IT APPLICATION TOOLS IN BUSINESS ACCOUNTING REVIEWER
CHAPTER 1: INTRODUCTION TO
INFORMATION SYSTEM
DATA : Raw facts such as an employee
number or total hours worked in a week.
INFORMATION: A collection of data
organized and processed so that it has
additional value beyond the value of the
individual facts.
PROCESS: A set of logically related tasks
performed to achieve a defined outcome.
KNOWLEDGE: The awareness and
understanding of a set of information and the
ways that information can be made useful to
support a specific task or reach a decision.
INFORMATION SYSTEM (IS): A set of
interrelated components that collect,
process, store, and disseminate data and
information; an information system provides
a feedback mechanism to monitor and
control its operation to make sure it
continues to meet its goals and objectives.
COMPUTER-BASED INFORMATION
SYSTEM (CBIS): A single set of
hardware, software, databases, networks,
people, and procedures that are configured
to collect, manipulate, store, and process
data into information.
TECHNOLOGY INFRASTRUCTURE:
All the hardware, software, databases,
networks, people, and procedures that are
configured to collect, manipulate, store, and
process data into information
PROCEDURE: A set of steps that need to
be followed to achieve a specific end result,
such as enter a customer order, pay a
supplier invoice, or request a current
inventory report.
PERSONAL IS: An information system
that improves the productivity of individual
users in performing stand-alone tasks.
GROUP IS: An information system that
improves communications and support
collaboration among members of a
workgroup.
ENTERPRISE IS: An information system
that an organization uses to define structured
interactions among its own employees
and/or with external customers, suppliers,
government agencies, and other business
partners.
ORGANIZATIONAL COMPLEMENT: A
key component that must be in place to
ensure successful implementation and use of
an information system.
HARDWARE: Computer equipment used
to perform input, processing, storage, and
output activities.
SOFTWARE: The computer programs that
govern the operation of a particular
computing device, be it desktop, laptop,
tablet, smartphone, or some other device.
CONSUMERIZATION OF IT: The trend
of consumer technology practices
influencing the way business software is
designed and delivered.
DATABASE: An organized collection of
facts and information, typically consisting of
two or more related data files.
DATA WAREHOUSE: A database that
stores large amounts of historical data in a
form that readily supports analysis and
management decision making.
EXTRACT-TRANSFORM-LOAD (ETL):
The process by which raw data is extracted
 IT APPLICATION TOOLS IN BUSINESS ACCOUNTING REVIEWER
from various sources, transformed into a
format to support the analysis to be
performed, and loaded into the data
warehouse.
BIG DATA: A term used to describe data
collections that are so enormous (think
petabytes or larger) and complex (from
sensor data to social media data) that
traditional data management software,
hardware, and analysis processes are
incapable of dealing with them.
NETWORK: A group or system of
connected computers and equipment—in a
room, building, campus, city, across the
country, or around the world—that enables
electronic communication.
INTERNET: The world’s largest computer
network, consisting of thousands of
interconnected networks, all freely
exchanging information.
PUBLIC CLOUD COMPUTING: A
means of providing computing services
wherein a service provider organization
owns and manages the hardware, software,
networking, and storage devices, with cloud
user organizations (called tenants) accessing
slices of shared resources via the Internet.
WORLD WIDE WEB (WWW): A network
of links on the Internet to files containing
text, graphics, video, and sound.
INTRANET: A network that enables
communication, collaboration, search
functions, and information sharing between
the members of an organization’s team using
a Web browser.
EXTRANET: A network based on Web
technologies that allows selected outsiders,
such as business partners and customers, to
access authorized resources of a company’s
intranet.
INTERNET OF THINGS (IOT): A
network of physical objects or “things”
embedded with sensors, processors,
software, and network connectivity
capability to enable them to exchange data
with the manufacturer of the device, device
operators, and other connected devices.
INTERNET OF EVERYTHING: A
network that encompasses not only
machineto-machine but also people-to-
people and people-to-machine connections.
E-COMMERCE: Involves the exchange of
money for goods and services over
electronic networks and encompasses many
of an organization’s outwardfacing
processes—such as sales, marketing, order
taking, delivery, procurement of goods and
services, and customer service—that touch
customers, suppliers, and other business
partners
MOBILE COMMERCE (M-
COMMERCE): The buying and selling of
goods and/or services using a mobile device,
such as a tablet, smartphone, or other
portable device.
ELECTRONIC BUSINESS (E-
BUSINESS): The use of information
systems and networks to perform business-
related tasks and functions beyond those
performed for e-commerce.
TRANSACTION: Any business-related
exchange such as a payment to an employee,
a sale to a customer, or a payment to a
supplier.
TRANSACTION PROCESSING
SYSTEM (TPS): An organized collection
of people, procedures, software, databases,
 IT APPLICATION TOOLS IN BUSINESS ACCOUNTING REVIEWER
and devices used to process and record
business transactions
MANAGEMENT INFORMATION
SYSTEM: An organized collection of
people, procedures, software, databases, and
devices that provides routine information to
managers and decision makers
INFORMATION SILO: An isolated
information system not easily capable of
exchanging information with other
information systems.
ENTERPRISE RESOURCE
PLANNING (ERP) SYSTEM: A system
that supports an organization’s routine
business processes, maintains records about
those processes, and provides extensive
reporting and data analysis capabilities. wide
range of applications, practices, and
technologies for the extraction,
transformation, integration, visualization,
analysis, interpretation, and presentation of
data to support improved decision making.
BUSINESS ANALYTICS: The extensive
use of data and quantitative analysis to
support fact-based decision making within
organizations.
DATA SCIENTIST: A person who
understands the business and the business
analytics technology, while also recognizing
the limitations of their data, tools, and
techniques; a data scientist puts all of this
together to deliver real improvements in
decision making with an organization.
KNOWLEDGE MANAGEMENT
SYSTEM (KMS): An organized collection
of people, procedures, software, databases,
and devices that stores and retrieves
knowledge, improves collaboration, locates
knowledge sources, captures and uses
knowledge, or in some other way enhances
the knowledge management process.
PROJECT: A temporary endeavor
undertaken to create a unique product,
service, or result.
SYSTEM ACQUISITION: The process
used to obtain the information system
resources needed to provide the services
necessary to meet a specific set of needs.
OPEN SOURCE SOFTWARE: Software
that is distributed for free, with access
permitted to the source code so that it can be
studied, changed, and improved by software
professionals at the various user
organizations—with no maintenance
charges.
SYSTEM DEVELOPMENT: The activity
of building information systems to meet
users’ needs.
CYBERCRIMINAL: A computer hacker
who is motivated by the potential for
monetary gain; cybercriminals hack into
computer systems to steal, often by
transferring money from one account to
another or by stealing and reselling credit
card numbers, personal identities, and
financial account information.
CYBERTERRORISM: The intimidation of
a government or a civilian population by
using information technology to disable
critical national infrastructure (e.g., energy,
transportation, financial, law enforcement,
emergency response) to achieve political,
religious, or ideological goals.
ETHICS: A set of beliefs about right and
wrong behavior. Ethical behavior conforms
to generally accepted social norms—many
of which are almost universally accepted.
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INTERNET CENSORSHIP: The control
or suppression of the publishing or accessing
of information on the Internet.
DIGITAL DIVIDE: The gulf between those
who do and those who don’t have access to
modern information and communications
technology such as smartphones, personal
computers, and the Internet.
NET NEUTRALITY: The principle that
Internet service providers (ISPs) should be
required to treat all Internet traffic running
over their wired and wireless broadband
networks the same— without favoring
content from some sources and/or blocking
or slowing (also known as throttling) content
from others.
SELF –ASSESMENT TEST CHAPTER 1
The value of information is directly linked to
how it helps decision makers achieve the
organization’s goals.
1. ________ is a collection of raw facts
organized and processed so that it has
additional value beyond the value of the
individual facts.
a. Data
b. Information
c. Knowledge
d. Expertise
2. Turning data into information is a
PROCESS or a set of logically related
tasks performed to achieve a defined
outcome.
3. Two quality characteristics that are
critical for data used in accounting for
the management of company assets, such
as cash, inventory, and equipment are
a. flexibility and accuracy
b. security and relevancy
c. accuracy and completeness
d. relevancy and economical
Information systems are composed of
fundamental components that must be
carefully assembled and integrated to work
well together.
4. Technology infrastructure includes all
the hardware, software, DATABASES ,
networks, people, and procedures that
are configured to collect, manipulate,
store, and process data into information.
5. According to Jim Collins in his book
Good to Great, those who build great
companies understand that the ultimate
throttle on growth for any great company
is not markets, or technology, or
competition, or products; rather, it is one
thing above all others:
a. great customers
b. great systems
c. great leadership
d. great people
Managers have an essential role to play in
the successful implementation and use of
information systems—the role changes
depending on which type of IS system is
being implemented.
6. When considering the role of business
managers in working with IS, it is useful
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to divide information systems into these
three types:
a. enterprise IS, group IS,
and personal IS
b. small and simple, medium
and multifaceted, and large
and complex
c. operational, tactical, and
strategic
d. management support,
operational, and enterprise
systems
7. Which of the following is not a key
organizational complement that must be
in place to ensure successful
implementation and use of the system?
a. well-trained workers
b. better teamwork
c. the latest technology
d. new decision rights
An organization’s technology infrastructure
forms the foundation upon which its systems
and applications are built.
8. ______ are the primary device type used
by people around the world to
communicate, go online, and access and
share information.
a. Personal computers
b. Laptops
c. Smartphones
d. Tablets
9. The trend of consumer technology
practices influencing the way business
software is designed and delivered is
called the CONSUMERIZATION OF
IT.
10. CLOUD COMPUTING is a computing
environment in which a service provider
organization owns and manages the
hardware, software, networking, and
storage devices, with cloud user
organizations (called tenants) accessing
slices of shared resources via the
Internet.
Organizations employ a variety of
information systems to improve the way
they conduct business and make fact-
based decisions.
11. E-COMMERCE involves the exchange
of money for goods and services over
electronic networks, and it encompasses
many of an organization’s outward-
facing processes—such as sales,
marketing, order taking, delivery,
procurement of goods and services, and
customer service—that touch customers,
suppliers, and other business partners.
12. A is an organized collection of people,
procedures, software, databases, and
devices that provides routine information
to managers and decision makers.
a. transaction processing
system (TPS)
b. management information
system (MIS)
c. enterprise resource
planning (ERP) system
d. supply chain management
system
13. Over time, decision support systems,
executive information systems, online
analytical processing, business
intelligence, and business analytics have
gained in capabilities and expanded in
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scope to add new functionality, but they
have all had the goal of
a. processing business transactions as
rapidly and accurately as possible
b. deriving the most value out of
the data available
c. providing routine information to
managers
d. enabling the sharing of
information across organizations
units
14. An organized collection of people,
procedures, software, databases, and
devices that stores and retrieves
knowledge, improves collaboration,
locates knowledge sources, and captures
and uses knowledge is called a
KNOWLEDGE MANAGEMENT
SYSTEM
Strategic planning and project management
are keys to ensuring that the organization is
working effectively on the right projects.
15. An IT organization not aligned with the
key objectives of the business will ___.
a. be recognized as a technology leader
in its industry
b. find it difficult to even gain
management support for its proposed
efforts
c. be positioned to deliver a series of
breakthrough projects
d. be viewed as a partner with the
business
16. The two fundamental strategies for
system acquisition are: .
a. customize an existing package and
acquire open source software
b. use a standard software package or
customize software
c. build software in-house or
contract for software
d. buy off-the-shelf software or
build a custom application
Information systems must be applied
thoughtfully and carefully so that society,
organizations, and individuals around the
globe can reap their enormous benefits.
17. Which of the following statements about
computer security is not true?
a. Cyberterrorism is an increasing
concern for organizations and countries
around the globe.
b. Information systems provide a new
and highly profitable venue for
cybercriminals.
c. The need for computer security must
be balanced against other business
needs.
d. Educating end users about the risks
involved and the actions they must
take to prevent a security incident is a
not key part of any security program.
18. DIGITAL DIVIDE is a term used to
describe the gulf between those who do
and those who don’t have access to
modern information and
communications technology such as
smartphones, personal computers, and
the Internet.
CHAPTER 2 : INFORMATION
SYSTEMS IN ORGANIZATIONS
ORGANIZATION: A group of people that
is structured and managed to meet its
mission or set of group goals.
VALUE CHAIN: A series (chain) of
activities that an organization performs to
transform inputs into outputs in such a way
that the value of the input is increased
 IT APPLICATION TOOLS IN BUSINESS ACCOUNTING REVIEWER
supply chain: A key value chain whose
primary activities include inbound logistics,
operations, outbound logistics, marketing
and sales, and service.
supply chain management (SCM): The
management of all the activities required to
get the right product into the right
consumer’s hands in the right quantity at the
right time and at the right cost—from the
identification of suppliers and the
acquisition of raw materials through
manufacture and customer delivery.
virtual team: A group of individuals whose
members are distributed geographically, but
who collaborate and complete work through
the use of information systems.
innovation: The application of new ideas to
the products, processes, and activities of a
firm, leading to increased value.
reengineering (process redesign/business
process reengineering, BPR): The radical
redesign of business processes,
organizational structures, information
systems, and values of the organization to
achieve a breakthrough in business results.
continuous improvement: Constantly
seeking ways to improve business processes
and add value to products and services.
outsourcing: A long-term business
arrangement in which a company contracts
for services with an outside organization that
has expertise in providing a specific
function.
offshore outsourcing (offshoring): An
outsourcing arrangement where the
organization providing the service is located
in a country different from the firm
obtaining the services.
downsizing: Reducing the number of
employees to cut costs.
culture: A set of major understandings and
assumptions shared by a group, such as
within an ethnic group or a country.
organizational culture: The major
understandings and assumptions for a
business, corporation, or other organization.
organizational change: How forprofit and
nonprofit organizations plan for, implement,
and handle change.
soft side of implementing change: The work
designed to help employees embrace a new
information system and way of working.
change management model: A description of
the phases an individual or organization
goes through in making a change and
principles for successful implementation of
change.
Lewin’s change model: A threestage
approach for implementing change that
involves unfreezing, moving, and refreezing.
force field analysis: An approach to
identifying both the driving (positive) and
restraining (negative) forces that influence
whether change can occur.
driving forces: The beliefs, expectations, and
cultural norms that tend to encourage a
change and give it momentum.
restraining forces: Forces that make it
difficult to accept a change or to work to
implement a change.
Leavitt’s diamond: An organizational
change model that proposes that every
organizational system is made up of four
main components—people, tasks, structure,
 IT APPLICATION TOOLS IN BUSINESS ACCOUNTING REVIEWER
and technology—that all interact; any
change in one of these elements will
necessitate a change in the other three
elements.
organizational learning: The adaptations and
adjustments made within an organization
based on experience and ideas over time.
technology acceptance model (TAM): A
model that specifies the factors that can lead
to better attitudes about an information
system, along with higher acceptance and
usage of it.
diffusion of innovation theory: A theory
developed by E.M. Rogers to explain how a
new idea or product gains acceptance and
diffuses (or spreads) through a specific
population or subset of an organization.
shadow IT: The information systems and
solutions built and deployed by departments
other than the information systems
department. In many cases, the information
systems department may not even be aware
of these efforts.
certification: A process for testing skills and
knowledge; successful completion of a
certification exam results in a statement by
the certifying authority that confirms an
individual is capable of performing
particular tasks.
CHAPTER 2 SELF ASSESSMENT TEST
Organizations are open systems that affect
and are affected by their surrounding
environment.
1. Organizations are considered to be
OPEN systems, meaning that can affect
and are affected by their surrounding
environment.
2. The is a series of activities that an
organization performs to transform
inputs into outputs in such a way that the
value of the input is increased.
a. supply chain
b. inbound logistics
c. value chain
d. manufacturing
3. SUPPLY CHAIN MANAGEMENT
encompasses all the activities required to
get the right product into the right
customer’s hands in the right quantity at
the right time and at the right cost.
4. Which of the following is not a true
statement regarding the use of virtual
teams?
a. Virtual teams enable the
organization to enlist
thebestpeopleindifferentgeographical
regions to solve important
organizational problems.
b. The use of virtual teams provides
the ability to staff a team with people
who have a wide range of experience
and knowledge that stems from a
variety of professional experiences
and cultural backgrounds.
c. It is usually easy and convenient
for all members of a virtual team
to meet at the same time and
physical location.
d. Members of a virtual team may
feel that their work day never ends.
5. Continuous enhancement of an existing
product is an example of SUSTAINING
innovation.
6. A long-term business arrangement in
which a company contracts for services
with an outside organization located in
another country to provide a specific
business function is called .
a. business process reengineering
 IT APPLICATION TOOLS IN BUSINESS ACCOUNTING REVIEWER
b. outsourcing
c. downsizing
d. offshore outsourcing
7. _____ of large information system
projects fail, at least in part, due to a
failure to prepare business users for the
actual change to come.
a. Less than 15 percent
b. Over 80 percent
c. About 48 percent
d. Between 30 and 70 percent
Information systems must be implemented
in such a manner that they are accepted and
work well within the context of an
organization and support its fundamental
business goals and strategies.
8. The three stages of Lewin’s change
model include (1) ceasing old habits and
creating a climate that is receptive to
change; (2) learning new work methods,
behaviors, and systems; and (3)___ .
a. reinforcing changes to make the
new process second nature,
accepted, and part of the job.
b. fine-tuning existing work
processes and systems so they
become more streamlined and
efficient
c. replacing existing users that refuse
to accept the change
d. rewarding those responsible for
the change
9. The _____ change model is helpful in
identifying and addressing negative
feelings that make it difficult for users to
accept the move to a new information
system.
a. Leavitt’s diamond
b. Lewin’s force field analysis
c. Diffusion of innovation theory
d. Lewin’s change model
The information system worker functions at
the intersection of business and technology
and designs, builds, and implements
solutions that allow organizations to
effectively leverage information technology
systems.
10. The Bureau of Labor Statistics forecasts
an increase of new computing jobs in the
time period 2012 to 2022.
a. .12 million
b. .5 million
c. 1.0 million
d. 1.2 million
11. The typical information systems
organization is typically divided into
three functions, including support,
development, and . OPERATION.
12. CERTIFICATION is a process for
testing skills and knowledge; successful
completion of a certification exam
results in an endorsement by the
certifying authority that an individual is
capable of performing particular tasks or
jobs.
CHAPTER 3 HARDWARE AND
MOBILE DEVICES
CENTRAL PROCESSING UNIT
(CPU): The part of a computer that
sequences and executes instructions.
MEMORY: A component of the
computer that provides the processor
with a working storage area to hold
program instructions and data.
INPUT/OUTPUT DEVICE: A
computer component that provides data
and instructions to the computer and
receives results from it.
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BUS: A set of electronic circuits used to
route data and instructions to and from
the various components of a computer.
CLOCK SPEED: A series of electronic
pulses produced at a predetermined rate
that affects machine cycle time.
GIGAHERTZ (GHZ): A unit of
frequency that is equal to one billion
cycles per second; a measure of clock
speed.
INSTRUCTION SET
ARCHITECTURE (ISA): A basic set
of commands (opcodes) that the
processor can execute.
PROCESSOR FAMILY: A set of
processors from the same manufacturer
that have similar features and
capabilities.
MULTIPROCESSING: The
simultaneous execution of two or more
instructions at the same time.
COPROCESSOR: The part of the
computer that speeds processing by
executing specific types of instructions
while the CPU works on another
processing activity.
MULTICORE PROCESSOR: A
microprocessor that has two or more
independent processing units, called
cores, which are capable of sequencing
and executing instructions.
PARALLEL COMPUTING: The
simultaneous execution of the same task
on multiple processors to obtain results
faster.
MASSIVELY PARALLEL
PROCESSING SYSTEM: A system
that speeds processing by linking
hundreds or thousands of processors to
operate at the same time, or in parallel,
with each processor having its own bus,
memory, disks, copy of the operating
system, and applications.
GRID COMPUTING: The use of a
collection of computers, often owned by
multiple individuals or organizations,
that work in a coordinated manner to
solve a common problem.
INTEGRATED CIRCUIT (IC): A set
of electronic circuits on one small piece
of semiconductor material, normally
silicon.
SEMICONDUCTOR FABRICATION
PLANT: A factory where integrated
circuits are manufactured; also called a
fab or a foundry.
MAIN MEMORY: The component of a
computer that provides the CPU with a
working storage area for program
instructions and data.
BYTE (B): Eight bits that together
represent a single character of data.
RANDOM ACCESS MEMORY
(RAM): A form of memory in which
instructions or data can be temporarily
stored.
CACHE MEMORY: A type of
highspeed memory that a processor can
access more rapidly than main memory.
SECONDARY STORAGE: A device
that stores large amounts of data,
instructions, and information more
permanently than allowed with main
memory.
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MAGNETIC TAPE: A type of
sequential secondary storage medium,
now used primarily for storing backups
of critical organizational data in the
event of a disaster.
HARD DISK DRIVE (HDD): A direct
access storage device used to store and
retrieve data from rapidly rotating disks
coated with magnetic material.
REDUNDANT ARRAY OF
INDEPENDENT/INEXPENSIVE
DISKS (RAID): A method of storing
data that generates extra bits of data
from existing data, allowing the system
to create a “reconstruction map” so that
if a hard drive fails, the system can
rebuild lost data.
VIRTUAL TAPE: A storage device for
less frequently needed data. With virtual
tape systems, data appears to be stored
entirely on tape cartridges, although
some parts of it might actually be located
on faster hard disks.
OPTICAL STORAGE DEVICE: A
form of data storage that uses lasers to
read and write data.
COMPACT DISC READ-ONLY
MEMORY (CD-ROM): A common
form of optical disc on which data
cannot be modified once it has been
recorded.
DIGITAL VIDEO DISC (DVD): A
form of optical disc storage that looks
like a CD but that can store more data
and access it more quickly.
SOLID STATE STORAGE DEVICE
(SSD): A storage device that stores data
in memory chips rather than on hard disk
drives or optical media.
network-attached storage (NAS): A hard
disk drive storage device that is set up
with its own network address and
provides file-based storage services to
other devices on the network.
storage area network (SAN): A high-
speed, special-purpose network that
integrates different types of data storage
devices (e.g., hard disk drives, magnetic
tape, solid state secondary storage
devices) into a single storage system and
connects that to computing resources
across an entire organization.
POLICY-BASED STORAGE
MANAGEMENT: The automation of
storage using previously defined
policies.
STORAGE AS A SERVICE: A data
storage model where a data storage
service provider rents space to
individuals and organizations.
DATA ENTRY: Converting
humanreadable data into a machine-
readable form.
DATA INPUT: Transferring
machinereadable data into the system.
SOURCE DATA AUTOMATION:
Capturing and editing data where it is
initially created and in a form that can be
directly entered into a computer, thus
ensuring accuracy and timeliness.
SPEECH-RECOGNITION
TECHNOLOGY : Input devices that
recognize human speech.
MAGNETIC STRIPE CARD: A type
of card that stores a limited amount of
data by modifying the magnetism of tiny
 IT APPLICATION TOOLS IN BUSINESS ACCOUNTING REVIEWER
iron-based particles contained in a band
on the card.
SMART CARD: A credit card
embedded with a computer chip that
contains key consumer and account data;
smart card users must either enter their
PIN (chip-and-PIN) or sign (chip-and-
sign) for each transaction to be
approved.
CONTACTLESS PAYMENT CARD:
A card with an embedded chip that only
needs to be held close to a terminal to
transfer its data; no PIN number needs to
be entered.
POINT-OF-SALE (POS) DEVICE: A
device used to enter data into a computer
system.
RADIO FREQUENCY
IDENTIFICATION (RFID): A Smart phones employ a combination
technology that employs a microchip
with an antenna to broadcast its unique
identifier and location to receivers.
COMPUTER GRAPHICS CARD: A
component of a computer that takes
binary data from the CPU and translates
it into an image you see on your display
device.
GRAPHICS PROCESSING UNIT
(GPU): A powerful processing chip that
renders images on the screen display.
BIOPRINTING: The use of 3D printers
to build human parts and organs from
actual human cells.
DIGITAL AUDIO PLAYER: A device
that can store, organize, and play digital
music files.
MP3: A standard format for
compressing a sound sequence into a
small file.
E-BOOK: The digital media equivalent
of a conventional printed book.
PORTABLE COMPUTER: A
computer small enough to carry easily.
WEARABLE COMPUTER: An
electronic device capable of storing and
processing data that is incorporated into
a person’s clothing or personal
accessories.
LAPTOP: A personal computer
designed for use by mobile users, being
small and light enough to sit comfortably
on a user’s lap.
ANATOMY OF A SMART PHONE:
chipset called a “system on a chip,”
which includes processor cores, RAM
and ROM memory, interface controllers,
and voltage regulators.
TABLET: A portable, lightweight
computer with no keyboard that allows
you to roam the office, home, or factory
floor carrying the device like a
clipboard.
Tablet The Samsung Galaxy Note 10.1
Android tablet has a large touch screen
and a quad-core processor.
THIN CLIENT: A low-cost, centrally
managed computer with no internal or
external attached drives for data storage.
DESKTOP COMPUTER: A
nonportable computer that fits on a
desktop and provides sufficient
 IT APPLICATION TOOLS IN BUSINESS ACCOUNTING REVIEWER
computing power, memory, and storage
for most business computing tasks.
NETTOP: A very small, inexpensive
desktop computer typically used for
Internet access, email, accessing Web-
based applications, document
processing, and audio/video playback.
WORKSTATIONS: A more powerful
personal computer used for
mathematical computing, computer-
assisted design, and other high-end
processing but still small enough to fit
on a desktop.
SERVER: A computer employed by
many users to perform a specific task,
such as running network or Internet
applications.
SCALABILITY: The ability to increase
the processing capability of a computer
system so that it can handle more users,
more data, or more transactions in a
given period
MAINFRAME COMPUTER: A large,
powerful computer often shared by
hundreds of concurrent users connected
to the machine over a network.
SUPERCOMPUTERS: The most
powerful computer systems with the
fastest processing speeds.
SERVER FARM: A facility that houses
a large number of servers in the same
room, where access to the machines can
be controlled and authorized support
personnel can more easily manage and
maintain the servers.
VIRTUAL SERVER: A method of
logically dividing the resources of a
single physical server to create multiple
logical servers, each acting as its own
dedicated machine
Virtual server Virtualization is an
approach to improving hardware
utilization by logically dividing the
resources of a single physical server to
create multiple logical servers
CONTAINER: A way for software
developers and hardware managers to
package applications and software
components into a well-defined, compact
envelope that can be used to more easily
manage it, including moving it across
various hosts.
BLADE SERVER: A server that
houses many individual computer
motherboards that include one or more
processors, computer memory, computer
storage, and computer network
connections.
DATA CENTER: A climateand-access-
controlled building or a set of buildings
that houses the computer hardware that
delivers an organization’s data and
information service
Modular data center Microsoft employs
a state-of-the-art modular data center.
GREEN COMPUTING: A program
concerned with the efficient and
environmentally responsible design,
manufacture, operation, and disposal of
IS-related products
ELECTRONIC PRODUCT
ENVIRONMENTAL ASSESSMENT
TOOL (EPEAT): A system that enables
purchasers to evaluate, compare, and
select electronic products based on a set
of environmental criteria.
 IT APPLICATION TOOLS IN BUSINESS ACCOUNTING REVIEWER
Chapter 3: Self-Assessment Test
1. The _____ is the part of the computer
that sequences and executes instructions.
a. CPU
b. memory
c. bus
d. input/output devices
2. Clock speed is measured in GHz or
_____
a. millions of instructions per second
b. millions of cycles per second
c. billions of cycles per second
d. millions of floating point instructions
per second
3. A key advantage of ARM processors
over the traditional x86 complex
instruction set processors is that ______
a. ARM processors do not generate as
much heat
b. ARM processors are more powerful
c. ARM processors are larger
d. ARM processors have a faster clock
speed
4. The use of a collection of computers,
often owned by multiple individuals or
organizations, to work in a coordinated
manner to solve a common problem is
called _______
a. parallel computing
b. massively parallel processing
c. multicore processing
d. grid computing
5. Extreme ultraviolet lithography or
EUVL is a highly complex process used
in manufacturing computer chips with
feature sizes that are extremely small.
6. L1 is the fastest type of cache memory
built into a computer, faster even than
DDR4 SDRAM memory. True or False?
True
7. The optical storage device capable of
storing the most data is the .
a. DVD
b. Blu-ray disc
c. CD-ROM
d. double-sided DVD
8. A high-speed, special-purpose
network that integrates different types of
data storage devices into a single storage
system and connects them to computing
resources across an entire organization is
called a(n) _______.
a. network-attached storage
b. storage area network
c. storage as a service
d. enterprise data storage solution
9. Source data automation involves
capturing and editing data where it is
originally created and in a form that can
be directly entered into a computer to
ensure accuracy and timeliness.
10. After October 1, 2015, merchants
who accept payments made via a chip
card’s magnetic stripe can continue to do
so; however, they must accept
responsibility for any fraudulent
purchases. True or False? True
11. Bioprinting is a process that uses 3D
printers to build human body parts and
organs from actual human cells.
12 A combination chipset called a
system on a chip includes processor
cores, RAM and ROM memory,
interface controllers, and voltage
regulators.
13. A is a low-cost, centrally managed
computer with no internal or external
attached drives for data storage.
a. tablet
b. thin client
 IT APPLICATION TOOLS IN BUSINESS ACCOUNTING REVIEWER
c. nettop computer
d. workstation
14. Servers offer great scalability, the
ability to increase the processing
capability of a computer system so it can
handle more users, more data, or more
transactions in a given period.
15. ___________ is an approach to
improving hardware utilization by
logically dividing the resources of a
single physical server to create multiple
logical servers each with its own
dedicated machine.
a. Server farm
b. Multiprocessing
c. Virtual server
d. Hypervisor
16. Which of the following is not a goal
of green computing?
a. Enable the safe disposal or recycling
of computers and computer-related
equipment.
b. Allow companies to lower their
power-related costs
c. Reduce the use of hazardous material.
d. Reduce the cutting down of trees
and other foliage.
17. Green computing is about saving the
environment; there are no real business
benefits associated with this program.
True or False? False
CHAPTER 4 Software and
Mobile Applications
SYSTEM SOFTWARE: Software that
includes operating systems, utilities, and
middleware that coordinate the activities
and functions of the hardware and other
programs throughout the computer
system.
APPLICATION SOFTWARE:
Programs that help users solve particular
computing problems
SPHERE OF INFLUENCE: The
scope of the problems and opportunities
that the software addresses.
PERSONAL SPHERE OF
INFLUENCE: The sphere of influence
that serves the needs of an individual
user.
PERSONAL PRODUCTIVITY
SOFTWARE: Software that enables
users to improve their personal
effectiveness, increasing the amount of
work and quality of work they can do.
WORKGROUP: Two or more people
who work together to achieve a common
goal.
WORKGROUP SPHERE OF
INFLUENCE: The sphere of influence
that helps workgroup members attain
their common goals.
ENTERPRISE SPHERE OF
INFLUENCE: The sphere of influence
that serves the needs of an organization
in its interactions with its environment.
OPERATING SYSTEM (OS): A set
of computer programs that controls the
computer hardware and acts as an
interface to application software
KERNEL: The heart of the operating
system that controls the most critical
processes of the OS
USER INTERFACE: The element of
the operating system that allows people
 IT APPLICATION TOOLS IN BUSINESS ACCOUNTING REVIEWER
to access and interact with the computer
system.
COMMAND-BASED USER
INTERFACE: A user interface that
requires you to give text commands to
the computer to perform basic activities.
GRAPHICAL USER INTERFACE
(GUI): An interface that displays
pictures (icons) and menus that people
use to send commands to the computer
system
APPLICATION PROGRAMMING
INTERFACE (API): A set of
programming instructions and standards
that enables one software program to
access and use the services of another
software program.
HARDWARE INDEPENDENCE: The
ability of a software program to run on
any platform, without concern for the
specific underlying hardware.
eMBEDDED SYSTEM: A computer
system (including some sort of
processor) that is implanted in and
dedicated to the control of another
device.
UTILITY PROGRAM: A program that
helps to perform maintenance or correct
problems with a computer system
MIDDLEWARE: Software that allows
various systems to communicate and
exchange data.
ENTERPRISE APPLICATION
INTEGRATION (EAI): The systematic
tying together of disparate applications
so that they can communicate.
SERVICE-ORIENTED
ARCHITECTURE (SOA): A software
design approach based on the use of
discrete pieces of software (modules) to
provide specific functions as services to
other applications.
RICH INTERNET APPLICATION
(RIA): A Web-delivered application
combines hardware resources of the Web
server and the PC to deliver valuable
software services through a Web
browser interface.
PROPRIETARY SOFTWARE:
Oneof-a-kind software designed for a
specific application and owned by the
company, organization, or person that
uses it.
OFF-THE-SHELF SOFTWARE:
Software produced by software vendors
to address needs that are common across
businesses, organizations, or individuals.
SOFTWARE AS A SERVICE
(SAAS): A service that allows
businesses to subscribe to Web-delivered
application software
SOFTWARE SUITE: A collection of
programs packaged together and sold in
a bundle.
workgroup application software:
Software that supports teamwork,
whether team members are in the same
location or dispersed around the world.
PROGRAMMING LANGUAGES:
Sets of keywords, commands, symbols,
and rules for constructing statements by
which humans can communicate
instructions to a computer.
SYNTAX: A set of rules associated with
a programming language.
 IT APPLICATION TOOLS IN BUSINESS ACCOUNTING REVIEWER
COMPILER: A special software
program that converts the programmer’s
source code into the machine-language
instructions, which consist of binary
digits.
SINGLE-USER LICENSE: A computer’s hardware architecture in
software license that permits you to
install the software on one or more
computers, used by one person
CHAPTER 4: SELF-ASSESSMENT
TEST
1. The two main categories of software
are .
a. enterprise and workgroup
b. operating system and application
c. application and system
d. utilities and operating system
2. Application software that enables
users to develop a spreadsheet for
tracking their exercise and eating
habits is software for the workgroup
sphere of influence. True or False?
False
3. . The heart of the operating system
that controls its most critical
processes is called the kernel
4. Software applications use the OS by
requesting services through a(n)
________ . d. personal application software
a. integrated development
environment
b. application program interface
c. utility program
d. software development kit
5. __________ is an operating system
that can run in all three spheres of
influence.
a.IBM z/os
b.Windows 10
c.MAC iOS
d. Linux
6. A(n) virtual server simulates a
software so that a single server can
run operating systems and software
designed for other architectures, or
run several operating systems
simultaneously on one system.
7. Proprietary software is one-of-a-
kind software designed for a specific
application and owned by the
company, organization, or person
that uses it.
8. Cloud computing refers to the use of
computing resources, including
software and data storage, on the
Internet, rather than on local
computers.
9. Software that enables users to
improve their personal effectiveness,
increasing the amount of work they
can do and its quality, is called
________ .
a.workgroup software
b.enterprise software
c.utilitysoftware
10. Each programming language has its
own set of rules, called the syntax of
the language.
11. ________ is software that makes its
source code available so that others
may modify it.
 IT APPLICATION TOOLS IN BUSINESS ACCOUNTING REVIEWER
a.Freeware
b.Off-the-shelf software
c.Open-source software
d. Software in the public domain
12. Software are an important source of
increased revenue for software
manufacturers and can provide
useful new functionality and
improved quality for software users.
a.bugs
b.upgrades
c. open source licenses
d. third-party distributors
CHAPTER 5 Database
Systems and Big Data
DATABASE: A well-designed, organized,
and carefully managed collection of data
DATABASE MANAGEMENT SYSTEM
(DBMS): A group of programs used to
access and manage a database as well as
provide an interface between the database
and its users and other application programs
BIT: A binary digit (i.e., 0 or 1) that
represents a circuit that is either on or off.
CHARACTER: A basic building block of
most information, consisting of uppercase
letters, lowercase letters, numeric digits, or
special symbols.
FIELD: Typically a name, a number, or a
combination of characters that describes an
aspect of a business object or activity.
RECORD: A collection of data fields all
related to one object, activity, or individual.
FILE: A collection of related records.
HIERARCHY OF DATA: Bits, characters,
fields, records, files, and databases.
ENTITY: A person, place, or thing for
which data is collected, stored, and
maintained.
ATTRIBUTE: A characteristic of an entity.
DATA ITEM: The specific value of an
attribute.
PRIMARY KEY: A field or set of fields that
uniquely identifies the record.
DATABASE APPROACH TO DATA
MANAGEMENT: An approach to data
management where multiple information
systems share a pool of related data.
DATA MODEL: A diagram of data entities
and their relationships.
ENTERPRISE DATA MODEL: A data
model that provides a roadmap for building
database and information systems by
creating a single definition and format for
data that can ensure data compatibility and
the ability to exchange and integrate data
among systems.
ENTITY-RELATIONSHIP (ER)
DIAGRAM: A data model that uses basic
graphical symbols to show the organization
of and relationships between data.
RELATIONAL DATABASE MODEL: A
simple but highly useful way to organize
data into collections of two-dimensional
tables called relations.
DOMAIN: The range of allowable values
for a data attribute.
SELECTING: Manipulating data to
eliminate rows according to certain criteria.
 IT APPLICATION TOOLS IN BUSINESS ACCOUNTING REVIEWER
PROJECTING: Manipulating data to
eliminate columns in a table.
JOINING: Manipulating data to combine
two or more tables.
LINKING: The ability to combine two or
more tables through common data attributes
to form a new table with only the unique
data attributes.
DATA CLEANSING (DATA
CLEANING OR DATA SCRUBBING):
The process of detecting and then correcting
or deleting incomplete, incorrect, inaccurate,
or irrelevant records that reside in a
database.
SQL: A special-purpose programming
language for accessing and manipulating
data stored in a relational database.
ACID PROPERTIES: Properties
(atomicity, consistency, isolation, durability)
that guarantee relational database
transactions are processed reliably and
ensure the integrity of data in the database.
SCHEMA: A description that defines the
logical and physical structure of the database
by identifying the tables, the fields in each
table, and the relationships between fields
and tables.
DATA DEFINITION LANGUAGE
(DDL): A collection of instructions and
commands used to define and describe data
and relationships in a specific database.
DATA DICTIONARY: A detailed
description of all the data used in the
database.
CONCURRENCY CONTROL: A method
of dealing with a situation in which two or
more users or applications need to access the
same record at the same time.
DATA MANIPULATION LANGUAGE
(DML): A specific language, provided with
a DBMS, which allows users to access and
modify the data, to make queries, and to
generate reports.
DATABASE ADMINISTRATORS
(DBAS): Skilled and trained IS
professionals who hold discussions with
business users to define their data needs;
apply database programming languages to
craft a set of databases to meet those needs;
test and evaluate databases; implement
changes to improve the performance of
databases; and assure that data is secure
from unauthorized access.
DATA ADMINISTRATOR: An individual
responsible for defining and implementing
consistent principles for a variety of data
issues.
DATABASE AS A SERVICE (DAAS):
An arrangement where the database is stored
on a service provider’s servers and accessed
by the service subscriber over a network,
typically the Internet, with the database
administration handled by the service
provider.
DATA MANAGEMENT: An integrated set
of functions that defines the processes by
which data is obtained, certified fit for use,
stored, secured, and processed in such a way
as to ensure that the accessibility, reliability,
and timeliness of the datameet theneeds of
the data users within an organization.
DATA GOVERNANCE: The core
component of data management; it defines
the roles, responsibilities, and processes for
ensuring that data can be trusted and used by
the entire organization, with people
identified and in place who are responsible
for fixing and preventing issues with data.
 IT APPLICATION TOOLS IN BUSINESS ACCOUNTING REVIEWER

DATA STEWARD: An individual Reduce method that performs a summary

responsible for the management of critical operation.
data elements, including identifying and
IN-MEMORY DATABASE (IMDB): A
acquiring new data sources; creating and
database management system that stores the
maintaining consistent reference data and
entire database in random access memory
master data definitions; and analyzing data
(RAM).
for quality and reconciling data issues.
DATA LIFECYCLE MANAGEMENT
(DLM): A policy-based approach to Chapter 5: Self-Assessment
managing the flow of an enterprise’s data, Test
from its initial acquisition or creation and
storage to the time when it becomes
outdated and is deleted. 1. A field or set of fields that uniquely
identifies a record in a database is called
DATA MART: A subset of a data
a(n) _______ .
warehouse that is used by small- and
medium-sized businesses and departments a. attribute
within large companies to support decision b. data item
making. c. record
d. primary key
DATA LAKE (ENTERPRISE DATA
HUB): A “store everything” approach to big
data that saves all the data in its raw and 2. The key concept of the database approach
unaltered form. to data management is that _______.
a. all records in the database are stored in a
NOSQL DATABASE: A way to store and
twodimensional table
retrieve data that is modeled using some
means other than the simple twodimensional b. multiple information systems
tabular relations used in relational databases. share access to a pool of related data
c. only authorized users can access
HADOOP: An open-source software
the data
framework including several software
d. a database administrator
modules that provide a means for storing
“owns” the data
and processing extremely large data sets.
HADOOP DISTRIBUTED FILE
SYSTEM (HDFS): A system used for data
3. A(n) _______ provides an organizational
storage that divides the data into subsets and
level roadmap for building databases and
distributes the subsets onto different servers
information systems by creating a single
for processing.
definition and format for data.
MAPREDUCE PROGRAM: A composite
a. database
program that consists of a Map procedure
b. enterprise data model
that performs filtering and sorting and a
c. entity relationship diagram
 IT APPLICATION TOOLS IN BUSINESS ACCOUNTING REVIEWER
d. database management system
4. The relational database model is a
simple but highly useful way to organize
data into collections of two-dimensional
tables called relations.
5. The ability to combine two or more tables
through common data attributes to form a
new table with only the unique data
attributes is called linking.
6. SQL databases conform to ACID
properties, which include atomicity,
consistency, isolation, and durability.
7. The process of detecting and then
correcting or deleting incomplete, incorrect,
inaccurate, or irrelevant records that reside
in a database is called data cleansing, data
cleaning, or data scrubbing.
8. Because the DBMS is responsible for
providing access to a database, one of the
first steps in installing and using a relational
database involves “telling” the DBMS the
logical and physical structure of the data and
relationships among the data in the database.
This description of an entire database is
called a(n) schema.
9. A(n) data steward is an individual
responsible for the management of critical
data elements, including identifying and
acquiring new data sources; creating and
maintaining consistent reference data and
master data definitions; and analyzing data
for quality and reconciling data issues.
10. Data administrators are skilled and
trained IS professionals who hold
discussions with users to define their data
needs; apply database programming
languages to craft a set of databases to meet
those needs; and assure that data is secure
from unauthorized access. True or False?
False
11. With database as a service (DaaS) the
database is stored on a service provider’s
servers and accessed by the service
subscriber over the Internet, with the
database administration handled by the
service provider.
12. Three characteristics associated with big
data include volume, velocity, and variety.
13. The Data Management Association has
defined 10 major functions of data
management, with the core component being
.
a. data quality management
b. data security management
c. data governance
d. data architecture management
A number of available tools and
technologies allow organizations to take
advantage of the opportunities offered by
big data.
14. A(n) NoSQL database provides a means
to store and retrieve data that is modeled
using some means other than simple two-
dimensional relations used in relational
databases.
 IT APPLICATION TOOLS IN BUSINESS ACCOUNTING REVIEWER
15. Hadoop has two primary components—a
data processing component and a distributed
file system called .
a. MapReduce and HDFS
b. TaskTracker and JobTracker
c. Key-value and graph
d. SQL and NoSQL
16. An in-memory database is a database
management system that stores the entire
database in random access memory to
provide fast access.
CHAPTER 6 NETWORKS AND CLOUD
COMPUTING
COMPUTER NETWORK: The
communications media, devices, and
software connecting two or more computer
systems or devices.
COMMUNICATIONS MEDIUM: Any
material substance that carries an electronic
signal to support communications between a
sending and a receiving device.
NETWORK TOPOLOGY: The shape or
structure of a network, including the
arrangement of the communication links and
hardware devices on the network.
STAR NETWORK: A network in which all
network devices connect to one another
through a single central device called the
hub node.
BUS NETWORK: A network in which all
network devices are connected to a common
backbone that serves as a shared
communications medium.
MESH NETWORK: A network that uses
multiple access points to link a series of
devices that speak to each other to form a
network connection across a large area.
PERSONAL AREA NETWORK (PAN):
A network that supports the interconnection
of information technology devices close to
one person.
LOCAL AREA NETWORK (LAN): A
network that connects computer systems and
devices within a small area, such as an
office, home, or several floors in a building.
METROPOLITAN AREA NETWORK
(MAN): A network that connects users and
their computers in a geographical area that
spans a campus or city.
WIDE AREA NETWORK (WAN): A
network that connects large geographic
regions.
CLIENT/SERVER ARCHITECTURE:
An approach to computing wherein multiple
computer platforms are dedicated to special
functions, such as database management,
printing, communications, and program
execution.
CHANNEL BANDWIDTH: The rate at
which data is exchanged, usually measured
in bits per second (bps)
BROADBAND COMMUNICATIONS:
High-speed Internet access that is always on
and that is faster than traditional dial-up
access.
WIRELESS COMMUNICATION: The
transfer of information between two or more
points that are not connected by an electrical
conductor.
NEAR FIELD COMMUNICATION
(NFC): A very short-range wireless
 IT APPLICATION TOOLS IN BUSINESS ACCOUNTING REVIEWER
connectivity technology that enables two
devices placed within a few inches of each
other to exchange data.
BLUETOOTH: A wireless communications
specification that describes how cell phones,
computers, faxes, printers, and other
electronic devices can be interconnected
over distances of 10 to 30 feet at a rate of
about 2 Mbps.
WI-FI: A medium-range wireless
communications technology brand owned by
the Wi-Fi Alliance.
LONG TERM EVOLUTION (LTE): A
standard for wireless communications for
mobile phones based on packet switching.
NETWORK OPERATING SYSTEM
(NOS): Systems software that controls the
computer systems and devices on a network
and allows them to comm.
NETWORK-MANAGEMENT
SOFTWARE: Software that enables a
manager on a networked desktop to monitor
the use of individual computers and shared
hardware (such as printers), scan for viruses,
and ensure compliance with software
licenses.
MOBILE DEVICE MANAGEMENT
(MDM) SOFTWARE: Software that
manages and troubleshoots mobile devices
remotely, pushing out applications, data,
patches, and settings while enforcing group
policies for security.
SOFTWARE-DEFINED NETWORKING
(SDN): An emerging approach to
networking that allows network
administrators to have programmable central
control of the network via a controller
without requiring physical ac
INTERNET PROTOCOL (IP): A
communication standard that enables
computers to route communications traffic
from one network to another as needed.
INTERNET BACKBONE: One of the
Internet’s high-speed, long-distance
communications links.
IP ADDRESS: A 64-bit number that
identifies a computer on the Internet.
UNIFORM RESOURCE LOCATOR
(URL): A Web address that specifies the
exact location of a Web page using letters
and words that map to an IP address and a
location on the host.
INTERNET SERVICE PROVIDER
(ISP): Any organization that provides
Internet access to people.
HYPERLINK: Highlighted text or graphics
in a Web document that, when clicked,
opens a new Web page containing related
content.
Web browser: Web client software— such
as Chrome, Edge, Firefox, Internet Explorer,
and Safari—used to view Web pages.
HYPERTEXT MARKUP LANGUAGE
(HTML): The standard page description
language for Web pages.
TAG: A code that tells the Web browser
how to format text—as a heading, as a list,
or as body text—and whether images,
sound, and other elements should be
inserted.
EXTENSIBLE MARKUP LANGUAGE
(XML): The markup language designed to
transport and store data on the Web.
 IT APPLICATION TOOLS IN BUSINESS ACCOUNTING REVIEWER
CASCADING STYLE SHEET (CSS): A
markup language for defining the visual
design of a Web page or group of pages.
WEB 2.0: The Web as a computing
platform that supports software applications
and the sharing of information among users.
SEARCH ENGINE: A valuable tool that
enables you to find information on the Web
by specifying words that are key to a topic
of interest, known as keywords.
SEARCH ENGINE OPTIMIZATION
(SEO): A process for driving traffic to a
Web site by using techniques that improve
the site’s ranking in search results.
INSTANT MESSAGING: The online,
real-time communication between two or
more people who are connected via the
Internet.
WEB LOG (BLOG): A Web site that
people and businesses use to share their
observations, experiences, and opinions on a
wide range of topics.
PODCAST: An audio broadcast you can
listen to over the Internet.
CONTENT STREAMING: A method for
transferring large media files over the
Internet so that the data stream of voice and
pictures plays more or less continuously as
the file is being downloaded.
VIRTUAL PRIVATE NETWORK (VPN):
A secure connection between two points on
the Internet; VPNs transfer information by
encapsulating traffic in IP packets and
sending the packets over the Internet.
INFRASTRUCTURE AS A SERVICE
(IAAS): An information systems strategy in
which an organization outsources the
equipment used to support its data
processing operations, including servers,
storage devices, and networking
components.
PLATFORM AS A SERVICE (PAAS):
An approach that provides users with a
computing platform, typically including
operating system, programming language
execution environment, database services,
and Web server.
PRIVATE CLOUD ENVIRONMENT: A
single tenant cloud.
HYBRID CLOUD: A cloud computing
environment is composed of both private
and public clouds integrated through
networking.
AUTONOMIC COMPUTING: The ability
of IT systems to manage themselves and
adapt to changes in the computing
environment, business policies, and
operating objectives.
Chapter 6: Self-Assessment
Test
A network has many fundamental
components— which, when carefully
selected and effectively integrated—enable
people to meet personal and organizational
objectives.
1. Communications media can be divided
into two broad categories .
a. infrared and microwave
b. fiber optic and cable
c. packet switching and circuit switching
d. guided and wireless
 IT APPLICATION TOOLS IN BUSINESS ACCOUNTING REVIEWER
2. refers to the rate at which data can be
exchanged and is measured in bits per
second.
a. Communications frequency
b. Channel bandwidth
c. Communications wavelength
d. Broadband
3. indicates how the communications links
and hardware devices of the network are
arranged.
a. Communications protocol
b. Transmission media
c. Network topology
d. None of the above
4. Twisted-pair wire, cable, coaxial cable,
and fiber optic cable are all examples of
guided communications media. True/False
5. Systems software that controls the
computer systems and devices on a network
and allows them to communicate with one
another is called .
a. network operating system
b. mobile device management software
c. network-management software
d. software-defined networking
Together, the Internet and the World Wide
Web provide a highly effective
infrastructure for delivering and accessing
information and services.
6. The Internet transmits data in packets
from one computer to another using a set of
communications conventions called the
Internet protocol or TCP/IP.
7. Every computer on the Internet has an
assigned IP address for easy identification.
True/False
8. A is a Web address that specifies the
exact location of a Web page using letters
and words that map to an IP address and the
location on the host.
a. Universal Resource Locator
b. Uniform Reference Locator
c. Universal Web address
d. Uniform Resource Locator
9. Many Web sites use CSS to define the
design and layout of Web pages, and XML
to define the content, and HTML to join the
content with the design. True/False
10. The use of social media in business is
called .
a. social journalism
b. blogging
c. business wikis
d. Enterprise 2.0
11. A(n) intranet is an internal corporate
network built using Internet and World
Wide Web standards and products.
Organizations are using the Internet of
Things (IoT) to capture and analyze streams
of sensor data to detect patterns and
anomalies—not after the fact, but while they
are occurring—in order to have a
considerable impact on the event outcome.
12. There can be many issues with simply
receiving and recognizing usable sensor data
resulting in sensor data lacking time stamps
 IT APPLICATION TOOLS IN BUSINESS ACCOUNTING REVIEWER
indicating when the reading occurred or in
missing data.
13. One of the first things developers of IoT
applications should focus on is building in
from the start.
a. redundancy and backup
b. cost controls
c. security
d. disaster recovery
Cloud computing provides access to stateof-
the-art technology at a fraction of the cost of
ownership and without the lengthy delays
that can occur when an organization tries to
acquire its own resources.
14. Cloud computing is a computing
environment in which software and storage
are provided as an Internet service and
accessed by users with their .
a. Web browser
b. mobile computing device such as a
smartphone or tablet
c. search engine
d. Virtual Private Network (VPN)
15. Autonomic computing is an enabling
technology for cloud computing that enables
systems to manage themselves and adapt to
changes in the computing environment,
business policies, and operating objectives.
CHAPTER 7: Electronic and
Mobile Commerce
BUSINESS-TO-BUSINESS (B2B) E-
COMMERCE: A subset of e-commerce in
which all the participants are organizations.
BUSINESS-TO-CONSUMER (B2C) E-
COMMERCE: A form of e-commerce in
which customers deal directly with an
organization and avoid intermediaries.
CONSUMER-TO-CONSUMER (C2C)
E-COMMERCE: A subset of e-commerce
that involves electronic transactions between
consumers using a third party to facilitate
the process.
E-GOVERNMENT: The use of
information and communications technology
to simplify the sharing of information, speed
formerly paper-based processes, and
improve the relationship between citizens
and government.
IDENTITY THEFT: The use of someone’s
personal identification information without
his or her permission, often to commit fraud
or other crimes.
ELECTRONIC EXCHANGE: An
electronic forum where manufacturers,
suppliers, and competitors buy and sell
goods, trade market information, and run
back-office operations.
MARKET SEGMENTATION: The
identification of specific markets to target
them with tailored advertising messages.
STOREFRONT BROKER: A company
that acts as an intermediary between your
Web site and online merchants who have the
products and retail expertise.
META TAG: An HTML code, not visible
on the displayed Web page, that contains
keywords representing your site’s content,
which search engines use to build indexes
pointing to your Web site.
 IT APPLICATION TOOLS IN BUSINESS ACCOUNTING REVIEWER
PERSONALIZATION: The process of
tailoring Web pages to specifically target
individual consumers.
DIGITAL CERTIFICATE: An attachment
to an email message or data embedded in a
Web site that verifies the identity of a sender
or Web site.
CERTIFICATE AUTHORITY (CA): A
trusted third-party organization or company
that issues digital certificates.
TRANSPORT LAYER SECURITY
(TLS): A communications protocol or
system of rules that ensures privacy between
communicating applications and their users
on the Internet.
ELECTRONIC CASH: An amount of
money that is computerized, stored, and
used as cash for e-commerce transactions.
P-CARD (PROCUREMENT CARD OR
PURCHASING CARD): A credit card
used to streamline the traditional purchase
order and invoice payment processes
Chapter 7: Self-Assessment
Test
Electronic and mobile commerce are
evolving, providing new ways of conducting
business that present both potential benefits
and problems.
1. Buy-side e-commerce activities include
identifying and comparing competitive
suppliers and products, negotiating and
establishing prices and terms, ordering and
tracking shipments, and steering
organizational buyers to preferred suppliers
and products.
2. involves conducting business activities
(e.g., distribution, buying, selling,
marketing, and servicing of products or
services) electronically over computer
networks.
a. B2B
b. C2C
c. B2C
d. E-commerce
3. Popular B2C Web sites have helped raise
expectations as to how e-commerce must
operate, and many B2B companies are
responding to those heightened expectations
by investing heavily in their B2B platforms.
True or False?
4. The largest B2C retailer in the United
States is .
a. Amazon
b. Staples
c. Apple
d. Walmart
5. The elimination of intermediate
organizations between the producer and the
consumer is called disintermediation.
E-commerce and m-commerce can be used
in many innovative ways to improve the
operations of an organization.
6. B2B is smaller and growing more slowly
than B2C. True or False?
7. is not a key challenge for e-commerce.
a. Dealing with consumer privacy concerns
b. Training customers on how to access
and use e-commerce Web sites
 IT APPLICATION TOOLS IN BUSINESS ACCOUNTING REVIEWER

c. Overcoming consumers’ lack of trust effective strategy to be successful in e-

commerce and m-commerce.
d. Overcoming global issues
14. Market segmentation divides the pool
8. The Internet Corporation for Assigned
of potential customers into subgroups
Names and Numbers (ICANN) created a
usually defined in terms of demographic
domain called mobi to attract mobile users
characteristics, such as age, gender, marital
to the Web.
status, income level, and geographic
E-commerce and m-commerce offer many location.
advantages yet raise many challenges.
15. Mobile ad impressions are generally
9. The market for m-commerce is North bought at a cost per thousand (CPM), cost
America is maturing much sooner than in per action (CPA), or cost per click (CPC).
other countries. True or False?
E-commerce and m-commerce require the
10. Key components of a multistage model careful planning and integration of a number
for e-commerce includes search and of technology infrastructure components.
identification, selection and negotiation,
16. The amount of storage capacity and
purchasing, product and service delivery and
computing power required of a Web server
after-sales service.
depends primarily on .
11. Which of the following is NOT
a. the geographical location of the server and
considered to be a key challenge to e-
number of different products sold
commerce?
b. the software that must run on the
a. Dealing with consumer privacy concerns
server and the volume of e-commerce
b. Overcoming consumer’s lack of trust transactions
c. Overcoming global cultural challenges, c. the size of the business organization and
language, time and distance, infrastructure, the location of its customers
and currency challenges
d. the number of potential customers and
d. Low user interest in access to global average dollar value of each transaction
markets and competitive pricing
17. Key Web site performance measures
12. Some businesses are willing to include response time, transaction success
BARTER as a means to reduce excess rate. True
inventory, gain new customers, or avoid
paying cash for necessary raw materials or
services.
13. The Payment Card Industry or PCI
security standard spells out measures and
security procedures to safeguard the card
issuer, the cardholder, and the merchant.
Organizations must define and execute an