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Chapter 1 Accounting Information Systems and the Accountant True-False Questions 1. The acronym AIS stands for “Accounting Information Standards.” 2. Accounting information systems must be computerized to be effective. 3. It is best to view an AIS as an accounting system that must be computerized. 4. AISs often create information that is useful to non-accountants. 5. In order to be useful, raw accounting data must be processed by a computer. 6. The path that data follow in an AIS, for example from manual source document to completed output report, is called an audit trail. 7. A company's audit trail is normally easier to follow under a manual data processing system compared to a computerized information processing system. 8. …show more content…

37. As used in Chapter 1, a dashboard is an up-to-the-minute graphic depiction of one or more business activities. 38. The purpose of the assurance services of an accounting firm is to give a company’s managers moral support when they are audited by the federal or state government. 39. The purpose of CPA Trust Services is to provide assurance that a company engaged in electronic commerce can provide the goods or services it promises. 40. An example of a value-added reseller (VAR) is a computer dealer that adds software to the hardware it sells. 41. Some possible career opportunities for AIS majors or minors include consulting positions, computerized auditing, or system computer auditing positions. 42. Accountants are usually classified as “line workers” within business organizations. 43. Today's AIS is an enterprise-wide information system that focuses on interdepartmental business processes. 44. Managerial accounting principally provides decision making information to a company's internal managers. 45. As a result of computerized information processing systems in many organizations today, the need for accountants in these organizations has significantly declined. 46. Activity-based costing systems focus on allocating overhead on the basis of direct labor hours used. 47. Because accountants are not normally computer programmers working within the information processing subsystem, it is unnecessary for them to understand the capabilities and

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