Question 1

Accounting systems documentation is used for which of the following?
A) To communicate how an accounting system works
B) To communicate management's overall corporate strategy
C) To describe the role of financial planners in an organization
D) To depict a company's hierarchical organizational chart

Accepted Answer

Accounting systems documentation is used to communicate how an accounting system works, including its processes, procedures, and controls. It helps ensure that the system is reliable, accurate, and efficient in producing financial information that can be used to make informed business decisions. B, C, and D are not correct because they are unrelated to accounting systems documentation.

Question 2

What does the Sarbanes-Oxley Act of 2002 require relative to documentation?
A) A company must document its internal control in detail.
B) A company must document its internal control at a general level.
C) A company must document each step in its cash receipts and disbursements processes in detail.
D) A company must document each step in its cash receipts and disbursements processes at a general level.

Accepted Answer

The Sarbanes-Oxley Act of 2002 requires a company to document its internal control in detail. This documentation must include the policies and procedures that the company has in place to ensure that financial statements are accurate and reliable. The documentation must also include the company's assessment of the effectiveness of its internal control over financial reporting. This requirement is intended to help prevent financial fraud and ensure that companies are providing accurate financial information to investors and other stakeholders.

Question 3

What is the appropriate use of a narrative description?
A) When there is not enough justification to hire technical personnel to develop graphical documentation
B) As an alternative to graphical representation
C) As a companion to graphical representation
D) None of the above

Accepted Answer

Narrative description is best used as a companion to graphical representation as it can provide additional details, context and explanation to the visuals. It can enhance the understanding of the information conveyed by the graph or diagram.

Question 4

What are two types of block diagrams?
A) Horizontal block diagrams; program block diagrams
B) Horizontal block diagrams; hierarchical block diagrams
C) Hierarchical block diagrams; functional block diagrams
D) Functional block diagrams; program block diagrams

Accepted Answer

Horizontal block diagrams show the flow of data from left to right, while hierarchical block diagrams show the decomposition of a system into subsystems.

Question 5

Which of the following statements about data flow diagrams is correct?
A) They can only be understood when used in conjunction with block diagrams.
B) They show what an accounting system is doing and how the system is doing it.
C) They are also called functional information diagrams.
D) They provide a more detailed representation of an accounting information system than do block diagrams.

Accepted Answer

Data flow diagrams (DFDs) provide a more detailed representation of an accounting information system by illustrating how data moves through the system, unlike block diagrams which offer a more general overview.

Question 6

What does end-user documentation include?
A) Control procedures
B) Error recovery procedures
C) Names of technical support people who participated in preparing the documentation
D) A and B

Accepted Answer

End-user documentation typically includes instructions on how to use the product or service, as well as any control procedures or error recovery procedures. The names of technical support people who participated in preparing the documentation may be included, but this is not a necessary component of end-user documentation. Therefore, the best choice is D, which includes both control procedures and error recovery procedures.

Question 7

What is one question that documentation standards can answer?
A) How long should the documentation be?
B) What authorizations are required?
C) What amount should the cost of documentation be restricted to?
D) How should documentation be discarded?

Accepted Answer

Documentation standards can provide guidance on what authorizations are required for different types of documents, who can approve them, and how they should be maintained and updated. The other options listed are more specific concerns that may be addressed within documentation standards, but they do not represent the overarching purpose or focus of such standards.

Question 8

Which of the following statements concerning user documentation is true?
A) User documentation describes the system from the outside looking in.
B) Different classes of users have different capabilities and needs and require different types of user documentation.
C) User documentation emphasizes how to operate the system and includes instructions for executing the various programs and instructions for handling data.
D) All of the above statements are true.

Accepted Answer

A) User documentation typically provides an overview of the software, including its features and functions, from the end user's perspective.
B) Different users have varying levels of experience and knowledge, and thus require different types of documentation to help them use the system effectively.
C) User documentation typically includes step-by-step instructions for completing common tasks, such as how to navigate the user interface and how to input and retrieve data.

Question 9

Data flow diagrams include what symbols?
A) A stop-sign indicating that a process is complete
B) A circle to indicate a process or operation
C) A square to indicate the beginning point of a diagram
D) A square to indicate a data store

Accepted Answer

The answer of Data flow diagrams include what symbols?
A) A...

Question 10

Which is not true about a level 0 data flow diagram?
A) It describes the entire system of interest on a sheet of paper.
B) It shows all the major processes, data stores, and external entities.
C) Each process can be exploded into subprocesses.
D) It can only accommodate up to a 10.0 level to ensure understandability.

Accepted Answer

A level 0 data flow diagram cannot only accommodate up to a 10.0 level to ensure understandability as there is no such limitation. Therefore, option D is the correct answer. Option A, B and C are all true statements about a level 0 data flow diagram.

Question 11

Which of the following issues should system narrative descriptions attempt to cover?
A) Relationship of every member in the organization as they pertain to the system
B) Cost of the system
C) The relationship between the current system documentation and any past documentation
D) System specifications

Accepted Answer

System narrative descriptions primarily focus on describing the system specifications, including its functions, capabilities, and limitations. While it may touch on the cost of the system, it does not need to cover the relationship of every member in the organization or the relationship between the current system documentation and any past documentation. These topics may be covered in other types of documentation, such as organizational charts or system history records.

Question 12

What is a disadvantage of a data flow diagram?
A) Inability to show relationships among subsystems
B) Poor communications tool
C) Difficulty of understanding for nontechnical personnel
D) Inability to represent points of detail

Accepted Answer

The answer of What is a disadvantage of a data...

Question 13

In the following horizontal block diagram, what do the connecting lines represent?

A) Interlevel association of parent-child relationship
B) Movement of paperwork from one group to another
C) Flow of documents, transactions, and objects among sources and destinations
D) Major information flows among subsystems of the accounting information system

Accepted Answer

The answer of In the following horizontal block diagram, what...

Question 14

Documentation types can be divided into two group according to which of the following?
A) Cost
B) Ease of understanding
C) Intended recipients
D) Complexity

Accepted Answer

Documentation types can be divided based on the intended recipients, such as user documentation for end-users, technical documentation for developers or system administrators, and internal documentation for employees within the organization.

Question 15

What are two types of system documentation?
A) Narrative description; relationship-entity diagram
B) Narrative description; data flow diagrams
C) Linear matrix diagram; relationship-entity diagram
D) Cost-benefit analysis; data flow diagram

Accepted Answer

The two types of system documentation mentioned are narrative description and data flow diagrams, as these document the system's functionality and the flow of data within it, respectively. The other choices do not accurately identify types of system documentation.

Question 16

Which of the following applies to documentation standards?
A) Standards must conform to applicable industry, national or international conventions.
B) Each item of documentation should bear the name of person checking and authorizing documentation for use.
C) Each item should bear the date and name of person preparing it.
D) All of the above apply.

Accepted Answer

All of the given options are applicable to documentation standards. Standards should conform to industry and conventional norms, and each item should bear the name of the person checking and authorizing it for use, as well as the date and name of the person preparing it.

Question 17

What is the correct labeling, in correct order, for the following data flow diagram symbols?

A) Source of data, data store, destination of data
B) Data store, process that transforms data, source or destination of data
C) Destination of data, source of data, process that transforms data
D) Process that transforms data, destination of data, source of data

Accepted Answer

The answer of What is the correct labeling, in correct...

Question 18

Who would be most likely to use system documentation?
A) Auditors
B) Management
C) Human resources
D) Administrative support

Accepted Answer

Auditors would be most likely to use system documentation to ensure that the system is functioning properly and meeting any regulatory or compliance requirements. Management may also use system documentation but for different purposes such as identifying areas of improvement or making decisions about system upgrades. Human resources and administrative support would have little to no use for system documentation.

Question 19

What type of documentation describes an accounting system from the outside looking in?
A) System design documentation
B) Top-down design documentation
C) User documentation
D) Technical documentation

Accepted Answer

User documentation describes an accounting system from the outside looking in, providing instructions on how to use the system and explaining its features and functions to end-users. System design documentation and technical documentation are more detailed and focus on the inner workings of the system, while top-down design documentation outlines the overall architecture and structure of the system.

Question 20

How should distribution of or access to documentation be handled?
A) Through multiple channels
B) Saved so that is can be a basis of comparison for future documentation development
C) On a need-to-know basis
D) None of the above

Accepted Answer

Documentation should be distributed on a need-to-know basis to ensure that sensitive information is only accessible to those who require it for their work, maintaining security and confidentiality.

Quiz 2: Accounting Systems Documentation

Accounting systems documentation is used for which of the following?

What does the Sarbanes-Oxley Act of 2002 require relative to documentation?

What is the appropriate use of a narrative description?

What are two types of block diagrams?

Which of the following statements about data flow diagrams is correct?

What does end-user documentation include?

What is one question that documentation standards can answer?

Which of the following statements concerning user documentation is true?

Data flow diagrams include what symbols?

Which is not true about a level 0 data flow diagram?

Which of the following issues should system narrative descriptions attempt to cover?

What is a disadvantage of a data flow diagram?

In the following horizontal block diagram, what do the connecting lines represent?

Documentation types can be divided into two group according to which of the following?

What are two types of system documentation?

Which of the following applies to documentation standards?

What is the correct labeling, in correct order, for the following data flow diagram symbols?

Who would be most likely to use system documentation?

What type of documentation describes an accounting system from the outside looking in?

How should distribution of or access to documentation be handled?