Chapter 2: Mastering the Data

Question 1

What is the goal of mastering the data in accounting?

Answer 1

To make sure data is complete, clean, and organized so it can be analyzed effectively.

Question 2

where can data be found

Answer 2

internal: company systems (ERP)

external: websites, government sources

Question 3

how can data be stored

Answer 3

flat file: all data in one place (excel sheet)

Relational DB: data stored in linked tables

Question 4

why RDMS

Answer 4

–> reduce redundancy and maintain a single version of the truth

ensures:
- completeness

**- no redundancy **

- business rules enforcement

- communication and integration of business

Question 5

give the attributes of Rational databases
(backbone how we structure data in rational database)

Answer 5

primary key
foreign key
composite key
descriptive attributes

Question 6

what are PK en FK?

Answer 6

PK: UNIQUE IDENTIFIER, ensures each row in table is unique

FK: creation of relationships between 2 tables –> attributes that point to the primary key

Question 7

what are CK and descriptive attributes

Answer 7

CK: combination of 2 FK, used for line items with much detail

Descriptive attributes: actual business information(everything else)

Question 8

what and why: data dictionary

Answer 8

document describes every column in dataset: what it means, if it is required and what data it accepts

–> why? to prevent confusion, help understand the data –> is dus eig nodig aangezien verschillende mensen die data gaan bekijken en schept duidelijkheid

Question 9

ETL PROCESS: what and give the different steps

Answer 9

what? Extraction, Transform, Load: the 3 main steps to prepare data for analysis

the 5 steps: DOVCL
**Determine purpose and scope

obtain data

validate data

clean data

load data

Question 10

WHAT AND WHY

ETL process step 1: determine purpose and scope of data request

Answer 10

identify objective, required data, potential risks & how results will be used

purpose: help specify which data we need, what format and by which date

questions before beginning the process:
purpose of data request?
what business problem will it address?
what is MITIGATION PLAN? = plan om risico’s of problemen te verminderen of voorkomen

Question 11

WHAT AND WHY

ETL process step 2
obtain the data

Answer 11

collect data from right sources, either by REQUESTING or EXTRACTING yourself

EXTRACTING YOURSELF:
1) identify tables that contain info you need

2) which attributes contain info u need in each table?

3) identify how tables related

4) only extract relevant information

Question 12

WHAT AND WHY
+ HOW DO YOU MAKE SURE DATA IS VALID?

ETL process step 3
validate the data for completeness and integrity

Answer 12

–> check if data is complete, accurate and makes sense

making sure data is valid by:

• comparing the number of records
  =how many do we have vs how many should we have
• comparing descriptive statistics for numerical field
  = look at for ex min,max to have quick look for strange things
• validating data/time field
  =looking if correctly filled in
• comparing string limits for text field
  = text not too long?

Question 13

WHAT AND WHY
+ HOW DO YOU MAKE SURE DATA IS CONSISTENT AND READY FOR ANALYSIS
ETL process step 4: clean the data

Answer 13

–> fix error, remove duplicates, make data consistent

data consistent and ready for analysis by doing:
- removing headlines and subtotals

• cleaning leading zeros and nonpintable characters
• formatting negative numbers
• correcting inconsistencies

Question 14

WHAT AND WHY
ETL process step 5: load data for data analysis

Answer 14

–> put cleaned data in tool so you can analyse it

Question 15

What are the ethical issues encountered in data collection and use?

Answer 15

ensure data is used responsibly and securely

asses whether individuals have right to restrict access

questions suggested by the institute of Business ethics to allow businesses to protect privacy of stakeholders

Question 16

give the questions of institute of business ethics to allow business to protect privacy of stakeholders

Answer 16

• how does company use data
• does company send privacy notice to individuals when personal data is collected?
• does company have safeguards in place to mitigate the risks of data misuse?
• does company have appropriate tools to manage risks of data misuse?
• does company conduct appropriate due diligence when sharing with or acquiring data from third parties?

Question 17

(chatgpt)
ethics in data analytics

What ethical issues can arise in data collection and usage?

Answer 17

Misuse of personal data

No privacy notice

Poor risk control

Data leaks or unauthorized sharing

Question 18

(chatgpt)
ethics in data analytics

what are good ethical practices in data use?

Answer 18

send PRIVACY NOTICES

asses data risks

use SAFEGUARDS and SECURITY TOOLS

do DUE DILIGENCE with third parties