Deck 2: Accounting Databases

Question 1

What is the Pareto Principle? How does this principle apply to accounting database design?

Answer 1

The Pareto Principle is also called the 80/20 rule. When designing an accounting database, if you spend 80 percent of time and energy planning and design stages then just 20 percent of time will be spent on maintaining and updating the database. If just 20 percent of time and energy is spent on the planning and design stages, then 80 percent of time will be spent on maintaining and updating the database.

Question 2

Database management system (DBMS)software transfers data from the accounting software to the database.

Answer 2

True

Question 3

Which of the following statements is NOT a benefit associated with entering data once into a database?

A)Reentering the same data again and again increases the chances of entering erroneous data, such as misspellings and transpositions.
B)It increase the opportunity to enter data incorrectly.
C)When you need to update the customer's address, you only need to update it once. This eliminates the possibility of updating some, but not all, of the other entries.
D)It is more efficient. You do not spend non-value-added time reentering the same information again and again.

Answer 3

B

Question 4

According to the Pareto Principle, if you spend 80% of the time designing a database, you will spend 20% of your time maintaining the database.

Question 5

Nancy Smith comes in to EspressoCoffee to provide her new address and you make the appropriate updates. When preparing a sales receipt for her a week later you notice Nancy's old address appears on receipt. What does this indicate about the database?

A)The database is working correctly.
B)Nancy Smith's order was entered incorrectly.
C)The same customer was entered into the database multiple times.
D)The address information was updated for the wrong Nancy Smith.

Question 6

Dirty data occurs when errors are entered into a system.

Question 7

One of the disadvantages of a relational database is that we can enter data once into the database, and then reuse that data in various locations where it is needed.

Question 8

Data stored in a ________ may be current data, historical data, or future estimates.

Question 9

What does the DBMS software do?

Question 10

While auditing the Accounts Payable records, the auditor discovers an entry for Coffee Emporium with an address of 809 Main St., St. Louis MO and another entry for Coffee Emporium with an address of 809 Main Street, St. Louis MO. Each entry has a different vendor number. Which of the following statements is false?

A)Data was entered into the database incorrectly.
B)The onscreen form for entering vendor information correctly performed data validation.
C)The database views these as two separate accounts.
D)The data needs scrubbing.

Question 11

You are an intern in a large company. The company would like to improve the communications between the accountants and IT. Because of your background in AIS, you are asked to train the accountants. Your assignment is to describe to your colleagues how data flows through the accounting system architecture when a new customer is entered in the accounting software.

Question 12

When using an accounting database system, such as QuickBooks, what happens when an existing customer name is entered on an onscreen invoice form?

A)The DBMS retrieves tax information and inserts it into the invoice.
B)The DBMS retrieves address and contact information and inserts it into the invoice.
C)The DBMS prompts you to enter the address and contact information.
D)The DBMS retrieves inventory information and inserts it into the form.

Question 13

You are an intern in a large company. The company would like to improve the communications between the accountants and IT. Because of your background in AIS, you are asked to train the accountants. Your assignment is to describe how data flows through the accounting system architecture when a report is run against the database. Start with requesting the report.

Question 14

Data stored in a data warehouse is used for routine business activities.

Question 15

Which of the following is NOT a tier in the accounting system architecture?

A)Report tier
B)Database tier
C)User tier
D)Application tier

Question 16

Which tier in the accounting system architecture that consists of onscreen forms?

A)User tier
B)Application tier
C)Database tier
D)Accounting tier

Question 17

The ________ is responsible for managing the enterprise's databases.

Question 18

The ________ inserts, updates, and deletes data in the database.

Question 19

Entering data ________ reduces the change of entering errors.

Question 20

Nearly all accounting information today is stored in ________.

Question 21

What are the structures of a relational database, hierarchical database, and a network database? How is data retrieved from each of these types of databases?

Question 22

In a ________ database structure, a parent record can have many child records and each child record can have only one parent record.

Question 23

What is the difference between a relational database and a network database?

Question 24

Database fields are pieces of information about event, people, and objects.

Question 25

Match the database type to the corresponding structure.

-Network Database

A)Multiple Tables
B)One Parent and Multiple Children
C)Multiple Parents and Multiple Children

Question 26

An intersection table transforms a many-to-many relationship to two one-to-many relationships.

Question 27

Match the database type to the corresponding structure.

-Hierarchical Database

A)Multiple Tables
B)One Parent and Multiple Children
C)Multiple Parents and Multiple Children

Question 28

Which type of data is NOT stored in a data warehouse?

A)Historical data
B)Current data
C)Future estimates
D)Data that is used for routine business activities

Question 29

What IT professionals call people or things, accounting professionals call objects.

Question 30

In a ________ database structure, a parent record can have many child records and a child record can have many parent records.

Question 31

What is the difference between a relational database and a hierarchial database?

Question 32

To retrieve data stored in a relational database, each record must have one or more unique identifier.

Question 33

Match the database type to the corresponding structure.

-Relational Database

A)Multiple Tables
B)One Parent and Multiple Children
C)Multiple Parents and Multiple Children

Question 34

Who are the people responsible for establishing policies for database security?

A)Internal auditors and security personnel
B)Database administrators and security personnel
C)Database administrators and system users
D)Internal auditors and database administrators

Question 35

What is an operational database and a data warehouse? How are they different?

Question 36

When retrieving data from a relational database, which of the following is true?

A)You need to know the record address of the data.
B)You need to understand the database structure.
C)You need to know how the tables are related.
D)You need to understand the parent/child record relationship.

Question 37

In a one-to-one relationship, for each record in one database table there are many records in a related table.

Question 38

A database table that stores data about items a business sells is used in the Sales cycle and the Purchasing cycle.

Question 39

The intersection table's primary key is a composite primary key.

Question 40

In a relational database, the database tables should not have any connections to other tables in the database.

Question 41

Database ________ are used to search the database and retrieve specific data from one or more database tables.

Question 42

Database ________ store pieces of information about people, events, and objects.

Question 43

Match the database table to the appropriate transaction cycle.

-Time Worked

A)Banking Cycle
B)Sales Cycle
C)Purchasing Cycle
D)Financial Cycle
E)Payroll Cycle

Question 44

An intersection table's primary key is a(n)________.

Question 45

Match the database table to the appropriate transaction cycle.

-Account Transactions

A)Banking Cycle
B)Sales Cycle
C)Purchasing Cycle
D)Financial Cycle
E)Payroll Cycle

Question 46

In the Database Builder Realm database programmers work with the database users to identify user requirements.

Question 47

Database forms are

A)A way to input data into the database
B)Tools for searching and extracting data from a database
C)Output of database queries
D)None of the above

Question 48

To create a relational database based on the purchasing cycle, which types of data should be recorded in the database?

A)Customers, purchase orders, invoices
B)Vendors, inventory items, invoices
C)Inventory items, purchase orders, invoices
D)Vendors, inventory items, purchase orders

Question 49

Match the database table to the appropriate transaction cycle.

-Customer

A)Banking Cycle
B)Sales Cycle
C)Purchasing Cycle
D)Financial Cycle
E)Payroll Cycle

Question 50

Match the database table to the appropriate transaction cycle.

-Employee

A)Banking Cycle
B)Sales Cycle
C)Purchasing Cycle
D)Financial Cycle
E)Payroll Cycle

Question 51

Database fields are

A)A collection of related tables
B)A collection of related records
C)Pieces of information about people, events, and objects
D)A way to input data into a database

Question 52

To create a relational database based on the payroll cycle, which types of data should be recorded in the database?

A)Number of hours worked and inventory information
B)Number of hours worked and purchase orders
C)Employee information and number of hours worked
D)Employee information and sales invoices

Question 53

Generally, the relationship between a table that stores customer data and table that stores sales order data is ________.

Question 54

In the design phase of SDLC, the design for a new accounting database model is created that satisfies user requirements.

Question 55

________ tables are placed between two tables with many-to-many relationship to create two one-to-many relationships.

Question 56

Match the database table to the appropriate transaction cycle.

-Purchase Order

A)Banking Cycle
B)Sales Cycle
C)Purchasing Cycle
D)Financial Cycle
E)Payroll Cycle

Question 57

Which statement is true regarding a one-to-many relationship?

A)One-to-many relationships are the most common type of relationships in a relational database.
B)Many records in one table relate to many records in a related table.
C)This type of relationship is problematic when building a database and must be eliminated using an intersection table.
D)For each record type in one database table there one record in the related table.

Question 58

Generally, the relationship between a table that stores sales order data and a table that stores inventory data is ________.

Question 59

Match the database table to the appropriate transaction cycle.

-Cash Receipts

A)Banking Cycle
B)Sales Cycle
C)Purchasing Cycle
D)Financial Cycle
E)Payroll Cycle

Question 60

Match the database table to the appropriate transaction cycle.

-General Ledger

A)Banking Cycle
B)Sales Cycle
C)Purchasing Cycle
D)Financial Cycle
E)Payroll Cycle

Question 61

Use the database tables below to answer the following questions.
Which field in the SALES ORDERS table is a foreign key?

A)SO No
B)SO Date
C)Shipping
D)Customer ID

Question 62

All the following statements about intersection tables are true EXCEPT

A)Only one field in an intersect table is needed to uniquely identify a record
B)The primary key for the intersection table includes the foreign keys of the tables
C)Intersection tables remove many-to-many relationships
D)An intersection table's primary key is a composite key

Question 63

When designing accounting database tables, how can we ensure the database will support the data needed by the enterprise? How can this information be collected?

Question 64

Describe the possible types of database issues or anomalies.

Question 65

What is the purpose of a foreign key? Provide an example.

Question 66

Use the database tables below to answer the following questions.
Which table's primary key has a composite primary key?

A)Projects
B)TimeSheet
C)TS Line
D)Employees

Question 67

Describe the types of relationships possible between tables in a relational database. Indicate whether each relationship is desirable in a relational database.

Question 68

Why are calculated amounts NOT stored in a database?

Question 69

Database anomalies are limited to databases using a network structure.

Question 70

Use the database tables below to answer the following questions.
Which table's primary key has a composite primary key?

A)CUSTOMERS
B)SALES ORDERS
C)ITEMS
D)SO LINE

Question 71

In which database realm is associated with the deploy phase of the SDLC?

A)Database application realm
B)Database user realm
C)Database designer realm
D)Database builder realm

Question 72

In which phase of the SDLC is the database documented using entity relationship diagrams?

A)Install phase
B)Analysis phase
C)Design phase
D)Build/Buy phase

Question 73

Use the database tables below to answer the following questions.
Which of the relationships below is a many-to-many relationship?

A)Projects, TS Line
B)TimeSheets, Projects
C)Employee, Timesheets
D)TimeSheets, TS Line

Question 74

Use the database tables below to answer the following questions.

-By using an intersection table, which field can be removed from the SALES ORDERS table?

A)SO No
B)SO Date
C)Item No
D)Shipping

Question 75

Use the database tables below to answer the following questions.
Which table is an intersection table?

A)Projects
B)TS Line
C)Timesheets
D)Employees

Question 76

Use the database tables below to answer the following questions.
The ________ table is an intersection table.

A)CUSTOMERS
B)SALES ORDERS
C)ITEMS
D)SO LINE

Question 77

How are database tables connected? Please provide an example.

Question 78

Use the database tables below to answer the following questions.
Which of the relationships below is a many-to-many relationship?

A)CUSTOMERS, SALES ORDERS
B)SALES ORDERS, ITEMS
C)ITEMS, SO LINE
D)SO LINE, CUSTOMERS

Question 79

Use the database tables below to answer the following questions.
Which field in the TimeSheet table is a foreign key?

A)Time Sheet ID
B)Total Hours
C)Week Ending
D)Employee ID

Question 80

Use the database tables below to answer the following questions.

-By using an intersection table, which field can be removed from the TimeSheet table?

A)Total Hours
B)Week Ending
C)Project ID
D)EmployeeID