ACC200 Ch2 Set 2

Question 1

Mnemonic codes

Answer 1

letters & numbers are interspersed to identify an item. The mnemonic code is derived from the description of the item & is usually easy to memorise

Question 2

Guidelines that result in a better coding system?

Answer 2

• be consistent with its intended use, which requires that a code designer determine desired system outputs prior to selecting the code - allow for growth - be as simple as possible to minimise costs, facilitate memorisation & interpretation, & ensure employee acceptance - be consistent with a company’s organisational structure & across a company’s divisions

Question 3

Chart of accounts

Answer 3

a list of numbers assigned to each general ledger account. - a great example of coding

Question 4

General journal

Answer 4

used to record infrequent or non-routine transactions, such as loan patents & end-of-period adjusting & closing entries

Question 5

Specialised journal

Answer 5

records large numbers of repetitive transactions such as sales, cash receipts & cash payments

Question 6

Audit trail

Answer 6

a traceable path of a transaction through a data processing system from point of origin to final output, or backwards from final output to point of origin.

Question 7

Entity

Answer 7

something about which data is stored, such as employees, inventory items & customers

Question 8

Attributes

Answer 8

each entity has attributes or characteristics of interest, that are stored, such as pay rate & address. Each type of entity possess the same set of attributes.

Question 9

Field

Answer 9

computers store data in a field

Question 10

Data value

Answer 10

Specification for values of data elements comprising a database , prescribed to ensure data consistency. Is a field within a record.

Question 11

File

Answer 11

a group of related records

Question 12

Master file

Answer 12

like a ledger in a manual AIS, stores cumulative data about an organisation. Inventory & equipment master files store data about important organisational resources. Customer, supplier & employee master files store data about important agents with whom an organisation interacts. Permanent; they exist across fiscal or accounting periods. Individual master file records may change frequently

Question 13

Transaction file

Answer 13

contains records of individual business transactions that occur during a specific time. Not permanent & may not be needed beyond the fiscal period. They are usually maintained for a specified period for backup purposes, as well as for audit & tax investigations.

Question 14

Database

Answer 14

a set of interrelated, centrally coordinated files

Question 15

Four different types of data processing activities?

Answer 15

CRUD: Creating Reading Updating Deleting

Question 16

CRUD?

Answer 16

1) Creating new data records 2) Reading, retrieving or viewing existing data 3) Updating previously stored data 4) Deleting data

Question 17

Batch processing

Answer 17

updating done periodically, such as daily

Question 18

Online processing / realtime processing

Answer 18

most companies update each transaction as it occurs. It ensures that stored data in master files are always current, thereby increasing it’s decision-making usefulness. It is also more accurate because data input errors can be corrected in real time or refused.

Question 19

Information is usually presented in one of the three forms?

Answer 19

• document - report - query response

Question 20

Documents

Answer 20

records of transaction or other company data