keyboard Navigation
Gradable: automatic
427
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written consent of McGraw-Hill Education.
58) Neural networks use technology allowing humans to interact with a computer through bodily
sensations and movements—for example, a cell phone vibrating in your pocket.
Answer: FALSE
Explanation: A haptic interface uses technology allowing humans to interact with a computer
through bodily sensations and movements—for example, a cell phone vibrating in your pocket.
A haptic interface is primarily implemented and applied in virtual reality environments and is
used in virtual workplaces to enable employees to shake hands, demonstrate products, and
collaborate on projects.
Difficulty: 1 Easy
Topic: The Future Artificial Intelligence
Bloom's: Remember
Learning Outcome: 02-04 Describe artificial intelligence, and identify its five main types.
Accessibility: Keyboard Navigation
Gradable: automatic
59) Mutation is the process within a genetic algorithm of randomly trying combinations and
evaluating the success (or failure) of the outcome.
Answer: TRUE
Explanation: Mutation is the process within a genetic algorithm of randomly trying
combinations and evaluating the success (or failure) of the outcome.
Difficulty: 1 Easy
Topic: The Future Artificial Intelligence
Bloom's: Remember
Learning Outcome: 02-04 Describe artificial intelligence, and identify its five main types.
Accessibility: Keyboard Navigation
Gradable: automatic
60) Mutation is a mathematical method of handling imprecise or subjective information.
Answer: FALSE
Explanation: Fuzzy logic is a mathematical method of handling imprecise or subjective
information.
Difficulty: 1 Easy
Topic: The Future Artificial Intelligence
Bloom's: Remember
Learning Outcome: 02-04 Describe artificial intelligence, and identify its five main types.
Accessibility: Keyboard Navigation
Gradable: automatic
428
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written consent of McGraw-Hill Education.
61) An algorithm refers to a set of instructions that completes a task.
Answer: TRUE
Explanation: An algorithm refers to a set of instructions that completes a task.
Difficulty: 1 Easy
Topic: The Future Artificial Intelligence
Bloom's: Remember
Learning Outcome: 02-04 Describe artificial intelligence, and identify its five main types.
Accessibility: Keyboard Navigation
Gradable: automatic
62) Machine learning is a type of artificial intelligence that enables computers to both understand
concepts in the environment, and also to learn. .
Answer: TRUE
Explanation: Machine learning is a type of artificial intelligence that enables computers to both
understand concepts in the environment, and also to learn.
Difficulty: 1 Easy
Topic: The Future Artificial Intelligence
Bloom's: Remember
Learning Outcome: 02-04 Describe artificial intelligence, and identify its five main types.
Accessibility: Keyboard Navigation
Gradable: automatic
63) Strong AI machines can still make their own decisions based on reasoning and past sets of
data. Most of the AI systems in market today are strong AI.
Answer: FALSE
Explanation: Weak AI machines can still make their own decisions based on reasoning and past
sets of data. Most of the AI systems in market today are weak AI.
Difficulty: 1 Easy
Topic: The Future Artificial Intelligence
Bloom's: Remember
Learning Outcome: 02-04 Describe artificial intelligence, and identify its five main types.
Accessibility: Keyboard Navigation
Gradable: automatic
429
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written consent of McGraw-Hill Education.
64) Weak AI refers to the field of artificial intelligence that works toward providing brainlike
powers to AI machines; in effect, it works to make machines as intelligent as the humans.
Answer: FALSE
Explanation: Strong AI refers to the field of artificial intelligence that works toward providing
brainlike powers to AI machines; in effect, it works to make machines as intelligent as the
humans.
Difficulty: 1 Easy
Topic: The Future Artificial Intelligence
Bloom's: Remember
Learning Outcome: 02-04 Describe artificial intelligence, and identify its five main types.
Accessibility: Keyboard Navigation
Gradable: automatic
65) Virtual reality is a computer-simulated environment that can be a simulation of the real
world or an imaginary world.
Answer: TRUE
Explanation: Virtual reality is a computer-simulated environment that can be a simulation of
the real world or an imaginary world.
Difficulty: 1 Easy
Topic: The Future Artificial Intelligence
Bloom's: Remember
Learning Outcome: 02-04 Describe artificial intelligence, and identify its five main types.
Accessibility: Keyboard Navigation
Gradable: automatic
66) Augmented reality is the viewing of the physical world with computer-generated layers of
information added to it.
Answer: TRUE
Explanation: Augmented reality is the viewing of the physical world with computer-generated
layers of information added to it.
Difficulty: 1 Easy
Topic: The Future Artificial Intelligence
Bloom's: Remember
Learning Outcome: 02-04 Describe artificial intelligence, and identify its five main types.
Accessibility: Keyboard Navigation
Gradable: automatic
430
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written consent of McGraw-Hill Education.
67) Augmented reality is a computer-simulated environment that can be a simulation of the real
world or an imaginary world.
Answer: FALSE
Explanation: Augmented reality is the viewing of the physical world with computer-generated
layers of information added to it.
Difficulty: 1 Easy
Topic: The Future Artificial Intelligence
Bloom's: Remember
Learning Outcome: 02-04 Describe artificial intelligence, and identify its five main types.
Accessibility: Keyboard Navigation
Gradable: automatic
68) Virtual reality is the viewing of the physical world with computer-generated layers of
information added to it.
Answer: FALSE
Explanation: Virtual reality is a computer-simulated environment that can be a simulation of
the real world or an imaginary world.
Difficulty: 1 Easy
Topic: The Future Artificial Intelligence
Bloom's: Remember
Learning Outcome: 02-04 Describe artificial intelligence, and identify its five main types.
Accessibility: Keyboard Navigation
Gradable: automatic
69) A machine-vision system uses a video camera to capture data and send it to the robot
controller. Machine vision is similar in complexity to voice recognition and can be used for
handwriting recognition, signature identification, and currency inspection. Two important
specifications in any vision system are the sensitivity and the resolution.
Answer: TRUE
Explanation: A machine-vision system uses a video camera to capture data and send it to the
robot controller. Machine vision is similar in complexity to voice recognition and can be used for
handwriting recognition, signature identification, and currency inspection. Two important
specifications in any vision system are the sensitivity and the resolution.
Difficulty: 1 Easy
Topic: The Future Artificial Intelligence
Bloom's: Remember
Learning Outcome: 02-04 Describe artificial intelligence, and identify its five main types.
Accessibility: Keyboard Navigation
Gradable: automatic
431
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written consent of McGraw-Hill Education.
70) Deep learning is a process that employs specialized algorithms to model and study complex
datasets; the method is also used to establish relationships among data and datasets.
Answer: TRUE
Explanation: Deep learning is a process that employs specialized algorithms to model and study
complex datasets; the method is also used to establish relationships among data and datasets.
Difficulty: 1 Easy
Topic: The Future Artificial Intelligence
Bloom's: Remember
Learning Outcome: 02-04 Describe artificial intelligence, and identify its five main types.
Accessibility: Keyboard Navigation
Gradable: automatic
71) Business-facing processes or back-office processes are invisible to the external customer but
essential to the effective management and operation of the business.
Answer: TRUE
Explanation: Business-facing processes or back-office processes are invisible to the external
customer but essential to the effective management of the business.
Difficulty: 1 Easy
Topic: Evaluating Business Processes
Bloom's: Remember
Learning Outcome: 02-05 Explain the value of business processes for a company, and
differentiate between customer-facing and business-facing processes.
Accessibility: Keyboard Navigation
Gradable: automatic
72) When evaluating the 5-steps in the order-to-delivery business process, step one includes
creating a campaign and checking inventory, which are both part of the human resources
function.
Answer: FALSE
Explanation: Step one includes creating a campaign and checking inventory, which are both
part of the marketing function.
Difficulty: 2 Medium
Topic: Evaluating Business Processes
Bloom's: Understand
Learning Outcome: 02-05 Explain the value of business processes for a company, and
differentiate between customer-facing and business-facing processes.
Accessibility: Keyboard Navigation
Gradable: automatic
432
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written consent of McGraw-Hill Education.
73) Strategic planning is a customer-facing business process.
Answer: FALSE
Explanation: Strategic planning is a business-facing process and is invisible to the customer.
Difficulty: 2 Medium
Topic: Evaluating Business Processes
Bloom's: Understand
Learning Outcome: 02-05 Explain the value of business processes for a company, and
differentiate between customer-facing and business-facing processes.
Accessibility: Keyboard Navigation
Gradable: automatic
74) Product delivery is a customer-facing business process.
Answer: TRUE
Explanation: Product delivery is a customer-facing business process.
Difficulty: 2 Medium
Topic: Evaluating Business Processes
Bloom's: Understand
Learning Outcome: 02-05 Explain the value of business processes for a company, and
differentiate between customer-facing and business-facing processes.
Accessibility: Keyboard Navigation
Gradable: automatic
75) Improving the efficiency and effectiveness of its business processes will improve a firm's
value chain.
Answer: TRUE
Explanation: Improving the efficiency and effectiveness of its business processes will improve
the firm's value chain.
Difficulty: 2 Medium
Topic: Evaluating Business Processes
Bloom's: Understand
Learning Outcome: 02-05 Explain the value of business processes for a company, and
differentiate between customer-facing and business-facing processes.
Accessibility: Keyboard Navigation
Gradable: automatic
433
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written consent of McGraw-Hill Education.
76) Core processes are business processes, such as manufacturing goods, selling products, and
providing services that make up the primary activities in a value chain.
Answer: TRUE
Explanation: Core processes are business processes, such as manufacturing goods, selling
products, and providing services that make up the primary activities in a value chain.
Difficulty: 1 Easy
Topic: Evaluating Business Processes
Bloom's: Remember
Learning Outcome: 02-05 Explain the value of business processes for a company, and
differentiate between customer-facing and business-facing processes.
Accessibility: Keyboard Navigation
Gradable: automatic
77) Core processes are patents that protect a specific set of procedures for conducting a particular
business activity.
Answer: FALSE
Explanation: Business process patents are patents that protect a specific set of procedures for
conducting a particular business activity.
Difficulty: 1 Easy
Topic: Evaluating Business Processes
Bloom's: Remember
Learning Outcome: 02-05 Explain the value of business processes for a company, and
differentiate between customer-facing and business-facing processes.
Accessibility: Keyboard Navigation
Gradable: automatic
78) A static process uses a systematic approach in an attempt to improve business effectiveness
and efficiency continuously. Managers constantly attempt to optimize static process.
Answer: TRUE
Explanation: A static process uses a systematic approach in an attempt to improve business
effectiveness and efficiency continuously. Managers constantly attempt to optimize static
process.
Difficulty: 1 Easy
Topic: Evaluating Business Processes
Bloom's: Remember
Learning Outcome: 02-05 Explain the value of business processes for a company, and
differentiate between customer-facing and business-facing processes.
Accessibility: Keyboard Navigation
Gradable: automatic
434
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written consent of McGraw-Hill Education.
79) Examples of static processes include running payroll, calculating taxes, and creating
financial statements.
Answer: TRUE
Explanation: Examples of static processes include running payroll, calculating taxes, and
creating financial statements.
Difficulty: 1 Easy
Topic: Evaluating Business Processes
Bloom's: Remember
Learning Outcome: 02-05 Explain the value of business processes for a company, and
differentiate between customer-facing and business-facing processes.
Accessibility: Keyboard Navigation
Gradable: automatic
80) Examples of dynamic processes include running payroll, calculating taxes, and creating
financial statements.
Answer: FALSE
Explanation: Examples of static processes include running payroll, calculating taxes, and
creating financial statements.
Difficulty: 1 Easy
Topic: Evaluating Business Processes
Bloom's: Remember
Learning Outcome: 02-05 Explain the value of business processes for a company, and
differentiate between customer-facing and business-facing processes.
Accessibility: Keyboard Navigation
Gradable: automatic
81) A dynamic process continuously changes and provides business solutions to ever-changing
business operations.
Answer: TRUE
Explanation: A dynamic process continuously changes and provides business solutions to everchanging business operations.
Difficulty: 1 Easy
Topic: Evaluating Business Processes
Bloom's: Remember
Learning Outcome: 02-05 Explain the value of business processes for a company, and
differentiate between customer-facing and business-facing processes.
Accessibility: Keyboard Navigation
Gradable: automatic
435
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written consent of McGraw-Hill Education.
82) A static process continuously changes and provides business solutions to ever-changing
business operations.
Answer: FALSE
Explanation: A dynamic process continuously changes and provides business solutions to everchanging business operations.
Difficulty: 1 Easy
Topic: Evaluating Business Processes
Bloom's: Remember
Learning Outcome: 02-05 Explain the value of business processes for a company, and
differentiate between customer-facing and business-facing processes.
Accessibility: Keyboard Navigation
Gradable: automatic
83) As the business and its strategies change, so do the dynamic processes. Examples of dynamic
processes include managing layoffs of employees, changing order levels based on currency rates,
and canceling business travel due to extreme weather.
Answer: TRUE
Explanation: As the business and its strategies change, so do the dynamic processes. Examples
of dynamic processes include managing layoffs of employees, changing order levels based on
currency rates, and canceling business travel due to extreme weather.
Difficulty: 1 Easy
Topic: Evaluating Business Processes
Bloom's: Remember
Learning Outcome: 02-05 Explain the value of business processes for a company, and
differentiate between customer-facing and business-facing processes.
Accessibility: Keyboard Navigation
Gradable: automatic
84) A business process patent is a patent that protects a specific set of procedures for conducting
a particular business activity.
Answer: TRUE
Explanation: A business process patent is a patent that protects a specific set of procedures for
conducting a particular business activity.
Difficulty: 1 Easy
Topic: Evaluating Business Processes
Bloom's: Remember
Learning Outcome: 02-05 Explain the value of business processes for a company, and
differentiate between customer-facing and business-facing processes.
Accessibility: Keyboard Navigation
Gradable: automatic
436
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written consent of McGraw-Hill Education.
85) A business management system is a graphic description of a process, showing the sequence
of process tasks, which is developed for a specific purpose and from a selected viewpoint.
Answer: FALSE
Explanation: A business process model is a graphic description of a process, showing the
sequence of process tasks, which is developed for a specific purpose and from a selected
viewpoint.
Difficulty: 1 Easy
Topic: Models Measuring Performance
Bloom's: Remember
Learning Outcome: 02-06 Demonstrate the value of business process modeling, and compare
As-Is and To-Be models.
Accessibility: Keyboard Navigation
Gradable: automatic
86) To-Be process models show the results of applying change improvement opportunities to the
current (As-Is) process model.
Answer: TRUE
Explanation: To-Be process models show the results of applying change improvement
opportunities to the current (As-Is) process model.
Difficulty: 1 Easy
Topic: Models Measuring Performance
Bloom's: Remember
Learning Outcome: 02-06 Demonstrate the value of business process modeling, and compare
As-Is and To-Be models.
Accessibility: Keyboard Navigation
Gradable: automatic
87) Business Process Model and Notation (BPMN) is a graphical notation that depicts the steps
in a business process.
Answer: TRUE
Explanation: Business Process Model and Notation (BPMN) is a graphical notation that depicts
the steps in a business process.
Difficulty: 1 Easy
Topic: Models Measuring Performance
Bloom's: Remember
Learning Outcome: 02-06 Demonstrate the value of business process modeling, and compare
As-Is and To-Be models.
Accessibility: Keyboard Navigation
Gradable: automatic
437
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written consent of McGraw-Hill Education.
88) A Business Process Model and Notation (BPMN) event is anything that happens during the
course of a business process. An event is represented by a circle in a business process model.
Answer: TRUE
Explanation: A BPMN event is anything that happens during the course of a business process.
An event is represented by a circle in a business process model.
Difficulty: 1 Easy
Topic: Models Measuring Performance
Bloom's: Remember
Learning Outcome: 02-06 Demonstrate the value of business process modeling, and compare
As-Is and To-Be models.
Accessibility: Keyboard Navigation
Gradable: automatic
89) A Business Process Model and Notation (BPMN) activity is a task in a business process.
Answer: TRUE
Explanation: A BPMN activity is a task in a business process.
Difficulty: 1 Easy
Topic: Models Measuring Performance
Bloom's: Remember
Learning Outcome: 02-06 Demonstrate the value of business process modeling, and compare
As-Is and To-Be models.
Accessibility: Keyboard Navigation
Gradable: automatic
90) A Business Process Model and Notation (BPMN) gateway is used to control the flow of a
process.
Answer: TRUE
Explanation: A BPMN gateway is used to control the flow of a process.
Difficulty: 1 Easy
Topic: Models Measuring Performance
Bloom's: Remember
Learning Outcome: 02-06 Demonstrate the value of business process modeling, and compare
As-Is and To-Be models.
Accessibility: Keyboard Navigation
Gradable: automatic
438
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written consent of McGraw-Hill Education.
91) A Business Process Model and Notation (BPMN) flow displays the path in which the process
flows.
Answer: TRUE
Explanation: A BPMN flow displays the path in which the process flows.
Difficulty: 1 Easy
Topic: Models Measuring Performance
Bloom's: Remember
Learning Outcome: 02-06 Demonstrate the value of business process modeling, and compare
As-Is and To-Be models.
Accessibility: Keyboard Navigation
Gradable: automatic
92) A Business Process Model and Notation (BPMN) flow is anything that happens during the
course of a business process. An event is represented by a circle in a business process model.
Answer: FALSE
Explanation: A BPMN event is anything that happens during the course of a business process.
An event is represented by a circle in a business process model.
Difficulty: 1 Easy
Topic: Models Measuring Performance
Bloom's: Remember
Learning Outcome: 02-06 Demonstrate the value of business process modeling, and compare
As-Is and To-Be models.
Accessibility: Keyboard Navigation
Gradable: automatic
93) A Business Process Model and Notation (BPMN) event is a task in a business process.
Answer: FALSE
Explanation: A BPMN activity is a task in a business process.
Difficulty: 1 Easy
Topic: Models Measuring Performance
Bloom's: Remember
Learning Outcome: 02-06 Demonstrate the value of business process modeling, and compare
As-Is and To-Be models.
Accessibility: Keyboard Navigation
Gradable: automatic
439
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written consent of McGraw-Hill Education.
94) A Business Process Model and Notation (BPMN) activity is used to control the flow of a
process.
Answer: FALSE
Explanation: A BPMN gateway is used to control the flow of a process.
Difficulty: 1 Easy
Topic: Models Measuring Performance
Bloom's: Remember
Learning Outcome: 02-06 Demonstrate the value of business process modeling, and compare
As-Is and To-Be models.
Accessibility: Keyboard Navigation
Gradable: automatic
95) A Business Process Model and Notation (BPMN) gateway displays the path in which the
process flows.
Answer: FALSE
Explanation: A BPMN flow displays the path in which the process flows.
Difficulty: 1 Easy
Topic: Models Measuring Performance
Bloom's: Remember
Learning Outcome: 02-06 Demonstrate the value of business process modeling, and compare
As-Is and To-Be models.
Accessibility: Keyboard Navigation
Gradable: automatic
96) The primary goal of an As-Is process model is to simplify, eliminate, and improve the To-Be
processes.
Answer: TRUE
Explanation: The primary goal of an As-Is process model is primarily to simplify, eliminate,
and improve the To-Be processes.
Difficulty: 1 Easy
Topic: Models Measuring Performance
Bloom's: Remember
Learning Outcome: 02-06 Demonstrate the value of business process modeling, and compare
As-Is and To-Be models.
Accessibility: Keyboard Navigation
Gradable: automatic
440
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written consent of McGraw-Hill Education.
97) Business processes should never drive MIS choices and should be based on business
strategies and goals.
Answer: FALSE
Explanation: Business processes should drive MIS choices and should be based on business
strategies and goals.
Difficulty: 1 Easy
Topic: Models Measuring Performance
Bloom's: Remember
Learning Outcome: 02-06 Demonstrate the value of business process modeling, and compare
As-Is and To-Be models.
Accessibility: Keyboard Navigation
Gradable: automatic
98) A swim lane layout arranges the steps of a business process into a set of rows depicting the
various elements.
Answer: TRUE
Explanation: A swim lane layout arranges the steps of a business process into a set of rows
depicting the various elements.
Difficulty: 1 Easy
Topic: Models Measuring Performance
Bloom's: Remember
Learning Outcome: 02-06 Demonstrate the value of business process modeling, and compare
As-Is and To-Be models.
Accessibility: Keyboard Navigation
Gradable: automatic
99) Redundancy occurs when a task or activity is never repeated.
Answer: FALSE
Explanation: Redundancy occurs when a task or activity is unnecessarily repeated.
Difficulty: 1 Easy
Topic: Support Changing Business Processes with MIS
Bloom's: Remember
Learning Outcome: 02-07 Differentiate among automation, streamlining, and reengineering.
Accessibility: Keyboard Navigation
Gradable: automatic
441
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written consent of McGraw-Hill Education.
100) Operationalized analytics makes analytics part of a business process. Improving business
processes is critical to staying competitive in today's electronic marketplace.
Answer: TRUE
Explanation: Operationalized analytics makes analytics part of a business process. Improving
business processes is critical to staying competitive in today's electronic marketplace.
Difficulty: 1 Easy
Topic: Support Changing Business Processes with MIS
Bloom's: Remember
Learning Outcome: 02-07 Differentiate among automation, streamlining, and reengineering.
Accessibility: Keyboard Navigation
Gradable: automatic
101) Robotic process automation (RPA) is the use of software with artificial intelligence (AI)
and machine learning capabilities to handle high-volume, repeatable tasks that previously
required a human to perform.
Answer: TRUE
Explanation: Robotic process automation (RPA) is the use of software with artificial
intelligence (AI) and machine learning capabilities to handle high-volume, repeatable tasks that
previously required a human to perform.
Difficulty: 1 Easy
Topic: Support Changing Business Processes with MIS
Bloom's: Remember
Learning Outcome: 02-07 Differentiate among automation, streamlining, and reengineering.
Accessibility: Keyboard Navigation
Gradable: automatic
102) Business process reengineering is the analysis and redesign of workflow within and
between enterprises.
Answer: TRUE
Explanation: Business process reengineering (BPR) is the analysis and redesign of workflow
within and between enterprises.
Difficulty: 1 Easy
Topic: Support Changing Business Processes with MIS
Bloom's: Remember
Learning Outcome: 02-07 Differentiate among automation, streamlining, and reengineering.
Accessibility: Keyboard Navigation
Gradable: automatic
442
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written consent of McGraw-Hill Education.
103) A workflow control system monitors processes to ensure tasks, activities, and
responsibilities are executed as specified.
Answer: TRUE
Explanation: A workflow control system monitors processes to ensure tasks, activities, and
responsibilities are executed as specified.
Difficulty: 1 Easy
Topic: Support Changing Business Processes with MIS
Bloom's: Remember
Learning Outcome: 02-07 Differentiate among automation, streamlining, and reengineering.
Accessibility: Keyboard Navigation
Gradable: automatic
104) Robotic process automation makes analytics part of a business process. Improving business
processes is critical to staying competitive in today's electronic marketplace.
Answer: FALSE
Explanation: Operationalized analytics makes analytics part of a business process. Improving
business processes is critical to staying competitive in today's electronic marketplace.
Difficulty: 1 Easy
Topic: Support Changing Business Processes with MIS
Bloom's: Remember
Learning Outcome: 02-07 Differentiate among automation, streamlining, and reengineering.
Accessibility: Keyboard Navigation
Gradable: automatic
105) Operationalized analytics is the use of software with artificial intelligence (AI) and machine
learning capabilities to handle high-volume, repeatable tasks that previously required a human to
perform.
Answer: FALSE
Explanation: Robotic process automation (RPA) is the use of software with artificial
intelligence (AI) and machine learning capabilities to handle high-volume, repeatable tasks that
previously required a human to perform.
Difficulty: 1 Easy
Topic: Support Changing Business Processes with MIS
Bloom's: Remember
Learning Outcome: 02-07 Differentiate among automation, streamlining, and reengineering.
Accessibility: Keyboard Navigation
Gradable: automatic
443
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written consent of McGraw-Hill Education.
106) Operational business processes are static, routine, daily business processes such as stocking
inventory, checking out customers, or daily opening and closing processes.
Answer: TRUE
Explanation: Operational business processes are static, routine, daily business processes such as
stocking inventory, checking out customers, or daily opening and closing processes.
Difficulty: 1 Easy
Topic: Support Changing Business Processes with MIS
Bloom's: Remember
Learning Outcome: 02-07 Differentiate among automation, streamlining, and reengineering.
Accessibility: Keyboard Navigation
Gradable: automatic
107) Managerial business processes are semidynamic, semiroutine, monthly business processes
such as resource allocation, sales strategy, or manufacturing process improvements.
Answer: TRUE
Explanation: Managerial business processes are semidynamic, semiroutine, monthly business
processes such as resource allocation, sales strategy, or manufacturing process improvements.
Difficulty: 1 Easy
Topic: Support Changing Business Processes with MIS
Bloom's: Remember
Learning Outcome: 02-07 Differentiate among automation, streamlining, and reengineering.
Accessibility: Keyboard Navigation
Gradable: automatic
108) Strategic business processes are dynamic, nonroutine, long-term business processes such as
financial planning, expansion strategies, and stakeholder interactions.
Answer: TRUE
Explanation: Strategic business processes are dynamic, nonroutine, long-term business
processes such as financial planning, expansion strategies, and stakeholder interactions.
Difficulty: 1 Easy
Topic: Support Changing Business Processes with MIS
Bloom's: Remember
Learning Outcome: 02-07 Differentiate among automation, streamlining, and reengineering.
Accessibility: Keyboard Navigation
Gradable: automatic
444
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written consent of McGraw-Hill Education.
109) Strategic business processes are static, routine, daily business processes such as stocking
inventory, checking out customers, or daily opening and closing processes.
Answer: FALSE
Explanation: Operational business processes are static, routine, daily business processes such as
stocking inventory, checking out customers, or daily opening and closing processes.
Difficulty: 1 Easy
Topic: Support Changing Business Processes with MIS
Bloom's: Remember
Learning Outcome: 02-07 Differentiate among automation, streamlining, and reengineering.
Accessibility: Keyboard Navigation
Gradable: automatic
110) Operational business processes are semidynamic, semiroutine, monthly business processes
such as resource allocation, sales strategy, or manufacturing process improvements.
Answer: FALSE
Explanation: Managerial business processes are semidynamic, semiroutine, monthly business
processes such as resource allocation, sales strategy, or manufacturing process improvements.
Difficulty: 1 Easy
Topic: Support Changing Business Processes with MIS
Bloom's: Remember
Learning Outcome: 02-07 Differentiate among automation, streamlining, and reengineering.
Accessibility: Keyboard Navigation
Gradable: automatic
111) Operational business processes are dynamic, nonroutine, long-term business processes such
as financial planning, expansion strategies, and stakeholder interactions.
Answer: FALSE
Explanation: Strategic business processes are dynamic, nonroutine, long-term business
processes such as financial planning, expansion strategies, and stakeholder interactions.
Difficulty: 1 Easy
Topic: Support Changing Business Processes with MIS
Bloom's: Remember
Learning Outcome: 02-07 Differentiate among automation, streamlining, and reengineering.
Accessibility: Keyboard Navigation
Gradable: automatic
445
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written consent of McGraw-Hill Education.
112) Which of the following is a not a type of organizational information system?
A) Executive information system
B) Decisions support system
C) Analysis processing system
D) Transactional processing system
Answer: C
Explanation: Analysis processing system is not a type of organizational IS.
Difficulty: 1 Easy
Topic: Making Organizational Business Decisions
Bloom's: Remember
Learning Outcome: 02-01 Explain the importance of decision making for managers at each of
the three primary organization levels along with the associated decision characteristics.
Accessibility: Keyboard Navigation
Gradable: automatic
113) Which of the below is an important challenge facing managers today?
A) Making business decision
B) Solving business problems
C) Competing to win in today's market
D) All of the above
Answer: D
Explanation: The most important challenges facing management of a company are 1) decision
making, 2) cultivating strategies for the future business, and 3) competing to win in today's
market
Difficulty: 1 Easy
Topic: Making Organizational Business Decisions
Bloom's: Remember
Learning Outcome: 02-01 Explain the importance of decision making for managers at each of
the three primary organization levels along with the associated decision characteristics.
Accessibility: Keyboard Navigation
Gradable: automatic
446
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written consent of McGraw-Hill Education.
114) What must managers be able to do to compete in today's global marketplace?
A) Make decisions to gain competitive advantages
B) Make decision that can help forecast future business needs
C) Make decision that can help forecast future business requirements
D) All of the above
Answer: D
Explanation: We learn in chapter two that to achieve competitive advantages, managers must be
able to make decisions and be able to forecast future business needs and requirements.
Difficulty: 2 Medium
Topic: Making Organizational Business Decisions
Bloom's: Understand
Learning Outcome: 02-01 Explain the importance of decision making for managers at each of
the three primary organization levels along with the associated decision characteristics.
Accessibility: Keyboard Navigation
Gradable: automatic
115) Which of the below is not considered a challenge facing most managers today?
A) Managerial decisions must be made quickly
B) Strategic decisions need to be made by applying analysis techniques
C) Artificial intelligence is required by all managers to be successful
D) Managerial decisions require large amounts of information to analyze
Answer: C
Explanation: The primary decision-making challenges facing managers today are 1) decisions
must be made quickly, 2) strategic decisions need to be made by applying analysis techniques,
and 3) they have large amounts of information to analyze
Difficulty: 1 Easy
Topic: Making Organizational Business Decisions
Bloom's: Remember
Learning Outcome: 02-01 Explain the importance of decision making for managers at each of
the three primary organization levels along with the associated decision characteristics.
Accessibility: Keyboard Navigation
Gradable: automatic
447
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written consent of McGraw-Hill Education.
116) Managers that must analyze data from 500 hotels to determine when to discount rooms
based on occupancy patterns would be placed in which category for managerial decision-making
challenges?
A) Managers need to analyze large amounts of information
B) Managers must make decisions quickly
C) Managers must apply sophisticated analysis techniques, such as Porter's strategies or
forecasting, to make strategic decisions
D) All of the above
Answer: A
Explanation: Managers that must analyze data from 500 hotels to determine when to discount
rooms based on occupancy patterns is a challenge when managers must analyze large amounts of
information.
Difficulty: 1 Easy
Topic: Making Organizational Business Decisions
Bloom's: Remember
Learning Outcome: 02-01 Explain the importance of decision making for managers at each of
the three primary organization levels along with the associated decision characteristics.
Accessibility: Keyboard Navigation
Gradable: automatic
117) An important customer shows up at a hotel that is fully booked and the reservation is
missing would be placed in which category for managerial decision-making challenges?
A) Managers need to analyze large amounts of information
B) Managers must make decisions quickly
C) Managers must apply sophisticated analysis techniques, such as Porter's strategies or
forecasting, to make strategic decisions
D) All of the above
Answer: B
Explanation: An important customer shows up at a hotel that is fully booked and the reservation
is missing is an example of why managers must make decisions quickly.
Difficulty: 1 Easy
Topic: Making Organizational Business Decisions
Bloom's: Remember
Learning Outcome: 02-01 Explain the importance of decision making for managers at each of
the three primary organization levels along with the associated decision characteristics.
Accessibility: Keyboard Navigation
Gradable: automatic
448
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written consent of McGraw-Hill Education.
118) A manager that must implement a loyalty program across 500 hotels would be placed in
which category for managerial decision-making challenges?
A) Managers need to analyze large amounts of information
B) Managers must make decisions quickly
C) Managers must apply sophisticated analysis techniques, such as Porter's strategies or
forecasting, to make strategic decisions
D) All of the above
Answer: C
Explanation: A manager that must implement a loyalty program across 500 hotels is an
example of managers applying sophisticated analysis techniques.
Difficulty: 1 Easy
Topic: Making Organizational Business Decisions
Bloom's: Remember
Learning Outcome: 02-01 Explain the importance of decision making for managers at each of
the three primary organization levels along with the associated decision characteristics.
Accessibility: Keyboard Navigation
Gradable: automatic
119) Which of the following is not included in the decision-making process?
A) Data Collection
B) Solution Benchmarking
C) Solution Generation
D) Solution Test
Answer: B
Explanation: The six-step decision making process is 1) problem identification, 2) data
collection, 3) solution generation, 4) solution test, 5) solution selection, and 6) solution
implementation
Difficulty: 1 Easy
Topic: Making Organizational Business Decisions
Bloom's: Remember
Learning Outcome: 02-01 Explain the importance of decision making for managers at each of
the three primary organization levels along with the associated decision characteristics.
Accessibility: Keyboard Navigation
Gradable: automatic
449
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written consent of McGraw-Hill Education.
120) When evaluating the six-step decision making process, what occurs during the solution
implementation step?
A) The process will begin again if the decisions made were incorrect
B) Definition of the problem as clearly and precisely as possible
C) Details of every solution possible including ideas that seem far fetched
D) The solution that best solves the problem is selected
Answer: A
Explanation: The six-step decision making process is 1) problem identification, 2) data
collection, 3) solution generation, 4) solution test, 5) solution selection, and 6) solution
implementation. The final step is where the solution solves the problem or if wrong decisions
were made than then the process begins again.
Difficulty: 2 Medium
Topic: Making Organizational Business Decisions
Bloom's: Understand
Learning Outcome: 02-01 Explain the importance of decision making for managers at each of
the three primary organization levels along with the associated decision characteristics.
Accessibility: Keyboard Navigation
Gradable: automatic
121) When evaluating the six-step decision making process, what occurs during the problem
identification step?
A) The process will begin again if the decisions made were incorrect
B) Definition of the problem as clearly and precisely as possible
C) Details of every solution possible including ideas that seem far fetched
D) The solution that best solves the problem is selected
Answer: B
Explanation: The six-step decision making process is 1) problem identification, 2) data
collection, 3) solution generation, 4) solution test, 5) solution selection, and 6) solution
implementation. During the problem identification step you must define the problem as clearly
and precisely as possible.
Difficulty: 2 Medium
Topic: Making Organizational Business Decisions
Bloom's: Understand
Learning Outcome: 02-01 Explain the importance of decision making for managers at each of
the three primary organization levels along with the associated decision characteristics.
Accessibility: Keyboard Navigation
Gradable: automatic
450
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written consent of McGraw-Hill Education.
122) When evaluating the six-step decision making process, what occurs during the solution
selection step?
A) The process will begin again if the decisions made were incorrect
B) Definition of the problem as clearly and precisely as possible
C) Details of every solution possible including ideas that seem far fetched
D) The solution that best solves the problem is selected
Answer: C
Explanation: The six-step decision making process is 1) problem identification, 2) data
collection, 3) solution generation, 4) solution test, 5) solution selection, and 6) solution
implementation. During the solution selection step, you select the solution that best solves the
problem and meets the needs of the business.
Difficulty: 2 Medium
Topic: Making Organizational Business Decisions
Bloom's: Understand
Learning Outcome: 02-01 Explain the importance of decision making for managers at each of
the three primary organization levels along with the associated decision characteristics.
Accessibility: Keyboard Navigation
Gradable: automatic
123) When evaluating the six-step decision making process, what occurs during the solution test
step?
A) The process will begin again if the decisions made were incorrect
B) Definition of the problem as clearly and precisely as possible
C) Details of every solution possible including ideas that seem far fetched
D) None of the above
Answer: D
Explanation: The six-step decision making process is 1) problem identification, 2) data
collection, 3) solution generation, 4) solution test, 5) solution selection, and 6) solution
implementation. During the solution test step, you evaluate solution in terms of feasibility,
suitability, and acceptability.
Difficulty: 2 Medium
Topic: Making Organizational Business Decisions
Bloom's: Understand
Learning Outcome: 02-01 Explain the importance of decision making for managers at each of
the three primary organization levels along with the associated decision characteristics.
Accessibility: Keyboard Navigation
Gradable: automatic
451
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written consent of McGraw-Hill Education.
124) Which of the below represents the structure of a typical organization?
A) Flat line
B) Pyramid
C) Circle
D) Cube
Answer: B
Explanation: The structure of today's business organizations is typically a pyramid. At each
level different types of information are used to assist the business with 1) decision-making, 2)
problem solving, and 3) opportunity capturing.
Difficulty: 1 Easy
Topic: Making Organizational Business Decisions
Bloom's: Remember
Learning Outcome: 02-01 Explain the importance of decision making for managers at each of
the three primary organization levels along with the associated decision characteristics.
Accessibility: Keyboard Navigation
Gradable: automatic
125) Which of the below represents the three different levels of a company pyramid from the top
to the bottom?
A) Managerial – Strategic – Operational
B) Strategic – Managerial – Operational
C) Operational – Managerial – Strategic
D) Strategic – Operational – Managerial
Answer: B
Explanation: The three different levels on the structure of a company pyramid are from top to
bottom strategic – managerial – operational
Difficulty: 1 Easy
Topic: Making Organizational Business Decisions
Bloom's: Remember
Learning Outcome: 02-01 Explain the importance of decision making for managers at each of
the three primary organization levels along with the associated decision characteristics.
Accessibility: Keyboard Navigation
Gradable: automatic
452
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written consent of McGraw-Hill Education.
126) Which of the below would you include as decisions and responsibilities typically found at
the managerial level of a company?
A) Monthly Plans
B) Monthly Budgets
C) Weekly Schedule
D) All of the above
Answer: D
Explanation: Some of the decisions and responsibilities of managerial level employees include
short-term or medium-range plans, scheduling, budgeting, policies and procedures, and business
objectives for the firm.
Difficulty: 1 Easy
Topic: Making Organizational Business Decisions
Bloom's: Remember
Learning Outcome: 02-01 Explain the importance of decision making for managers at each of
the three primary organization levels along with the associated decision characteristics.
Accessibility: Keyboard Navigation
Gradable: automatic
127) Which of the below would you include as decisions and responsibilities typically found at
the operational level of a company?
A) Develop core business activities required to run the day-to-day operations
B) Control core business activities required to run the day-to-day operations
C) Maintain core business activities required to run the day-to-day operations
D) All of the above
Answer: D
Explanation: At the operational structure level, employees develop, control, and maintain core
business activities required to run the day-to-day operations.
Difficulty: 1 Easy
Topic: Making Organizational Business Decisions
Bloom's: Remember
Learning Outcome: 02-01 Explain the importance of decision making for managers at each of
the three primary organization levels along with the associated decision characteristics.
Accessibility: Keyboard Navigation
Gradable: automatic
453
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written consent of McGraw-Hill Education.
128) Data collection, solution generation, and solution implementation are all concepts
associated which of the following processes?
A) The six-step problem solving process
B) The six-step decision making process
C) The four-step problem solving process
D) The four-step decision making process
Answer: B
Explanation: The six-step decision making process is 1) problem identification, 2) data
collection, 3) solution generation, 4) solution test, 5) solution selection, and 6) solution
implementation
Difficulty: 1 Easy
Topic: Making Organizational Business Decisions
Bloom's: Remember
Learning Outcome: 02-01 Explain the importance of decision making for managers at each of
the three primary organization levels along with the associated decision characteristics.
Accessibility: Keyboard Navigation
Gradable: automatic
129) Review the below key terms. Which one defines an operational decision that involves
situations where established processes offer potential solutions?
A) Optimization analysis decision
B) Artificial intelligence decision
C) Structured decision
D) Unstructured decision
Answer: C
Explanation: A structured decision involves situations where established processes offer
potential solutions
Difficulty: 1 Easy
Topic: Making Organizational Business Decisions
Bloom's: Remember
Learning Outcome: 02-01 Explain the importance of decision making for managers at each of
the three primary organization levels along with the associated decision characteristics.
Accessibility: Keyboard Navigation
Gradable: automatic
454
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written consent of McGraw-Hill Education.
130) Which of the following is considered a structured decision or strategic decision?
A) Reordering inventory
B) Deciding to enter a new market
C) Creating the employee weekly staffing schedule
D) Creating the employee weekly production schedule
Answer: B
Explanation: Structured decisions are made frequently and are almost repetitive in nature; they
affect short-term business strategies. Reordering inventory and creating the employee staffing
and weekly production schedules are examples of routine structured decisions, where entering a
new market is a type of unstructured decision.
Difficulty: 2 Medium
Topic: Making Organizational Business Decisions
Bloom's: Understand
Learning Outcome: 02-01 Explain the importance of decision making for managers at each of
the three primary organization levels along with the associated decision characteristics.
Accessibility: Keyboard Navigation
Gradable: automatic
131) Which of the following is considered an operational decision or structured decision?
A) Determining how many employees are out sick
B) Determining the impact of last month's marketing campaign
C) Allocating resources to a department for a new system
D) Monitoring performance of a project team
Answer: A
Explanation: Structured decisions are made frequently and are almost repetitive in nature; they
affect short-term business strategies. Reordering inventory and creating the employee staffing
and weekly production schedules are examples of routine structured decisions, where entering a
new market is a type of unstructured decision.
Difficulty: 2 Medium
Topic: Making Organizational Business Decisions
Bloom's: Understand
Learning Outcome: 02-01 Explain the importance of decision making for managers at each of
the three primary organization levels along with the associated decision characteristics.
Accessibility: Keyboard Navigation
Gradable: automatic
455
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written consent of McGraw-Hill Education.
132) Which of the following is considered a managerial decision or semistructured decision?
A) Determining how many employees are out sick
B) Determining the impact of last month's marketing campaign
C) Investigating why payroll is having problems running
D) Tracking how much inventory is in the warehouse
Answer: B
Explanation: Structured decisions are made frequently and are almost repetitive in nature; they
affect short-term business strategies. Reordering inventory and creating the employee staffing
and weekly production schedules are examples of routine structured decisions, where entering a
new market is a type of unstructured decision.
Difficulty: 2 Medium
Topic: Making Organizational Business Decisions
Bloom's: Understand
Learning Outcome: 02-01 Explain the importance of decision making for managers at each of
the three primary organization levels along with the associated decision characteristics.
Accessibility: Keyboard Navigation
Gradable: automatic
133) Which of the below key terms represents the types of decisions made at the operational,
managerial, and strategic levels of a company?
A) Structured decisions
B) Unstructured decisions
C) Semistructured decisions
D) All of the above
Answer: D
Explanation: The three types of decisions made at the operational, managerial, and strategic
levels are 1) structured decisions, 2) unstructured decisions, and 3) semistructured decisions
Difficulty: 1 Easy
Topic: Making Organizational Business Decisions
Bloom's: Remember
Learning Outcome: 02-01 Explain the importance of decision making for managers at each of
the three primary organization levels along with the associated decision characteristics.
Accessibility: Keyboard Navigation
Gradable: automatic
456
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written consent of McGraw-Hill Education.
134) At which level do managers develop the overall business strategies and monitor the
performance of the organization and the competitive business environment?
A) Operational
B) Strategic
C) Managerial
D) Communications
Answer: B
Explanation: The strategic level, managers develop overall business strategies, goals, and
objectives as part of the company's strategic plan. They also monitor the performance of the
organization and its overall direction in the political, economic, and competitive business
environment.
Difficulty: 1 Easy
Topic: Making Organizational Business Decisions
Bloom's: Remember
Learning Outcome: 02-01 Explain the importance of decision making for managers at each of
the three primary organization levels along with the associated decision characteristics.
Accessibility: Keyboard Navigation
Gradable: automatic
135) Jenny Welch works at a retail store selling sports equipment. Her daily tasks include
opening the store, creating the work schedules, processing payroll, overseeing sales and
inventory, and training employees. At what level of the organizational pyramid would you
categorize Jenny?
A) Managerial
B) Operational
C) Strategic
D) Owner
Answer: A
Explanation: Managerial level duties include evaluating operations to hone the firm's abilities to
identify, adapt to, and leverage change. They also cover schedules, budgets, policies, procedures,
and business objectives.
Difficulty: 2 Medium
Topic: Making Organizational Business Decisions
Bloom's: Understand
Learning Outcome: 02-01 Explain the importance of decision making for managers at each of
the three primary organization levels along with the associated decision characteristics.
Accessibility: Keyboard Navigation
Gradable: automatic
457
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written consent of McGraw-Hill Education.
136) Andy Benton works at the local Starbucks coffee shop and his responsibilities include
taking orders, fulfilling orders, and ringing in sales. At what level of the organizational pyramid
would you categorize Andy?
A) Strategic
B) Owner
C) Operational
D) Managerial
Answer: C
Explanation: At the operational level, employees develop, control, and maintain core business
activities to run the day-to-day operations.
Difficulty: 2 Medium
Topic: Making Organizational Business Decisions
Bloom's: Understand
Learning Outcome: 02-01 Explain the importance of decision making for managers at each of
the three primary organization levels along with the associated decision characteristics.
Accessibility: Keyboard Navigation
Gradable: automatic
137) Bill Schultz works at a high power investment firm in Los Angeles. Bill is responsible for
promoting the firm's vision and creating the company-wide goals and strategies. He also
monitors the overall strategic performance of the company and its direction for future business
strategies. At what level of the organizational pyramid would you categorize Bill?
A) Strategic
B) Owner
C) Operational
D) Managerial
Answer: A
Explanation: At the strategic level, managers develop overall business strategies, goals, and
objectives. They also monitor the strategic performance of the organization and its overall
direction.
Difficulty: 2 Medium
Topic: Making Organizational Business Decisions
Bloom's: Understand
Learning Outcome: 02-01 Explain the importance of decision making for managers at each of
the three primary organization levels along with the associated decision characteristics.
Accessibility: Keyboard Navigation
Gradable: automatic
458
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written consent of McGraw-Hill Education.
138) Chuck Biggs has been hired to oversee all of the plans that the city of Denver has created to
expand its train transportation system by adding six more lines to the metro area. Chuck will be
responsible for planning the project, managing the processes, and finalizing each new line as it is
completed. How would you categorize the majority of the decisions Chuck will have to make to
complete his job?
A) Unstructured decisions
B) Semistructured decisions
C) Structured decisions
D) Strategic decisions
Answer: B
Explanation: Chuck will be faced with many semistructured decisions as he manages the
transportation system expansion.
Difficulty: 2 Medium
Topic: Making Organizational Business Decisions
Bloom's: Understand
Learning Outcome: 02-01 Explain the importance of decision making for managers at each of
the three primary organization levels along with the associated decision characteristics.
Accessibility: Keyboard Navigation
Gradable: automatic
139) What is the science of fact-based decision making?
A) Analytics
B) Structured decisions
C) Unstructured decisions
D) Semistructured decisions
Answer: A
Explanation: Analytics is the science of fact-based decision making.
Difficulty: 2 Medium
Topic: Making Organizational Business Decisions
Bloom's: Understand
Learning Outcome: 02-01 Explain the importance of decision making for managers at each of
the three primary organization levels along with the associated decision characteristics.
Accessibility: Keyboard Navigation
Gradable: automatic
459
Copyright 2019 © McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior
written consent of McGraw-Hill Education.
140) What occurs in situations in which a few established processes help to evaluate potential
solutions, but not enough to lead to a definite recommended decision?
A) Analytics
B) Structured decisions
C) Unstructured decisions
D) Semistructured decisions
Answer: D
Explanation: Semistructured decisions occur in situations in which a few established processes
help to evaluate potential solutions, but not enough to lead to a definite recommended decision?
Difficulty: 2 Medium
Topic: Making Organizational Business Decisions
Bloom's: Understand
Learning Outcome: 02-01 Explain the importance of decision making for managers at each of
the three primary organization levels along with the associated decision characteristics.
Accessibility: Keyboard Navigation
Gradable: automatic
141) What occurs in situations in which no procedures or rules exist to guide decision makers
toward the correct choice?
A) Analytics
B) Structured decisions
C) Unstructured decisions
D) Semistructured decisions
Answer: C
Explanation: Unstructured decisions occur in situations in which no procedures or rules exist to
guide decision makers toward the correct choice.
Difficulty: 2 Medium
Topic: Making Organizational Business Decisions
Bloom's: Understand
Learning Outcome: 02-01 Explain the importance of decision making for managers at each of
the three primary organization levels along with the associated decision characteristics.
Accessibility: Keyboard Navigation
Gradable: automatic
460
Copyright 2019 © McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior
written consent of McGraw-Hill Education.
142) What arises in situations where established processes offer potential solutions?
A) Analytics
B) Structured decisions
C) Unstructured decisions
D) Semistructured decisions
Answer: B
Explanation: Structured decisions arise in situations where established processes offer potential
solutions.
Difficulty: 2 Medium
Topic: Making Organizational Business Decisions
Bloom's: Understand
Learning Outcome: 02-01 Explain the importance of decision making for managers at each of
the three primary organization levels along with the associated decision characteristics.
Accessibility: Keyboard Navigation
Gradable: automatic
143) The structure of an organization is similar to a pyramid. The different levels require
different types of information to assist with which of the following?
A) Decision making
B) Problem solving
C) Opportunity capturing
D) All of the above
Answer: D
Explanation: The structure of an organization is similar to a pyramid. The different levels
require different types of information to assist with decision making, problem solving, and
opportunity capturing.
Difficulty: 2 Medium
Topic: Making Organizational Business Decisions
Bloom's: Understand
Learning Outcome: 02-01 Explain the importance of decision making for managers at each of
the three primary organization levels along with the associated decision characteristics.
Accessibility: Keyboard Navigation
Gradable: automatic
461
Copyright 2019 © McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior
written consent of McGraw-Hill Education.
144) At which level will a manager use analytics to make decisions?
A) Operational level
B) Managerial level
C) Strategic level
D) All of the above
Answer: D
Explanation: Analytics are used at every level of an organization to make decisions.
Difficulty: 2 Medium
Topic: Making Organizational Business Decisions
Bloom's: Understand
Learning Outcome: 02-01 Explain the importance of decision making for managers at each of
the three primary organization levels along with the associated decision characteristics.
Accessibility: Keyboard Navigation
Gradable: automatic
145) At which level of an organization do employees develop, control, and maintain core
business activities required to run the day-to-day operations?
A) Operational level
B) Managerial level
C) Strategic level
D) All of the above
Answer: A
Explanation: At the operational level of an organization employees develop, control, and
maintain core business activities required to run the day-to-day operations.
Difficulty: 2 Medium
Topic: Making Organizational Business Decisions
Bloom's: Understand
Learning Outcome: 02-01 Explain the importance of decision making for managers at each of
the three primary organization levels along with the associated decision characteristics.
Accessibility: Keyboard Navigation
Gradable: automatic
462
Copyright 2019 © McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior
written consent of McGraw-Hill Education.
146) At which level of an organization are employees continuously evaluating company
operations to hone the firm's abilities to identify, adapt to, and leverage change?
A) Operational level
B) Managerial level
C) Strategic level
D) All of the above
Answer: B
Explanation: At the managerial level of an organization employees are continuously evaluating
company operations to hone the firm's abilities to identify, adapt to, and leverage change.
Difficulty: 2 Medium
Topic: Making Organizational Business Decisions
Bloom's: Understand
Learning Outcome: 02-01 Explain the importance of decision making for managers at each of
the three primary organization levels along with the associated decision characteristics.
Accessibility: Keyboard Navigation
Gradable: automatic
147) At which level of an organization do managers develop overall business strategies, goals,
and objectives as part of the company's strategic plan?
A) Operational level
B) Managerial level
C) Strategic level
D) All of the above
Answer: C
Explanation: At the strategic level managers develop overall business strategies, goals, and
objectives as part of the company's strategic plan.
Difficulty: 2 Medium
Topic: Making Organizational Business Decisions
Bloom's: Understand
Learning Outcome: 02-01 Explain the importance of decision making for managers at each of
the three primary organization levels along with the associated decision characteristics.
Accessibility: Keyboard Navigation
Gradable: automatic
463
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written consent of McGraw-Hill Education.
148) CSF's and KPI's are two core metrics used to evaluate results and measure the progress of a
project for a business. Which of the below represents the acronyms for CSF and KPI?
A) Continual success factors and key performance indicators
B) Critical success factors and key project ideas
C) Customer success findings and key project ideas
D) Critical success factors and key performance indicators
Answer: D
Explanation: CSF's and KPI's are terms used when evaluating metrics or measuring a
company's success. These both stand for Critical success factors (CSF's) and key performance
indicators (KPI's).
Difficulty: 1 Easy
Topic: Metrics Measuring Business Success
Bloom's: Remember
Learning Outcome: 02-02 Define critical success factors (CSFs) and key performance
indicators (KPIs), and explain how managers use them to measure the success of MIS projects.
Accessibility: Keyboard Navigation
Gradable: automatic
149) What are measurements that evaluate results to determine whether a project is meeting its
goals?
A) Models
B) Metrics
C) Benchmarks
D) Genetic algorithms
Answer: B
Explanation: Metrics are measurements that evaluate results to determine whether a project is
meeting its goals.
Difficulty: 1 Easy
Topic: Metrics Measuring Business Success
Bloom's: Remember
Learning Outcome: 02-02 Define critical success factors (CSFs) and key performance
indicators (KPIs), and explain how managers use them to measure the success of MIS projects.
Accessibility: Keyboard Navigation
Gradable: automatic
464
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written consent of McGraw-Hill Education.
150) What are the crucial steps companies perform to achieve their goals and objectives and
implement their strategies?
A) Critical success factors
B) Crucial success factors
C) Key performance indicators
D) Key performance factors
Answer: A
Explanation: Critical success factors are the crucial steps companies perform to achieve their
goals and objectives and implement their strategies.
Difficulty: 1 Easy
Topic: Metrics Measuring Business Success
Bloom's: Remember
Learning Outcome: 02-02 Define critical success factors (CSFs) and key performance
indicators (KPIs), and explain how managers use them to measure the success of MIS projects.
Accessibility: Keyboard Navigation
Gradable: automatic
151) Which of the below is an example of a critical success factor?
A) Increase customer satisfaction
B) Number of new customers
C) Number of new products
D) Percentage of employee turnover
Answer: A
Explanation: CSF's include 1) create high-quality products, 2) retain competitive advantages, 3)
reduce product costs, 4) increase customer satisfaction, and 5) hire and retain the best business
professionals.
Difficulty: 1 Easy
Topic: Metrics Measuring Business Success
Bloom's: Remember
Learning Outcome: 02-02 Define critical success factors (CSFs) and key performance
indicators (KPIs), and explain how managers use them to measure the success of MIS projects.
Accessibility: Keyboard Navigation
Gradable: automatic
465
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written consent of McGraw-Hill Education.
152) Which of the below statements is accurate?
A) Key performance indicators can have no more than four critical success factors
B) Critical success factors can have no more than four key performance indicators
C) Key performance indicators can have several critical success factors
D) Critical success factors can have several key performance indicators
Answer: D
Explanation: One CSF can have several KPIs.
Difficulty: 1 Easy
Topic: Metrics Measuring Business Success
Bloom's: Remember
Learning Outcome: 02-02 Define critical success factors (CSFs) and key performance
indicators (KPIs), and explain how managers use them to measure the success of MIS projects.
Accessibility: Keyboard Navigation
Gradable: automatic
153) Key performance indicators are the metrics a company uses to evaluate progress toward
critical success factors. Which of the below represents a key performance indicator?
A) Create high-quality products
B) Reduce product costs
C) Percentage of help desk calls answered in the first minute
D) Hire the best business professionals
Answer: C
Explanation: Examples of KPI's are 1) turnover rates of employees, 2) percentage of help desk
calls answered in the first minute, 3) number of product returns, 4) number of new customers,
and 5) average customer spending.
Difficulty: 1 Easy
Topic: Metrics Measuring Business Success
Bloom's: Remember
Learning Outcome: 02-02 Define critical success factors (CSFs) and key performance
indicators (KPIs), and explain how managers use them to measure the success of MIS projects.
Accessibility: Keyboard Navigation
Gradable: automatic
466
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written consent of McGraw-Hill Education.
154) CSF's and KPI's are the two core metrics used within a business to track progress or
success. What is the relationship between CSFs and KPIs?
A) CSF's are business strategy elements where KPI's measure the progress of the CSF's
B) CSF's build the business environment where KPI's explain how to build the CSF's
C) KPI's are used first where CSF's are applied after
D) KPI's promote employees on their performance where CSF's demote employees based on
their performance level
Answer: A
Explanation: The relationship between CSF's and KPI's is critical for a business. Critical
success factors (CSF's) are elements crucial for a business strategy's success, where key
performance indicators (KPI's) measure the progress of the CSF's.
Difficulty: 2 Medium
Topic: Metrics Measuring Business Success
Bloom's: Understand
Learning Outcome: 02-02 Define critical success factors (CSFs) and key performance
indicators (KPIs), and explain how managers use them to measure the success of MIS projects.
Accessibility: Keyboard Navigation
Gradable: automatic
155) Market share measures a firm's external performance relative to that of its competitors.
Which of the following represents how a firm measures market share?
A) Multiplying the firm's sales by the industries total sales
B) Dividing the firm's sales by the total market sales for the entire industry
C) Subtracting your competitors sales from your total sales
D) Subtracting the industries total sales from the firm's total sales
Answer: B
Explanation: To calculate market share you divide the firm's sales by the total market sales for
the entire industry.
Difficulty: 2 Medium
Topic: Metrics Measuring Business Success
Bloom's: Understand
Learning Outcome: 02-02 Define critical success factors (CSFs) and key performance
indicators (KPIs), and explain how managers use them to measure the success of MIS projects.
Accessibility: Keyboard Navigation
Gradable: automatic
467
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written consent of McGraw-Hill Education.
156) Anne-Marie Cole runs the sales division for a local auto insurance firm. One of her key
duties is to calculate her company's market share. When evaluating the prior year numbers, she
found that her firm achieved total sales of $3 million and the entire industry had $30 million in
sales. What is Anne-Marie's current market share?
A) 1%
B) 10%
C) 18%
D) 20%
Answer: B
Explanation: Market share is the proportion of the market that a firm captures. It is calculated
by dividing the firm's sales by the total market sales for the entire industry. 3 million divided by
30 million is 10 percent.
Difficulty: 2 Medium
Topic: Metrics Measuring Business Success
Bloom's: Understand
Learning Outcome: 02-02 Define critical success factors (CSFs) and key performance
indicators (KPIs), and explain how managers use them to measure the success of MIS projects.
Accessibility: Keyboard Navigation
Gradable: automatic
157) Anne-Marie Cole runs the sales division for a local auto insurance firm. One of her key
duties is to ensure the company has 10 percent market share by the end of the year. When
evaluating the current sales numbers, she determines that her sales division has total sales of $3
million and the entire industry has total sales of $50 million. What additional sales must AnneMarie's division meet to ensure they have 10 percent of the market by the end of the year?
A) $1 million
B) $2 million
C) $5 million
D) $10 million
Answer: B
Explanation: Market share is the proportion of the market that a firm captures. It is calculated
by dividing the firm's sales by the total market sales for the entire industry. 10 percent of $50
million is $5 million. Since Anne-Marie already has $3 million she needs an additional $2
million in sales.
Difficulty: 3 Hard
Topic: Metrics Measuring Business Success
Bloom's: Analyze
Learning Outcome: 02-02 Define critical success factors (CSFs) and key performance
indicators (KPIs), and explain how managers use them to measure the success of MIS projects.
Accessibility: Keyboard Navigation
Gradable: automatic
468
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written consent of McGraw-Hill Education.
158) What type of measurement is using market share as a KPI?
A) Fuzzy logic measurement
B) External measurement
C) Neural network measurement
D) Internal measurement
Answer: B
Explanation: A common external KPI is market share.
Difficulty: 1 Easy
Topic: Metrics Measuring Business Success
Bloom's: Remember
Learning Outcome: 02-02 Define critical success factors (CSFs) and key performance
indicators (KPIs), and explain how managers use them to measure the success of MIS projects.
Accessibility: Keyboard Navigation
Gradable: automatic
159) Which of the below represents an internal KPI that indicates the earning power of a project?
A) Market share
B) Return on intelligent
C) Sensitivity analysis
D) Return on investment
Answer: D
Explanation: An internal KPI which indicates the earning power of a project is return on
investment or ROI.
Difficulty: 1 Easy
Topic: Metrics Measuring Business Success
Bloom's: Remember
Learning Outcome: 02-02 Define critical success factors (CSFs) and key performance
indicators (KPIs), and explain how managers use them to measure the success of MIS projects.
Accessibility: Keyboard Navigation
Gradable: automatic
469
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written consent of McGraw-Hill Education.
160) Todd Haitz is the marketing manager for the National Basketball Association. Todd
analyzes and tracks his marketing campaigns to determine the best success rate per project for
increasing ticket sales. Todd uses an internal KPI to track his marketing campaign success.
Which of the below would be an internal KPI Todd would use to track his marketing campaigns?
A) Marketing campaign ROI
B) Marketing campaign percentage of fans purchasing Sports Illustrated magazine
C) Marketing campaign advertiser revenue sales
D) Marketing campaign market share
Answer: A
Explanation: Todd would use ROI as an internal KPI.
Difficulty: 3 Hard
Topic: Metrics Measuring Business Success
Bloom's: Analyze
Learning Outcome: 02-02 Define critical success factors (CSFs) and key performance
indicators (KPIs), and explain how managers use them to measure the success of MIS projects.
Accessibility: Keyboard Navigation
Gradable: automatic
161) What could a manager use to measure the success of an MIS project?
A) Effectiveness MIS metrics, efficiency MIS metrics
B) Effectiveness MIS metrics, expert MIS metrics
C) Expert MIS metrics, executive MIS metrics
D) All of the above
Answer: A
Explanation: MIS projects can be difficult to measure, so therefore, managers utilize the higherlevel metrics such as efficiency and effectiveness metrics.
Difficulty: 1 Easy
Topic: Metrics Measuring Business Success
Bloom's: Remember
Learning Outcome: 02-02 Define critical success factors (CSFs) and key performance
indicators (KPIs), and explain how managers use them to measure the success of MIS projects.
Accessibility: Keyboard Navigation
Gradable: automatic
470
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written consent of McGraw-Hill Education.
162) What type of metrics measure throughput, transaction speed, and system availability?
A) Efficiency MIS metrics
B) Effectiveness MIS metrics
C) ROI
D) Benchmarks
Answer: A
Explanation: Efficiency MIS metrics measure throughput, speed, and availability.
Difficulty: 1 Easy
Topic: Metrics Measuring Business Success
Bloom's: Remember
Learning Outcome: 02-02 Define critical success factors (CSFs) and key performance
indicators (KPIs), and explain how managers use them to measure the success of MIS projects.
Accessibility: Keyboard Navigation
Gradable: automatic
163) What types of metrics measure customer satisfaction?
A) Efficiency MIS metrics
B) Effectiveness MIS metrics
C) Both efficiency and effectiveness MIS metrics
D) Both ROI and market share
Answer: B
Explanation: Effectiveness MIS metrics measure customer satisfaction.
Difficulty: 1 Easy
Topic: Metrics Measuring Business Success
Bloom's: Remember
Learning Outcome: 02-02 Define critical success factors (CSFs) and key performance
indicators (KPIs), and explain how managers use them to measure the success of MIS projects.
Accessibility: Keyboard Navigation
Gradable: automatic
471
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written consent of McGraw-Hill Education.
164) According to Peter Drucker, what are managers who do things right addressing?
A) Efficiency
B) Effectiveness
C) Both efficiency and effectiveness
D) Customer satisfaction only
Answer: A
Explanation: "Doing things right" addresses efficiency.
Difficulty: 1 Easy
Topic: Metrics Measuring Business Success
Bloom's: Remember
Learning Outcome: 02-02 Define critical success factors (CSFs) and key performance
indicators (KPIs), and explain how managers use them to measure the success of MIS projects.
Accessibility: Keyboard Navigation
Gradable: automatic
165) According to Peter Drucker, what are managers who do the right things addressing?
A) Efficiency
B) Effectiveness
C) Both efficiency and effectiveness
D) Customer satisfaction only
Answer: B
Explanation: "Doing the right things" addresses effectiveness.
Difficulty: 1 Easy
Topic: Metrics Measuring Business Success
Bloom's: Remember
Learning Outcome: 02-02 Define critical success factors (CSFs) and key performance
indicators (KPIs), and explain how managers use them to measure the success of MIS projects.
Accessibility: Keyboard Navigation
Gradable: automatic
472
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written consent of McGraw-Hill Education.
166) Which of the following is a type of effectiveness MIS metric?
A) Transaction speed
B) System availability
C) Usability
D) Throughput
Answer: C
Explanation: Usability is an effectiveness MIS metric.
Difficulty: 1 Easy
Topic: Metrics Measuring Business Success
Bloom's: Remember
Learning Outcome: 02-02 Define critical success factors (CSFs) and key performance
indicators (KPIs), and explain how managers use them to measure the success of MIS projects.
Accessibility: Keyboard Navigation
Gradable: automatic
167) Which of the following is a type of efficiency MIS metric?
A) Customer satisfaction
B) Conversion rates
C) Financial transactions
D) Web traffic
Answer: D
Explanation: Web traffic is an efficiency MIS metric.
Difficulty: 1 Easy
Topic: Metrics Measuring Business Success
Bloom's: Remember
Learning Outcome: 02-02 Define critical success factors (CSFs) and key performance
indicators (KPIs), and explain how managers use them to measure the success of MIS projects.
Accessibility: Keyboard Navigation
Gradable: automatic
473
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written consent of McGraw-Hill Education.
168) Which term is used to describe the ease with which people perform transactions and/or find
information?
A) Usability
B) Customer satisfaction
C) Financial
D) Conversion rates
Answer: A
Explanation: This is the definition of usability.
Difficulty: 1 Easy
Topic: Metrics Measuring Business Success
Bloom's: Remember
Learning Outcome: 02-02 Define critical success factors (CSFs) and key performance
indicators (KPIs), and explain how managers use them to measure the success of MIS projects.
Accessibility: Keyboard Navigation
Gradable: automatic
169) What is measured by such benchmarks as satisfaction surveys, percentage of existing
customers retained, and increases in revenue dollars per customer?
A) Usability
B) Customer satisfaction
C) Financial
D) Conversion rates
Answer: B
Explanation: This is the definition of customer satisfaction.
Difficulty: 1 Easy
Topic: Metrics Measuring Business Success
Bloom's: Remember
Learning Outcome: 02-02 Define critical success factors (CSFs) and key performance
indicators (KPIs), and explain how managers use them to measure the success of MIS projects.
Accessibility: Keyboard Navigation
Gradable: automatic
474
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written consent of McGraw-Hill Education.
170) What would a company like eBay or Amazon be constantly benchmarking?
A) MIS efficiency
B) MIS effectiveness
C) MIS efficiency and MIS effectiveness
D) Usability metrics only
Answer: C
Explanation: eBay and Amazon depend on their MIS systems for business and constantly
monitor and measure both efficiency and effectiveness MIS metrics to ensure success.
Difficulty: 2 Medium
Topic: Metrics Measuring Business Success
Bloom's: Understand
Learning Outcome: 02-02 Define critical success factors (CSFs) and key performance
indicators (KPIs), and explain how managers use them to measure the success of MIS projects.
Accessibility: Keyboard Navigation
Gradable: automatic
171) When considering the graph depicting the interrelationships between efficiency and
effectiveness, where does an organization ideally want to operate?
A) Upper right-hand corner
B) Lower right-hand corner
C) Upper left-hand corner
D) Lower left-hand corner
Answer: A
Explanation: The upper right-hand corner is the ideal place for an organization to operate.
Difficulty: 1 Easy
Topic: Metrics Measuring Business Success
Bloom's: Remember
Learning Outcome: 02-02 Define critical success factors (CSFs) and key performance
indicators (KPIs), and explain how managers use them to measure the success of MIS projects.
Accessibility: Keyboard Navigation
Gradable: automatic
475
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written consent of McGraw-Hill Education.
172) Which of the following would efficiency MIS metrics measure?
A) Response time
B) System availability
C) Transaction speed
D) All of the above
Answer: D
Explanation: Common types of Efficiency metrics are 1) throughput, 2) transaction speed, 3)
system availability, 4) information accuracy, and 5) response time.
Difficulty: 1 Easy
Topic: Metrics Measuring Business Success
Bloom's: Remember
Learning Outcome: 02-02 Define critical success factors (CSFs) and key performance
indicators (KPIs), and explain how managers use them to measure the success of MIS projects.
Accessibility: Keyboard Navigation
Gradable: automatic
173) Which of the following are the four common types of effectiveness MIS metrics?
A) Unstructured decisions, customer satisfaction, conversion rates, financial
B) Usability, customer service, conversion rates, fiscal year revenue
C) Usability, customer satisfaction, conversion rates, financial
D) Usability, customer satisfaction, conversion rates, affordability
Answer: C
Explanation: When analyzing the Efficiency and Effectiveness Metrics chart, the four examples
of common types of Effectiveness metrics are 1) usability, 2) customer satisfaction, 3)
conversion rates, and 4) financial.
Difficulty: 2 Medium
Topic: Metrics Measuring Business Success
Bloom's: Understand
Learning Outcome: 02-02 Define critical success factors (CSFs) and key performance
indicators (KPIs), and explain how managers use them to measure the success of MIS projects.
Accessibility: Keyboard Navigation
Gradable: automatic
476
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written consent of McGraw-Hill Education.
174) Drew Savage is an MIS manager for an international consulting firm. Drew travels to
different European countries where he implements news response tracking systems. Some of the
metrics he uses to track the performance of his system include tracking the response time it takes
to respond to Twitter posts mentioning the news station, as well as the speed and accuracy of
content posted on numerous websites and social media sites. What type of metrics is Drew using
to measure his system?
A) Customer satisfaction metrics
B) Efficiency metrics
C) Effectiveness metrics
D) Benchmarking metrics
Answer: B
Explanation: Efficiency metrics include 1) throughput, 2) transaction speed, 3) system
availability, 4) information accuracy, and 5) response time.
Difficulty: 3 Hard
Topic: Metrics Measuring Business Success
Bloom's: Analyze
Learning Outcome: 02-02 Define critical success factors (CSFs) and key performance
indicators (KPIs), and explain how managers use them to measure the success of MIS projects.
Accessibility: Keyboard Navigation
Gradable: automatic
175) Efficiency MIS metrics focus on the extent to which a firm is using its resources in an
optimal way, while effectiveness MIS metrics focus on ________.
A) Understanding how successful a firm is at achieving its goals and objectives
B) Analyzing if a firm is doing the right things
C) Setting the right goals and ensuring they are accomplished
D) All of the above
Answer: D
Explanation: Efficiency MIS metrics focus on the extent to which a firm is using its resources
in an optimal way, doing things right, and getting the most from each resource. Effectiveness
MIS metrics focus on how well a firm is achieving its goals and objectives, doing the right
things, setting the right goals and objectives and ensuring they are accomplished.
Difficulty: 2 Medium
Topic: Metrics Measuring Business Success
Bloom's: Understand
Learning Outcome: 02-02 Define critical success factors (CSFs) and key performance
indicators (KPIs), and explain how managers use them to measure the success of MIS projects.
Accessibility: Keyboard Navigation
Gradable: automatic
477
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written consent of McGraw-Hill Education.
176) Which of the below describes the efficiency MIS metric of throughput?
A) The number of hours a system is available for users
B) The time it takes to respond to user interactions such as a mouse click
C) The amount of information that can travel through a system at any point in time
D) The ease with which people perform transactions and/or find information
Answer: C
Explanation: Within the Efficiency Metrics, the type throughput is the amount of information
that can travel through a system at any point in time
Difficulty: 1 Easy
Topic: Metrics Measuring Business Success
Bloom's: Remember
Learning Outcome: 02-02 Define critical success factors (CSFs) and key performance
indicators (KPIs), and explain how managers use them to measure the success of MIS projects.
Accessibility: Keyboard Navigation
Gradable: automatic
177) Which of the following tracks the number of customers an organization touches for the first
time and persuades to purchase its products or services?
A) Customer satisfaction
B) Usability
C) Conversion rates
D) Financial
Answer: C
Explanation: The effectiveness metrics that track the number of customers an organization
touches for the first time and persuades to purchase its products or services are conversion rates.
Difficulty: 1 Easy
Topic: Metrics Measuring Business Success
Bloom's: Remember
Learning Outcome: 02-02 Define critical success factors (CSFs) and key performance
indicators (KPIs), and explain how managers use them to measure the success of MIS projects.
Accessibility: Keyboard Navigation
Gradable: automatic
478
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written consent of McGraw-Hill Education.
178) What do usability effectiveness MIS metrics measure?
A) The ease with which people perform transactions and find information
B) The number of customers an organization "touches" for the first time and persuades to
purchase its products or services
C) The amount of time a system takes to perform a transaction
D) The number of hours a system is available for users
Answer: A
Explanation: The usability effectiveness metrics measure the ease with which people perform
transactions and find information.
Difficulty: 1 Easy
Topic: Metrics Measuring Business Success
Bloom's: Remember
Learning Outcome: 02-02 Define critical success factors (CSFs) and key performance
indicators (KPIs), and explain how managers use them to measure the success of MIS projects.
Accessibility: Keyboard Navigation
Gradable: automatic
179) A common mistake that many managers tend to make is focusing on only one type of
metrics because they are easier to measure. Which type of metrics do they focus on?
A) Effectiveness MIS metrics
B) Efficiency MIS metrics
C) Endurance MIS metrics
D) Product sales metrics
Answer: B
Explanation: A common mistake that many managers tend to make is focusing on efficiency
MIS metrics because they are easier to measure.
Difficulty: 2 Medium
Topic: Metrics Measuring Business Success
Bloom's: Understand
Learning Outcome: 02-02 Define critical success factors (CSFs) and key performance
indicators (KPIs), and explain how managers use them to measure the success of MIS projects.
Accessibility: Keyboard Navigation
Gradable: automatic
479
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written consent of McGraw-Hill Education.
180) When analyzing the interrelationships between efficiency and effectiveness, where would a
company ideally wants to operate?
A) With high efficiency
B) The upper right-hand corner of the interrelationship graph
C) With high effectiveness
D) All of the above
Answer: D
Explanation: When analyzing the interrelationships between efficiency and effectiveness, a
company ideally wants to operate in the upper right-hand corner of the interrelationship graph
where they see significant increases in efficiency and effectiveness metrics.
Difficulty: 2 Medium
Topic: Metrics Measuring Business Success
Bloom's: Understand
Learning Outcome: 02-02 Define critical success factors (CSFs) and key performance
indicators (KPIs), and explain how managers use them to measure the success of MIS projects.
Accessibility: Keyboard Navigation
Gradable: automatic
181) What is the process of continuously measuring system results, comparing those results to
optimal system performance, and identifying steps and procedures to improve system
performance?
A) Benchmarking
B) Bottlenecking
C) Consolidation
D) Cycle time
Answer: A
Explanation: The process of continuously measuring system results, comparing those results to
optimal system performance, and identifying steps and procedures to improve system
performance is benchmarking.
Difficulty: 1 Easy
Topic: Metrics Measuring Business Success
Bloom's: Remember
Learning Outcome: 02-02 Define critical success factors (CSFs) and key performance
indicators (KPIs), and explain how managers use them to measure the success of MIS projects.
Accessibility: Keyboard Navigation
Gradable: automatic
480
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written consent of McGraw-Hill Education.
182) Which of the below is not included as part of a benchmark?
A) Benchmarks help assess how an MIS project performs over time
B) When measured against MIS projects, benchmarks can provide feedback so managers can
control the system
C) Benchmarks help to establish baseline values the system seeks to attain
D) Benchmarks perform all of the above
Answer: D
Explanation: The role of benchmarks within a company include 1) to help assess how an MIS
project performs over time, 2) when measured against MIS projects, can provide feedback so
managers can control the system, and 3) to establish baseline values the system seeks to attain.
Difficulty: 2 Medium
Topic: Metrics Measuring Business Success
Bloom's: Understand
Learning Outcome: 02-02 Define critical success factors (CSFs) and key performance
indicators (KPIs), and explain how managers use them to measure the success of MIS projects.
Accessibility: Keyboard Navigation
Gradable: automatic
183) As a manager for your company some of your responsibilities include measuring metrics
and overseeing company strategies. You observe some critical success factors and see large
increases in productivity. What would you suspect would be the primary reason for the large
increases in productivity?
A) Decreases in effectiveness
B) Increases in effectiveness
C) Increases in executive roles
D) Decreases in efficiency
Answer: B
Explanation: Large increases in productivity typically result from increases in effectiveness,
which focus on critical success factors.
Difficulty: 3 Hard
Topic: Metrics Measuring Business Success
Bloom's: Analyze
Learning Outcome: 02-02 Define critical success factors (CSFs) and key performance
indicators (KPIs), and explain how managers use them to measure the success of MIS projects.
Accessibility: Keyboard Navigation
Gradable: automatic
481
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written consent of McGraw-Hill Education.
184) What are the most successful solutions or problem-solving methods that have been
developed by a specific organization or industry?
A) ROI
B) Metrics
C) Best practices
D) KPI
Answer: C
Explanation: Best practices are the most successful solutions or problem-solving methods that
have been developed by a specific organization or industry.
Difficulty: 1 Easy
Topic: Metrics Measuring Business Success
Bloom's: Analyze
Learning Outcome: 02-02 Define critical success factors (CSFs) and key performance
indicators (KPIs), and explain how managers use them to measure the success of MIS projects.
Accessibility: Keyboard Navigation
Gradable: automatic
185) What indicates the earning power of a project?
A) ROI
B) Metrics
C) Best practices
D) KPI
Answer: A
Explanation: ROI indicates the earning power of a project.
Difficulty: 1 Easy
Topic: Metrics Measuring Business Success
Bloom's: Analyze
Learning Outcome: 02-02 Define critical success factors (CSFs) and key performance
indicators (KPIs), and explain how managers use them to measure the success of MIS projects.
Accessibility: Keyboard Navigation
Gradable: automatic
482
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written consent of McGraw-Hill Education.
186) What are measurements that evaluate results to determine whether a project is meeting its
goals?
A) ROI
B) Metrics
C) Best practices
D) KPI
Answer: B
Explanation: Metrics are measurements that evaluate results to determine whether a project is
meeting its goals.
Difficulty: 1 Easy
Topic: Metrics Measuring Business Success
Bloom's: Analyze
Learning Outcome: 02-02 Define critical success factors (CSFs) and key performance
indicators (KPIs), and explain how managers use them to measure the success of MIS projects.
Accessibility: Keyboard Navigation
Gradable: automatic
187) What are the crucial steps companies perform to achieve their goals and objectives and
implement their strategies?
A) ROI
B) CSF
C) KPI
D) None of the above
Answer: B
Explanation: Critical success factors are the crucial steps companies perform to achieve their
goals and objectives and implement their strategies.
Difficulty: 1 Easy
Topic: Metrics Measuring Business Success
Bloom's: Analyze
Learning Outcome: 02-02 Define critical success factors (CSFs) and key performance
indicators (KPIs), and explain how managers use them to measure the success of MIS projects.
Accessibility: Keyboard Navigation
Gradable: automatic
483
Copyright 2019 © McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior
written consent of McGraw-Hill Education.
188) What are the quantifiable metrics a company uses to evaluate progress toward critical
success factors?
A) ROI
B) CSF
C) KPI
D) None of the above
Answer: C
Explanation: Key performance indicators are the quantifiable metrics a company uses to
evaluate progress toward critical success factors.
Difficulty: 1 Easy
Topic: Metrics Measuring Business Success
Bloom's: Analyze
Learning Outcome: 02-02 Define critical success factors (CSFs) and key performance
indicators (KPIs), and explain how managers use them to measure the success of MIS projects.
Accessibility: Keyboard Navigation
Gradable: automatic
189) What is a time-series chart?
A) A type of graph in which a circle is divided into sectors that each represent a proportion of the
whole.
B) A chart or graph that presents grouped data with rectangular bars with lengths proportional to
the values that they represent.
C) A chart is a graphical representation showing change of a variable over time.
D) A small embedded line graph that illustrates a single trend.
Answer: C
Explanation: A time-series chart is a graphical representation showing change of a variable
over time.
Difficulty: 1 Easy
Topic: Support Enhancing Decision Making with MIS
Bloom's: Remember
Learning Outcome: 02-03 Classify the different operational support systems, managerial
support systems, and strategic support systems, and explain how managers can use these systems
to make decisions and gain competitive advantages.
Accessibility: Keyboard Navigation
Gradable: automatic
484
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written consent of McGraw-Hill Education.
190) What is an infographic?
A) A representation of information in a graphic format designed to make the data easily
understandable at a glance.
B) A chart or graph that presents grouped data with rectangular bars with lengths proportional to
the values that they represent.
C) A chart is a graphical representation showing change of a variable over time.
D) A small embedded line graph that illustrates a single trend.
Answer: A
Explanation: An infographic (information graphic) is a representation of information in a
graphic format designed to make the data easily understandable at a glance.
Difficulty: 1 Easy
Topic: Support Enhancing Decision Making with MIS
Bloom's: Remember
Learning Outcome: 02-03 Classify the different operational support systems, managerial
support systems, and strategic support systems, and explain how managers can use these systems
to make decisions and gain competitive advantages.
Accessibility: Keyboard Navigation
Gradable: automatic
191) Which of the following represent the top-down (executives to analysts) organizational
levels of information technology systems?
A) TPS, DSS, EIS
B) DSS, TPS, EIS
C) EIS, DSS, TPS
D) None of the above, it varies from organization to organization
Answer: C
Explanation: Executive information systems, decision support systems, and transaction
processing systems are the top-down organizational levels of information technology systems.
Difficulty: 1 Easy
Topic: Support Enhancing Decision Making with MIS
Bloom's: Remember
Learning Outcome: 02-03 Classify the different operational support systems, managerial
support systems, and strategic support systems, and explain how managers can use these systems
to make decisions and gain competitive advantages.
Accessibility: Keyboard Navigation
Gradable: automatic
485
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written consent of McGraw-Hill Education.
192) Which of the following is an incorrect enterprise view of information technology?
A) Processes are analytical for executives and transactional for analysts
B) Granularity is coarse for executives and fine for analysts
C) Processing is OLTP for executives and OLAP for analysts
D) None of the above
Answer: C
Explanation: Processing is OLAP for executives and OLTP for analysts.
Difficulty: 1 Easy
Topic: Support Enhancing Decision Making with MIS
Bloom's: Remember
Learning Outcome: 02-03 Classify the different operational support systems, managerial
support systems, and strategic support systems, and explain how managers can use these systems
to make decisions and gain competitive advantages.
Accessibility: Keyboard Navigation
Gradable: automatic
193) What can a model accomplish?
A) Calculate risks
B) Understand uncertainty
C) Manipulate time
D) All of the above
Answer: D
Explanation: A model can do all of the above.
Difficulty: 1 Easy
Topic: Support Enhancing Decision Making with MIS
Bloom's: Remember
Learning Outcome: 02-03 Classify the different operational support systems, managerial
support systems, and strategic support systems, and explain how managers can use these systems
to make decisions and gain competitive advantages.
Accessibility: Keyboard Navigation
Gradable: automatic
486
Copyright 2019 © McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior
written consent of McGraw-Hill Education.
194) What is consolidation?
A) Involves the aggregation of information and features simple roll-ups to complex groupings of
interrelated information
B) The ability to look at information from different perspectives
C) Enables users to get details, and details of details, of information
D) Finds the inputs necessary to achieve a goal such as a desired level of output
Answer: A
Explanation: This is the definition of consolidation.
Difficulty: 1 Easy
Topic: Support Enhancing Decision Making with MIS
Bloom's: Remember
Learning Outcome: 02-03 Classify the different operational support systems, managerial
support systems, and strategic support systems, and explain how managers can use these systems
to make decisions and gain competitive advantages.
Accessibility: Keyboard Navigation
Gradable: automatic
195) What is pivot?
A) Involves the aggregation of information and features simple roll-ups to complex groupings of
interrelated information
B) Rotates data to display alternative presentations of the data
C) Enables users to get details, and details of details, of information
D) Finds the inputs necessary to achieve a goal such as a desired level of output
Answer: B
Explanation: This is the definition of pivot.
Difficulty: 1 Easy
Topic: Support Enhancing Decision Making with MIS
Bloom's: Remember
Learning Outcome: 02-03 Classify the different operational support systems, managerial
support systems, and strategic support systems, and explain how managers can use these systems
to make decisions and gain competitive advantages.
Accessibility: Keyboard Navigation
Gradable: automatic
487
Copyright 2019 © McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior
written consent of McGraw-Hill Education.
196) What is drill-down capability?
A) Involves the aggregation of information and features simple roll-ups to complex groupings of
interrelated information
B) The ability to look at information from different perspectives
C) Enables users to get details, and details of details, of information
D) Finds the inputs necessary to achieve a goal such as a desired level of output
Answer: C
Explanation: This is the definition of drill-down.
Difficulty: 1 Easy
Topic: Support Enhancing Decision Making with MIS
Bloom's: Remember
Learning Outcome: 02-03 Classify the different operational support systems, managerial
support systems, and strategic support systems, and explain how managers can use these systems
to make decisions and gain competitive advantages.
Accessibility: Keyboard Navigation
Gradable: automatic
197) What is slice-and-dice capability?
A) Involves the aggregation of information and features simple roll-ups to complex groupings of
interrelated information
B) The ability to look at information from different perspectives
C) Enables users to get details, and details of details, of information
D) Finds the inputs necessary to achieve a goal such as a desired level of output
Answer: B
Explanation: This is the definition of slice-and-dice.
Difficulty: 1 Easy
Topic: Support Enhancing Decision Making with MIS
Bloom's: Remember
Learning Outcome: 02-03 Classify the different operational support systems, managerial
support systems, and strategic support systems, and explain how managers can use these systems
to make decisions and gain competitive advantages.
Accessibility: Keyboard Navigation
Gradable: automatic
488
Copyright 2019 © McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior
written consent of McGraw-Hill Education.
198) What compiles information from multiple sources and tailors it to meet user needs?
A) Drill-down
B) Sensitivity analysis
C) What-if analysis
D) Digital dashboard
Answer: D
Explanation: This is the definition of digital dashboards.
Difficulty: 1 Easy
Topic: Support Enhancing Decision Making with MIS
Bloom's: Remember
Learning Outcome: 02-03 Classify the different operational support systems, managerial
support systems, and strategic support systems, and explain how managers can use these systems
to make decisions and gain competitive advantages.
Accessibility: Keyboard Navigation
Gradable: automatic
199) What rotates data to display alternative presentations of the data?
A) Drill-down
B) Sensitivity analysis
C) What-if analysis
D) Pivot
Answer: D
Explanation: This is the definition of pivot.
Difficulty: 1 Easy
Topic: Support Enhancing Decision Making with MIS
Bloom's: Remember
Learning Outcome: 02-03 Classify the different operational support systems, managerial
support systems, and strategic support systems, and explain how managers can use these systems
to make decisions and gain competitive advantages.
Accessibility: Keyboard Navigation
Gradable: automatic
489
Copyright 2019 © McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior
written consent of McGraw-Hill Education.
200) What captures transaction and event information using technology to (1) process the
information according to defined business rules, (2) store the information, and (3) update
existing information to reflect the new information?
A) OLTP
B) OLAP
C) TPS
D) DSS
Answer: A
Explanation: OLTP captures transaction and event information using technology to (1) process
the information according to defined business rules, (2) store the information, and (3) update
existing information to reflect the new information.
Difficulty: 1 Easy
Topic: Support Enhancing Decision Making with MIS
Bloom's: Remember
Learning Outcome: 02-03 Classify the different operational support systems, managerial
support systems, and strategic support systems, and explain how managers can use these systems
to make decisions and gain competitive advantages.
Accessibility: Keyboard Navigation
Gradable: automatic
201) What is the basic business system that serves the operational level and assists in making
structured decisions?
A) OLTP
B) OLAP
C) TPS
D) DSS
Answer: C
Explanation: A TPS is the basic business system that serves the operational level and assists in
making structured decisions.
Difficulty: 1 Easy
Topic: Support Enhancing Decision Making with MIS
Bloom's: Remember
Learning Outcome: 02-03 Classify the different operational support systems, managerial
support systems, and strategic support systems, and explain how managers can use these systems
to make decisions and gain competitive advantages.
Accessibility: Keyboard Navigation
Gradable: automatic
490
Copyright 2019 © McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior
written consent of McGraw-Hill Education.
202) What encompasses all organizational information and its primary purpose is to support the
performance of managerial analysis or semistructured decisions.
A) OLTP
B) OLAP
C) Analytical information
D) Transactional information
Answer: C
Explanation: Analytical information encompasses all organizational information and its
primary purpose is to support the performance of managerial analysis or semistructured
decisions.
Difficulty: 1 Easy
Topic: Support Enhancing Decision Making with MIS
Bloom's: Remember
Learning Outcome: 02-03 Classify the different operational support systems, managerial
support systems, and strategic support systems, and explain how managers can use these systems
to make decisions and gain competitive advantages.
Accessibility: Keyboard Navigation
Gradable: automatic
203) What encompasses all the information contained within a single business process or unit of
work and its primary purpose is to support the performance of daily operational or structured
decisions.
A) OLTP
B) OLAP
C) Analytical information
D) Transactional information
Answer: D
Explanation: Transactional information encompasses all the information contained within a
single business process or unit of work and its primary purpose is to support the performance of
daily operational or structured decisions.
Difficulty: 1 Easy
Topic: Support Enhancing Decision Making with MIS
Bloom's: Remember
Learning Outcome: 02-03 Classify the different operational support systems, managerial
support systems, and strategic support systems, and explain how managers can use these systems
to make decisions and gain competitive advantages.
Accessibility: Keyboard Navigation
Gradable: automatic
491
Copyright 2019 © McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior
written consent of McGraw-Hill Education.
204) What is the manipulation of information to create business intelligence in support of
strategic decision making?
A) OLTP
B) OLAP
C) TPS
D) DSS
Answer: B
Explanation: OLAP is the manipulation of information to create business intelligence in support
of strategic decision making.
Difficulty: 1 Easy
Topic: Support Enhancing Decision Making with MIS
Bloom's: Remember
Learning Outcome: 02-03 Classify the different operational support systems, managerial
support systems, and strategic support systems, and explain how managers can use these systems
to make decisions and gain competitive advantages.
Accessibility: Keyboard Navigation
Gradable: automatic
205) What models information and provides assistance in evaluating and choosing among
different courses of action?
A) OLTP
B) OLAP
C) TPS
D) DSS
Answer: D
Explanation: A DSS models information and provides assistance in evaluating and choosing
among different courses of action.
Difficulty: 1 Easy
Topic: Support Enhancing Decision Making with MIS
Bloom's: Remember
Learning Outcome: 02-03 Classify the different operational support systems, managerial
support systems, and strategic support systems, and explain how managers can use these systems
to make decisions and gain competitive advantages.
Accessibility: Keyboard Navigation
Gradable: automatic
492
Copyright 2019 © McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior
written consent of McGraw-Hill Education.
206) What refers to the level of detail in the model or the decision-making process?
A) Granularity
B) Visualization
C) Digital Dashboard
D) All of the above
Answer: A
Explanation: Granularity refers to the level of detail in the model or the decision-making
process.
Difficulty: 1 Easy
Topic: Support Enhancing Decision Making with MIS
Bloom's: Remember
Learning Outcome: 02-03 Classify the different operational support systems, managerial
support systems, and strategic support systems, and explain how managers can use these systems
to make decisions and gain competitive advantages.
Accessibility: Keyboard Navigation
Gradable: automatic
207) What produces graphical displays of patterns and complex relationships in large amounts of
data?
A) Granularity
B) Visualization
C) Digital Dashboard
D) All of the above
Answer: B
Explanation: Visualization produces graphical displays of patterns and complex relationships in
large amounts of data.
Difficulty: 1 Easy
Topic: Support Enhancing Decision Making with MIS
Bloom's: Remember
Learning Outcome: 02-03 Classify the different operational support systems, managerial
support systems, and strategic support systems, and explain how managers can use these systems
to make decisions and gain competitive advantages.
Accessibility: Keyboard Navigation
Gradable: automatic
493
Copyright 2019 © McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior
written consent of McGraw-Hill Education.
208) What tracks KPIs and CSFs by compiling information from multiple sources and tailoring it
to meet user needs?
A) Granularity
B) Visualization
C) Digital Dashboard
D) All of the above
Answer: C
Explanation: Digital Dashboards track KPIs and CSFs by compiling information from multiple
sources and tailoring it to meet user needs.
Difficulty: 1 Easy
Topic: Support Enhancing Decision Making with MIS
Bloom's: Remember
Learning Outcome: 02-03 Classify the different operational support systems, managerial
support systems, and strategic support systems, and explain how managers can use these systems
to make decisions and gain competitive advantages.
Accessibility: Keyboard Navigation
Gradable: automatic
209) What is a representation of information in a graphic format designed to make the data easily
understandable at a glance?
A) Infographic.
B) Pie chart.
C) Bar chart.
D) Histogram.
Answer: A
Explanation: An infographic (information graphic) is a representation of information in a
graphic format designed to make the data easily understandable at a glance.
Difficulty: 1 Easy
Topic: Support Enhancing Decision Making with MIS
Bloom's: Remember
Learning Outcome: 02-03 Classify the different operational support systems, managerial
support systems, and strategic support systems, and explain how managers can use these systems
to make decisions and gain competitive advantages.
Accessibility: Keyboard Navigation
Gradable: automatic
494
Copyright 2019 © McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior
written consent of McGraw-Hill Education.
210) What is a type of graph in which a circle is divided into sectors that each represent a
proportion of the whole?
A) Infographic.
B) Pie chart.
C) Bar chart.
D) Histogram.
Answer: B
Explanation: A pie chart a type of graph in which a circle is divided into sectors that each
represent a proportion of the whole.
Difficulty: 1 Easy
Topic: Support Enhancing Decision Making with MIS
Bloom's: Remember
Learning Outcome: 02-03 Classify the different operational support systems, managerial
support systems, and strategic support systems, and explain how managers can use these systems
to make decisions and gain competitive advantages.
Accessibility: Keyboard Navigation
Gradable: automatic
211) What is a chart or graph that presents grouped data with rectangular bars with lengths
proportional to the values that they represent?
A) Infographic.
B) Pie chart.
C) Bar chart.
D) Histogram.
Answer: C
Explanation: A bar chart is a chart or graph that presents grouped data with rectangular bars
with lengths proportional to the values that they represent.
Difficulty: 1 Easy
Topic: Support Enhancing Decision Making with MIS
Bloom's: Remember
Learning Outcome: 02-03 Classify the different operational support systems, managerial
support systems, and strategic support systems, and explain how managers can use these systems
to make decisions and gain competitive advantages.
Accessibility: Keyboard Navigation
Gradable: automatic
495
Copyright 2019 © McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior
written consent of McGraw-Hill Education.
212) What is a graphical display of data using bars of different heights that groups numbers into
ranges?
A) Infographic.
B) Pie chart.
C) Bar chart.
D) Histogram.
Answer: D
Explanation: A histogram is a graphical display of data using bars of different heights. It is
similar to a bar chart, but a histogram groups numbers into ranges.
Difficulty: 1 Easy
Topic: Support Enhancing Decision Making with MIS
Bloom's: Remember
Learning Outcome: 02-03 Classify the different operational support systems, managerial
support systems, and strategic support systems, and explain how managers can use these systems
to make decisions and gain competitive advantages.
Accessibility: Keyboard Navigation
Gradable: automatic
213) What is a small embedded line graph that illustrates a single trend?
A) Bar chart.
B) Histogram.
C) Time-series
D) Sparkline
Answer: D
Explanation: A sparkline is a small embedded line graph that illustrates a single trend.
Difficulty: 1 Easy
Topic: Support Enhancing Decision Making with MIS
Bloom's: Remember
Learning Outcome: 02-03 Classify the different operational support systems, managerial
support systems, and strategic support systems, and explain how managers can use these systems
to make decisions and gain competitive advantages.
Accessibility: Keyboard Navigation
Gradable: automatic
496
Copyright 2019 © McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior
written consent of McGraw-Hill Education.
214) What is a graphical representation showing change of a variable over time?
A) Bar chart.
B) Histogram.
C) Time-series
D) Sparkline
Answer: C
Explanation: A time-series chart is a chart is a graphical representation showing change of a
variable over time.
Difficulty: 1 Easy
Topic: Support Enhancing Decision Making with MIS
Bloom's: Remember
Learning Outcome: 02-03 Classify the different operational support systems, managerial
support systems, and strategic support systems, and explain how managers can use these systems
to make decisions and gain competitive advantages.
Accessibility: Keyboard Navigation
Gradable: automatic
215) What is a pie chart?
A) A type of graph in which a circle is divided into sectors that each represent a proportion of the
whole.
B) A chart or graph that presents grouped data with rectangular bars with lengths proportional to
the values that they represent.
C) A graphical display of data using bars of different heights. It is similar to a bar chart, but a
histogram groups numbers into ranges.
D) A small embedded line graph that illustrates a single trend.
Answer: A
Explanation: A pie chart a type of graph in which a circle is divided into sectors that each
represent a proportion of the whole.
Difficulty: 1 Easy
Topic: Support Enhancing Decision Making with MIS
Bloom's: Remember
Learning Outcome: 02-03 Classify the different operational support systems, managerial
support systems, and strategic support systems, and explain how managers can use these systems
to make decisions and gain competitive advantages.
Accessibility: Keyboard Navigation
Gradable: automatic
497
Copyright 2019 © McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior
written consent of McGraw-Hill Education.
216) What is a bar chart?
A) A type of graph in which a circle is divided into sectors that each represent a proportion of the
whole.
B) A chart or graph that presents grouped data with rectangular bars with lengths proportional to
the values that they represent.
C) A graphical display of data using bars of different heights. It is similar to a bar chart, but a
histogram groups numbers into ranges.
D) A small embedded line graph that illustrates a single trend.
Answer: B
Explanation: A bar chart presents grouped data with rectangular bars with lengths proportional
to the values that they represent.
Difficulty: 1 Easy
Topic: Support Enhancing Decision Making with MIS
Bloom's: Remember
Learning Outcome: 02-03 Classify the different operational support systems, managerial
support systems, and strategic support systems, and explain how managers can use these systems
to make decisions and gain competitive advantages.
Accessibility: Keyboard Navigation
Gradable: automatic
217) What is a histogram?
A) A type of graph in which a circle is divided into sectors that each represent a proportion of the
whole.
B) A chart or graph that presents grouped data with rectangular bars with lengths proportional to
the values that they represent.
C) A graphical display of data using bars of different heights that groups numbers into ranges.
D) A small embedded line graph that illustrates a single trend.
Answer: C
Explanation: A histogram is a graphical display of data using bars of different heights. It is
similar to a bar chart, but a histogram groups numbers into ranges.
Difficulty: 1 Easy
Topic: Support Enhancing Decision Making with MIS
Bloom's: Remember
Learning Outcome: 02-03 Classify the different operational support systems, managerial
support systems, and strategic support systems, and explain how managers can use these systems
to make decisions and gain competitive advantages.
Accessibility: Keyboard Navigation
Gradable: automatic
498
Copyright 2019 © McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior
written consent of McGraw-Hill Education.
218) What is a sparkline?
A) A type of graph in which a circle is divided into sectors that each represent a proportion of the
whole.
B) A chart or graph that presents grouped data with rectangular bars with lengths proportional to
the values that they represent.
C) A graphical display of data using bars of different heights. It is similar to a bar chart, but a
histogram groups numbers into ranges.
D) A small embedded line graph that illustrates a single trend.
Answer: D
Explanation: A sparkline is a small embedded line graph that illustrates a single trend.
Difficulty: 1 Easy
Topic: Support Enhancing Decision Making with MIS
Bloom's: Remember
Learning Outcome: 02-03 Classify the different operational support systems, managerial
support systems, and strategic support systems, and explain how managers can use these systems
to make decisions and gain competitive advantages.
Accessibility: Keyboard Navigation
Gradable: automatic
219) Which of the below is considered an input in the systems thinking example of a TPS?
A) CRUD
B) Calculate
C) Report
D) Source Document
Answer: D
Explanation: A source document is the input in the systems thinking examples of a TPS.
Difficulty: 2 Medium
Topic: Support Enhancing Decision Making with MIS
Bloom's: Remember
Learning Outcome: 02-03 Classify the different operational support systems, managerial
support systems, and strategic support systems, and explain how managers can use these systems
to make decisions and gain competitive advantages.
Accessibility: Keyboard Navigation
Gradable: automatic
499
Copyright 2019 © McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior
written consent of McGraw-Hill Education.
220) Which of the below is considered part of the process in the systems thinking example of a
TPS?
A) Source Document
B) Calculate
C) Report
D) All of the above
Answer: B
Explanation: Calculate is the process in the systems thinking examples of a TPS.
Difficulty: 2 Medium
Topic: Support Enhancing Decision Making with MIS
Bloom's: Remember
Learning Outcome: 02-03 Classify the different operational support systems, managerial
support systems, and strategic support systems, and explain how managers can use these systems
to make decisions and gain competitive advantages.
Accessibility: Keyboard Navigation
Gradable: automatic
221) Which of the below is considered the output in the systems thinking example of a TPS?
A) CRUD
B) Calculate
C) Report
D) Source Document
Answer: C
Explanation: A report is the output in the systems thinking examples of a TPS.
Difficulty: 2 Medium
Topic: Support Enhancing Decision Making with MIS
Bloom's: Remember
Learning Outcome: 02-03 Classify the different operational support systems, managerial
support systems, and strategic support systems, and explain how managers can use these systems
to make decisions and gain competitive advantages.
Accessibility: Keyboard Navigation
Gradable: automatic
500
Copyright 2019 © McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior
written consent of McGraw-Hill Education.
222) Which of the below is considered the input in the systems thinking example of a DSS?
A) TPS
B) What-If
C) Optimization
D) Forecasts
Answer: A
Explanation: A TPS is the input in the systems thinking example of a DSS.
Difficulty: 2 Medium
Topic: Support Enhancing Decision Making with MIS
Bloom's: Remember
Learning Outcome: 02-03 Classify the different operational support systems, managerial
support systems, and strategic support systems, and explain how managers can use these systems
to make decisions and gain competitive advantages.
Accessibility: Keyboard Navigation
Gradable: automatic
223) Which of the below is considered the process in the systems thinking example of a DSS?
A) TPS
B) Optimization
C) Forecasts
D) Simulation
Answer: B
Explanation: Optimization is the process in the systems thinking examples of a DSS.
Difficulty: 2 Medium
Topic: Support Enhancing Decision Making with MIS
Bloom's: Remember
Learning Outcome: 02-03 Classify the different operational support systems, managerial
support systems, and strategic support systems, and explain how managers can use these systems
to make decisions and gain competitive advantages.
Accessibility: Keyboard Navigation
Gradable: automatic
501
Copyright 2019 © McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior
written consent of McGraw-Hill Education.
224) Which of the below is considered the output in the systems thinking example of a DSS?
A) TPS
B) Optimization
C) Goal Seeking
D) Forecasts
Answer: D
Explanation: A forecast is the output in the systems thinking examples of a DSS.
Difficulty: 2 Medium
Topic: Support Enhancing Decision Making with MIS
Bloom's: Remember
Learning Outcome: 02-03 Classify the different operational support systems, managerial
support systems, and strategic support systems, and explain how managers can use these systems
to make decisions and gain competitive advantages.
Accessibility: Keyboard Navigation
Gradable: automatic
225) Which of the below is correct in terms of granularity?
A) Refers to the level of detail in the model
B) The greater the granularity the deeper the level of detail of the data
C) The greater the granularity the deeper the level of fineness of the data
D) All of the above
Answer: D
Explanation: All of the above are correct in terms of granularity.
Difficulty: 2 Medium
Topic: Support Enhancing Decision Making with MIS
Bloom's: Remember
Learning Outcome: 02-03 Classify the different operational support systems, managerial
support systems, and strategic support systems, and explain how managers can use these systems
to make decisions and gain competitive advantages.
Accessibility: Keyboard Navigation
Gradable: automatic
502
Copyright 2019 © McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior
written consent of McGraw-Hill Education.
226) Which of the following is a potential feature of a digital dashboard?
A) A hot list of KPIs refreshed every 15 minutes
B) A running line graph of planned versus actual production for the past 24 hours
C) A graph of stock market prices
D) All of the above
Answer: D
Explanation: All of the above are potential features of a digital dashboard.
Difficulty: 2 Medium
Topic: Support Enhancing Decision Making with MIS
Bloom's: Remember
Learning Outcome: 02-03 Classify the different operational support systems, managerial
support systems, and strategic support systems, and explain how managers can use these systems
to make decisions and gain competitive advantages.
Accessibility: Keyboard Navigation
Gradable: automatic
227) What is a simplified representation or abstraction of reality?
A) Model
B) Metric
C) Redundancy
D) Sensitivity Analysis
Answer: A
Explanation: A simplified representation or abstraction of reality is a model.
Difficulty: 1 Easy
Topic: Support Enhancing Decision Making with MIS
Bloom's: Remember
Learning Outcome: 02-03 Classify the different operational support systems, managerial
support systems, and strategic support systems, and explain how managers can use these systems
to make decisions and gain competitive advantages.
Accessibility: Keyboard Navigation
Gradable: automatic
503
Copyright 2019 © McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior
written consent of McGraw-Hill Education.
228) What can a manager use a model to do?
A) Calculate risk
B) Change variables
C) Understand uncertainty
D) All of the above
Answer: D
Explanation: Models help managers calculate risks, understand uncertainty, change variables,
and manipulate time to make decisions.
Difficulty: 1 Easy
Topic: Support Enhancing Decision Making with MIS
Bloom's: Remember
Learning Outcome: 02-03 Classify the different operational support systems, managerial
support systems, and strategic support systems, and explain how managers can use these systems
to make decisions and gain competitive advantages.
Accessibility: Keyboard Navigation
Gradable: automatic
229) What would managers use to make structured decisions at the operational level?
A) Transactional information
B) Analytical information
C) EIS system
D) Intelligent system
Answer: A
Explanation: Transactional information is the basic business system that serves the operational
level (analysts) and assists in making structured decisions.
Difficulty: 1 Easy
Topic: Support Enhancing Decision Making with MIS
Bloom's: Remember
Learning Outcome: 02-03 Classify the different operational support systems, managerial
support systems, and strategic support systems, and explain how managers can use these systems
to make decisions and gain competitive advantages.
Accessibility: Keyboard Navigation
Gradable: automatic
504
Copyright 2019 © McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior
written consent of McGraw-Hill Education.
230) Which of the below would create transactional information?
A) Projecting future sales growth
B) Making an airline reservation
C) A semistructured decision to hire more employees
D) Generating payroll reports
Answer: B
Explanation: Transactional information is created, for example, when customers are purchasing
stocks, making an airline reservation, or withdrawing cash from an ATM.
Difficulty: 2 Medium
Topic: Support Enhancing Decision Making with MIS
Bloom's: Understand
Learning Outcome: 02-03 Classify the different operational support systems, managerial
support systems, and strategic support systems, and explain how managers can use these systems
to make decisions and gain competitive advantages.
Accessibility: Keyboard Navigation
Gradable: automatic
231) What are the three primary types of management information systems available to support
decision making across the company levels?
A) Transaction Processing Systems, Decision Support Systems, Executive Information Systems
B) Analytical Information, Decision Support Systems, Executive Information Systems
C) Transaction Processing Systems, Drill-Down Systems, Expert Systems
D) What-If Analysis, Sensitivity Analysis, Goal-Seeking Analysis
Answer: A
Explanation: The three primary types of management information systems available to support
decision making across the company levels are 1) transaction processing systems, 2) decision
support systems, and 3) executive information systems.
Difficulty: 1 Easy
Topic: Support Enhancing Decision Making with MIS
Bloom's: Remember
Learning Outcome: 02-03 Classify the different operational support systems, managerial
support systems, and strategic support systems, and explain how managers can use these systems
to make decisions and gain competitive advantages.
Accessibility: Keyboard Navigation
Gradable: automatic
505
Copyright 2019 © McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior
written consent of McGraw-Hill Education.
232) A transaction processing system (TPS) is the basic business system that assists operational
level analysts when making structured decisions. Which of the below is not an example of a
TPS?
A) Target's internal company payroll system
B) Comfort Dental's patient diagnosis system
C) First Bank's overall accounting system
D) Stewart Sport's order entry system
Answer: B
Explanation: A transaction processing system (TPS) is the basic business system that assist
operational level analysts make structured decisions. The most common examples of a TPS
include 1) a company payroll system, 2) an operational accounting system, and 3) an order entry
system. Example B is an example of a DSS or decision support system.
Difficulty: 3 Hard
Topic: Support Enhancing Decision Making with MIS
Bloom's: Analyze
Learning Outcome: 02-03 Classify the different operational support systems, managerial
support systems, and strategic support systems, and explain how managers can use these systems
to make decisions and gain competitive advantages.
Accessibility: Keyboard Navigation
Gradable: automatic
233) What is the flow that a systems thinking approach using a TPS would follow?
A) Streamlining (Input) - CRUD, Calculate (Process) - Reports (Output)
B) Source Documents (Input) - Optimization Analysis (Process) - (Feedback) - (Output)
C) Source Documents (Input) - CRUD, Calculate (Process) - Reports (Output) - (Feedback)
D) Selling Documents (Input) - Cycle Time (Process) - Reports (Output) - (Feedback)
Answer: C
Explanation: A transaction processing system or TPS is the basic business system that assist
operational level analysts make structured decisions. A systems thinking approach using a TPS
would follow this flow: 1) source documents (Input), 2) CRUD, calculate, summarize (Process),
3) reports (Output), and 4) feedback.
Difficulty: 2 Medium
Topic: Support Enhancing Decision Making with MIS
Bloom's: Understand
Learning Outcome: 02-03 Classify the different operational support systems, managerial
support systems, and strategic support systems, and explain how managers can use these systems
to make decisions and gain competitive advantages.
Accessibility: Keyboard Navigation
Gradable: automatic
506
Copyright 2019 © McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior
written consent of McGraw-Hill Education.
234) Online transaction processing (OLTP) is the capturing of transaction and event information
using technology to ________.
A) Update existing information to reflect the new information
B) Store the information
C) Process the information according to defined business rules
D) All of the above
Answer: D
Explanation: Online transaction processing (OLTP) is the capture of transaction and event
information using technology to 1) update existing information to reflect the new information, 2)
store the information, and 3) process the information according to defined business rules.
Difficulty: 2 Medium
Topic: Support Enhancing Decision Making with MIS
Bloom's: Understand
Learning Outcome: 02-03 Classify the different operational support systems, managerial
support systems, and strategic support systems, and explain how managers can use these systems
to make decisions and gain competitive advantages.
Accessibility: Keyboard Navigation
Gradable: automatic
235) Which of the below does not represent an example of analytical information?
A) Trends and product statistics
B) Unstructured long-term decisions
C) Five year sales report
D) Future growth projections
Answer: B
Explanation: Examples of analytical information are trends, sales, product statistics, and future
growth projections. Managers use analytical information when making important semistructured
decisions.
Difficulty: 2 Medium
Topic: Support Enhancing Decision Making with MIS
Bloom's: Understand
Learning Outcome: 02-03 Classify the different operational support systems, managerial
support systems, and strategic support systems, and explain how managers can use these systems
to make decisions and gain competitive advantages.
Accessibility: Keyboard Navigation
Gradable: automatic
507
Copyright 2019 © McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior
written consent of McGraw-Hill Education.
236) Decision support systems or DSS's model information using OLAP, which provides
assistance in evaluating and choosing among different courses of action. Which of the below
does not represent an example of a DSS in business?
A) An insurance company using a system to gauge risk of providing insurance to drivers who
have imperfect driving records.
B) A medical doctor may enter symptoms into a system to aid them in diagnosing and treating
patients
C) A manufacturing digital dashboard showing visualizations of inventory and production
D) A dentist entering symptoms into a system to help diagnose and treat patients
Answer: C
Explanation: Decision support systems or DSS's model information using OLAP, which
provides assistance in evaluating and choosing among different courses of action. Examples
include an Insurance company using DSSs to gauge risk of providing insurance to drivers who
have imperfect driving records, and a medical doctor may enter symptoms into a system to aid
them in diagnosing and treating patients and a medical doctor may enter symptoms into a DSS to
aid them in diagnosing and treating patients.
Difficulty: 3 Hard
Topic: Support Enhancing Decision Making with MIS
Bloom's: Analyze
Learning Outcome: 02-03 Classify the different operational support systems, managerial
support systems, and strategic support systems, and explain how managers can use these systems
to make decisions and gain competitive advantages.
Accessibility: Keyboard Navigation
Gradable: automatic
237) What is the MIS system that manipulates information to create business intelligence in
support of strategic decision making?
A) Online transaction processing (OLTP)
B) Online analytical processing (OLAP)
C) Digital dashboard
D) Visualization
Answer: B
Explanation: Online analytical processing (OLAP) is the manipulation of information to create
business intelligence in support of strategic decision making.
Difficulty: 1 Easy
Topic: Support Enhancing Decision Making with MIS
Bloom's: Remember
Learning Outcome: 02-03 Classify the different operational support systems, managerial
support systems, and strategic support systems, and explain how managers can use these systems
to make decisions and gain competitive advantages.
Accessibility: Keyboard Navigation
Gradable: automatic
508
Copyright 2019 © McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior
written consent of McGraw-Hill Education.
238) When viewing systems thinking, source documents are the original transaction records.
What would the source documents for a medical doctor's payroll system include?
A) Employee time sheets
B) Employee benefit reports
C) Employee wage rates
D) All of the above
Answer: D
Explanation: When viewing systems thinking, source documents are the original transaction
records. Source documents for a medical doctor's payroll system, for example, would include 1)
employee time sheets, 2) employee benefit reports, and 3) wage rates.
Difficulty: 2 Medium
Topic: Support Enhancing Decision Making with MIS
Bloom's: Understand
Learning Outcome: 02-03 Classify the different operational support systems, managerial
support systems, and strategic support systems, and explain how managers can use these systems
to make decisions and gain competitive advantages.
Accessibility: Keyboard Navigation
Gradable: automatic
239) Which of the below represent the four main DSS analysis techniques outlined in the
chapter?
A) What-If Analysis, Sensitivity Analysis, Goal-Seeking Analysis, Optimization Analysis
B) Workflow Analysis, Sensitivity Analysis, Growth Analysis, Organizational Analysis
C) What-If Analysis, Structured Analysis, Goal-Seeking Analysis, Optimization Analysis
D) What-If Analysis, Sensitivity Analysis, Growth Analysis, Organizational Analysis
Answer: A
Explanation: The four main DSS analysis techniques outlined in the chapter are 1) what-if
analysis, 2) sensitivity analysis, 3) goal-seeking analysis, and 4) optimization analysis
Difficulty: 1 Easy
Topic: Support Enhancing Decision Making with MIS
Bloom's: Remember
Learning Outcome: 02-03 Classify the different operational support systems, managerial
support systems, and strategic support systems, and explain how managers can use these systems
to make decisions and gain competitive advantages.
Accessibility: Keyboard Navigation
Gradable: automatic
509
Copyright 2019 © McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior
written consent of McGraw-Hill Education.
240) Tom Jordan is a manager for a McDonald's restaurant. Many of his key responsibilities
include analyzing data and making key decisions for the success of his store. Tom's store has
been experiencing decreased sales for breakfast services over the past 3 months. Tom is unsure
why breakfast revenues are down while lunch and dinner revenues remain unchanged. Tom
believes that he can drive revenue up by implementing a few different breakfast promotions such
as free coffee or hash browns with the purchase of a meal. Tom performs an extensive analysis
of how continuous changes in breakfast promotions could impact his daily revenue. What type of
DSS analysis is Tom performing?
A) Optimization analysis
B) Sensitivity analysis
C) Transaction analysis
D) Goal-seeking analysis
Answer: B
Explanation: Sensitivity analysis is a special case of what-if analysis, is the study of the impact
on other variables when one variable is changed repeatedly. For example, changing revenue in
small increments to determine its effects on other variables would help a manager understand the
impact of various revenue levels on other decision factors
Difficulty: 3 Hard
Topic: Support Enhancing Decision Making with MIS
Bloom's: Analyze
Learning Outcome: 02-03 Classify the different operational support systems, managerial
support systems, and strategic support systems, and explain how managers can use these systems
to make decisions and gain competitive advantages.
Accessibility: Keyboard Navigation
Gradable: automatic
241) What is the DSS analysis that checks the impact of a change in a variable or assumption on
the model?
A) Optimization analysis
B) Goal-seeking analysis
C) Sensitivity analysis
D) What-if analysis
Answer: D
Explanation: A What-If analysis checks the impact of a change in a variable or assumption on
the model.
Difficulty: 1 Easy
Topic: Support Enhancing Decision Making with MIS
Bloom's: Remember
Learning Outcome: 02-03 Classify the different operational support systems, managerial
support systems, and strategic support systems, and explain how managers can use these systems
to make decisions and gain competitive advantages.
Accessibility: Keyboard Navigation
Gradable: automatic
510
Copyright 2019 © McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior
written consent of McGraw-Hill Education.
242) Online transaction processing (OLTP) and online analytical processing (OLAP) are similar
MIS strategies used to help with business decision making. What is the primary difference
between OLTP and OLAP?
A) OLTP is used at the operational level; OLAP is used at the managerial level
B) OLTP is used to capture transactional and event data; OLAP is used to manipulate
information
C) OLTP is used to support structured decisions; OLAP is used to support semistructured
decisions
D) All of the above
Answer: D
Explanation: Online transaction processing (OLTP) is the capturing of transaction and event
information using technology to (1) process the information according to defined business rules,
(2) store the information, and (3) update existing information to reflect the new information. It is
used at the operational level and to support structured decisions. Online analytical processing
(OLAP) is the manipulation of information to create business intelligence in support of strategic
decision making. It is used at the managerial level and to support semistructured decisions.
Difficulty: 2 Medium
Topic: Support Enhancing Decision Making with MIS
Bloom's: Understand
Learning Outcome: 02-03 Classify the different operational support systems, managerial
support systems, and strategic support systems, and explain how managers can use these systems
to make decisions and gain competitive advantages.
Accessibility: Keyboard Navigation
Gradable: automatic
243) An optimization analysis finds the optimum value for a target variable by repeatedly
changing other variables, subject to specified constraints. What can a manager determine by
changing revenue and cost variables in an optimization analysis?
A) Calculate the highest potential profits
B) Calculate employee benefit payments
C) Use this as an extension for a digital dashboard
D) Create production schedules
Answer: A
Explanation: An optimization analysis finds the optimum value for a target variable by
repeatedly changing other variables, subject to specified constraints. By changing revenue and
cost variables in an optimization analysis, managers can calculate the highest potential profits.
Difficulty: 2 Medium
Topic: Support Enhancing Decision Making with MIS
Bloom's: Understand
Learning Outcome: 02-03 Classify the different operational support systems, managerial
support systems, and strategic support systems, and explain how managers can use these systems
to make decisions and gain competitive advantages.
Accessibility: Keyboard Navigation
Gradable: automatic
511
Copyright 2019 © McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior
written consent of McGraw-Hill Education.
244) What is the analysis that works in reverse to what-if and sensitivity analysis by finding the
inputs necessary to achieve a goal such as a desired level of output?
A) Solutions based analysis
B) Optimization system
C) Goal-seeking analysis
D) Revenue analysis
Answer: C
Explanation: A goal-seeking analysis works in reverse to what-if and sensitivity analysis, and
finds the inputs necessary to achieve a goal such as a desired level of output.
Difficulty: 1 Easy
Topic: Support Enhancing Decision Making with MIS
Bloom's: Remember
Learning Outcome: 02-03 Classify the different operational support systems, managerial
support systems, and strategic support systems, and explain how managers can use these systems
to make decisions and gain competitive advantages.
Accessibility: Keyboard Navigation
Gradable: automatic
245) Decision making at the executive or strategic level requires business intelligence and
knowledge to support the uncertainty and complexity of the business. What is a specialized DSS
that supports senior-level executives and unstructured decisions requiring judgment, evaluation,
and insight?
A) OLTP
B) Executive Information System (EIS)
C) Transaction Support System (TSS)
D) Decision Support System (DSS)
Answer: B
Explanation: An EIS or an Executive information system is a specialized DSS that supports
senior-level executives and unstructured, long-term, nonroutine decisions requiring judgment,
evaluation, and insight.
Difficulty: 1 Easy
Topic: Support Enhancing Decision Making with MIS
Bloom's: Remember
Learning Outcome: 02-03 Classify the different operational support systems, managerial
support systems, and strategic support systems, and explain how managers can use these systems
to make decisions and gain competitive advantages.
Accessibility: Keyboard Navigation
Gradable: automatic
512
Copyright 2019 © McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior
written consent of McGraw-Hill Education.
246) Executives of a company deal less with details of the operational activities and deal more
with the higher meaningful aggregations of information or "coarser" information. What refers to
the level of detail in the model?
A) Drill-down
B) Visualization
C) Granularity
D) Consolidation
Answer: C
Explanation: Granularity refers to the level of detail in the model or the decision-making
process.
Difficulty: 1 Easy
Topic: Support Enhancing Decision Making with MIS
Bloom's: Remember
Learning Outcome: 02-03 Classify the different operational support systems, managerial
support systems, and strategic support systems, and explain how managers can use these systems
to make decisions and gain competitive advantages.
Accessibility: Keyboard Navigation
Gradable: automatic
247) How does a DSS typically differ from an EIS?
A) EIS requires data from external sources to support unstructured decisions where a DSS
typically uses internal sources to support semistructured decisions
B) DSS typically uses external sources and EIS uses internal sources to support decisions
C) A DSS never uses external sources
D) EIS always uses internal sources to support structured decisions
Answer: A
Explanation: A DSS (decision support system) differs from an EIS (executive information
system) primarily because EIS require data from external sources to support unstructured
decisions where a DSS typically uses internal sources to support semistructured decisions.
Difficulty: 2 Medium
Topic: Support Enhancing Decision Making with MIS
Bloom's: Understand
Learning Outcome: 02-03 Classify the different operational support systems, managerial
support systems, and strategic support systems, and explain how managers can use these systems
to make decisions and gain competitive advantages.
Accessibility: Keyboard Navigation
Gradable: automatic
513
Copyright 2019 © McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior
written consent of McGraw-Hill Education.
248) What is a graphical display of patterns and complex relationships in large amounts of data?
A) Visualization
B) Model
C) Table
D) Digital spreadsheet
Answer: A
Explanation: Visualizations produce graphical displays of patterns and complex relationships in
large amounts of data.
Difficulty: 1 Easy
Topic: Support Enhancing Decision Making with MIS
Bloom's: Remember
Learning Outcome: 02-03 Classify the different operational support systems, managerial
support systems, and strategic support systems, and explain how managers can use these systems
to make decisions and gain competitive advantages.
Accessibility: Keyboard Navigation
Gradable: automatic
249) What is a common tool that is used to support visualizations and tracks KPIs and CSFs by
compiling information from multiple sources?
A) Models
B) Digital dashboards
C) Neural networks
D) Verified graphs
Answer: B
Explanation: Digital dashboards track KPIs and CSFs by compiling information from multiple
sources and tailoring it to meet user needs.
Difficulty: 1 Easy
Topic: Support Enhancing Decision Making with MIS
Bloom's: Remember
Learning Outcome: 02-03 Classify the different operational support systems, managerial
support systems, and strategic support systems, and explain how managers can use these systems
to make decisions and gain competitive advantages.
Accessibility: Keyboard Navigation
Gradable: automatic
514
Copyright 2019 © McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior
written consent of McGraw-Hill Education.
250) Which of the below is offered by a digital dashboard?
A) Consolidation
B) Drill-down
C) Slice-and-Dice
D) All of the above
Answer: D
Explanation: Digital dashboards offer 1) consolidation, 2) drill-down, and 3) slice-and-dice
capabilities.
Difficulty: 1 Easy
Topic: Support Enhancing Decision Making with MIS
Bloom's: Remember
Learning Outcome: 02-03 Classify the different operational support systems, managerial
support systems, and strategic support systems, and explain how managers can use these systems
to make decisions and gain competitive advantages.
Accessibility: Keyboard Navigation
Gradable: automatic
251) Which of the below would not be found in a digital dashboard for a manufacturing team?
A) A graph of stock market prices
B) A running line graph of planned versus actual production for the past 24 hours
C) An excel spreadsheet with cost analysis data
D) A hot list of key performance indicators, refreshed every 15 minutes
Answer: C
Explanation: Examples of potential features included in a dashboard designed for a
manufacturing team include 1) a hot list of key performance indicators, refreshed every 15
minutes, 2) a running line graph of planned versus actual production for the past 24 hours, 3) a
table showing actual versus forecasted product prices and inventories, 4) a list of outstanding
alerts and their resolution status, and 5) a graph of stock market prices.
Difficulty: 2 Medium
Topic: Support Enhancing Decision Making with MIS
Bloom's: Understand
Learning Outcome: 02-03 Classify the different operational support systems, managerial
support systems, and strategic support systems, and explain how managers can use these systems
to make decisions and gain competitive advantages.
Accessibility: Keyboard Navigation
Gradable: automatic
515
Copyright 2019 © McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior
written consent of McGraw-Hill Education.
252) As the product manager for the eatery division at Whole Foods, Jerry is responsible for
analyzing sales data to help him manage his team. Today Jerry is analyzing his data using many
different perspectives to identify different ways to improve his division. Which of the following
common digital dashboard capabilities is Jerry using to analyze his department's success?
A) Slice-and-Dice
B) Pivot
C) Drill-down
D) Consolidation
Answer: A
Explanation: Slice-and-dice is the ability to look at information from different perspectives.
Difficulty: 3 Hard
Topic: Support Enhancing Decision Making with MIS
Bloom's: Analyze
Learning Outcome: 02-03 Classify the different operational support systems, managerial
support systems, and strategic support systems, and explain how managers can use these systems
to make decisions and gain competitive advantages.
Accessibility: Keyboard Navigation
Gradable: automatic
253) As the product manager for the eatery division at Whole Foods, Jerry is responsible for
analyzing sales data to help him manage his team. Today Jerry is analyzing his data using
aggregation techniques allowing him to see simple roll-ups to complex groupings of interrelated
information. Which of the following common digital dashboard capabilities is Jerry using to
analyze his departments success?
A) Slice-and-Dice
B) Pivot
C) Drill-down
D) Consolidation
Answer: D
Explanation: Consolidation is the aggregation of data from simple roll-ups to complex
groupings of interrelated information.
Difficulty: 3 Hard
Topic: Support Enhancing Decision Making with MIS
Bloom's: Analyze
Learning Outcome: 02-03 Classify the different operational support systems, managerial
support systems, and strategic support systems, and explain how managers can use these systems
to make decisions and gain competitive advantages.
Accessibility: Keyboard Navigation
Gradable: automatic
516
Copyright 2019 © McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior
written consent of McGraw-Hill Education.
254) As the product manager for the eatery division at Whole Foods, Jerry is responsible for
analyzing sales data to help him manage his team. Today Jerry is analyzing his data by looking at
details, and details of details of information. Which of the following common digital dashboard
capabilities is Jerry using to analyze his departments success?
A) Slice-and-Dice
B) Pivot
C) Drill-down
D) Consolidation
Answer: C
Explanation: Drill-down enables users to view details, and details of details, of information.
Difficulty: 3 Hard
Topic: Support Enhancing Decision Making with MIS
Bloom's: Analyze
Learning Outcome: 02-03 Classify the different operational support systems, managerial
support systems, and strategic support systems, and explain how managers can use these systems
to make decisions and gain competitive advantages.
Accessibility: Keyboard Navigation
Gradable: automatic
255) Van Lines Inc. is a large corporation operating in all 50 states. Jim Poulos is the regional
manager overseeing the western division, which includes Utah, Colorado, Idaho, Montana,
Wyoming, and Nevada. Jim receives data from his managers in each state which he loads into his
digital dashboard for analysis of his entire western division. What digital dashboard capability is
Jim primarily using?
A) Drill-down
B) Slice-and-dice
C) Intelligent system
D) Consolidation
Answer: D
Explanation: Consolidation is the aggregation of data from simple roll-ups to complex
groupings of interrelated information. For example, data for different sales regions can then be
rolled up to a regional level.
Difficulty: 3 Hard
Topic: Support Enhancing Decision Making with MIS
Bloom's: Analyze
Learning Outcome: 02-03 Classify the different operational support systems, managerial
support systems, and strategic support systems, and explain how managers can use these systems
to make decisions and gain competitive advantages.
Accessibility: Keyboard Navigation
Gradable: automatic
517
Copyright 2019 © McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior
written consent of McGraw-Hill Education.
256) What is a category of AI that attempts to emulate the way the human brain works?
A) Intelligent system
B) Artificial intelligence
C) Expert systems
D) Neural network
Answer: D
Explanation: This is the definition of neural network.
Difficulty: 1 Easy
Topic: The Future Artificial Intelligence
Bloom's: Remember
Learning Outcome: 02-04 Describe artificial intelligence, and identify its five main types.
Accessibility: Keyboard Navigation
Gradable: automatic
257) Which of the following is the most commonly used form of AI in the business arena?
A) Intelligent system
B) Artificial intelligence
C) Expert system
D) Neural network
Answer: C
Explanation: Expert systems are the most common.
Difficulty: 1 Easy
Topic: The Future Artificial Intelligence
Bloom's: Remember
Learning Outcome: 02-04 Describe artificial intelligence, and identify its five main types.
Accessibility: Keyboard Navigation
Gradable: automatic
258) What is a special-purpose knowledge-based information system that accomplishes specific
tasks on behalf of its users?
A) Intelligent system
B) Artificial intelligence
C) Neural network
D) Intelligent agent
Answer: D
Explanation: This is the definition of intelligent agent.
Difficulty: 1 Easy
Topic: The Future Artificial Intelligence
Bloom's: Remember
Learning Outcome: 02-04 Describe artificial intelligence, and identify its five main types.
Accessibility: Keyboard Navigation
Gradable: automatic
518
Copyright 2019 © McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior
written consent of McGraw-Hill Education.
259) What do cargo transport systems, book distribution centers, the video game market, a flu
epidemic, and an ant colony have in common?
A) They are all expert systems and thus share some characteristics
B) They are all genetic algorithm systems and thus share some characteristics
C) They are all neural network systems and thus share some characteristics
D) They are all complex adaptive systems and thus share some characteristics
Answer: D
Explanation: They are all complex adaptive systems and thus share some characteristics.
Difficulty: 1 Easy
Topic: The Future Artificial Intelligence
Bloom's: Remember
Learning Outcome: 02-04 Describe artificial intelligence, and identify its five main types.
Accessibility: Keyboard Navigation
Gradable: automatic
260) Which industry has been relying on neural network technology for over two decades?
A) Food service
B) Hotels
C) Finance
D) Healthcare
Answer: C
Explanation: Finance has been relying on neural network technology for over two decades.
Difficulty: 2 Medium
Topic: The Future Artificial Intelligence
Bloom's: Understand
Learning Outcome: 02-04 Describe artificial intelligence, and identify its five main types.
Accessibility: Keyboard Navigation
Gradable: automatic
261) Which type of AI system assigns values of 0 and 1 to vague or ambiguous information?
A) Genetic algorithms
B) Artificial intelligence
C) Fuzzy logic
D) Intelligent agents
Answer: C
Explanation: Fuzzy logic systems assign values of 0 and 1 to vague and ambiguous
information.
Difficulty: 1 Easy
Topic: The Future Artificial Intelligence
Bloom's: Remember
Learning Outcome: 02-04 Describe artificial intelligence, and identify its five main types.
Accessibility: Keyboard Navigation
Gradable: automatic
519
Copyright 2019 © McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior
written consent of McGraw-Hill Education.
262) Artificial Intelligence stimulates human thinking and behavior, such as the ability to reason
and learn. What is the ultimate goal of AI?
A) To build an intelligent system
B) To build an intelligent agent
C) To build a system that can mimic human intelligence
D) To build a system that can mimic an expert agent
Answer: C
Explanation: The ultimate goal of AI is to build a system that can mimic human intelligence.
Difficulty: 1 Easy
Topic: The Future Artificial Intelligence
Bloom's: Remember
Learning Outcome: 02-04 Describe artificial intelligence, and identify its five main types.
Accessibility: Keyboard Navigation
Gradable: automatic
263) Which of the following is an example of an intelligent system?
A) The Firefighter Robot that can extinguish flames at chemical plants
B) Shell Oil's Smart Pump robot that pumps gas for the customer
C) A robot that cleans and sweeps at a local airport
D) All of the above
Answer: D
Explanation: Intelligent systems are various commercial applications of artificial intelligence.
They perform numerous business functions such as 1) performing tasks as boosting productivity
in factories by monitoring equipment and signaling when preventative maintenance is required,
2) At Manchester Airport, the robot cleaner alerts passengers to security, nonsmoking areas, and
cleans the floors daily, 3) Shell Oil's Smart Pump keeps drivers in their cars, while the robot
pumps gas, 4) Matsushita's courier robot navigates hospital hallways, delivering files and
supplies, and 5) The firefighter Robot that can extinguish flames at chemical plants.
Difficulty: 2 Medium
Topic: The Future Artificial Intelligence
Bloom's: Understand
Learning Outcome: 02-04 Describe artificial intelligence, and identify its five main types.
Accessibility: Keyboard Navigation
Gradable: automatic
520
Copyright 2019 © McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior
written consent of McGraw-Hill Education.
264) Which of the below does not represent a category of AI?
A) Genetic algorithms
B) Neural networks
C) Expert systems
D) Consolidation
Answer: D
Explanation: The five most familiar AI systems are 1) expert systems, 2) neural networks, 3)
genetic algorithms, 4) intelligent agents, and 5) virtual reality. Consolidation is a category of a
digital dashboard.
Difficulty: 1 Easy
Topic: The Future Artificial Intelligence
Bloom's: Remember
Learning Outcome: 02-04 Describe artificial intelligence, and identify its five main types.
Accessibility: Keyboard Navigation
Gradable: automatic
265) What is the viewing of the physical world with computer-generated layers of information
added to it?
A) Augmented reality
B) Google Glass
C) Haptic interface
D) Virtual reality
Answer: A
Explanation: Augmented reality is the viewing of the physical world with computer-generated
layers of information added to it.
Difficulty: 1 Easy
Topic: The Future Artificial Intelligence
Bloom's: Remember
Learning Outcome: 02-04 Describe artificial intelligence, and identify its five main types.
Accessibility: Keyboard Navigation
Gradable: automatic
521
Copyright 2019 © McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior
written consent of McGraw-Hill Education.
266) What is a wearable computer with an optical head-mounted display (OHMD)?
A) Augmented reality
B) Google Glass
C) Haptic interface
D) Virtual reality
Answer: B
Explanation: Google Glass is a wearable computer with an optical head-mounted display
(OHMD).
Difficulty: 1 Easy
Topic: The Future Artificial Intelligence
Bloom's: Remember
Learning Outcome: 02-04 Describe artificial intelligence, and identify its five main types.
Accessibility: Keyboard Navigation
Gradable: automatic
267) What uses technology allowing humans to interact with a computer through bodily
sensations and movements—for example, a cell phone vibrating in your pocket?
A) Augmented reality
B) Google Glass
C) Haptic interface
D) Virtual reality
Answer: C
Explanation: Haptic interface uses technology allowing humans to interact with a computer
through bodily sensations and movements—for example, a cell phone vibrating in your pocket.
Difficulty: 1 Easy
Topic: The Future Artificial Intelligence
Bloom's: Remember
Learning Outcome: 02-04 Describe artificial intelligence, and identify its five main types.
Accessibility: Keyboard Navigation
Gradable: automatic
522
Copyright 2019 © McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior
written consent of McGraw-Hill Education.
268) What is augmented reality?
A) The viewing of the physical world with computer-generated layers of information added to it.
B) A wearable computer with an optical head-mounted display (OHMD).
C) Uses technology allowing humans to interact with a computer through bodily sensations and
movements.
D) A work environment that is not located in any one physical space.
Answer: A
Explanation: This is the definition of augmented reality.
Difficulty: 1 Easy
Topic: The Future Artificial Intelligence
Bloom's: Remember
Learning Outcome: 02-04 Describe artificial intelligence, and identify its five main types.
Accessibility: Keyboard Navigation
Gradable: automatic
269) What is Google glass?
A) The viewing of the physical world with computer-generated layers of information added to it.
B) A wearable computer with an optical head-mounted display (OHMD).
C) Uses technology allowing humans to interact with a computer through bodily sensations and
movements.
D) A work environment that is not located in any one physical space.
Answer: B
Explanation: This is the definition of Google Glass.
Difficulty: 1 Easy
Topic: The Future Artificial Intelligence
Bloom's: Remember
Learning Outcome: 02-04 Describe artificial intelligence, and identify its five main types.
Accessibility: Keyboard Navigation
Gradable: automatic
523
Copyright 2019 © McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior
written consent of McGraw-Hill Education.
270) What is a haptic interface?
A) The viewing of the physical world with computer-generated layers of information added to it.
B) A wearable computer with an optical head-mounted display (OHMD).
C) Uses technology allowing humans to interact with a computer through bodily sensations and
movements.
D) A work environment that is not located in any one physical space.
Answer: C
Explanation: This is the definition of a haptic interface.
Difficulty: 1 Easy
Topic: The Future Artificial Intelligence
Bloom's: Remember
Learning Outcome: 02-04 Describe artificial intelligence, and identify its five main types.
Accessibility: Keyboard Navigation
Gradable: automatic
271) What is a virtual workplace?
A) The viewing of the physical world with computer-generated layers of information added to it.
B) A wearable computer with an optical head-mounted display (OHMD).
C) Uses technology allowing humans to interact with a computer through bodily sensations and
movements.
D) A work environment that is not located in any one physical space.
Answer: D
Explanation: This is the definition of a virtual workplace.
Difficulty: 1 Easy
Topic: The Future Artificial Intelligence
Bloom's: Remember
Learning Outcome: 02-04 Describe artificial intelligence, and identify its five main types.
Accessibility: Keyboard Navigation
Gradable: automatic
524
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written consent of McGraw-Hill Education.
272) What is a system that uses computerized advisory programs to imitate the reasoning
processes of experts in solving difficult problems?
A) Expert system
B) Virtual reality
C) Neural network
D) Genetic algorithm
Answer: A
Explanation: A system that uses computerized advisory programs to imitate the reasoning
processes of experts in solving difficult problems is an expert system.
Difficulty: 1 Easy
Topic: The Future Artificial Intelligence
Bloom's: Remember
Learning Outcome: 02-04 Describe artificial intelligence, and identify its five main types.
Accessibility: Keyboard Navigation
Gradable: automatic
273) Which of the below categories of AI is used extensively in the finance industry to analyze
situations where the logic or rules are unknown?
A) Expert system
B) Virtual reality
C) Neural network
D) Genetic algorithm
Answer: C
Explanation: The finance industry is a veteran in the use of neural networks to emulate the way
the human brain works by analyzing large quantities of information to establish patterns and
characteristics in situations where the logic or rules are unknown.
Difficulty: 1 Easy
Topic: The Future Artificial Intelligence
Bloom's: Remember
Learning Outcome: 02-04 Describe artificial intelligence, and identify its five main types.
Accessibility: Keyboard Navigation
Gradable: automatic
525
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written consent of McGraw-Hill Education.
274) Which of the following is not a feature of a neural network?
A) Neural networks can cope with huge volumes of information with many variables
B) Neural networks can function without complete or well-structured information
C) Neural networks can analyze linear relationships only
D) Neural networks can learn and adjust to new circumstance on their own
Answer: C
Explanation: Neural networks' many features include 1) learning and adjusting to new
circumstances on their own, 2) learning and adjusting to new circumstances on their own, 3)
functioning without complete or well-structured information, 4) coping with huge volumes of
information with many dependent variables, and 5) analyzing nonlinear relationships in
information.
Difficulty: 2 Medium
Topic: The Future Artificial Intelligence
Bloom's: Understand
Learning Outcome: 02-04 Describe artificial intelligence, and identify its five main types.
Accessibility: Keyboard Navigation
Gradable: automatic
275) What is the mathematical method of handling imprecise or subjective information?
A) Fuzzy logic
B) Virtual reality
C) Expert system
D) Genetic algorithm
Answer: A
Explanation: Mathematical method of handling imprecise or subjective information is fuzzy
logic.
Difficulty: 1 Easy
Topic: The Future Artificial Intelligence
Bloom's: Remember
Learning Outcome: 02-04 Describe artificial intelligence, and identify its five main types.
Accessibility: Keyboard Navigation
Gradable: automatic
526
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written consent of McGraw-Hill Education.
276) Sears department stores used to plant employees in competitor stores to perform research
and analysis. Recently the company implemented a system that can search competitor websites
and provide comparisons of price, promotions, and availability and the system is saving time,
money, and resources. What type of system did Sears implement?
A) Shopping algorithm
B) Shopping network
C) Shopping logic
D) Shopping bot
Answer: D
Explanation: A shopping bot is software that will search several retailer websites and provide a
comparison of each retailer's offerings including price and availability.
Difficulty: 3 Hard
Topic: The Future Artificial Intelligence
Bloom's: Analyze
Learning Outcome: 02-04 Describe artificial intelligence, and identify its five main types.
Accessibility: Keyboard Navigation
Gradable: automatic
277) What is the process of learning from ecosystems and adapting their characteristics to human
and organization situations?
A) Data collection
B) Artificial intelligence
C) Biomimicry
D) Intelligent system
Answer: C
Explanation: Biomimicry is the process of learning from ecosystems and adapting their
characteristics to human and organization situations.
Difficulty: 2 Medium
Topic: The Future Artificial Intelligence
Bloom's: Understand
Learning Outcome: 02-04 Describe artificial intelligence, and identify its five main types.
Accessibility: Keyboard Navigation
Gradable: automatic
527
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written consent of McGraw-Hill Education.
278) Which of the following is a special-purpose knowledge based information system that
accomplishes specific tasks on behalf of its users?
A) Intelligent agent
B) Executive agent
C) Expert agent
D) Modeling system
Answer: A
Explanation: Intelligent agent is a special-purpose knowledge-based information system that
accomplishes specific tasks on behalf of its users.
Difficulty: 1 Easy
Topic: The Future Artificial Intelligence
Bloom's: Remember
Learning Outcome: 02-04 Describe artificial intelligence, and identify its five main types.
Accessibility: Keyboard Navigation
Gradable: automatic
279) Which of the below offers a disadvantage for working virtually?
A) Increases in worker productivity
B) Increases in feelings of seclusion
C) Decreases in expenses for the company
D) Alleviation of congested roadways
Answer: B
Explanation: The advantages to working virtually are increases in worker productivity, decrease
in real estate expenses for the company, and less cars on the roads alleviating the congested
roadways. Disadvantages include fear among workers that they will jeopardize their careers by
working from home, some workers unable to stay productive, the tendency for virtual workers to
feel alone, secluded, and deprived of vital training and mentoring.
Difficulty: 2 Medium
Topic: The Future Artificial Intelligence
Bloom's: Understand
Learning Outcome: 02-04 Describe artificial intelligence, and identify its five main types.
Accessibility: Keyboard Navigation
Gradable: automatic
528
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written consent of McGraw-Hill Education.
280) What is a method whereby new problems are solved based on the solutions from similar
cases solved in the past?
A) Case-based reasoning.
B) Machine Vision.
C) Machine vision sensitivity.
D) Machine vision resolution.
Answer: A
Explanation: Case-based reasoning is a method whereby new problems are solved based on the
solutions from similar cases solved in the past.
Difficulty: 1 Easy
Topic: The Future Artificial Intelligence
Bloom's: Remember
Learning Outcome: 02-04 Describe artificial intelligence, and identify its five main types.
Accessibility: Keyboard Navigation
Gradable: automatic
281) What is the ability of a computer to "see" by digitizing an image, processing the data it
contains, and taking some kind of action?
A) Case-based reasoning.
B) Machine Vision.
C) Machine vision sensitivity.
D) Machine vision resolution.
Answer: B
Explanation: Case-based reasoning is the ability of a computer to "see" by digitizing an image,
processing the data it contains, and taking some kind of action.
Difficulty: 1 Easy
Topic: The Future Artificial Intelligence
Bloom's: Remember
Learning Outcome: 02-04 Describe artificial intelligence, and identify its five main types.
Accessibility: Keyboard Navigation
Gradable: automatic
529
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written consent of McGraw-Hill Education.
282) What is the ability of a machine to see in dim light or to detect weak impulses at invisible
wavelengths?
A) Case-based reasoning.
B) Machine Vision.
C) Machine vision sensitivity.
D) Machine vision resolution.
Answer: C
Explanation: Machine vision sensitivity is the ability of a machine to see in dim light or to
detect weak impulses at invisible wavelengths.
Difficulty: 1 Easy
Topic: The Future Artificial Intelligence
Bloom's: Remember
Learning Outcome: 02-04 Describe artificial intelligence, and identify its five main types.
Accessibility: Keyboard Navigation
Gradable: automatic
283) What is the extent to which a machine can differentiate between objects?
A) Case-based reasoning.
B) Machine Vision.
C) Machine vision sensitivity.
D) Machine vision resolution.
Answer: D
Explanation: Machine vision resolution is the extent to which a machine can differentiate
between objects.
Difficulty: 1 Easy
Topic: The Future Artificial Intelligence
Bloom's: Remember
Learning Outcome: 02-04 Describe artificial intelligence, and identify its five main types.
Accessibility: Keyboard Navigation
Gradable: automatic
530
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written consent of McGraw-Hill Education.
284) What is an optimizing system that can find and evaluate solutions with many more
possibilities, faster and more thoroughly than a human?
A) Genetic algorithm
B) Expert system
C) Intelligent agent
D) Virtual reality
Answer: A
Explanation: The Artificial intelligence system that is an optimizing system that can find and
evaluate solutions with many more possibilities, faster and more thoroughly than a human is
genetic algorithm.
Difficulty: 1 Easy
Topic: The Future Artificial Intelligence
Bloom's: Remember
Learning Outcome: 02-04 Describe artificial intelligence, and identify its five main types.
Accessibility: Keyboard Navigation
Gradable: automatic
285) What is a process that employs specialized algorithms to model and study complex datasets;
the method is also used to establish relationships among data and datasets?
A) Case-based reasoning.
B) Deep learning.
C) Machine vision sensitivity.
D) Machine vision resolution.
Answer: B
Explanation: Deep learning is a process that employs specialized algorithms to model and study
complex datasets; the method is also used to establish relationships among data and datasets.
Difficulty: 1 Easy
Topic: The Future Artificial Intelligence
Bloom's: Remember
Learning Outcome: 02-04 Describe artificial intelligence, and identify its five main types.
Accessibility: Keyboard Navigation
Gradable: automatic
531
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written consent of McGraw-Hill Education.
286) Bob Silver loves playing a game called World of Warcraft where he has the capability to
create his own character and even his own life-like environment. Which AI system would you
categorize World of Warcraft?
A) Multi-agent system
B) Expert system
C) Virtual reality
D) Fuzzy logic system
Answer: C
Explanation: Virtual reality is a computer-simulated environment that can be a simulation of
the real world or an imaginary world. It is a fast growing area of AI that had its origins in efforts
to build more natural, realistic, multisensory human computer interfaces.
Difficulty: 2 Medium
Topic: The Future Artificial Intelligence
Bloom's: Understand
Learning Outcome: 02-04 Describe artificial intelligence, and identify its five main types.
Accessibility: Keyboard Navigation
Gradable: automatic
287) What refers to a set of instructions that completes a task?
A) Algorithm.
B) Machine learning.
C) Weak AI.
D) Strong AI.
Answer: A
Explanation: An algorithm refers to a set of instructions that completes a task.
Difficulty: 1 Easy
Topic: The Future Artificial Intelligence
Bloom's: Remember
Learning Outcome: 02-04 Describe artificial intelligence, and identify its five main types.
Accessibility: Keyboard Navigation
Gradable: automatic
532
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written consent of McGraw-Hill Education.
288) What is a type of artificial intelligence that enables computers to both understand concepts
in the environment, and also to learn?
A) Algorithm.
B) Machine learning.
C) Weak AI.
D) Strong AI.
Answer: B
Explanation: Machine learning is a type of artificial intelligence that enables computers to both
understand concepts in the environment, and also to learn.
Difficulty: 1 Easy
Topic: The Future Artificial Intelligence
Bloom's: Remember
Learning Outcome: 02-04 Describe artificial intelligence, and identify its five main types.
Accessibility: Keyboard Navigation
Gradable: automatic
289) What machines can still make their own decisions based on reasoning and past sets of data?
A) Algorithm.
B) Machine learning.
C) Weak AI.
D) Strong AI.
Answer: C
Explanation: Weak AI machines can still make their own decisions based on reasoning and past
sets of data. Most of the AI systems in market today are weak AI.
Difficulty: 1 Easy
Topic: The Future Artificial Intelligence
Bloom's: Remember
Learning Outcome: 02-04 Describe artificial intelligence, and identify its five main types.
Accessibility: Keyboard Navigation
Gradable: automatic
533
Copyright 2019 © McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior
written consent of McGraw-Hill Education.
290) What refers to the field of artificial intelligence that works toward providing brain like
powers to AI machines; in effect, it works to make machines as intelligent as the humans?
A) Algorithm.
B) Machine learning.
C) Weak AI.
D) Strong AI.
Answer: D
Explanation: Strong refers to the field of artificial intelligence that works toward providing
brainlike powers to AI machines; in effect, it works to make machines as intelligent as the
humans.
Difficulty: 1 Easy
Topic: The Future Artificial Intelligence
Bloom's: Remember
Learning Outcome: 02-04 Describe artificial intelligence, and identify its five main types.
Accessibility: Keyboard Navigation
Gradable: automatic
291) What is an algorithm?
A) Refers to a set of instructions that completes a task.
B) A type of artificial intelligence that enables computers to both understand concepts in the
environment, and also to learn.
C) Machines can still make their own decisions based on reasoning and past sets of data
D) Refers to the field of artificial intelligence that works toward providing brain like powers to
AI machines; in effect, it works to make machines as intelligent as the humans.
Answer: A
Explanation: An algorithm refers to a set of instructions that completes a task.
Difficulty: 1 Easy
Topic: The Future Artificial Intelligence
Bloom's: Remember
Learning Outcome: 02-04 Describe artificial intelligence, and identify its five main types.
Accessibility: Keyboard Navigation
Gradable: automatic
534
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written consent of McGraw-Hill Education.
292) What is machine learning?
A) Refers to a set of instructions that completes a task.
B) A type of artificial intelligence that enables computers to both understand concepts in the
environment, and also to learn.
C) Machines can still make their own decisions based on reasoning and past sets of data
D) Refers to the field of artificial intelligence that works toward providing brain like powers to
AI machines; in effect, it works to make machines as intelligent as the humans.
Answer: B
Explanation: Machine learning is a type of artificial intelligence that enables computers to both
understand concepts in the environment, and also to learn.
Difficulty: 1 Easy
Topic: The Future Artificial Intelligence
Bloom's: Remember
Learning Outcome: 02-04 Describe artificial intelligence, and identify its five main types.
Accessibility: Keyboard Navigation
Gradable: automatic
293) What is weak AI?
A) Refers to a set of instructions that completes a task.
B) A type of artificial intelligence that enables computers to both understand concepts in the
environment, and also to learn.
C) Machines can still make their own decisions based on reasoning and past sets of data
D) Refers to the field of artificial intelligence that works toward providing brain like powers to
AI machines; in effect, it works to make machines as intelligent as the humans.
Answer: C
Explanation: Weak AI machines can still make their own decisions based on reasoning and past
sets of data. Most of the AI systems in market today are weak AI.
Difficulty: 1 Easy
Topic: The Future Artificial Intelligence
Bloom's: Remember
Learning Outcome: 02-04 Describe artificial intelligence, and identify its five main types.
Accessibility: Keyboard Navigation
Gradable: automatic
535
Copyright 2019 © McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior
written consent of McGraw-Hill Education.
294) What is strong AI?
A) Refers to a set of instructions that completes a task.
B) A type of artificial intelligence that enables computers to both understand concepts in the
environment, and also to learn.
C) Machines can still make their own decisions based on reasoning and past sets of data
D) Refers to the field of artificial intelligence that works toward providing brain like powers to
AI machines; in effect, it works to make machines as intelligent as the humans.
Answer: D
Explanation: Strong refers to the field of artificial intelligence that works toward providing
brainlike powers to AI machines; in effect, it works to make machines as intelligent as the
humans.
Difficulty: 1 Easy
Topic: The Future Artificial Intelligence
Bloom's: Remember
Learning Outcome: 02-04 Describe artificial intelligence, and identify its five main types.
Accessibility: Keyboard Navigation
Gradable: automatic
295) Which of the following offers an example of an intelligent agent that uses a multi-agent
system?
A) A cargo transport system
B) Book distribution center
C) A flu epidemic
D) All of the above
Answer: D
Explanation: An intelligent agent that utilizes a multi-agent system includes 1) a cargo transport
system, 2) book distribution centers, 3) the video game market, 4) and a flu epidemic are all
complex adaptive systems.
Difficulty: 2 Medium
Topic: The Future Artificial Intelligence
Bloom's: Understand
Learning Outcome: 02-04 Describe artificial intelligence, and identify its five main types.
Accessibility: Keyboard Navigation
Gradable: automatic
536
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written consent of McGraw-Hill Education.
296) What types of business decisions would an EIS use AI for?
A) Semistructured decisions
B) Multistructured decisions
C) Structured decisions
D) Unstructured decisions
Answer: D
Explanation: Executive information systems are utilizing artificial intelligence to support
unstructured strategic decision making.
Difficulty: 2 Medium
Topic: The Future Artificial Intelligence
Bloom's: Understand
Learning Outcome: 02-04 Describe artificial intelligence, and identify its five main types.
Accessibility: Keyboard Navigation
Gradable: automatic
297) Which of the below business ideas is not using AI?
A) Best Buy implements a software system that will determine how many customers are needed
to increase gross profits to $5 million
B) McDonald's unveiling a robot that cleans and tidies the restaurant, while also asking guests if
it can take their trays to the trash
C) Starbucks creates a system that works like a hand and lifts and moves the mixing pots for the
coffees to and from the coffee machines to the counters
D) Golf courses create an automated golf cart that can offer swing suggestions, club suggestions,
and even navigate the course for the driver
Answer: A
Explanation: Artificial Intelligence simulates human thinking and behavior such as the ability
to reason and learn. Its ultimate goal is to build a system that can mimic human intelligence
Difficulty: 3 Hard
Topic: The Future Artificial Intelligence
Bloom's: Analyze
Learning Outcome: 02-04 Describe artificial intelligence, and identify its five main types.
Accessibility: Keyboard Navigation
Gradable: automatic
537
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written consent of McGraw-Hill Education.
298) What is the viewing of the physical world with computer-generated layers of information
added to it?
A) Virtual reality
B) Augmented reality
C) Virtual workforce
D) All of the above
Answer: B
Explanation: Augmented reality is the viewing of the physical world with computer-generated
layers of information added to it.
Difficulty: 1 Easy
Topic: The Future Artificial Intelligence
Bloom's: Remember
Learning Outcome: 02-04 Describe artificial intelligence, and identify its five main types.
Accessibility: Keyboard Navigation
Gradable: automatic
299) What is a computer-simulated environment that can be a simulation of the real world or an
imaginary world?
A) Virtual reality
B) Augmented reality
C) Virtual workforce
D) All of the above
Answer: A
Explanation: Virtual reality is a computer-simulated environment that can be a simulation of
the real world or an imaginary world.
Difficulty: 1 Easy
Topic: The Future Artificial Intelligence
Bloom's: Remember
Learning Outcome: 02-04 Describe artificial intelligence, and identify its five main types.
Accessibility: Keyboard Navigation
Gradable: automatic
538
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written consent of McGraw-Hill Education.
300) What is the process within a genetic algorithm of randomly trying combinations and
evaluating the success (or failure) of the outcome.
A) Augmented reality
B) Mutation
C) Fuzzy logic
D) Shopping bot
Answer: B
Explanation: Mutation is the process within a genetic algorithm of randomly trying
combinations and evaluating the success (or failure) of the outcome.
Difficulty: 1 Easy
Topic: The Future Artificial Intelligence
Bloom's: Remember
Learning Outcome: 02-04 Describe artificial intelligence, and identify its five main types.
Accessibility: Keyboard Navigation
Gradable: automatic
301) What is software that will search several retailer websites and provide a comparison of each
retailer's offerings including prices and availability?
A) Augmented reality
B) Mutation
C) Fuzzy logic
D) Shopping bot
Answer: D
Explanation: A shopping bot is software that will search several retailer websites and provide a
comparison of each retailer's offerings including prices and availability.
Difficulty: 1 Easy
Topic: The Future Artificial Intelligence
Bloom's: Remember
Learning Outcome: 02-04 Describe artificial intelligence, and identify its five main types.
Accessibility: Keyboard Navigation
Gradable: automatic
539
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written consent of McGraw-Hill Education.
302) Which of the below business processes would you find in the marketing and sales division?
A) Manufacturing inventory
B) Enrolling employees in health care benefits
C) Promoting of discounts
D) Creating financial statements
Answer: C
Explanation: Samples of business processes for the marketing and sales division of a company
include 1) promoting of discounts, 2) communicating marketing campaigns, 3) attracting
customers, and 4) processing sales.
Difficulty: 1 Easy
Topic: Evaluating Business Processes
Bloom's: Remember
Learning Outcome: 02-05 Explain the value of business processes for a company, and
differentiate between customer-facing and business-facing processes.
Accessibility: Keyboard Navigation
Gradable: automatic
303) Which of the following departments is primarily responsible for promoting discounts,
attracting customers, and communicating marketing campaigns?
A) Accounting and Finance
B) Marketing and Sales
C) Operations Management
D) Human Resources
Answer: B
Explanation: The Marketing & Sales division is responsible for the business processes of
promoting of discounts, communicating marketing campaigns, attracting customers, and
processing sales.
Difficulty: 1 Easy
Topic: Evaluating Business Processes
Bloom's: Remember
Learning Outcome: 02-05 Explain the value of business processes for a company, and
differentiate between customer-facing and business-facing processes.
Accessibility: Keyboard Navigation
Gradable: automatic
540
Copyright 2019 © McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior
written consent of McGraw-Hill Education.
304) Which of the following represents a business process you would find in the operations
management department?
A) Ordering inventory
B) Processing sales
C) Promoting discounts
D) Paying of accounts payable
Answer: A
Explanation: Samples of business processes for the operations management division of a
company include 1) ordering inventory, 2) creating production schedules, and 3) manufacturing
goods.
Difficulty: 1 Easy
Topic: Evaluating Business Processes
Bloom's: Remember
Learning Outcome: 02-05 Explain the value of business processes for a company, and
differentiate between customer-facing and business-facing processes.
Accessibility: Keyboard Navigation
Gradable: automatic
305) Most business processes are cross-functional or cross-departmental processes that span the
entire organization. Which of the below does not represent a cross-functional business process?
A) Order-to-delivery process
B) Loan processing
C) Taking a product from concept to market
D) Processing payroll
Answer: D
Explanation: Most business processes are cross-functional or cross-department processes that
span the entire organization. The process of "order to delivery" focuses on the entire customer
order process across functional departments. Another example is "product realization," which
includes not only the way a product is developed, but also the way it is marketed and serviced.
Other cross-functional business processes are taking a product from concept to market, acquiring
customers, loan processing, providing post-sales service, claim processing, and reservation
handling.
Difficulty: 2 Medium
Topic: Evaluating Business Processes
Bloom's: Understand
Learning Outcome: 02-05 Explain the value of business processes for a company, and
differentiate between customer-facing and business-facing processes.
Accessibility: Keyboard Navigation
Gradable: automatic
541
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written consent of McGraw-Hill Education.
306) The accounting and finance department performs processes such as creating financial
statements, paying accounts payables, and collecting accounts receivables. What form of
processes do these represent?
A) Customer-facing processes
B) Business-facing processes
C) Industry-specific customer facing processes
D) All of the above
Answer: B
Explanation: The accounting and finance division in a company creates financial statements,
pays the accounts payables, and collects accounts receivables. All of these processes are
business-facing processes.
Difficulty: 2 Medium
Topic: Evaluating Business Processes
Bloom's: Understand
Learning Outcome: 02-05 Explain the value of business processes for a company, and
differentiate between customer-facing and business-facing processes.
Accessibility: Keyboard Navigation
Gradable: automatic
307) What form of processes include loan processing for a bank, claims processing for an
insurance company, reservation processing for a hotel, and baggage handling for an airline?
A) Customer-facing processes
B) Business-facing processes
C) Industry-specific customer-facing processes
D) All of the above
Answer: C
Explanation: Loan processing for a bank, claims processing for an insurance company,
reservation processing for a hotel, and baggage handling for an airline are all examples of
industry specific customer facing processes.
Difficulty: 2 Medium
Topic: Evaluating Business Processes
Bloom's: Understand
Learning Outcome: 02-05 Explain the value of business processes for a company, and
differentiate between customer-facing and business-facing processes.
Accessibility: Keyboard Navigation
Gradable: automatic
542
Copyright 2019 © McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior
written consent of McGraw-Hill Education.
308) What type of process includes order processing, customer service processing, sales
processing, customer billing processing, and order shipping processing?
A) Customer-facing processes
B) Business-facing processes
C) Industry-specific customer facing processes
D) All of the above
Answer: A
Explanation: Order processing, customer service processing, sales processing, customer billing
processing, and order shipping processing are all customer-facing processes.
Difficulty: 2 Medium
Topic: Evaluating Business Processes
Bloom's: Understand
Learning Outcome: 02-05 Explain the value of business processes for a company, and
differentiate between customer-facing and business-facing processes.
Accessibility: Keyboard Navigation
Gradable: automatic
309) Which of the below represents business processes you would find in the human resources
department?
A) Hiring employees
B) Enrolling employees in benefit plans
C) Tracking vacation and sick time
D) All of the above
Answer: D
Explanation: Some sample business processes included within the human resources division of
a company include 1) hiring employees, 2) enrolling employees in health care or other benefit
plans, and 3) tracking vacation and sick time.
Difficulty: 1 Easy
Topic: Evaluating Business Processes
Bloom's: Remember
Learning Outcome: 02-05 Explain the value of business processes for a company, and
differentiate between customer-facing and business-facing processes.
Accessibility: Keyboard Navigation
Gradable: automatic
543
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written consent of McGraw-Hill Education.
310) What is the difference between customer-facing processes and business-facing processes?
A) Business-facing processes are front-office processes, customer-facing processes are backoffice processes
B) Customer-facing processes are front-office processes, business-facing processes are backoffice processes
C) Customer-facing processes are back-office processes, and industry-specific customer-facing
processes are back-office processes
D) Customer-facing processes are back-office processes, and industry-specific customer-facing
processes are front-office processes
Answer: B
Explanation: Customer-facing processes, also called front-office processes, result in product
service received by and organization's external customer. Business-facing processes, also called
back-office processes, are invisible to the external customer but essential to the effective
management of the business.
Difficulty: 2 Medium
Topic: Evaluating Business Processes
Bloom's: Understand
Learning Outcome: 02-05 Explain the value of business processes for a company, and
differentiate between customer-facing and business-facing processes.
Accessibility: Keyboard Navigation
Gradable: automatic
311) Which of the below is a customer-facing process?
A) Communicating with customers
B) Strategic goal setting
C) Providing performance feedback and rewards
D) Purchasing raw materials
Answer: A
Explanation: Business-facing processes, also called back-office processes, are invisible to the
external customer but essential to the effective management of the business; they include goal
setting, day-to-day planning, giving performance feedback and rewards, and allocating resources.
Difficulty: 1 Easy
Topic: Evaluating Business Processes
Bloom's: Remember
Learning Outcome: 02-05 Explain the value of business processes for a company, and
differentiate between customer-facing and business-facing processes.
Accessibility: Keyboard Navigation
Gradable: automatic
544
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written consent of McGraw-Hill Education.
312) Which of the following represents a business-facing process?
A) Loan processing
B) Order processing
C) Strategic planning
D) Customer billing
Answer: C
Explanation: Customer-facing processes result in a product or service received by an
organization's external customer and includes fulfilling orders, communicating with customers,
sending out bills, and marketing information.
Difficulty: 1 Easy
Topic: Evaluating Business Processes
Bloom's: Remember
Learning Outcome: 02-05 Explain the value of business processes for a company, and
differentiate between customer-facing and business-facing processes.
Accessibility: Keyboard Navigation
Gradable: automatic
313) When considering the 5-steps of the order-to-delivery business process, creating campaigns
and checking inventory are included in which of the following?
A) Step 4 - Sales
B) Step 1 - Marketing
C) Step 3 - Operations management
D) Step 2 - Customer service
Answer: B
Explanation: When considering the 5-steps of the order-to-delivery business process, Step 1 is
marketing where the business creates campaigns and checks inventory.
Difficulty: 2 Medium
Topic: Evaluating Business Processes
Bloom's: Understand
Learning Outcome: 02-05 Explain the value of business processes for a company, and
differentiate between customer-facing and business-facing processes.
Accessibility: Keyboard Navigation
Gradable: automatic
545
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written consent of McGraw-Hill Education.
314) When considering the 5-steps of the order-to-delivery business process, supporting sales are
included in which of the following?
A) Step 2 - Sales
B) Step 1 - Marketing
C) Step 3 - Operations management
D) Step 5 - Customer service
Answer: D
Explanation: When considering the 5-steps of the order-to-delivery business process, Step 5 is
customer service and it supports sales.
Difficulty: 2 Medium
Topic: Evaluating Business Processes
Bloom's: Understand
Learning Outcome: 02-05 Explain the value of business processes for a company, and
differentiate between customer-facing and business-facing processes.
Accessibility: Keyboard Navigation
Gradable: automatic
315) When considering the 5-steps of the order-to-delivery business process, manufacturing
goods are included in which of the following?
A) Step 2 - Sales
B) Step 1 - Marketing
C) Step 3 - Operations management
D) Step 5 - Customer service
Answer: C
Explanation: When considering the 5-steps of the order-to-delivery business process, Step 3 is
operations management which manufactures goods.
Difficulty: 2 Medium
Topic: Evaluating Business Processes
Bloom's: Understand
Learning Outcome: 02-05 Explain the value of business processes for a company, and
differentiate between customer-facing and business-facing processes.
Accessibility: Keyboard Navigation
Gradable: automatic
546
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written consent of McGraw-Hill Education.
316) When considering the 5-steps of the order-to-delivery business process, placing orders,
notifying production, and checking credit are included in which of the following?
A) Step 2 - Sales
B) Step 1 - Marketing
C) Step 3 - Operations management
D) Step 5 - Customer service
Answer: A
Explanation: When considering the 5-steps of the order-to-delivery business process, Step 2 is
sales which places orders, notifies production, and checks credit.
Difficulty: 2 Medium
Topic: Evaluating Business Processes
Bloom's: Understand
Learning Outcome: 02-05 Explain the value of business processes for a company, and
differentiate between customer-facing and business-facing processes.
Accessibility: Keyboard Navigation
Gradable: automatic
317) Which of the following processes focuses on the entire customer order process and operates
across functional departments?
A) Order to delivery process
B) Customer billing process
C) Customer loan process
D) All of the above
Answer: A
Explanation: Most business processes are cross-functional or cross-departmental processes and
span the entire organization. The process of "order to delivery" focuses on the entire customer
order process across functional departments.
Difficulty: 2 Medium
Topic: Evaluating Business Processes
Bloom's: Understand
Learning Outcome: 02-05 Explain the value of business processes for a company, and
differentiate between customer-facing and business-facing processes.
Accessibility: Keyboard Navigation
Gradable: automatic
547
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written consent of McGraw-Hill Education.
318) Which of the below processes would be found in the operations management department?
A) Creating production schedules
B) Communicating marketing campaigns
C) Hiring employees
D) Processing sales
Answer: A
Explanation: Sample business processes within the operational management division of a
company include 1) ordering inventory, 2) creating production schedules, and 3) manufacturing
goods.
Difficulty: 1 Easy
Topic: Evaluating Business Processes
Bloom's: Remember
Learning Outcome: 02-05 Explain the value of business processes for a company, and
differentiate between customer-facing and business-facing processes.
Accessibility: Keyboard Navigation
Gradable: automatic
319) Which of the following should a business follow for success?
A) Technology choices should drive business processes
B) Business processes should drive technology choices
C) Technology choices should drive business strategies and goals
D) All of the above depending on the industry
Answer: B
Explanation: Business processes should drive technology choices.
Difficulty: 1 Easy
Topic: Evaluating Business Processes
Bloom's: Remember
Learning Outcome: 02-05 Explain the value of business processes for a company, and
differentiate between customer-facing and business-facing processes.
Accessibility: Keyboard Navigation
Gradable: automatic
548
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written consent of McGraw-Hill Education.
320) What uses a systematic approach in an attempt to improve business effectiveness and
efficiency continuously?
A) Static process
B) Dynamic process
C) Sales process
D) Customer service process
Answer: A
Explanation: A static process uses a systematic approach in an attempt to improve business
effectiveness and efficiency continuously.
Difficulty: 1 Easy
Topic: Evaluating Business Processes
Bloom's: Remember
Learning Outcome: 02-05 Explain the value of business processes for a company, and
differentiate between customer-facing and business-facing processes.
Accessibility: Keyboard Navigation
Gradable: automatic
321) What continuously changes and provides business solutions to ever-changing business
operations?
A) Static process
B) Dynamic process
C) Sales process
D) Customer service process
Answer: B
Explanation: A dynamic process continuously changes and provides business solutions to everchanging business operations.
Difficulty: 1 Easy
Topic: Evaluating Business Processes
Bloom's: Remember
Learning Outcome: 02-05 Explain the value of business processes for a company, and
differentiate between customer-facing and business-facing processes.
Accessibility: Keyboard Navigation
Gradable: automatic
549
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written consent of McGraw-Hill Education.
322) Managers constantly attempt to optimize ________ process.
A) Static process
B) Dynamic process
C) Sales process
D) Customer service process
Answer: A
Explanation: Managers constantly attempt to optimize static processes.
Difficulty: 1 Easy
Topic: Evaluating Business Processes
Bloom's: Remember
Learning Outcome: 02-05 Explain the value of business processes for a company, and
differentiate between customer-facing and business-facing processes.
Accessibility: Keyboard Navigation
Gradable: automatic
323) Which of the following are examples of static processes?
A) Running payroll
B) Calculating taxes
C) Creating financial statements
D) All of the above
Answer: D
Explanation: Managers constantly attempt to optimize static processes. Examples of static
processes include running payroll, calculating taxes, and creating financial statements.
Difficulty: 1 Easy
Topic: Evaluating Business Processes
Bloom's: Remember
Learning Outcome: 02-05 Explain the value of business processes for a company, and
differentiate between customer-facing and business-facing processes.
Accessibility: Keyboard Navigation
Gradable: automatic
550
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written consent of McGraw-Hill Education.
324) Which of the following are examples of dynamic processes?
A) Employee layoffs
B) Order level changes based on currency rates
C) Canceling business travel due to extreme weather
D) All of the above
Answer: D
Explanation: All of the above are examples of dynamic processes.
Difficulty: 1 Easy
Topic: Evaluating Business Processes
Bloom's: Remember
Learning Outcome: 02-05 Explain the value of business processes for a company, and
differentiate between customer-facing and business-facing processes.
Accessibility: Keyboard Navigation
Gradable: automatic
325) Which of the following are examples of dynamic processes?
A) Running payroll
B) Calculating taxes
C) Creating financial statements
D) Employee layoffs
Answer: D
Explanation: Employee layoffs are examples of dynamic processes.
Difficulty: 1 Easy
Topic: Evaluating Business Processes
Bloom's: Remember
Learning Outcome: 02-05 Explain the value of business processes for a company, and
differentiate between customer-facing and business-facing processes.
Accessibility: Keyboard Navigation
Gradable: automatic
551
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written consent of McGraw-Hill Education.
326) Which of the following are examples of static processes?
A) Employee layoffs
B) Order level changes based on currency rates
C) Canceling business travel due to extreme weather
D) Creating financial statements
Answer: D
Explanation: Creating financial statements is an example of a static process.
Difficulty: 1 Easy
Topic: Evaluating Business Processes
Bloom's: Remember
Learning Outcome: 02-05 Explain the value of business processes for a company, and
differentiate between customer-facing and business-facing processes.
Accessibility: Keyboard Navigation
Gradable: automatic
327) As the business and its strategies change, so do the ________ processes.
A) Static
B) Dynamic
C) Sales
D) Customer service
Answer: B
Explanation: As the business and its strategies change, so do the dynamic processes.
Difficulty: 1 Easy
Topic: Evaluating Business Processes
Bloom's: Remember
Learning Outcome: 02-05 Explain the value of business processes for a company, and
differentiate between customer-facing and business-facing processes.
Accessibility: Keyboard Navigation
Gradable: automatic
552
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written consent of McGraw-Hill Education.
328) Business process modeling or mapping, is the activity of creating a detailed flowchart or
process map of a work process that shows its inputs, tasks, and activities in a ________
sequence.
A) Unstructured
B) Semistructured
C) Structured
D) Unilateral
Answer: C
Explanation: Business process modeling or mapping, is the activity of creating a detailed
flowchart or process map of a work process that shows its inputs, tasks, and activities in a
structured sequence.
Difficulty: 2 Medium
Topic: Models Measuring Performance
Bloom's: Understand
Learning Outcome: 02-06 Demonstrate the value of business process modeling, and compare
As-Is and To-Be models.
Accessibility: Keyboard Navigation
Gradable: automatic
329) What is a graphical notation that depicts the steps in a business process?
A) Business process model nation
B) Business practice model notation
C) Business process model notation
D) Business practice management notes
Answer: C
Explanation: Business Process Model Notation is a graphical notation that depicts the steps in a
business process.
Difficulty: 1 Easy
Topic: Models Measuring Performance
Bloom's: Remember
Learning Outcome: 02-06 Demonstrate the value of business process modeling, and compare
As-Is and To-Be models.
Accessibility: Keyboard Navigation
Gradable: automatic
553
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written consent of McGraw-Hill Education.
330) What displays the path in which the process flows?
A) BPMN Event
B) BPMN Activity
C) BPMN Flow
D) BPMN Gateway
Answer: C
Explanation: A BPMN flow displays the path in which the process flows.
Difficulty: 1 Easy
Topic: Models Measuring Performance
Bloom's: Remember
Learning Outcome: 02-06 Demonstrate the value of business process modeling, and compare
As-Is and To-Be models.
Accessibility: Keyboard Navigation
Gradable: automatic
331) What is a task in a business process?
A) BPMN Event
B) BPMN Activity
C) BPMN Flow
D) BPMN Gateway
Answer: B
Explanation: BPMN activity is a task in a business process.
Difficulty: 1 Easy
Topic: Models Measuring Performance
Bloom's: Remember
Learning Outcome: 02-06 Demonstrate the value of business process modeling, and compare
As-Is and To-Be models.
Accessibility: Keyboard Navigation
Gradable: automatic
554
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written consent of McGraw-Hill Education.
332) What is anything that happens during the course of a business process?
A) BPMN Event
B) BPMN Activity
C) BPMN Flow
D) BPMN Gateway
Answer: A
Explanation: A BPMN event is anything that happens during the course of a business process.
Difficulty: 1 Easy
Topic: Models Measuring Performance
Bloom's: Remember
Learning Outcome: 02-06 Demonstrate the value of business process modeling, and compare
As-Is and To-Be models.
Accessibility: Keyboard Navigation
Gradable: automatic
333) What is used to control the flow of a process?
A) BPMN Event
B) BPMN Activity
C) BPMN Flow
D) BPMN Gateway
Answer: D
Explanation: A BPMN gateway is used to control the flow of a process.
Difficulty: 1 Easy
Topic: Models Measuring Performance
Bloom's: Remember
Learning Outcome: 02-06 Demonstrate the value of business process modeling, and compare
As-Is and To-Be models.
Accessibility: Keyboard Navigation
Gradable: automatic
555
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written consent of McGraw-Hill Education.
334) What is represented by a circle in a business process model?
A) BPMN Event
B) BPMN Activity
C) BPMN Flow
D) BPMN Gateway
Answer: A
Explanation: A BPMN event is represented by a circle in a business process model.
Difficulty: 1 Easy
Topic: Models Measuring Performance
Bloom's: Remember
Learning Outcome: 02-06 Demonstrate the value of business process modeling, and compare
As-Is and To-Be models.
Accessibility: Keyboard Navigation
Gradable: automatic
335) What is represented by a rounded-corner rectangle in a business process model?
A) BPMN Event
B) BPMN Activity
C) BPMN Flow
D) BPMN Gateway
Answer: B
Explanation: An activity is represented by a rounded-corner rectangle in a business process
model.
Difficulty: 1 Easy
Topic: Models Measuring Performance
Bloom's: Remember
Learning Outcome: 02-06 Demonstrate the value of business process modeling, and compare
As-Is and To-Be models.
Accessibility: Keyboard Navigation
Gradable: automatic
556
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written consent of McGraw-Hill Education.
336) What is represented by a diamond shape in a business process model?
A) BPMN Event
B) BPMN Activity
C) BPMN Flow
D) BPMN Gateway
Answer: D
Explanation: Gateways are represented by a diamond shape in a business process model.
Difficulty: 1 Easy
Topic: Models Measuring Performance
Bloom's: Remember
Learning Outcome: 02-06 Demonstrate the value of business process modeling, and compare
As-Is and To-Be models.
Accessibility: Keyboard Navigation
Gradable: automatic
337) What is represented by arrows in a business process model?
A) BPMN Event
B) BPMN Activity
C) BPMN Flow
D) BPMN Gateway
Answer: C
Explanation: Flows are represented by arrows in a business process model.
Difficulty: 1 Easy
Topic: Models Measuring Performance
Bloom's: Remember
Learning Outcome: 02-06 Demonstrate the value of business process modeling, and compare
As-Is and To-Be models.
Accessibility: Keyboard Navigation
Gradable: automatic
557
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written consent of McGraw-Hill Education.
338) Jessica Ulta works as an employee for City Service Credit Union and is responsible for
consulting on loans, talking clients through the loan process, and providing loans to members.
What type of processes does Jessica primarily work with?
A) Business-facing processes
B) Industry-specific customer facing processes
C) Customer-facing process
D) Industry-specific business-facing processes
Answer: B
Explanation: When considering the business process modeling chart, Jessica is taking part in
the Industry-specific customer facing processes depicted in the example.
Difficulty: 3 Hard
Topic: Models Measuring Performance
Bloom's: Analyze
Learning Outcome: 02-06 Demonstrate the value of business process modeling, and compare
As-Is and To-Be models.
Accessibility: Keyboard Navigation
Gradable: automatic
339) Sarah Schin was recently hired by Bank West as the Global Director of Human Resources.
Her job duties include determining employment policies as well as overseeing all hiring, firing,
and training of employees. What type of processes does Sarah's new job demonstrate?
A) Business-facing processes
B) Industry-specific customer facing processes
C) Customer-facing process
D) Industry-specific business-facing processes
Answer: A
Explanation: The business-facing processes are 1) strategic planning, 2) tactical planning, 3)
budget forecasting, 4) training, and 5) purchasing raw material.
Difficulty: 3 Hard
Topic: Models Measuring Performance
Bloom's: Analyze
Learning Outcome: 02-06 Demonstrate the value of business process modeling, and compare
As-Is and To-Be models.
Accessibility: Keyboard Navigation
Gradable: automatic
558
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written consent of McGraw-Hill Education.
340) What is a model that represents the current state of the operation without any specific
improvements or changes to existing processes?
A) As-Is process models
B) To-Be process models
C) Competitive business process models
D) Workflow model
Answer: A
Explanation: The model which represents the current state of the operation that has been
mapped, without any specific improvements or changes to existing processes is the As-Is process
model.
Difficulty: 1 Easy
Topic: Models Measuring Performance
Bloom's: Remember
Learning Outcome: 02-06 Demonstrate the value of business process modeling, and compare
As-Is and To-Be models.
Accessibility: Keyboard Navigation
Gradable: automatic
341) What is the business process model that ensures the process is fully and clearly understood
before the details of a process solution are decided upon?
A) As-is process model
B) Business process reengineering model
C) Customer facing process
D) To-Be process model
Answer: D
Explanation: The To-Be process model approach ensures that the process is fully and clearly
understood before the details of a process solution are decided upon.
Difficulty: 1 Easy
Topic: Models Measuring Performance
Bloom's: Remember
Learning Outcome: 02-06 Demonstrate the value of business process modeling, and compare
As-Is and To-Be models.
Accessibility: Keyboard Navigation
Gradable: automatic
559
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written consent of McGraw-Hill Education.
342) What is the difference between the As-Is process model and the To-Be process model?
A) The As-Is process model begins with what the process problem is, and the To-Be process
model displays how the problem will be solved
B) The process models are not related
C) Both process models determine when to solve the problem
D) The As-Is process model begins with where to implement the solution, and the To-Be process
model displays why the problem needs to be fixed
Answer: A
Explanation: The business process modeling usually begins with a functional process
representation. The differences between the two models is that the As-Is process model begins
with what the process problem is and the To-Be process model displays how the problem will be
solved.
Difficulty: 2 Medium
Topic: Models Measuring Performance
Bloom's: Understand
Learning Outcome: 02-06 Demonstrate the value of business process modeling, and compare
As-Is and To-Be models.
Accessibility: Keyboard Navigation
Gradable: automatic
343) What is the primary goal of the As-Is process model?
A) To outline the process elements for the To-Be process
B) To create process choices for the As-Is process
C) To simplify, eliminate, and improve the To-Be process
D) To analyze the To-Be process elements
Answer: C
Explanation: The primary goal of the As-Is process model is to simplify, eliminate, and
improve the To-Be processes.
Difficulty: 2 Medium
Topic: Models Measuring Performance
Bloom's: Understand
Learning Outcome: 02-06 Demonstrate the value of business process modeling, and compare
As-Is and To-Be models.
Accessibility: Keyboard Navigation
Gradable: automatic
560
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written consent of McGraw-Hill Education.
344) The local florist in town is Cheryl Steffan who has been in business for over 20 years.
Recently, Cheryl has noticed several complaints about delivery errors. Cheryl decides to
investigate the errors in her business delivery process and finds that most of the inaccuracies
occur during order taking. Cheryl decides to implement an electronic ordering system to help
improve order efficiency and effectiveness. What method did Cheryl follow to solve her delivery
issues?
A) Modeled the As-Is process, fixed the errors, and then created the To-Be process
B) Modeled the To-Be process, fixed the errors, and then created the As-Is process
C) Moved directly to implementing the To-Be process without analyzing the As-Is process
D) Moved directly to implementing the As-Is process without analyzing the To-Be process
Answer: A
Explanation: The As-Is process model has the primary goals to simplify, eliminate, and
improve the processes by defining the most efficient and effective process
Difficulty: 3 Hard
Topic: Models Measuring Performance
Bloom's: Analyze
Learning Outcome: 02-06 Demonstrate the value of business process modeling, and compare
As-Is and To-Be models.
Accessibility: Keyboard Navigation
Gradable: automatic
345) What is the primary goal of using As-Is and To-Be process models?
A) To determine employee specific errors
B) To determine measurement metrics
C) To determine the best way to solve a problem
D) To determine what the problem is and then how to solve the problem
Answer: D
Explanation: The primary goals of the As-Is and the To-Be process models is to determine what
the problem is and how to solve the problem.
Difficulty: 2 Medium
Topic: Models Measuring Performance
Bloom's: Understand
Learning Outcome: 02-06 Demonstrate the value of business process modeling, and compare
As-Is and To-Be models.
Accessibility: Keyboard Navigation
Gradable: automatic
561
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written consent of McGraw-Hill Education.
346) Review the below list of key terms and determine which one typically occurs during
operational business process improvement
A) Automation
B) Streamlining
C) Reengineering
D) Improvement
Answer: A
Explanation: Automation typically occurs during operational business process improvement.
Difficulty: 1 Easy
Topic: Models Measuring Performance
Bloom's: Remember
Learning Outcome: 02-06 Demonstrate the value of business process modeling, and compare
As-Is and To-Be models.
Accessibility: Keyboard Navigation
Gradable: automatic
347) Review the below list of key terms and determine which one typically occurs during
managerial business process improvement.
A) Automation
B) Streamlining
C) Reengineering
D) Improvement
Answer: B
Explanation: Streamlining typically occurs during managerial business process improvement.
Difficulty: 1 Easy
Topic: Models Measuring Performance
Bloom's: Remember
Learning Outcome: 02-06 Demonstrate the value of business process modeling, and compare
As-Is and To-Be models.
Accessibility: Keyboard Navigation
Gradable: automatic
562
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written consent of McGraw-Hill Education.
348) Review the below list of key terms and determine which one typically occurs during
strategic business process improvement.
A) Automation
B) Streamlining
C) Reengineering
D) Improvement
Answer: C
Explanation: Reengineering typically occurs during strategic business process improvement.
Difficulty: 1 Easy
Topic: Models Measuring Performance
Bloom's: Remember
Learning Outcome: 02-06 Demonstrate the value of business process modeling, and compare
As-Is and To-Be models.
Accessibility: Keyboard Navigation
Gradable: automatic
349) Which of the below examples indicates when the time is right to initiate a business process
change?
A) The market being served makes a distinctive shift
B) The company is below industry benchmarks on its core processes
C) The company strategically passes or leapfrogs the competition on key decisions to regain
competitive advantage
D) All of the above
Answer: D
Explanation: The three conditions that indicate the time is right to initiate a business process
change are 1) there has been a pronounced shift in the market the process was designed to serve,
2) the company is markedly below industry benchmarks on its core processes, and 3) the regain
competitive advantage, the company must leapfrog competition on key dimensions.
Difficulty: 2 Medium
Topic: Support Changing Business Processes with MIS
Bloom's: Understand
Learning Outcome: 02-07 Differentiate among automation, streamlining, and reengineering.
Accessibility: Keyboard Navigation
Gradable: automatic
563
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written consent of McGraw-Hill Education.
350) What does BPR assume about the current process in the extreme?
A) Current process is irrelevant
B) Current process is broken
C) Current process must be overhauled from scratch
D) All of the above
Answer: D
Explanation: BPR in the extreme assumes the current process is irrelevant, broken, or
overhauled.
Difficulty: 1 Easy
Topic: Support Changing Business Processes with MIS
Bloom's: Remember
Learning Outcome: 02-07 Differentiate among automation, streamlining, and reengineering.
Accessibility: Keyboard Navigation
Gradable: automatic
351) Which of the below processes attempt to understand and measure the current process and
make improvements?
A) Business process mapping
B) Business process reengineering
C) Business process improvement
D) Business process model
Answer: C
Explanation: The business process improvement attempts to understand and measure the
current process and make performance improvements accordingly.
Difficulty: 1 Easy
Topic: Support Changing Business Processes with MIS
Bloom's: Remember
Learning Outcome: 02-07 Differentiate among automation, streamlining, and reengineering.
Accessibility: Keyboard Navigation
Gradable: automatic
564
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written consent of McGraw-Hill Education.
352) What makes analytics part of a business process?
A) Operationalized analytics.
B) Robotic process automation.
C) Deep learning.
D) Machine learning.
Answer: A
Explanation: Operationalized analytics makes analytics part of a business process. Improving
business processes is critical to staying competitive in today's electronic marketplace.
Difficulty: 1 Easy
Topic: Support Changing Business Processes with MIS
Bloom's: Remember
Learning Outcome: 02-07 Differentiate among automation, streamlining, and reengineering.
Accessibility: Keyboard Navigation
Gradable: automatic
353) What is the use of software with artificial intelligence (AI) and machine learning
capabilities to handle high-volume, repeatable tasks that previously required a human to
perform?
A) Operationalized analytics.
B) Robotic process automation.
C) Deep learning.
D) Machine learning.
Answer: B
Explanation: the use of software with artificial intelligence (AI) and machine learning
capabilities to handle high-volume, repeatable tasks that previously required a human to perform.
Difficulty: 1 Easy
Topic: Support Changing Business Processes with MIS
Bloom's: Remember
Learning Outcome: 02-07 Differentiate among automation, streamlining, and reengineering.
Accessibility: Keyboard Navigation
Gradable: automatic
565
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written consent of McGraw-Hill Education.
354) What is a workflow control system?
A) Monitors processes to ensure tasks, activities, and responsibilities are executed as specified.
B) Includes the tasks, activities, and responsibilities required to execute each step in a business
process.
C) Attempts to understand and measure the current process and make performance
improvements accordingly.
D) All of the above
Answer: A
Explanation: Workflow control systems monitor processes to ensure tasks, activities, and
responsibilities are executed as specified.
Difficulty: 1 Easy
Topic: Making Organizational Business Decisions
Bloom's: Remember
Learning Outcome: 02-01 Explain the importance of decision making for managers at each of
the three primary organization levels along with the associated decision characteristics.
Accessibility: Keyboard Navigation
Gradable: automatic
355) Transaction processing systems are primarily used to automate business processes.
Automation increases efficiency and effectiveness, while reducing head count which in turn
reduces the overall operational ________.
A) Costs
B) Systems
C) Revenues
D) Intelligence
Answer: A
Explanation: Automation increases efficiency and effectiveness, while reducing head count
which in turn reduces the overall operational costs.
Difficulty: 1 Easy
Topic: Support Changing Business Processes with MIS
Bloom's: Remember
Learning Outcome: 02-07 Differentiate among automation, streamlining, and reengineering.
Accessibility: Keyboard Navigation
Gradable: automatic
566
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written consent of McGraw-Hill Education.
356) Several factors can accelerate the need for a company to make business improvement
processes. What is the most prevalent factor?
A) Market shifts
B) Technology
C) Discoveries
D) Bottlenecking
Answer: B
Explanation: Several factors can accelerate the need for a company to make business
improvement processes. The most prevalent factor by far is technology.
Difficulty: 2 Medium
Topic: Support Changing Business Processes with MIS
Bloom's: Understand
Learning Outcome: 02-07 Differentiate among automation, streamlining, and reengineering.
Accessibility: Keyboard Navigation
Gradable: automatic
357) What improves managerial level business processes?
A) Performance measures
B) Bottlenecks
C) Redundancy
D) Streamlining
Answer: D
Explanation: The factor to improving the managerial level business processes is through
streamlining, which improves business process efficiencies simplifying or eliminating
unnecessary steps.
Difficulty: 1 Easy
Topic: Support Changing Business Processes with MIS
Bloom's: Remember
Learning Outcome: 02-07 Differentiate among automation, streamlining, and reengineering.
Accessibility: Keyboard Navigation
Gradable: automatic
567
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358) What is the point when resources reach full capacity and cannot handle any additional
demands?
A) Optimization analysis
B) Bottlenecks
C) Redundancy
D) Swim lane
Answer: B
Explanation: Bottlenecks occur when resources reach full capacity and cannot handle any
additional demands; they limit throughput and impede operations.
Difficulty: 1 Easy
Topic: Support Changing Business Processes with MIS
Bloom's: Remember
Learning Outcome: 02-07 Differentiate among automation, streamlining, and reengineering.
Accessibility: Keyboard Navigation
Gradable: automatic
359) Which of the following represents an example of a technology that actually disrupts and
slows workflow?
A) Email
B) Twitter
C) Facebook
D) All of the above
Answer: D
Explanation: The biggest problem with technology is some systems can really interfere and
slow down the workflow including: email, Facebook, twitter, many social media sites to name a
few
Difficulty: 2 Medium
Topic: Support Changing Business Processes with MIS
Bloom's: Understand
Learning Outcome: 02-07 Differentiate among automation, streamlining, and reengineering.
Accessibility: Keyboard Navigation
Gradable: automatic
568
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360) Automating a business process that contains ________ or ________ will magnify or
amplify these problems if they are not corrected first.
A) Bottlenecks or regulations
B) Redundancies or regulations
C) Bottlenecks or redundancies
D) Redundancies or swim lanes
Answer: C
Explanation: Automating a business process that contains bottlenecks or redundancies will
magnify or amplify these problems if they are not corrected first.
Difficulty: 1 Easy
Topic: Support Changing Business Processes with MIS
Bloom's: Remember
Learning Outcome: 02-07 Differentiate among automation, streamlining, and reengineering.
Accessibility: Keyboard Navigation
Gradable: automatic
361) Fedex is a great example of a company that created a competitive advantage through
combining MIS and ________.
A) Traditional distribution and logistics processes
B) Logistic processes and an As-Is process model
C) Artificial intelligence and As-Is process model
D) Swim lanes and logistic processes
Answer: A
Explanation: Fedex is a great example of a real life company that created a competitive
advantage through combining MIS and traditional distribution and logistics processes.
Difficulty: 2 Medium
Topic: Support Changing Business Processes with MIS
Bloom's: Understand
Learning Outcome: 02-07 Differentiate among automation, streamlining, and reengineering.
Accessibility: Keyboard Navigation
Gradable: automatic
569
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362) What is the analysis and redesign of workflow within and between enterprises?
A) Critical success factors (CSFs)
B) Benchmarking metrics
C) Business process reengineering (BPR)
D) Decision support interfaces (DSI)
Answer: C
Explanation: Business process reengineering (BPR) is the analysis and redesign of workflow
within and between enterprises
Difficulty: 1 Easy
Topic: Support Changing Business Processes with MIS
Bloom's: Remember
Learning Outcome: 02-07 Differentiate among automation, streamlining, and reengineering.
Accessibility: Keyboard Navigation
Gradable: automatic
363) Changing business processes with MIS outlines how to improve the three levels of business
processes which include operational, managerial, and strategic. From operational to strategic,
what are the three major improvement strategies that the author describes?
A) Automation – streamlining - reengineering
B) Artificial intelligence – streamlining - reengineering
C) Automation – workflow - reinvention
D) Automation – consolidating - restructuring
Answer: A
Explanation: Changing business processes with MIS outlines how to improve the three levels of
business processes which include operational, managerial, and strategic. From operational to
strategic, the three major improvement strategies are automation – streamlining – reengineering.
Difficulty: 2 Medium
Topic: Support Changing Business Processes with MIS
Bloom's: Understand
Learning Outcome: 02-07 Differentiate among automation, streamlining, and reengineering.
Accessibility: Keyboard Navigation
Gradable: automatic
570
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364) Which of the below represents the four main steps in the business process reengineering?
A) Set project problem, study competition, create new products, and implement solution
B) Set project scope, study competition, create new products, and implement solution
C) Set project scope, study competition, create new processes, and implement solution
D) Study competition, set project scope, create new processes, and implement solutions
Answer: C
Explanation: The four main steps in the business process reengineering model include 1) set
project scope, 2) study competition, 3) create new processes, and 4) implement solution.
Difficulty: 2 Medium
Topic: Support Changing Business Processes with MIS
Bloom's: Understand
Learning Outcome: 02-07 Differentiate among automation, streamlining, and reengineering.
Accessibility: Keyboard Navigation
Gradable: automatic
365) Which of the following explains why a company would implement a BPR strategy?
A) To encourage competition
B) To decrease customers
C) To create value for the customer
D) All of the above
Answer: C
Explanation: To create value for the customer is the leading reason a company would
implement a BPR strategy, and MIS often plays an important enabling role.
Difficulty: 2 Medium
Topic: Support Changing Business Processes with MIS
Bloom's: Understand
Learning Outcome: 02-07 Differentiate among automation, streamlining, and reengineering.
Accessibility: Keyboard Navigation
Gradable: automatic
571
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written consent of McGraw-Hill Education.
366) What includes the tasks, activities, and responsibilities required to execute each step in a
business process?
A) Workflow
B) Swim lane
C) Automation
D) Streamlining
Answer: A
Explanation: Workflow includes the tasks, activities, and responsibilities required to execute
each step in a business process.
Difficulty: 1 Easy
Topic: Support Changing Business Processes with MIS
Bloom's: Remember
Learning Outcome: 02-07 Differentiate among automation, streamlining, and reengineering.
Accessibility: Keyboard Navigation
Gradable: automatic
367) What is the process of computerizing manual tasks, making them more efficient and
effective and dramatically lowering operational costs?
A) Workflow
B) Swim lane
C) Automation
D) Streamlining
Answer: C
Explanation: Automation is the process of computerizing manual tasks, making them more
efficient and effective and dramatically lowering operational costs.
Difficulty: 1 Easy
Topic: Support Changing Business Processes with MIS
Bloom's: Remember
Learning Outcome: 02-07 Differentiate among automation, streamlining, and reengineering.
Accessibility: Keyboard Navigation
Gradable: automatic
572
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written consent of McGraw-Hill Education.
368) What improves business process efficiencies by simplifying or eliminating unnecessary
steps?
A) Workflow
B) Swim lane
C) Automation
D) Streamlining
Answer: D
Explanation: Streamlining improves business process efficiencies by simplifying or eliminating
unnecessary steps.
Difficulty: 1 Easy
Topic: Support Changing Business Processes with MIS
Bloom's: Remember
Learning Outcome: 02-07 Differentiate among automation, streamlining, and reengineering.
Accessibility: Keyboard Navigation
Gradable: automatic
369) What occurs when resources reach full capacity and cannot handle any additional demands
limiting throughput and impeding operations?
A) Bottlenecks
B) Redundancy
C) Automation
D) Streamlining
Answer: A
Explanation: Bottlenecks occurs when resources reach full capacity and cannot handle any
additional demands limiting throughput and impeding operations.
Difficulty: 1 Easy
Topic: Support Changing Business Processes with MIS
Bloom's: Remember
Learning Outcome: 02-07 Differentiate among automation, streamlining, and reengineering.
Accessibility: Keyboard Navigation
Gradable: automatic
573
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written consent of McGraw-Hill Education.
370) What occurs when a task or activity is unnecessarily repeated?
A) Bottlenecks
B) Redundancy
C) Automation
D) Streamlining
Answer: B
Explanation: Redundancy occurs when a task or activity is unnecessarily repeated.
Difficulty: 1 Easy
Topic: Support Changing Business Processes with MIS
Bloom's: Remember
Learning Outcome: 02-07 Differentiate among automation, streamlining, and reengineering.
Accessibility: Keyboard Navigation
Gradable: automatic
371) What are static, routine, daily business processes such as stocking inventory, checking out
customers, or daily opening and closing processes?
A) Operational business processes
B) Managerial business processes
C) Strategic business processes
D) Success business processes
Answer: A
Explanation: Operational business processes are static, routine, daily business processes such as
stocking inventory, checking out customers, or daily opening and closing processes
Difficulty: 1 Easy
Topic: Support Changing Business Processes with MIS
Bloom's: Remember
Learning Outcome: 02-07 Differentiate among automation, streamlining, and reengineering.
Accessibility: Keyboard Navigation
Gradable: automatic
574
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written consent of McGraw-Hill Education.
372) What are dynamic, nonroutine, long-term business processes such as financial planning,
expansion strategies, and stakeholder interactions?
A) Operational business processes
B) Managerial business processes
C) Strategic business processes
D) Success business processes
Answer: C
Explanation: Strategic business processes are dynamic, nonroutine, long-term business
processes such as financial planning, expansion strategies, and stakeholder interactions.
Difficulty: 1 Easy
Topic: Support Changing Business Processes with MIS
Bloom's: Remember
Learning Outcome: 02-07 Differentiate among automation, streamlining, and reengineering.
Accessibility: Keyboard Navigation
Gradable: automatic
373) What are semidynamic, semiroutine, monthly business processes such as resource
allocation, sales strategy, or manufacturing process improvements?
A) Operational business processes
B) Managerial business processes
C) Strategic business processes
D) Success business processes
Answer: B
Explanation: Managerial business processes semidynamic, semiroutine, monthly business
processes such as resource allocation, sales strategy, or manufacturing process improvements
Difficulty: 1 Easy
Topic: Support Changing Business Processes with MIS
Bloom's: Remember
Learning Outcome: 02-07 Differentiate among automation, streamlining, and reengineering.
Accessibility: Keyboard Navigation
Gradable: automatic
575
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written consent of McGraw-Hill Education.
374) What are managerial business processes?
A) Dynamic, nonroutine, long-term business processes such as financial planning, expansion
strategies, and stakeholder interactions.
B) Semidynamic, semiroutine, monthly business processes such as resource allocation, sales
strategy, or manufacturing process improvements
C) Static, routine, daily business processes such as stocking inventory, checking out customers,
or daily opening and closing processes.
D) None of the above
Answer: B
Explanation: Managerial business processes are semidynamic, semiroutine, monthly business
processes such as resource allocation, sales strategy, or manufacturing process improvements
Difficulty: 1 Easy
Topic: Support Changing Business Processes with MIS
Bloom's: Remember
Learning Outcome: 02-07 Differentiate among automation, streamlining, and reengineering.
Accessibility: Keyboard Navigation
Gradable: automatic
375) What are strategic business processes?
A) Dynamic, nonroutine, long-term business processes such as financial planning, expansion
strategies, and stakeholder interactions.
B) Semidynamic, semiroutine, monthly business processes such as resource allocation, sales
strategy, or manufacturing process improvements
C) Static, routine, daily business processes such as stocking inventory, checking out customers,
or daily opening and closing processes.
D) None of the above
Answer: A
Explanation: Strategic business processes are dynamic, nonroutine, long-term business
processes such as financial planning, expansion strategies, and stakeholder interactions.
Difficulty: 1 Easy
Topic: Support Changing Business Processes with MIS
Bloom's: Remember
Learning Outcome: 02-07 Differentiate among automation, streamlining, and reengineering.
Accessibility: Keyboard Navigation
Gradable: automatic
576
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written consent of McGraw-Hill Education.
376) What are operational business processes?
A) Dynamic, nonroutine, long-term business processes such as financial planning, expansion
strategies, and stakeholder interactions.
B) Semidynamic, semiroutine, monthly business processes such as resource allocation, sales
strategy, or manufacturing process improvements
C) Static, routine, daily business processes such as stocking inventory, checking out customers,
or daily opening and closing processes.
D) None of the above
Answer: C
Explanation: Operational business processes are static, routine, daily business processes such as
stocking inventory, checking out customers, or daily opening and closing processes.
Difficulty: 1 Easy
Topic: Support Changing Business Processes with MIS
Bloom's: Remember
Learning Outcome: 02-07 Differentiate among automation, streamlining, and reengineering.
Accessibility: Keyboard Navigation
Gradable: automatic
377) Explain the importance of decision making for managers at each of the three primary
organization levels along with the associated decision characteristics.
Answer: Decision-making skills are essential for all business professionals, at every company
level, who make decisions that run the business. At the operational level, employees develop,
control, and maintain core business activities required to run the day-to-day operations.
Operational decisions are considered structured decisions, which arise in situations where
established processes offer potential solutions. Structured decisions are made frequently and are
almost repetitive in nature; they affect short-term business strategies. At the managerial level,
employees are continuously evaluating company operations to hone the firm's abilities to identify,
adapt to, and leverage change. Managerial decisions cover short- and medium-range plans,
schedules, and budgets along with policies, procedures, and business objectives for the firm. These
types of decisions are considered semistructured decisions; they occur in situations in which a few
established processes help to evaluate potential solutions, but not enough to lead to a definite
recommended decision. At the strategic level, managers develop overall business strategies, goals,
and objectives as part of the company's strategic plan. They also monitor the strategic performance
of the organization and its overall direction in the political, economic, and competitive business
environment. Strategic decisions are highly unstructured decisions, occurring in situations in which
no procedures or rules exist to guide decision makers toward the correct choice. They are
infrequent, extremely important, and typically related to long-term business strategy.
Difficulty: 3 Hard
Topic: Making Organizational Business Decisions
Bloom's: Analyze
Learning Outcome: 02-01 Explain the importance of decision making for managers at each of
the three primary organization levels along with the associated decision characteristics.
Accessibility: Keyboard Navigation
Gradable: manual
577
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written consent of McGraw-Hill Education.
378) Define critical success factors (CSFs) and key performance indicators (KPIs), and explain
how managers use them to measure the success of MIS projects.
Answer: Metrics are measurements that evaluate results to determine whether a project is
meeting its goals. Two core metrics are critical success factors and key performance indicators.
CSFs are the crucial steps companies perform to achieve their goals and objectives and
implement their strategies and include creating high-quality products, retaining competitive
advantages, and reducing product costs. KPIs are the quantifiable metrics a company uses to
evaluate progress toward critical success factors. KPIs are far more specific than CSFs; examples
include turnover rates of employees, percentage of help-desk calls answered in the first minute,
and number of products returned. It is important to understand the relationship between critical
success factors and key performance indicators. CSFs are elements crucial for a business
strategy's success. KPIs measure the progress of CSFs with quantifiable measurements, and one
CSF can have several KPIs. Of course, both categories will vary by company and industry.
Imagine improved graduation rates as a CSF for a college.
Difficulty: 3 Hard
Topic: Metrics Measuring Business Success
Bloom's: Analyze
Learning Outcome: 02-02 Define critical success factors (CSFs) and key performance
indicators (KPIs), and explain how managers use them to measure the success of MIS projects.
Accessibility: Keyboard Navigation
Gradable: manual
379) Classify the different operational support systems, managerial support systems, and
strategic support systems, and explain how managers can use these systems to make decisions
and gain competitive advantages.
Answer: Being able to sort, calculate, analyze, and slice-and-dice information is critical to an
organization's success. Without knowing what is occurring throughout the organization there is
no way that managers and executives can make solid decisions to support the business. The
different operational, managerial, and strategic support systems include: Operational: A
transaction processing system (TPS) is the basic business system that serves the operational level
(analysts) in an organization. The most common example of a TPS is an operational accounting
system such as a payroll system or an order-entry system. Managerial: A decision support system
(DSS) models information to support managers and business professionals during the decisionmaking process. Strategic: An executive information system (EIS) is a specialized DSS that
supports senior level executives within the organization.
Difficulty: 3 Hard
Topic: Support Enhancing Decision Making with MIS
Bloom's: Analyze
Learning Outcome: 02-03 Classify the different operational support systems, managerial
support systems, and strategic support systems, and explain how managers can use these systems
to make decisions and gain competitive advantages.
Accessibility: Keyboard Navigation
Gradable: manual
578
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written consent of McGraw-Hill Education.
380) Describe artificial intelligence, and identify its five main types.
Answer: Artificial intelligence (AI) simulates human thinking and behavior, such as the ability
to reason and learn. The five most common categories of AI are: 1. Expert systems—
computerized advisory programs that imitate the reasoning processes of experts in solving
difficult problems. 2: Neural networks—attempts to emulate the way the human brain works. 1.
Genetic algorithm—a system that mimics the evolutionary, survival-of-the-fittest process to
generate increasingly better solutions to a problem. 1. Intelligent agents—a special-purpose
knowledge-based information system that accomplishes specific tasks on behalf of its users. 1.
Virtual reality—a computer-simulated environment that can be a simulation of the real world or
an imaginary world.
Difficulty: 3 Hard
Topic: The Future Artificial Intelligence
Bloom's: Analyze
Learning Outcome: 02-04 Describe artificial intelligence, and identify its five main types.
Accessibility: Keyboard Navigation
Gradable: manual
381) Explain the value of business processes for a company, and differentiate between customerfacing and business-facing process.
Answer: A business process is a standardized set of activities that accomplish a specific task,
such as processing a customer's order. Business processes transform a set of inputs into a set of
outputs (goods or services) for another person or process by using people and tools. Without
processes, organizations would not be able to complete activities. Customer-facing processes
result in a product or service that is received by an organization's external customer. Businessfacing processes are invisible to the external customer but essential to the effective management
of the business.
Difficulty: 3 Hard
Topic: Evaluating Business Processes
Bloom's: Analyze
Learning Outcome: 02-05 Explain the value of business processes for a company, and
differentiate between customer-facing and business-facing processes.
Accessibility: Keyboard Navigation
Gradable: manual
579
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written consent of McGraw-Hill Education.
382) Demonstrate the value of business process modeling, and compare As-Is and To-Be
models.
Answer: Business process modeling (or mapping) is the activity of creating a detailed flowchart
or process map of a work process showing its inputs, tasks, and activities, in a structured
sequence. A business process model is a graphic description of a process, showing the sequence
of process tasks, which is developed for a specific purpose and from a selected viewpoint.
Business process modeling usually begins with a functional process representation of what the
process problem is, or an As-Is process model. As-Is process models represent the current state
of the operation that has been mapped, without any specific improvements or changes to existing
processes. The next step is to build a To-Be process model that displays how the process
problem will be solved or implemented. To-Be process models show the results of applying
change improvement opportunities to the current (As-Is) process model. This approach ensures
that the process is fully and clearly understood before the details of a process solution are
decided upon.
Difficulty: 3 Hard
Topic: Models Measuring Performance
Bloom's: Analyze
Learning Outcome: 02-06 Demonstrate the value of business process modeling, and compare
As-Is and To-Be models.
Accessibility: Keyboard Navigation
Gradable: manual
383) Differentiate among business process improvements, streamlining, and reengineering.
Answer: Business process improvement attempts to understand and measure the current process
and make performance improvements accordingly. Streamlining improves business process
efficiencies by simplifying or eliminating unnecessary steps. Bottlenecks occur when resources
reach full capacity and cannot handle any additional demands; they limit throughput and impede
operations. Streamlining removes bottlenecks, an important step if the efficiency and capacity of
a business process are being increased. Business process reengineering (BPR) is the analysis and
redesign of workflow within and between enterprises and occurs at the systems level or
companywide level and the end-to-end view of a process.
Difficulty: 3 Hard
Topic: Support Changing Business Processes with MIS
Bloom's: Analyze
Learning Outcome: 02-07 Differentiate among automation, streamlining, and reengineering.
Accessibility: Keyboard Navigation
Gradable: manual
Business Driven Information Systems, 6e (Baltzan)
Chapter 8 Enterprise Applications: Business Communications
1) Integrations allow separate systems to communicate directly with each other, eliminating the
need for manual entry into multiple systems.
Answer: TRUE
580
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written consent of McGraw-Hill Education.
Explanation: Integrations allow separate systems to communicate directly with each other,
eliminating the need for manual entry into multiple systems.
Difficulty: 1 Easy
Topic: Building a Connected Corporation through Integration
Bloom's: Remember
Learning Outcome: 08-01 Explain integrations and the role they play in connecting a
corporation.
Accessibility: Keyboard Navigation
Gradable: automatic
2) Integrations provide enterprisewide support and data access for a firm's operations and
business processes.
Answer: FALSE
Explanation: Enterprise systems provide enterprisewide support and data access for a firm's
operations and business processes.
Difficulty: 1 Easy
Topic: Building a Connected Corporation through Integration
Bloom's: Remember
Learning Outcome: 08-01 Explain integrations and the role they play in connecting a
corporation.
Accessibility: Keyboard Navigation
Gradable: automatic
3) Middleware translates information between disparate systems.
Answer: TRUE
Explanation: Middleware translates information between disparate systems.
Difficulty: 1 Easy
Topic: Building a Connected Corporation through Integration
Bloom's: Remember
Learning Outcome: 08-01 Explain integrations and the role they play in connecting a
corporation.
Accessibility: Keyboard Navigation
Gradable: automatic
581
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written consent of McGraw-Hill Education.
4) Enterprise application integration (EAI) middleware takes a new approach to middleware by
packaging commonly used applications together, reducing the time needed to integrate
applications from multiple vendors.
Answer: TRUE
Explanation: Enterprise application integration (EAI) middleware takes a new approach to
middleware by packaging commonly used applications together, reducing the time needed to
integrate applications from multiple vendors.
Difficulty: 1 Easy
Topic: Building a Connected Corporation through Integration
Bloom's: Remember
Learning Outcome: 08-01 Explain integrations and the role they play in connecting a
corporation.
Accessibility: Keyboard Navigation
Gradable: automatic
5) Eintegration is the use of the Internet to provide customers with the ability to gain
personalized information by querying corporate databases and their information sources.
Answer: TRUE
Explanation: Eintegration is the use of the Internet to provide customers with the ability to gain
personalized information by querying corporate databases and their information sources.
Difficulty: 1 Easy
Topic: Building a Connected Corporation through Integration
Bloom's: Remember
Learning Outcome: 08-01 Explain integrations and the role they play in connecting a
corporation.
Accessibility: Keyboard Navigation
Gradable: automatic
6) Data integration is the integration of a company's existing management information systems.
Answer: FALSE
Explanation: Application integration is the integration of a company's existing management
information systems.
Difficulty: 1 Easy
Topic: Building a Connected Corporation through Integration
Bloom's: Remember
Learning Outcome: 08-01 Explain integrations and the role they play in connecting a
corporation.
Accessibility: Keyboard Navigation
Gradable: automatic
582
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written consent of McGraw-Hill Education.
7) Application integration is the integration of data from multiple sources, which provides a
unified view of all data.
Answer: FALSE
Explanation: Data integration is the integration of data from multiple sources, which provides a
unified view of all data.
Difficulty: 1 Easy
Topic: Building a Connected Corporation through Integration
Bloom's: Understand
Learning Outcome: 08-01 Explain integrations and the role they play in connecting a
corporation.
Accessibility: Keyboard Navigation
Gradable: automatic
8) Application integration is the integration of a company's existing management information
systems.
Answer: TRUE
Explanation: Application integration is the integration of a company's existing management
information systems.
Difficulty: 1 Easy
Topic: Building a Connected Corporation through Integration
Bloom's: Remember
Learning Outcome: 08-01 Explain integrations and the role they play in connecting a
corporation.
Accessibility: Keyboard Navigation
Gradable: automatic
9) Data integration is the integration of data from multiple sources, which provides a unified
view of all data.
Answer: TRUE
Explanation: Data integration is the integration of data from multiple sources, which provides a
unified view of all data.
Difficulty: 1 Easy
Topic: Building a Connected Corporation through Integration
Bloom's: Understand
Learning Outcome: 08-01 Explain integrations and the role they play in connecting a
corporation.
Accessibility: Keyboard Navigation
Gradable: automatic
583
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10) A forward integration takes information entered into a given system and sends it
automatically to all downstream systems and processes.
Answer: TRUE
Explanation: A forward integration takes information entered into a given system and sends it
automatically to all downstream systems and processes.
Difficulty: 1 Easy
Topic: Building a Connected Corporation through Integration
Bloom's: Understand
Learning Outcome: 08-01 Explain integrations and the role they play in connecting a
corporation.
Accessibility: Keyboard Navigation
Gradable: automatic
11) A backward integration takes information entered into a given system and sends it
automatically to all upstream systems and processes
Answer: TRUE
Explanation: A backward integration takes information entered into a given system and sends it
automatically to all upstream systems and processes
Difficulty: 1 Easy
Topic: Building a Connected Corporation through Integration
Bloom's: Understand
Learning Outcome: 08-01 Explain integrations and the role they play in connecting a
corporation.
Accessibility: Keyboard Navigation
Gradable: automatic
12) A backward integration takes information entered into a given system and sends it
automatically to all downstream systems and processes.
Answer: FALSE
Explanation: A forward integration takes information entered into a given system and sends it
automatically to all downstream systems and processes.
Difficulty: 1 Easy
Topic: Building a Connected Corporation through Integration
Bloom's: Understand
Learning Outcome: 08-01 Explain integrations and the role they play in connecting a
corporation.
Accessibility: Keyboard Navigation
Gradable: automatic
584
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written consent of McGraw-Hill Education.
13) A forward integration takes information entered into a given system and sends it
automatically to all upstream systems and processes
Answer: FALSE
Explanation: A backward integration takes information entered into a given system and sends it
automatically to all upstream systems and processes
Difficulty: 1 Easy
Topic: Building a Connected Corporation through Integration
Bloom's: Understand
Learning Outcome: 08-01 Explain integrations and the role they play in connecting a
corporation.
Accessibility: Keyboard Navigation
Gradable: automatic
14) Integrations are achieved using middleware —several types of software that sit between and
provide connectivity for two or more software applications. Middleware translates information
between disparate systems.
Answer: TRUE
Explanation: Integrations are achieved using middleware —several types of software that sit
between and provide connectivity for two or more software applications. Middleware translates
information between disparate systems.
Difficulty: 1 Easy
Topic: Building a Connected Corporation through Integration
Bloom's: Understand
Learning Outcome: 08-01 Explain integrations and the role they play in connecting a
corporation.
Accessibility: Keyboard Navigation
Gradable: automatic
15) Enterprise application integration (EAI) middleware takes a new approach to middleware by
packaging commonly used applications together, reducing the time needed to integrate
applications from multiple vendors.
Answer: TRUE
Explanation: Enterprise application integration (EAI) middleware takes a new approach to
middleware by packaging commonly used applications together, reducing the time needed to
integrate applications from multiple vendors.
Difficulty: 1 Easy
Topic: Building a Connected Corporation through Integration
Bloom's: Understand
Learning Outcome: 08-01 Explain integrations and the role they play in connecting a
corporation.
Accessibility: Keyboard Navigation
Gradable: automatic
585
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written consent of McGraw-Hill Education.
16) The customers' customer is upstream in the supply chain.
Answer: FALSE
Explanation: The customers' customer is downstream in the supply chain.
Difficulty: 2 Medium
Topic: Supply Chain Management
Bloom's: Understand
Learning Outcome: 08-02 Describe supply chain management along with its associated benefits
and challenges.
Accessibility: Keyboard Navigation
Gradable: automatic
17) Plan, source, make, deliver, and return are the five basic supply chain management
components.
Answer: TRUE
Explanation: Plan, source, make, deliver, and return are the five basic supply chain
management components.
Difficulty: 1 Easy
Topic: Supply Chain Management
Bloom's: Remember
Learning Outcome: 08-02 Describe supply chain management along with its associated benefits
and challenges.
Accessibility: Keyboard Navigation
Gradable: automatic
18) Plan, source, give, get, and return are the five basic supply chain management components.
Answer: FALSE
Explanation: Plan, source, make, deliver, and return are the five basic supply chain
management components.
Difficulty: 1 Easy
Topic: Supply Chain Management
Bloom's: Remember
Learning Outcome: 08-02 Describe supply chain management along with its associated benefits
and challenges.
Accessibility: Keyboard Navigation
Gradable: automatic
586
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written consent of McGraw-Hill Education.
19) In the basic supply chain source refers to building relationships with suppliers to procure raw
materials.
Answer: TRUE
Explanation: In the basic supply chain source refers to building relationships with suppliers to
procure raw materials.
Difficulty: 1 Easy
Topic: Supply Chain Management
Bloom's: Remember
Learning Outcome: 08-02 Describe supply chain management along with its associated benefits
and challenges.
Accessibility: Keyboard Navigation
Gradable: automatic
20) In the basic supply chain source refers to planning for transportation of goods to customers.
Answer: FALSE
Explanation: In the basic supply chain deliver refers to planning for transportation of goods to
customers.
Difficulty: 1 Easy
Topic: Supply Chain Management
Bloom's: Remember
Learning Outcome: 08-02 Describe supply chain management along with its associated benefits
and challenges.
Accessibility: Keyboard Navigation
Gradable: automatic
21) In the basic supply chain return refers to supporting customers and product returns.
Answer: TRUE
Explanation: In the basic supply chain return refers to supporting customers and product
returns.
Difficulty: 1 Easy
Topic: Supply Chain Management
Bloom's: Remember
Learning Outcome: 08-02 Describe supply chain management along with its associated benefits
and challenges.
Accessibility: Keyboard Navigation
Gradable: automatic
587
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written consent of McGraw-Hill Education.
22) In the basic supply chain make refers to manufacturing products and create production
schedules.
Answer: TRUE
Explanation: In the basic supply chain make refers to manufacturing products and create
production schedules.
Difficulty: 1 Easy
Topic: Supply Chain Management
Bloom's: Remember
Learning Outcome: 08-02 Describe supply chain management along with its associated benefits
and challenges.
Accessibility: Keyboard Navigation
Gradable: automatic
23) In the basic supply chain return refers to prepare to manage all resources required to meet
demands.
Answer: FALSE
Explanation: In the basic supply chain plan refers to prepare to manage all resources required to
meet demands.
Difficulty: 1 Easy
Topic: Supply Chain Management
Bloom's: Remember
Learning Outcome: 08-02 Describe supply chain management along with its associated benefits
and challenges.
Accessibility: Keyboard Navigation
Gradable: automatic
24) In the basic supply chain plan refers to preparing to manage all resources required to meet
demand.
Answer: TRUE
Explanation: In the basic supply chain plan refers to preparing to manage all resources required
to meet demand.
Difficulty: 1 Easy
Topic: Supply Chain Management
Bloom's: Remember
Learning Outcome: 08-02 Describe supply chain management along with its associated benefits
and challenges.
Accessibility: Keyboard Navigation
Gradable: automatic
588
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written consent of McGraw-Hill Education.
25) In the basic supply chain deliver refers to planning for transportation of goods to customers.
Answer: TRUE
Explanation: In the basic supply chain deliver refers to planning for transportation of goods to
customers.
Difficulty: 1 Easy
Topic: Supply Chain Management
Bloom's: Remember
Learning Outcome: 08-02 Describe supply chain management along with its associated benefits
and challenges.
Accessibility: Keyboard Navigation
Gradable: automatic
26) Materials are transformed into semifinished and finished products—the organization's own
production processes.
Answer: TRUE
Explanation: Materials are transformed into semifinished and finished products—the
organization's own production processes.
Difficulty: 1 Easy
Topic: Supply Chain Management
Bloom's: Remember
Learning Outcome: 08-02 Describe supply chain management along with its associated benefits
and challenges.
Accessibility: Keyboard Navigation
Gradable: automatic
27) Products are distributed to customers and their downstream customers at all levels.
Answer: TRUE
Explanation: Products are distributed to customers and their downstream customers at all
levels.
Difficulty: 1 Easy
Topic: Supply Chain Management
Bloom's: Remember
Learning Outcome: 08-02 Describe supply chain management along with its associated benefits
and challenges.
Accessibility: Keyboard Navigation
Gradable: automatic
589
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written consent of McGraw-Hill Education.
28) A back order is an unfilled customer order for a product that is out of stock.
Answer: TRUE
Explanation: A back order is an unfilled customer order for a product that is out of stock.
Difficulty: 1 Easy
Topic: Supply Chain Management
Bloom's: Remember
Learning Outcome: 08-02 Describe supply chain management along with its associated benefits
and challenges.
Accessibility: Keyboard Navigation
Gradable: automatic
29) Inventory cycle time is the time it takes to manufacture a product and deliver it to the
retailer.
Answer: TRUE
Explanation: Inventory cycle time is the time it takes to manufacture a product and deliver it to
the retailer.
Difficulty: 1 Easy
Topic: Supply Chain Management
Bloom's: Remember
Learning Outcome: 08-02 Describe supply chain management along with its associated benefits
and challenges.
Accessibility: Keyboard Navigation
Gradable: automatic
30) Customer order cycle time is the agreed upon time between the purchase of a product and the
delivery of the product.
Answer: TRUE
Explanation: Customer order cycle time is the agreed upon time between the purchase of a
product and the delivery of the product.
Difficulty: 1 Easy
Topic: Supply Chain Management
Bloom's: Remember
Learning Outcome: 08-02 Describe supply chain management along with its associated benefits
and challenges.
Accessibility: Keyboard Navigation
Gradable: automatic
590
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written consent of McGraw-Hill Education.
31) Inventory turnover is the frequency of inventory replacement.
Answer: TRUE
Explanation: Inventory turnover is the frequency of inventory replacement.
Difficulty: 1 Easy
Topic: Supply Chain Management
Bloom's: Remember
Learning Outcome: 08-02 Describe supply chain management along with its associated benefits
and challenges.
Accessibility: Keyboard Navigation
Gradable: automatic
32) Inventory turnover is an unfilled customer order for a product that is out of stock.
Answer: FALSE
Explanation: A back order is an unfilled customer order for a product that is out of stock.
Difficulty: 1 Easy
Topic: Supply Chain Management
Bloom's: Remember
Learning Outcome: 08-02 Describe supply chain management along with its associated benefits
and challenges.
Accessibility: Keyboard Navigation
Gradable: automatic
33) Customer order cycle time is the time it takes to manufacture a product and deliver it to the
retailer.
Answer: FALSE
Explanation: Inventory cycle time is the time it takes to manufacture a product and deliver it to
the retailer.
Difficulty: 1 Easy
Topic: Supply Chain Management
Bloom's: Remember
Learning Outcome: 08-02 Describe supply chain management along with its associated benefits
and challenges.
Accessibility: Keyboard Navigation
Gradable: automatic
591
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written consent of McGraw-Hill Education.
34) Inventory cycle time is the agreed upon time between the purchase of a product and the
delivery of the product.
Answer: FALSE
Explanation: Customer order cycle time is the agreed upon time between the purchase of a
product and the delivery of the product.
Difficulty: 1 Easy
Topic: Supply Chain Management
Bloom's: Remember
Learning Outcome: 08-02 Describe supply chain management along with its associated benefits
and challenges.
Accessibility: Keyboard Navigation
Gradable: automatic
35) Inventory cycle time is the frequency of inventory replacement.
Answer: FALSE
Explanation: Inventory turnover is the frequency of inventory replacement.
Difficulty: 1 Easy
Topic: Supply Chain Management
Bloom's: Remember
Learning Outcome: 08-02 Describe supply chain management along with its associated benefits
and challenges.
Accessibility: Keyboard Navigation
Gradable: automatic
36) Information technology's primary role in supply chain management is creating the
integrations or tight process and information linkages between functions within a firm - such as
marketing, sales, finance, manufacturing, and distribution – and between firms.
Answer: TRUE
Explanation: Information technology's primary role in supply chain management is creating the
integrations or tight process and information linkages between functions within a firm - such as
marketing, sales, finance, manufacturing, and distribution – and between firms.
Difficulty: 1 Easy
Topic: Supply Chain Management
Bloom's: Remember
Learning Outcome: 08-02 Describe supply chain management along with its associated benefits
and challenges.
Accessibility: Keyboard Navigation
Gradable: automatic
592
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written consent of McGraw-Hill Education.
37) Effective and efficient supply chain management systems can enable an organization to
decrease the power of its buyers.
Answer: TRUE
Explanation: Organizations can decrease the power of its buyers through efficient and effective
SCM.
Difficulty: 1 Easy
Topic: Supply Chain Management
Bloom's: Remember
Learning Outcome: 08-02 Describe supply chain management along with its associated benefits
and challenges.
Accessibility: Keyboard Navigation
Gradable: automatic
38) Supply chain visibility is the ability to view all areas up and down the supply chain
Answer: TRUE
Difficulty: 1 Easy
Topic: Supply Chain Management
Bloom's: Remember
Learning Outcome: 08-02 Describe supply chain management along with its associated benefits
and challenges.
Accessibility: Keyboard Navigation
Gradable: automatic
39) Supply chain execution systems ensure supply chain cohesion by automating the different
activities of the supply chain.
Answer: TRUE
Difficulty: 1 Easy
Topic: Supply Chain Management
Bloom's: Remember
Learning Outcome: 08-02 Describe supply chain management along with its associated benefits
and challenges.
Accessibility: Keyboard Navigation
Gradable: automatic
593
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written consent of McGraw-Hill Education.
40) Supply chain execution system is the ability to view all areas up and down the supply chain
Answer: FALSE
Difficulty: 1 Easy
Topic: Supply Chain Management
Bloom's: Remember
Learning Outcome: 08-02 Describe supply chain management along with its associated benefits
and challenges.
Accessibility: Keyboard Navigation
Gradable: automatic
41) Supply chain visibility ensure supply chain cohesion by automating the different activities of
the supply chain.
Answer: FALSE
Difficulty: 1 Easy
Topic: Supply Chain Management
Bloom's: Remember
Learning Outcome: 08-02 Describe supply chain management along with its associated benefits
and challenges.
Accessibility: Keyboard Navigation
Gradable: automatic
42) Electronic data interchange (EDI) is a standard format for the electronic exchange of
information between supply chain participants
Answer: TRUE
Difficulty: 1 Easy
Topic: Supply Chain Management
Bloom's: Remember
Learning Outcome: 08-02 Describe supply chain management along with its associated benefits
and challenges.
Accessibility: Keyboard Navigation
Gradable: automatic
43) The bullwhip effect occurs when distorted product-demand information ripples from one
partner to the next throughout the supply chain
Answer: TRUE
Difficulty: 1 Easy
Topic: Supply Chain Management
Bloom's: Remember
Learning Outcome: 08-02 Describe supply chain management along with its associated benefits
and challenges.
Accessibility: Keyboard Navigation
Gradable: automatic
594
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written consent of McGraw-Hill Education.
44) The bullwhip effect is a standard format for the electronic exchange of information between
supply chain participants
Answer: FALSE
Difficulty: 1 Easy
Topic: Supply Chain Management
Bloom's: Remember
Learning Outcome: 08-02 Describe supply chain management along with its associated benefits
and challenges.
Accessibility: Keyboard Navigation
Gradable: automatic
45) Electronic data interchange occurs when distorted product-demand information ripples from
one partner to the next throughout the supply chain
Answer: FALSE
Difficulty: 1 Easy
Topic: Supply Chain Management
Bloom's: Remember
Learning Outcome: 08-02 Describe supply chain management along with its associated benefits
and challenges.
Accessibility: Keyboard Navigation
Gradable: automatic
46) A supply chain execution system might electronically route orders from a manufacturer to a
supplier using electronic data interchange (EDI), a standard format for the electronic exchange of
information between supply chain participants.
Answer: TRUE
Explanation: A supply chain execution system might electronically route orders from a
manufacturer to a supplier using electronic data interchange (EDI), a standard format for the
electronic exchange of information between supply chain participants.
Difficulty: 1 Easy
Topic: Supply Chain Management
Bloom's: Remember
Learning Outcome: 08-02 Describe supply chain management along with its associated benefits
and challenges.
Accessibility: Keyboard Navigation
Gradable: automatic
595
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written consent of McGraw-Hill Education.
47) Supply chain event management (SCEM) enables an organization to react more quickly to
resolve supply chain issues.
Answer: TRUE
Explanation: Supply chain event management (SCEM) enables an organization to react more
quickly to resolve supply chain issues.
Difficulty: 1 Easy
Topic: Technologies Reinventing the Supply Chain
Bloom's: Remember
Learning Outcome: 08-03 Identify the three technologies that are reinventing the supply chain.
Accessibility: Keyboard Navigation
Gradable: automatic
48) Selling chain management applies technology to the activities in the order life cycle from
inquiry to sale.
Answer: TRUE
Explanation: Selling chain management applies technology to the activities in the order life
cycle from inquiry to sale.
Difficulty: 1 Easy
Topic: Technologies Reinventing the Supply Chain
Bloom's: Remember
Learning Outcome: 08-03 Identify the three technologies that are reinventing the supply chain.
Accessibility: Keyboard Navigation
Gradable: automatic
49) Collaborative engineering allows an organization to reduce the cost and time required during
the design process of a product.
Answer: TRUE
Explanation: Collaborative engineering allows an organization to reduce the cost and time
required during the design process of a product.
Difficulty: 1 Easy
Topic: Technologies Reinventing the Supply Chain
Bloom's: Remember
Learning Outcome: 08-03 Identify the three technologies that are reinventing the supply chain.
Accessibility: Keyboard Navigation
Gradable: automatic
596
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written consent of McGraw-Hill Education.
50) Collaborative demand planning helps organizations reduce their investment in inventory
while improving customer satisfaction through product availability.
Answer: TRUE
Explanation: Collaborative demand planning helps organizations reduce their investment in
inventory while improving customer satisfaction through product availability.
Difficulty: 1 Easy
Topic: Technologies Reinventing the Supply Chain
Bloom's: Remember
Learning Outcome: 08-03 Identify the three technologies that are reinventing the supply chain.
Accessibility: Keyboard Navigation
Gradable: automatic
51) Selling chain management enables an organization to react more quickly to resolve supply
chain issues.
Answer: FALSE
Explanation: Supply chain event management (SCEM) enables an organization to react more
quickly to resolve supply chain issues.
Difficulty: 1 Easy
Topic: Technologies Reinventing the Supply Chain
Bloom's: Remember
Learning Outcome: 08-03 Identify the three technologies that are reinventing the supply chain.
Accessibility: Keyboard Navigation
Gradable: automatic
52) Supply chain event management applies technology to the activities in the order life cycle
from inquiry to sale.
Answer: FALSE
Explanation: Selling chain management applies technology to the activities in the order life
cycle from inquiry to sale.
Difficulty: 1 Easy
Topic: Technologies Reinventing the Supply Chain
Bloom's: Remember
Learning Outcome: 08-03 Identify the three technologies that are reinventing the supply chain.
Accessibility: Keyboard Navigation
Gradable: automatic
597
Copyright 2019 © McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior
written consent of McGraw-Hill Education.
53) Collaborative demand planning allows an organization to reduce the cost and time required
during the design process of a product.
Answer: FALSE
Explanation: Collaborative engineering allows an organization to reduce the cost and time
required during the design process of a product.
Difficulty: 1 Easy
Topic: Technologies Reinventing the Supply Chain
Bloom's: Remember
Learning Outcome: 08-03 Identify the three technologies that are reinventing the supply chain.
Accessibility: Keyboard Navigation
Gradable: automatic
54) Collaborative engineering helps organizations reduce their investment in inventory while
improving customer satisfaction through product availability.
Answer: FALSE
Explanation: Collaborative demand planning helps organizations reduce their investment in
inventory while improving customer satisfaction through product availability.
Difficulty: 1 Easy
Topic: Technologies Reinventing the Supply Chain
Bloom's: Remember
Learning Outcome: 08-03 Identify the three technologies that are reinventing the supply chain.
Accessibility: Keyboard Navigation
Gradable: automatic
55) Procurement is the purchasing of goods and services to meet the needs of the supply chain.
Answer: TRUE
Explanation: Procurement is the purchasing of goods and services to meet the needs of the
supply chain.
Difficulty: 1 Easy
Topic: Technologies Reinventing the Supply Chain
Bloom's: Remember
Learning Outcome: 08-03 Identify the three technologies that are reinventing the supply chain.
Accessibility: Keyboard Navigation
Gradable: automatic
598
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written consent of McGraw-Hill Education.
56) Procurement can help a company answer the following question - What quantity of raw
materials should we purchase to minimize spoilage?
Answer: TRUE
Difficulty: 1 Easy
Topic: Technologies Reinventing the Supply Chain
Bloom's: Remember
Learning Outcome: 08-03 Identify the three technologies that are reinventing the supply chain.
Accessibility: Keyboard Navigation
Gradable: automatic
57) Logistics includes the processes that control the distribution, maintenance, and replacement
of materials and personnel to support the supply chain.
Answer: TRUE
Explanation: Logistics includes the processes that control the distribution, maintenance, and
replacement of materials and personnel to support the supply chain.
Difficulty: 1 Easy
Topic: Technologies Reinventing the Supply Chain
Bloom's: Remember
Learning Outcome: 08-03 Identify the three technologies that are reinventing the supply chain.
Accessibility: Keyboard Navigation
Gradable: automatic
58) Inbound logistics acquires raw materials and resources and distributes them to manufacturing
as required.
Answer: TRUE
Explanation: Inbound logistics acquires raw materials and resources and distributes them to
manufacturing as required.
Difficulty: 1 Easy
Topic: Technologies Reinventing the Supply Chain
Bloom's: Remember
Learning Outcome: 08-03 Identify the three technologies that are reinventing the supply chain.
Accessibility: Keyboard Navigation
Gradable: automatic
599
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written consent of McGraw-Hill Education.
59) Outbound logistics distributes goods and services to customers.
Answer: TRUE
Explanation: Outbound logistics distributes goods and services to customers.
Difficulty: 1 Easy
Topic: Technologies Reinventing the Supply Chain
Bloom's: Remember
Learning Outcome: 08-03 Identify the three technologies that are reinventing the supply chain.
Accessibility: Keyboard Navigation
Gradable: automatic
60) Logistics controls processes inside a company (warehouse logistics) and outside a company
(transport logistics) and focuses on the physical execution part of the supply chain.
Answer: TRUE
Explanation: Logistics controls processes inside a company (warehouse logistics) and outside a
company (transport logistics) and focuses on the physical execution part of the supply chain.
Difficulty: 1 Easy
Topic: Technologies Reinventing the Supply Chain
Bloom's: Remember
Learning Outcome: 08-03 Identify the three technologies that are reinventing the supply chain.
Accessibility: Keyboard Navigation
Gradable: automatic
61) Materials management is the purchasing of goods and services to meet the needs of the
supply chain.
Answer: FALSE
Explanation: Procurement is the purchasing of goods and services to meet the needs of the
supply chain.
Difficulty: 1 Easy
Topic: Technologies Reinventing the Supply Chain
Bloom's: Remember
Learning Outcome: 08-03 Identify the three technologies that are reinventing the supply chain.
Accessibility: Keyboard Navigation
Gradable: automatic
600
Copyright 2019 © McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior
written consent of McGraw-Hill Education.
62) Logistics can help a company answer the following question - What quantity of raw
materials should we purchase to minimize spoilage?
Answer: FALSE
Explanation: Procurement can help a company answer the following questions:
Difficulty: 1 Easy
Topic: Technologies Reinventing the Supply Chain
Bloom's: Remember
Learning Outcome: 08-03 Identify the three technologies that are reinventing the supply chain.
Accessibility: Keyboard Navigation
Gradable: automatic
63) Procurement includes the processes that control the distribution, maintenance, and
replacement of materials and personnel to support the supply chain.
Answer: FALSE
Explanation: Logistics includes the processes that control the distribution, maintenance, and
replacement of materials and personnel to support the supply chain.
Difficulty: 1 Easy
Topic: Technologies Reinventing the Supply Chain
Bloom's: Remember
Learning Outcome: 08-03 Identify the three technologies that are reinventing the supply chain.
Accessibility: Keyboard Navigation
Gradable: automatic
64) Outbound logistics acquires raw materials and resources and distributes them to
manufacturing as required.
Answer: FALSE
Explanation: Inbound logistics acquires raw materials and resources and distributes them to
manufacturing as required.
Difficulty: 1 Easy
Topic: Technologies Reinventing the Supply Chain
Bloom's: Remember
Learning Outcome: 08-03 Identify the three technologies that are reinventing the supply chain.
Accessibility: Keyboard Navigation
Gradable: automatic
601
Copyright 2019 © McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior
written consent of McGraw-Hill Education.
65) Inbound logistics distributes goods and services to customers.
Answer: FALSE
Explanation: Outbound logistics distributes goods and services to customers.
Difficulty: 1 Easy
Topic: Technologies Reinventing the Supply Chain
Bloom's: Remember
Learning Outcome: 08-03 Identify the three technologies that are reinventing the supply chain.
Accessibility: Keyboard Navigation
Gradable: automatic
66) Logistics includes the increasingly complex management of processes, information, and
communication to take a product from cradle to grave. Cradle to grave provides logistics support.
Answer: TRUE
Explanation: Logistics includes the increasingly complex management of processes,
information, and communication to take a product from cradle to grave. Cradle to grave provides
logistics support.
Difficulty: 1 Easy
Topic: Technologies Reinventing the Supply Chain
Bloom's: Remember
Learning Outcome: 08-03 Identify the three technologies that are reinventing the supply chain.
Accessibility: Keyboard Navigation
Gradable: automatic
67) Cradle to grave provides materials management support.
Answer: FALSE
Difficulty: 1 Easy
Topic: Technologies Reinventing the Supply Chain
Bloom's: Remember
Learning Outcome: 08-03 Identify the three technologies that are reinventing the supply chain.
Accessibility: Keyboard Navigation
Gradable: automatic
602
Copyright 2019 © McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior
written consent of McGraw-Hill Education.
68) Materials management includes activities that govern the flow of tangible, physical materials
through the supply chain such as shipping, transport, distribution, and warehousing.
Answer: TRUE
Explanation: Materials management includes activities that govern the flow of tangible,
physical materials through the supply chain such as shipping, transport, distribution, and
warehousing.
Difficulty: 1 Easy
Topic: Technologies Reinventing the Supply Chain
Bloom's: Remember
Learning Outcome: 08-03 Identify the three technologies that are reinventing the supply chain.
Accessibility: Keyboard Navigation
Gradable: automatic
69) Logistics includes activities that govern the flow of tangible, physical materials through the
supply chain such as shipping, transport, distribution, and warehousing.
Answer: FALSE
Explanation: Materials management includes activities that govern the flow of tangible,
physical materials through the supply chain such as shipping, transport, distribution, and
warehousing.
Difficulty: 1 Easy
Topic: Technologies Reinventing the Supply Chain
Bloom's: Remember
Learning Outcome: 08-03 Identify the three technologies that are reinventing the supply chain.
Accessibility: Keyboard Navigation
Gradable: automatic
70) The process of 3D printing (additive manufacturing) builds—layer by layer in an additive
process—a three-dimensional solid object from a digital model.
Answer: TRUE
Explanation: The process of 3D printing (additive manufacturing) builds—layer by layer in an
additive process—a three-dimensional solid object from a digital model.
Difficulty: 1 Easy
Topic: Technologies Reinventing the Supply Chain
Bloom's: Remember
Learning Outcome: 08-03 Identify the three technologies that are reinventing the supply chain.
Accessibility: Keyboard Navigation
Gradable: automatic
603
Copyright 2019 © McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior
written consent of McGraw-Hill Education.
71) 3D Printing is a process that builds—layer by layer in an additive process- a threedimensional solid object from a digital model.
Answer: TRUE
Explanation: 3D Printing is a process that builds—layer by layer in an additive process- a threedimensional solid object from a digital model.
Difficulty: 1 Easy
Topic: Technologies Reinventing the Supply Chain
Bloom's: Remember
Learning Outcome: 08-03 Identify the three technologies that are reinventing the supply chain.
Accessibility: Keyboard Navigation
Gradable: automatic
72) Drones include a process that builds—layer by layer in an additive process- a threedimensional solid object from a digital model.
Answer: FALSE
Explanation: 3D Printing is a process that builds—layer by layer in an additive process- a threedimensional solid object from a digital model.
Difficulty: 1 Easy
Topic: Technologies Reinventing the Supply Chain
Bloom's: Remember
Learning Outcome: 08-03 Identify the three technologies that are reinventing the supply chain.
Accessibility: Keyboard Navigation
Gradable: automatic
73) 3D printing supports procurement.
Answer: TRUE
Explanation: 3D printing supports procurement.
Difficulty: 1 Easy
Topic: Technologies Reinventing the Supply Chain
Bloom's: Remember
Learning Outcome: 08-03 Identify the three technologies that are reinventing the supply chain.
Accessibility: Keyboard Navigation
Gradable: automatic
604
Copyright 2019 © McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior
written consent of McGraw-Hill Education.
74) 3D printing supports materials management.
Answer: FALSE
Explanation: 3D printing supports procurement.
Difficulty: 1 Easy
Topic: Technologies Reinventing the Supply Chain
Bloom's: Remember
Learning Outcome: 08-03 Identify the three technologies that are reinventing the supply chain.
Accessibility: Keyboard Navigation
Gradable: automatic
75) RFID uses electronic tags and labels to identify objects wirelessly over short distances.
Answer: TRUE
Explanation: RFID uses electronic tags and labels to identify objects wirelessly over short
distances.
Difficulty: 1 Easy
Topic: Technologies Reinventing the Supply Chain
Bloom's: Remember
Learning Outcome: 08-03 Identify the three technologies that are reinventing the supply chain.
Accessibility: Keyboard Navigation
Gradable: automatic
76) RFID supports logistics.
Answer: TRUE
Explanation: RFID supports logistics.
Difficulty: 1 Easy
Topic: Technologies Reinventing the Supply Chain
Bloom's: Remember
Learning Outcome: 08-03 Identify the three technologies that are reinventing the supply chain.
Accessibility: Keyboard Navigation
Gradable: automatic
77) RFID supports procurement.
Answer: FALSE
Explanation: RFID supports logistics.
Difficulty: 1 Easy
Topic: Technologies Reinventing the Supply Chain
Bloom's: Remember
Learning Outcome: 08-03 Identify the three technologies that are reinventing the supply chain.
Accessibility: Keyboard Navigation
Gradable: automatic
605
Copyright 2019 © McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior
written consent of McGraw-Hill Education.
78) Drones are unmanned aircraft that can fly autonomously, or without a human.
Answer: TRUE
Explanation: Drones are unmanned aircraft that can fly autonomously, or without a human.
Difficulty: 1 Easy
Topic: Technologies Reinventing the Supply Chain
Bloom's: Remember
Learning Outcome: 08-03 Identify the three technologies that are reinventing the supply chain.
Accessibility: Keyboard Navigation
Gradable: automatic
79) 3D printing is unmanned aircraft that can fly autonomously, or without a human.
Answer: FALSE
Explanation: Drones are unmanned aircraft that can fly autonomously, or without a human.
Difficulty: 1 Easy
Topic: Technologies Reinventing the Supply Chain
Bloom's: Remember
Learning Outcome: 08-03 Identify the three technologies that are reinventing the supply chain.
Accessibility: Keyboard Navigation
Gradable: automatic
80) Drones support logistics.
Answer: TRUE
Explanation: Drones support logistics.
Difficulty: 1 Easy
Topic: Technologies Reinventing the Supply Chain
Bloom's: Remember
Learning Outcome: 08-03 Identify the three technologies that are reinventing the supply chain.
Accessibility: Keyboard Navigation
Gradable: automatic
81) Drones support materials management.
Answer: FALSE
Explanation: Drones support logistics.
Difficulty: 1 Easy
Topic: Technologies Reinventing the Supply Chain
Bloom's: Remember
Learning Outcome: 08-03 Identify the three technologies that are reinventing the supply chain.
Accessibility: Keyboard Navigation
Gradable: automatic
606
Copyright 2019 © McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior
written consent of McGraw-Hill Education.
82) Robotics focus on creating artificial intelligence devices that can move and react to sensory
input.
Answer: TRUE
Explanation: Robotics focus on creating artificial intelligence devices that can move and react
to sensory input.
Difficulty: 1 Easy
Topic: Technologies Reinventing the Supply Chain
Bloom's: Remember
Learning Outcome: 08-03 Identify the three technologies that are reinventing the supply chain.
Accessibility: Keyboard Navigation
Gradable: automatic
83) Robotics supports materials management.
Answer: TRUE
Explanation: Robotics supports materials management.
Difficulty: 1 Easy
Topic: Technologies Reinventing the Supply Chain
Bloom's: Remember
Learning Outcome: 08-03 Identify the three technologies that are reinventing the supply chain.
Accessibility: Keyboard Navigation
Gradable: automatic
84) Robotics supports procurement.
Answer: FALSE
Explanation: Robotics supports materials management.
Difficulty: 1 Easy
Topic: Technologies Reinventing the Supply Chain
Bloom's: Remember
Learning Outcome: 08-03 Identify the three technologies that are reinventing the supply chain.
Accessibility: Keyboard Navigation
Gradable: automatic
607
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written consent of McGraw-Hill Education.
85) Computer-aided design/computer-aided manufacturing (CAD/CAM) systems are used to
create the digital designs and then manufacture the products.
Answer: TRUE
Explanation: Computer-aided design/computer-aided manufacturing (CAD/CAM) systems are
used to create the digital designs and then manufacture the products.
Difficulty: 1 Easy
Topic: Technologies Reinventing the Supply Chain
Bloom's: Remember
Learning Outcome: 08-03 Identify the three technologies that are reinventing the supply chain.
Accessibility: Keyboard Navigation
Gradable: automatic
86) RFID systems are used to create the digital designs and then manufacture the products.
Answer: FALSE
Explanation: Computer-aided design/computer-aided manufacturing (CAD/CAM) systems are
used to create the digital designs and then manufacture the products.
Difficulty: 1 Easy
Topic: Technologies Reinventing the Supply Chain
Bloom's: Remember
Learning Outcome: 08-03 Identify the three technologies that are reinventing the supply chain.
Accessibility: Keyboard Navigation
Gradable: automatic
87) The maker movement is a cultural trend that places value on an individual's ability to be a
creator of things as well as a consumer of things.
Answer: TRUE
Explanation: The maker movement is a cultural trend that places value on an individual's ability
to be a creator of things as well as a consumer of things.
Difficulty: 1 Easy
Topic: Technologies Reinventing the Supply Chain
Bloom's: Remember
Learning Outcome: 08-03 Identify the three technologies that are reinventing the supply chain.
Accessibility: Keyboard Navigation
Gradable: automatic
608
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written consent of McGraw-Hill Education.
88) The robotics movement is a cultural trend that places value on an individual's ability to be a
creator of things as well as a consumer of things.
Answer: FALSE
Explanation: The maker movement is a cultural trend that places value on an individual's ability
to be a creator of things as well as a consumer of things.
Difficulty: 1 Easy
Topic: Technologies Reinventing the Supply Chain
Bloom's: Remember
Learning Outcome: 08-03 Identify the three technologies that are reinventing the supply chain.
Accessibility: Keyboard Navigation
Gradable: automatic
89) Makerspaces is a community center that provides technology, manufacturing equipment, and
educational opportunities to the public that would otherwise be inaccessible or unaffordable.
Answer: TRUE
Explanation: Makerspaces, a community center that provides technology, manufacturing
equipment, and educational opportunities to the public that would otherwise be inaccessible or
unaffordable.
Difficulty: 1 Easy
Topic: Technologies Reinventing the Supply Chain
Bloom's: Remember
Learning Outcome: 08-03 Identify the three technologies that are reinventing the supply chain.
Accessibility: Keyboard Navigation
Gradable: automatic
90) Cradle to grave is a community center that provides technology, manufacturing equipment,
and educational opportunities to the public that would otherwise be inaccessible or unaffordable.
Answer: FALSE
Explanation: Makerspaces, a community center that provides technology, manufacturing
equipment, and educational opportunities to the public that would otherwise be inaccessible or
unaffordable.
Difficulty: 1 Easy
Topic: Technologies Reinventing the Supply Chain
Bloom's: Remember
Learning Outcome: 08-03 Identify the three technologies that are reinventing the supply chain.
Accessibility: Keyboard Navigation
Gradable: automatic
609
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written consent of McGraw-Hill Education.
91) Radio-frequency identification (RFID) uses electronic tags and labels to identify objects
wirelessly over short distances.
Answer: TRUE
Explanation: Radio-frequency identification (RFID) uses electronic tags and labels to identify
objects wirelessly over short distances.
Difficulty: 1 Easy
Topic: Technologies Reinventing the Supply Chain
Bloom's: Remember
Learning Outcome: 08-03 Identify the three technologies that are reinventing the supply chain.
Accessibility: Keyboard Navigation
Gradable: automatic
92) RFID's Electronic Product Code (RFID EPC) promotes serialization or the ability to track
individual items by using the unique serial number associated with each RFID tag.
Answer: TRUE
Explanation: RFID's Electronic Product Code (RFID EPC) promotes serialization or the ability
to track individual items by using the unique serial number associated with each RFID tag.
Difficulty: 1 Easy
Topic: Technologies Reinventing the Supply Chain
Bloom's: Remember
Learning Outcome: 08-03 Identify the three technologies that are reinventing the supply chain.
Accessibility: Keyboard Navigation
Gradable: automatic
93) A drone is an unmanned aircraft that can fly autonomously, or without a human.
Amazon.com is piloting drone aircraft for package deliveries.
Answer: TRUE
Explanation: A drone is an unmanned aircraft that can fly autonomously, or without a human.
Amazon.com is piloting drone aircraft for package deliveries.
Difficulty: 1 Easy
Topic: Technologies Reinventing the Supply Chain
Bloom's: Remember
Learning Outcome: 08-03 Identify the three technologies that are reinventing the supply chain.
Accessibility: Keyboard Navigation
Gradable: automatic
610
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written consent of McGraw-Hill Education.
94) Robotics focuses on creating artificial intelligence devices that can move and react to sensory
input.
Answer: TRUE
Explanation: Robotics focuses on creating artificial intelligence devices that can move and react
to sensory input.
Difficulty: 1 Easy
Topic: Technologies Reinventing the Supply Chain
Bloom's: Remember
Learning Outcome: 08-03 Identify the three technologies that are reinventing the supply chain.
Accessibility: Keyboard Navigation
Gradable: automatic
95) The primary difference between operational CRM and analytical CRM is the direct
interaction between the organization and its suppliers.
Answer: FALSE
Explanation: The primary difference between operational CRM and analytical CRM is the
direct interaction between the organization and its customers.
Difficulty: 2 Medium
Topic: The Benefits of CRM
Bloom's: Understand
Learning Outcome: 08-04 Describe customer relationship management along with its
associated benefits and challenges.
Accessibility: Keyboard Navigation
Gradable: automatic
96) Back-office operations deal directly with the customer.
Answer: FALSE
Explanation: Front-office operations deal directly with the customer.
Difficulty: 2 Medium
Topic: The Benefits of CRM
Bloom's: Understand
Learning Outcome: 08-04 Describe customer relationship management along with its
associated benefits and challenges.
Accessibility: Keyboard Navigation
Gradable: automatic
611
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written consent of McGraw-Hill Education.
97) RFM stands for Regency, Frequency, and Monetary.
Answer: FALSE
Explanation: RFM stands for Recency (not regency), Frequency, and Monetary.
Difficulty: 2 Medium
Topic: The Benefits of CRM
Bloom's: Understand
Learning Outcome: 08-04 Describe customer relationship management along with its
associated benefits and challenges.
Accessibility: Keyboard Navigation
Gradable: automatic
98) The evolution of CRM is reporting, analyzing, and predicting.
Answer: TRUE
Explanation: The evolution of CRM is reporting, analyzing, and predicting.
Difficulty: 1 Easy
Topic: The Benefits of CRM
Bloom's: Remember
Learning Outcome: 08-04 Describe customer relationship management along with its
associated benefits and challenges.
Accessibility: Keyboard Navigation
Gradable: automatic
99) List generators fall under the category of the sales department's CRM tools.
Answer: FALSE
Explanation: List generators fall under the category of the marketing department's CRM tools.
Difficulty: 2 Medium
Topic: The Benefits of CRM
Bloom's: Understand
Learning Outcome: 08-04 Describe customer relationship management along with its
associated benefits and challenges.
Accessibility: Keyboard Navigation
Gradable: automatic
612
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written consent of McGraw-Hill Education.
100) Contact management falls under the category of the customer service department's CRM
tools.
Answer: FALSE
Explanation: Contact management falls under the category of the sales department's CRM
tools.
Difficulty: 2 Medium
Topic: The Benefits of CRM
Bloom's: Understand
Learning Outcome: 08-04 Describe customer relationship management along with its
associated benefits and challenges.
Accessibility: Keyboard Navigation
Gradable: automatic
101) Call scripting falls under the category of the sales department's CRM tools.
Answer: FALSE
Explanation: Call scripting falls under the category of the customer service department's CRM
tools.
Difficulty: 2 Medium
Topic: The Benefits of CRM
Bloom's: Understand
Learning Outcome: 08-04 Describe customer relationship management along with its
associated benefits and challenges.
Accessibility: Keyboard Navigation
Gradable: automatic
102) Customer service and support (CSS) is a part of operational CRM that automates service
requests, complaints, product returns, and information requests.
Answer: TRUE
Explanation: Customer service and support (CSS) is a part of operational CRM that automates
service requests, complaints, product returns, and information requests.
Difficulty: 1 Easy
Topic: The Benefits of CRM
Bloom's: Remember
Learning Outcome: 08-04 Describe customer relationship management along with its
associated benefits and challenges.
Accessibility: Keyboard Navigation
Gradable: automatic
613
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written consent of McGraw-Hill Education.
103) Opportunity management CRM systems target sales opportunities by finding new
customers or companies for future sales.
Answer: TRUE
Explanation: Opportunity management CRM systems target sales opportunities by finding new
customers or companies for future sales.
Difficulty: 1 Easy
Topic: The Benefits of CRM
Bloom's: Remember
Learning Outcome: 08-04 Describe customer relationship management along with its
associated benefits and challenges.
Accessibility: Keyboard Navigation
Gradable: automatic
104) Opportunity management CRM occurs when a website has stored enough data about a
person's likes and dislikes to fashion offers more likely to appeal to that person.
Answer: FALSE
Explanation: Website personalization occurs when a website has stored enough data about a
person's likes and dislikes to fashion offers more likely to appeal to that person.
Difficulty: 1 Easy
Topic: The Benefits of CRM
Bloom's: Remember
Learning Outcome: 08-04 Describe customer relationship management along with its
associated benefits and challenges.
Accessibility: Keyboard Navigation
Gradable: automatic
105) Call scripting occurs when a customer service representative's answers customer inquiries
and solves problems by email and IMing.
Answer: FALSE
Explanation: A contact center or call center is where customer service representatives answer
customer inquiries and solve problems, usually by email, chat, or phone.
Difficulty: 1 Easy
Topic: The Benefits of CRM
Bloom's: Remember
Learning Outcome: 08-04 Describe customer relationship management along with its
associated benefits and challenges.
Accessibility: Keyboard Navigation
Gradable: automatic
614
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written consent of McGraw-Hill Education.
106) Call scripting systems gather product details and issue resolution information that can be
automatically generated into a script for the representative to read to the customer.
Answer: TRUE
Explanation: Call scripting systems gather product details and issue resolution information that
can be automatically generated into a script for the representative to read to the customer.
Difficulty: 1 Easy
Topic: The Benefits of CRM
Bloom's: Remember
Learning Outcome: 08-04 Describe customer relationship management along with its
associated benefits and challenges.
Accessibility: Keyboard Navigation
Gradable: automatic
107) Web-based self-service systems allow customers to use the web to find answers to their
questions or solutions to their problems.
Answer: TRUE
Explanation: Web-based self-service systems allow customers to use the web to find answers to
their questions or solutions to their problems.
Difficulty: 1 Easy
Topic: The Benefits of CRM
Bloom's: Remember
Learning Outcome: 08-04 Describe customer relationship management along with its
associated benefits and challenges.
Accessibility: Keyboard Navigation
Gradable: automatic
108) Click-to-talk functions, which allow customers to click on a button and talk with a
representative via the Internet.
Answer: TRUE
Explanation: Click-to-talk functions, which allow customers to click on a button and talk with a
representative via the Internet.
Difficulty: 1 Easy
Topic: The Benefits of CRM
Bloom's: Remember
Learning Outcome: 08-04 Describe customer relationship management along with its
associated benefits and challenges.
Accessibility: Keyboard Navigation
Gradable: automatic
615
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written consent of McGraw-Hill Education.
109) CRM predicting technologies help organizations identify their customers across other
applications.
Answer: FALSE
Explanation: CRM reporting technologies help organizations identify their customers across
other applications.
Difficulty: 1 Easy
Topic: The Benefits of CRM
Bloom's: Remember
Learning Outcome: 08-04 Describe customer relationship management along with its
associated benefits and challenges.
Accessibility: Keyboard Navigation
Gradable: automatic
110) CRM analysis technologies help organizations segment their customers into categories such
as best and worst customers.
Answer: TRUE
Explanation: CRM analysis technologies help organizations segment their customers into
categories such as best and worst customers
Difficulty: 1 Easy
Topic: The Benefits of CRM
Bloom's: Remember
Learning Outcome: 08-04 Describe customer relationship management along with its
associated benefits and challenges.
Accessibility: Keyboard Navigation
Gradable: automatic
111) CRM predicting technologies help organizations predict customer behavior, such as which
customers are at risk of leaving.
Answer: TRUE
Explanation: CRM predicting technologies help organizations predict customer behavior, such
as which customers are at risk of leaving.
Difficulty: 1 Easy
Topic: The Benefits of CRM
Bloom's: Remember
Learning Outcome: 08-04 Describe customer relationship management along with its
associated benefits and challenges.
Accessibility: Keyboard Navigation
Gradable: automatic
616
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written consent of McGraw-Hill Education.
112) Analytical CRM supports traditional transactional processing for day-to-day front-office
operations or systems that deal directly with the customers.
Answer: FALSE
Explanation: Operational CRM supports traditional transactional processing for day-to-day
front-office operations or systems that deal directly with the customers.
Difficulty: 1 Easy
Topic: The Benefits of CRM
Bloom's: Remember
Learning Outcome: 08-04 Describe customer relationship management along with its
associated benefits and challenges.
Accessibility: Keyboard Navigation
Gradable: automatic
113) Operational CRM supports back-office operations and strategic analysis and includes all
systems that do not deal directly with the customers.
Answer: FALSE
Explanation: Analytical CRM supports back-office operations and strategic analysis and
includes all systems that do not deal directly with the customers.
Difficulty: 1 Easy
Topic: The Benefits of CRM
Bloom's: Remember
Learning Outcome: 08-04 Describe customer relationship management along with its
associated benefits and challenges.
Accessibility: Keyboard Navigation
Gradable: automatic
114) List generators compile customer information from a variety of sources and segment it for
different marketing campaigns.
Answer: TRUE
Explanation: List generators compile customer information from a variety of sources and
segment it for different marketing campaigns.
Difficulty: 1 Easy
Topic: The Benefits of CRM
Bloom's: Remember
Learning Outcome: 08-04 Describe customer relationship management along with its
associated benefits and challenges.
Accessibility: Keyboard Navigation
Gradable: automatic
617
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written consent of McGraw-Hill Education.
115) Campaign management systems guide users through marketing campaigns by performing
such tasks as campaign definition, planning, scheduling, segmentation, and success analysis.
Answer: TRUE
Explanation: Campaign management systems guide users through marketing campaigns by
performing such tasks as campaign definition, planning, scheduling, segmentation, and success
analysis.
Difficulty: 1 Easy
Topic: The Benefits of CRM
Bloom's: Remember
Learning Outcome: 08-04 Describe customer relationship management along with its
associated benefits and challenges.
Accessibility: Keyboard Navigation
Gradable: automatic
116) Up-selling is selling additional products or services to an existing customer.
Answer: FALSE
Explanation: Cross-selling is selling additional products or services to an existing customer.
Difficulty: 1 Easy
Topic: The Benefits of CRM
Bloom's: Remember
Learning Outcome: 08-04 Describe customer relationship management along with its
associated benefits and challenges.
Accessibility: Keyboard Navigation
Gradable: automatic
117) Cross-selling is increasing the value of the sale.
Answer: FALSE
Explanation: Up-selling is increasing the value of the sale.
Difficulty: 1 Easy
Topic: The Benefits of CRM
Bloom's: Remember
Learning Outcome: 08-04 Describe customer relationship management along with its
associated benefits and challenges.
Accessibility: Keyboard Navigation
Gradable: automatic
618
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written consent of McGraw-Hill Education.
118) Call scripting systems gather product details and issue resolution information that can be
automatically generated into a script for the representative to read to the customer.
Answer: TRUE
Explanation: Call scripting systems gather product details and issue resolution information that
can be automatically generated into a script for the representative to read to the customer.
Difficulty: 1 Easy
Topic: The Benefits of CRM
Bloom's: Remember
Learning Outcome: 08-04 Describe customer relationship management along with its
associated benefits and challenges.
Accessibility: Keyboard Navigation
Gradable: automatic
119) Uplift modeling is a form of predictive analytics for marketing campaigns that attempts to
identify target markets or people who could be convinced to buy products.
Answer: TRUE
Explanation: Uplift modeling is a form of predictive analytics for marketing campaigns that
attempts to identify target markets or people who could be convinced to buy products.
Difficulty: 1 Easy
Topic: The Benefits of CRM
Bloom's: Remember
Learning Outcome: 08-04 Describe customer relationship management along with its
associated benefits and challenges.
Accessibility: Keyboard Navigation
Gradable: automatic
120) Uplift modeling gathers product details and issue resolution information that can be
automatically generated into a script for the representative to read to the customer.
Answer: FALSE
Explanation: Call scripting systems gather product details and issue resolution information that
can be automatically generated into a script for the representative to read to the customer.
Difficulty: 1 Easy
Topic: The Benefits of CRM
Bloom's: Remember
Learning Outcome: 08-04 Describe customer relationship management along with its
associated benefits and challenges.
Accessibility: Keyboard Navigation
Gradable: automatic
619
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written consent of McGraw-Hill Education.
121) Call scripting systems offer a form of predictive analytics for marketing campaigns that
attempts to identify target markets or people who could be convinced to buy products.
Answer: FALSE
Explanation: Uplift modeling is a form of predictive analytics for marketing campaigns that
attempts to identify target markets or people who could be convinced to buy products.
Difficulty: 1 Easy
Topic: The Benefits of CRM
Bloom's: Remember
Learning Outcome: 08-04 Describe customer relationship management along with its
associated benefits and challenges.
Accessibility: Keyboard Navigation
Gradable: automatic
122) Website personalization occurs when a website has stored enough data about a person's
likes and dislikes to fashion offers more likely to appeal to that person.
Answer: TRUE
Explanation: Website personalization occurs when a website has stored enough data about a
person's likes and dislikes to fashion offers more likely to appeal to that person.
Difficulty: 1 Easy
Topic: The Benefits of CRM
Bloom's: Remember
Learning Outcome: 08-04 Describe customer relationship management along with its
associated benefits and challenges.
Accessibility: Keyboard Navigation
Gradable: automatic
123) Supplier relationship management (SRM) focuses on keeping suppliers satisfied by
evaluating and categorizing suppliers for different projects.
Answer: TRUE
Explanation: Supplier relationship management (SRM) focuses on keeping suppliers satisfied
by evaluating and categorizing suppliers for different projects.
Difficulty: 1 Easy
Topic: The Benefits of CRM
Bloom's: Remember
Learning Outcome: 08-04 Describe customer relationship management along with its
associated benefits and challenges.
Accessibility: Keyboard Navigation
Gradable: automatic
620
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written consent of McGraw-Hill Education.
124) Partner relationship management (PRM) discovers optimal sales channels by selecting the
right partners and identifying mutual customers.
Answer: TRUE
Explanation: Partner relationship management (PRM) discovers optimal sales channels by
selecting the right partners and identifying mutual customers.
Difficulty: 1 Easy
Topic: The Benefits of CRM
Bloom's: Remember
Learning Outcome: 08-04 Describe customer relationship management along with its
associated benefits and challenges.
Accessibility: Keyboard Navigation
Gradable: automatic
125) Employee relationship management (ERM) provides web-based self-service tools that
streamline and automate the human resource department.
Answer: TRUE
Explanation: Employee relationship management (ERM) provides web-based self-service tools
that streamline and automate the human resource department.
Difficulty: 1 Easy
Topic: The Benefits of CRM
Bloom's: Remember
Learning Outcome: 08-04 Describe customer relationship management along with its
associated benefits and challenges.
Accessibility: Keyboard Navigation
Gradable: automatic
126) Employee relationship management focuses on keeping suppliers satisfied by evaluating
and categorizing suppliers for different projects.
Answer: FALSE
Explanation: Supplier relationship management (SRM) focuses on keeping suppliers satisfied
by evaluating and categorizing suppliers for different projects.
Difficulty: 1 Easy
Topic: The Benefits of CRM
Bloom's: Remember
Learning Outcome: 08-04 Describe customer relationship management along with its
associated benefits and challenges.
Accessibility: Keyboard Navigation
Gradable: automatic
621
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written consent of McGraw-Hill Education.
127) Supplier relationship management discovers optimal sales channels by selecting the right
partners and identifying mutual customers.
Answer: FALSE
Explanation: Partner relationship management (PRM) discovers optimal sales channels by
selecting the right partners and identifying mutual customers.
Difficulty: 1 Easy
Topic: The Benefits of CRM
Bloom's: Remember
Learning Outcome: 08-04 Describe customer relationship management along with its
associated benefits and challenges.
Accessibility: Keyboard Navigation
Gradable: automatic
128) Partner relationship management provides web-based self-service tools that streamline and
automate the human resource department.
Answer: FALSE
Explanation: Employee relationship management (ERM) provides web-based self-service tools
that streamline and automate the human resource department.
Difficulty: 1 Easy
Topic: The Benefits of CRM
Bloom's: Remember
Learning Outcome: 08-04 Describe customer relationship management along with its
associated benefits and challenges.
Accessibility: Keyboard Navigation
Gradable: automatic
129) Analytical CRM provides customer segmentation, which divides a market into categories
that share similar attributes such as age, location, gender, habits, and so on. By segmenting
customers into groups, it becomes easier to create targeted marketing and sales campaigns,
ensuring that you are not wasting resources marketing products to the wrong customers.
Answer: TRUE
Explanation: Analytical CRM provides customer segmentation, which divides a market into
categories that share similar attributes such as age, location, gender, habits, and so on. By
segmenting customers into groups, it becomes easier to create targeted marketing and sales
campaigns, ensuring that you are not wasting resources marketing products to the wrong
customers.
Difficulty: 1 Easy
Topic: The Benefits of CRM
Bloom's: Remember
Learning Outcome: 08-04 Describe customer relationship management along with its
associated benefits and challenges.
Accessibility: Keyboard Navigation
Gradable: automatic
622
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written consent of McGraw-Hill Education.
130) Automatic call distribution routes inbound calls to available agents.
Answer: TRUE
Explanation: Automatic call distribution routes inbound calls to available agents.
Difficulty: 1 Easy
Topic: The Benefits of CRM
Bloom's: Remember
Learning Outcome: 08-04 Describe customer relationship management along with its
associated benefits and challenges.
Accessibility: Keyboard Navigation
Gradable: automatic
131) Interactive voice response directs customers to use touch-tone phones or keywords to
navigate or provide information.
Answer: TRUE
Explanation: Interactive voice response directs customers to use touch-tone phones or
keywords to navigate or provide information.
Difficulty: 1 Easy
Topic: The Benefits of CRM
Bloom's: Remember
Learning Outcome: 08-04 Describe customer relationship management along with its
associated benefits and challenges.
Accessibility: Keyboard Navigation
Gradable: automatic
132) Predictive dialing automatically dials outbound calls and forwards answered calls to an
available agent.
Answer: TRUE
Explanation: Predictive dialing automatically dials outbound calls and forwards answered calls
to an available agent.
Difficulty: 1 Easy
Topic: The Benefits of CRM
Bloom's: Remember
Learning Outcome: 08-04 Describe customer relationship management along with its
associated benefits and challenges.
Accessibility: Keyboard Navigation
Gradable: automatic
623
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written consent of McGraw-Hill Education.
133) Interactive voice response routes inbound calls to available agents.
Answer: FALSE
Explanation: Automatic call distribution routes inbound calls to available agents.
Difficulty: 1 Easy
Topic: The Benefits of CRM
Bloom's: Remember
Learning Outcome: 08-04 Describe customer relationship management along with its
associated benefits and challenges.
Accessibility: Keyboard Navigation
Gradable: automatic
134) Automatic call distribution directs customers to use touch-tone phones or keywords to
navigate or provide information.
Answer: FALSE
Explanation: Interactive voice response directs customers to use touch-tone phones or
keywords to navigate or provide information.
Difficulty: 1 Easy
Topic: The Benefits of CRM
Bloom's: Remember
Learning Outcome: 08-04 Describe customer relationship management along with its
associated benefits and challenges.
Accessibility: Keyboard Navigation
Gradable: automatic
135) Interactive voice response automatically dials outbound calls and forwards answered calls
to an available agent.
Answer: FALSE
Explanation: Predictive dialing automatically dials outbound calls and forwards answered calls
to an available agent.
Difficulty: 1 Easy
Topic: The Benefits of CRM
Bloom's: Remember
Learning Outcome: 08-04 Describe customer relationship management along with its
associated benefits and challenges.
Accessibility: Keyboard Navigation
Gradable: automatic
624
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written consent of McGraw-Hill Education.
136) In the past, departments made decisions independent of each other.
Answer: TRUE
Explanation: In the past, departments made decisions independent of each other.
Difficulty: 1 Easy
Topic: Enterprise Resource Planning
Bloom's: Remember
Learning Outcome: 08-05 Describe enterprise resource planning along with its associated
benefits and challenges.
Accessibility: Keyboard Navigation
Gradable: automatic
137) When a user enters or updates information in one ERP module, it is immediately and
automatically updated throughout the entire system.
Answer: TRUE
Explanation: When a user enters or updates information in one ERP module, it is immediately
and automatically updated throughout the entire system.
Difficulty: 1 Easy
Topic: Enterprise Resource Planning
Bloom's: Remember
Learning Outcome: 08-05 Describe enterprise resource planning along with its associated
benefits and challenges.
Accessibility: Keyboard Navigation
Gradable: automatic
138) Enterprise resource planning (ERP) integrates all departments and functions throughout an
organization into a single IT system (or integrated set of IT systems) so employees can make
decisions by viewing enterprisewide information about all business operations.
Answer: TRUE
Explanation: When a user enters or updates information in one ERP module, it is immediately
and automatically updated throughout the entire system.
Difficulty: 1 Easy
Topic: Enterprise Resource Planning
Bloom's: Remember
Learning Outcome: 08-05 Describe enterprise resource planning along with its associated
benefits and challenges.
Accessibility: Keyboard Navigation
Gradable: automatic
625
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written consent of McGraw-Hill Education.
139) Core ERP components are the traditional components included in most ERP systems and
primarily focus on internal operations.
Answer: TRUE
Explanation: Core ERP components are the traditional components included in most ERP
systems and primarily focus on internal operations.
Difficulty: 1 Easy
Topic: Enterprise Resource Planning
Bloom's: Remember
Learning Outcome: 08-05 Describe enterprise resource planning along with its associated
benefits and challenges.
Accessibility: Keyboard Navigation
Gradable: automatic
140) Core ERP components are the extra components that meet organizational needs not covered
by the core components and primarily focus on external operations.
Answer: FALSE
Explanation: Extended ERP components are the extra components that meet organizational
needs not covered by the core components and primarily focus on external operations.
Difficulty: 1 Easy
Topic: Enterprise Resource Planning
Bloom's: Remember
Learning Outcome: 08-05 Describe enterprise resource planning along with its associated
benefits and challenges.
Accessibility: Keyboard Navigation
Gradable: automatic
141) Accounting and finance ERP components manage accounting data and financial processes
within the enterprise with functions such as general ledger, accounts payable, accounts
receivable, budgeting, and asset management.
Answer: TRUE
Explanation: Accounting and finance ERP components manage accounting data and financial
processes within the enterprise with functions such as general ledger, accounts payable, accounts
receivable, budgeting, and asset management
Difficulty: 1 Easy
Topic: Enterprise Resource Planning
Bloom's: Remember
Learning Outcome: 08-05 Describe enterprise resource planning along with its associated
benefits and challenges.
Accessibility: Keyboard Navigation
Gradable: automatic
626
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written consent of McGraw-Hill Education.
142) Production and materials management ERP components handle production planning and
execution tasks such as demand forecasting, production scheduling, job cost accounting, and
quality control.
Answer: TRUE
Explanation: Production and materials management ERP components handle production
planning and execution tasks such as demand forecasting, production scheduling, job cost
accounting, and quality control.
Difficulty: 1 Easy
Topic: Enterprise Resource Planning
Bloom's: Remember
Learning Outcome: 08-05 Describe enterprise resource planning along with its associated
benefits and challenges.
Accessibility: Keyboard Navigation
Gradable: automatic
143) Production and materials management ERP components track employee information
including payroll, benefits, compensation, and performance assessment and ensure compliance
with all laws
Answer: FALSE
Explanation: Human resources ERP components track employee information including payroll,
benefits, compensation, and performance assessment and ensure compliance with all laws
Difficulty: 1 Easy
Topic: Enterprise Resource Planning
Bloom's: Remember
Learning Outcome: 08-05 Describe enterprise resource planning along with its associated
benefits and challenges.
Accessibility: Keyboard Navigation
Gradable: automatic
144) Elogistics manages the transportation and storage of goods.
Answer: TRUE
Explanation: Elogistics manages the transportation and storage of goods.
Difficulty: 1 Easy
Topic: Enterprise Resource Planning
Bloom's: Remember
Learning Outcome: 08-05 Describe enterprise resource planning along with its associated
benefits and challenges.
Accessibility: Keyboard Navigation
Gradable: automatic
627
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written consent of McGraw-Hill Education.
145) Eprocurement is the business-to-business (B2B. online purchase and sale of supplies and
services.
Answer: TRUE
Explanation: Eprocurement is the business-to-business (B2B. online purchase and sale of
supplies and services.
Difficulty: 1 Easy
Topic: Enterprise Resource Planning
Bloom's: Remember
Learning Outcome: 08-05 Describe enterprise resource planning along with its associated
benefits and challenges.
Accessibility: Keyboard Navigation
Gradable: automatic
146) Balanced scorecard is a management system, as well as a measurement system, that a firm
uses to translate business strategies into executable tasks.
Answer: TRUE
Explanation: Balanced scorecard is a management system, as well as a measurement system,
that a firm uses to translate business strategies into executable tasks.
Difficulty: 1 Easy
Topic: Enterprise Resource Planning
Bloom's: Remember
Learning Outcome: 08-05 Describe enterprise resource planning along with its associated
benefits and challenges.
Accessibility: Keyboard Navigation
Gradable: automatic
147) Production and materials management is a core ERP component.
Answer: TRUE
Explanation: Production and materials management is a core ERP component.
Difficulty: 1 Easy
Topic: The Benefits of ERP
Bloom's: Remember
Learning Outcome: 08-05 Describe enterprise resource planning along with its associated
benefits and challenges.
Accessibility: Keyboard Navigation
Gradable: automatic
628
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written consent of McGraw-Hill Education.
148) Business intelligence is both a core and extended ERP component.
Answer: FALSE
Explanation: Business intelligence is an extended ERP component.
Difficulty: 2 Medium
Topic: The Benefits of ERP
Bloom's: Understand
Learning Outcome: 08-05 Describe enterprise resource planning along with its associated
benefits and challenges.
Accessibility: Keyboard Navigation
Gradable: automatic
149) SCM, CRM, and ERP are all extended ERP components.
Answer: FALSE
Explanation: Only SCM and CRM are extended ERP components. ERP is not extended ERP
component.
Difficulty: 2 Medium
Topic: The Benefits of ERP
Bloom's: Understand
Learning Outcome: 08-05 Describe enterprise resource planning along with its associated
benefits and challenges.
Accessibility: Keyboard Navigation
Gradable: automatic
150) Elogistics manage the transportation and storage of goods.
Answer: TRUE
Explanation: This is the definition of elogistics.
Difficulty: 1 Easy
Topic: The Benefits of ERP
Bloom's: Remember
Learning Outcome: 08-05 Describe enterprise resource planning along with its associated
benefits and challenges.
Accessibility: Keyboard Navigation
Gradable: automatic
629
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written consent of McGraw-Hill Education.
151) Software customization modifies existing software according to the business's or user's
requirements.
Answer: TRUE
Explanation: Software customization modifies existing software according to the business's or
user's requirements.
Difficulty: 1 Easy
Topic: The Benefits of ERP
Bloom's: Remember
Learning Outcome: 08-05 Describe enterprise resource planning along with its associated
benefits and challenges.
Accessibility: Keyboard Navigation
Gradable: automatic
152) A two-tier ERP architecture allows an organization to have an on-premises ERP system
along with cloud ERP applications.
Answer: TRUE
Difficulty: 1 Easy
Topic: Integrating Technologies in ERP
Bloom's: Remember
Learning Outcome: 08-06 Discuss the current technologies organizations are integrating in
enterprise resource planning systems.
Accessibility: Keyboard Navigation
Gradable: automatic
153) The goal of ERP is to integrate all of the organizational systems into one fully functioning,
high-performance system that is capable of meeting all business needs and user requirements. Of
course, this goal is incredibly difficult to achieve because businesses and technologies
experience rapid change, and ERP must support mobility, cloud, SaaS, and tiered architectures
Answer: TRUE
Explanation: The goal of ERP is to integrate all of the organizational systems into one fully
functioning, high-performance system that is capable of meeting all business needs and user
requirements. Of course, this goal is incredibly difficult to achieve because businesses and
technologies experience rapid change, and ERP must support mobility, cloud, SaaS, and tiered
architectures
Difficulty: 1 Easy
Topic: Integrating Technologies in ERP
Bloom's: Remember
Learning Outcome: 08-06 Discuss the current technologies organizations are integrating in
enterprise resource planning systems.
Accessibility: Keyboard Navigation
Gradable: automatic
630
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written consent of McGraw-Hill Education.
154) The primary concern with mobile ERP is security of sensitive data, including trade secrets,
financial data, and customer data.
Answer: TRUE
Explanation: The primary concern with mobile ERP is security of sensitive data, including
trade secrets, financial data, and customer data.
Difficulty: 1 Easy
Topic: Integrating Technologies in ERP
Bloom's: Remember
Learning Outcome: 08-06 Discuss the current technologies organizations are integrating in
enterprise resource planning systems.
Accessibility: Keyboard Navigation
Gradable: automatic
155) SaaS ERP uses the cloud platform to enable organizations not only to unite around business
processes but to gather cloud data across supplier networks and supply chains to drive greater
efficiency in manufacturing projects.
Answer: TRUE
Explanation: SaaS ERP uses the cloud platform to enable organizations not only to unite around
business processes but to gather cloud data across supplier networks and supply chains to drive
greater efficiency in manufacturing projects.
Difficulty: 1 Easy
Topic: Integrating Technologies in ERP
Bloom's: Remember
Learning Outcome: 08-06 Discuss the current technologies organizations are integrating in
enterprise resource planning systems.
Accessibility: Keyboard Navigation
Gradable: automatic
156) What allows separate systems to communicate directly with each other, eliminating the
need for manual entry into multiple systems?
A) Integration
B) Intelligence
C) Data interchange
D) Demand plan
Answer: A
Explanation: This is the definition of integration.
Difficulty: 1 Easy
Topic: Building a Connected Corporation through Integration
Bloom's: Remember
Learning Outcome: 08-01 Explain integrations and the role they play in connecting a
corporation.
Accessibility: Keyboard Navigation
Gradable: automatic
631
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written consent of McGraw-Hill Education.
157) What takes information entered into a given system and sends it automatically to all
downstream systems and processes?
A) Forward integration
B) Forward data interchange
C) Backward integration
D) Backward data interchange
Answer: A
Explanation: This is the definition of a forward integration.
Difficulty: 1 Easy
Topic: Building a Connected Corporation through Integration
Bloom's: Remember
Learning Outcome: 08-01 Explain integrations and the role they play in connecting a
corporation.
Accessibility: Keyboard Navigation
Gradable: automatic
158) What takes information entered into a given system and sends it automatically to all
upstream systems and processes?
A) Forward integration
B) Forward data interchange
C) Backward integration
D) Backward data interchange
Answer: C
Explanation: This is the definition of a backward integration.
Difficulty: 1 Easy
Topic: Building a Connected Corporation through Integration
Bloom's: Remember
Learning Outcome: 08-01 Explain integrations and the role they play in connecting a
corporation.
Accessibility: Keyboard Navigation
Gradable: automatic
632
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written consent of McGraw-Hill Education.
159) What provides enterprisewide support and data access for a firm's operations and business
processes?
A) Enterprise systems
B) Enterprise application integration
C) Middleware
D) Enterprise application integration middleware
Answer: A
Explanation: This is the definition of enterprise systems.
Difficulty: 1 Easy
Topic: Building a Connected Corporation through Integration
Bloom's: Remember
Learning Outcome: 08-01 Explain integrations and the role they play in connecting a
corporation.
Accessibility: Keyboard Navigation
Gradable: automatic
160) What connects the plans, methods, and tools aimed at integrating separate enterprise
systems?
A) Enterprise systems
B) Enterprise application integration
C) Middleware
D) Enterprise application integration middleware
Answer: B
Explanation: This is the definition of EAI.
Difficulty: 1 Easy
Topic: Building a Connected Corporation through Integration
Bloom's: Remember
Learning Outcome: 08-01 Explain integrations and the role they play in connecting a
corporation.
Accessibility: Keyboard Navigation
Gradable: automatic
633
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written consent of McGraw-Hill Education.
161) What are several different types of software that sit between and provide connectivity for
two or more software applications?
A) Enterprise systems
B) Enterprise application integration
C) Middleware
D) Enterprise application integration middleware
Answer: C
Explanation: This is the definition of middleware.
Difficulty: 1 Easy
Topic: Building a Connected Corporation through Integration
Bloom's: Remember
Learning Outcome: 08-01 Explain integrations and the role they play in connecting a
corporation.
Accessibility: Keyboard Navigation
Gradable: automatic
162) What takes a new approach to middleware by packaging commonly used applications
together, reducing the time needed to integrate applications from multiple vendors?
A) Enterprise systems
B) Enterprise application integration
C) Middleware
D) Enterprise application integration middleware
Answer: D
Explanation: This is the definition of enterprise application integration middleware.
Difficulty: 1 Easy
Topic: Building a Connected Corporation through Integration
Bloom's: Remember
Learning Outcome: 08-01 Explain integrations and the role they play in connecting a
corporation.
Accessibility: Keyboard Navigation
Gradable: automatic
634
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written consent of McGraw-Hill Education.
163) What is an application integration?
A) The integration of a company's existing management information systems.
B) The integration of data from multiple sources, which provides a unified view of all data.
C) Sends information entered into a given system automatically to all downstream systems and
processes.
D) Sends information entered into a given system automatically to all upstream systems and
processes.
Answer: A
Explanation: Application integration is the integration of a company's existing management
information systems.
Difficulty: 1 Easy
Topic: Building a Connected Corporation through Integration
Bloom's: Remember
Learning Out