Section 1

   

Question 1

Which of the following statements is true about exception reports?

Question options:

  

They help analyze why a key   indicator is not at an appropriate level or why an exception occurred.

 

They answer unplanned information   requests to support a nonroutine decision.

 

They highlight situations that are   out of the normal range.

 

They are produced at predefined   intervals to support routine decisions.

 

Question 2

Responding to threats and opportunities and continuous planning are based on analyzing internal data primarily from the __________ level of the organization.

Question options:
  

executive

 

operational

 

business

 

tactical

 

Question 3

The purpose of a data warehouse is to:

Question options:
  

put key business information into   the hands of more decision makers.

 

allow managers to run queries and   reports themselves without having to know query languages or the structure of   the underlying data.

 

standardize the format of data   retrieved from different systems.

 

provide capabilities for   discovering “hidden” predictive relationships in the data.

 

Question 4

__________ involves standardizing the format of data retrieved from different systems.

Question options:
  

Normalization

 

Data mining

 

Content mining

 

Data cleansing

 

Question 5

When we consider entities as tables, each row is a(n):

Question options:
  

attribute.

 

field.

 

record.

 

form.

 

Question 6

Business rules are captured by the designers of the database and included in the data dictionary to:

Question options:
  

prevent illegal or illogical   entries from entering the database.

 

eliminate data duplication.

 

organize and sort the data,   complete calculations, and allocate storage space.

 

make sure that each table contains   only attributes that are related to the entity.

 

Question 7

A query is used to:

Question options:
  

retrieve data from a database.

 

allocate storage space for a   database.

 

organize and sort the data in a   database.

 
eliminate data duplication.
 

Question 8

Which of the following is a disadvantage of the database approach?

Question options:
  

Minimal data redundancy

 

Organizational conflict

 

Enforcement of standards

 

Program–data independence

 

Question 9

In DBMS, data are kept separate from the application’s programming code. This means that a(n):

Question options:
  

application needs to be changed   when database is changed.

 

database does not need to be   changed if a change is made to an application.

 

application’s programming code   needs to be updated continuously to keep up with the database.

 

application cannot be changed   without making changes to the database.

 

Question 10

Which of the following analyses involves making hypothetical changes to the data associated with a problem and observing how these changes influence the results?

Question options:
  

Predictive analysis

 

What-if analysis

 

Time-series analysis

 

Linear regression analysis

 

Question 11

Which of the following statements is true about an information system?

Question options:
  

It consists of narrow and simple   updates and queries.

 

Its primary purpose is to run the   business on a current basis.

 

Its design goal is to enhance ease   of access and use.

 

Its design goal is to enhance   performance.

 

Question 12

The processing in an expert system (ES) is called:

Question options:
  

inferencing.

 

normalizing.

 

clustering.

 

recommending.

 

Question 13

Bringes, a retail chain, has retail stores across three states. With its current

legacy

system, Bringes is having problems tracking the inventory levels for its stores. It is planning to implement an Oracle database system to replace this legacy system. Which of the following, if true, most supports Bringes’ decision to replace its legacy system with an Oracle database system?

Question options:
  

Implementing an Oracle database   system will require hiring additional specialized personnel to manage it.

 

Bringes’ channel partners use a   database system that supports the Oracle database system.

 

Conversion cost required for the   implementation of an Oracle database system is not supported by the IT   budget.

 

Partial implementation of the   Oracle database system can create more problems than it is likely to solve.

 

Question 14

An attribute is also referred to as a:

Question options:
  
record.
 
field.
 

query.

 
form.
 

Question 15

__________ integrates data from various operational systems.

Question options:
  

Master data

 

Data modeling

 

A data warehouse

 

A metadata repository

 

Question 16

Which of the following statements is true about an online analytical processing server?

Question options:
  

It uses reasoning methods based on   knowledge about a specific problem domain in order to provide advice.

 

It groups related records together   on the basis of having similar values for attributes.

 

It is a data structure allowing   for multiple dimensions to be added to a traditional two-dimensional table.

 

It understands how data are   organized in the database and has special functions for analyzing the data.

 

Question 17

Which of the following statements is true about a data mart?

Question options:
  

It contains selected data from the   data warehouse.

 

It standardizes the format of data   retrieved from different systems.

 

It stores master data only.

 

It is a compilation of data from   the database that is organized and produced in printed format.

 

Question 18

Which of the following statements is true about an operational system?

Question options:
  

Its goal is to enhance ease of   access and use.

 

It consists of historical or   point-in-time data.

 
It consists of narrow and simple   updates and queries.
 

Its primary purpose is to support   managerial decision making.

 

Question 19

Data mining complements online analytical processing in that it:

Question options:
  

groups related records together on   the basis of having similar values for attributes.

 

provides capabilities for   discovering “hidden” predictive relationships in the data.

 

finds associations or correlations   among sets of items.

 

extracts textual information from   Web documents.

 

Question 20

Which of the following statements is true about business intelligence?

Question options:
  

It is an organization’s process of   defining its strategy, or direction, and making decisions on allocating its   resources to pursue this strategy, including its capital and people.

 
It is the act of outsourcing   tasks, traditionally performed by an employee or contractor, to an ,   large group of people or community, through the use of information   technology.
 

It is the process by which a   customer-owned mutual organization or co-operative changes legal form to a   joint stock company.

 

It is the use of information   systems to gather and analyze information from internal and external sources   in order to make better business decisions.

 

Section 2

   

Question 21

By breaking down business processes into individual services, organizations can react more swiftly to changing business needs. To achieve these benefits, services have to follow three main principles:

Question options:
  

reusability, interoperability, and   accessibility.

 

reusability, interoperability, and   reliability.

 

reusability, reliability, and componentization.

 

reusability, interoperability, and   componentization.

 

Question 22

__________ support the important internal activities of the organization for producing their products and services.

Question options:
  

ERP extended

components

 

ERP core

components

 

ERP base components

 

ERP focus components

 

Question 23

Which of the following uses a pull-based approach?

Question options:
  

Account-to-report

 

Make-to-stock

 

Plan-to-produce

 

Make-to-order

 

Question 24

Which of the following statements is true with regards to packaged and custom software?

Question options:
  

Custom software is cost effective   since the vendor that builds the application can spread out development costs   through selling to a large number of users.

 

Packaged software

is well suited   for tasks that are unique to a particular business.

 

Packaged software is applications   that are designed and developed exclusively for a specific organization.

 

The development costs of custom   software are much higher than for packaged software because of the time,   money, and resources that are required to design and develop them.

 

Question 25

Specifically, ERP extended components focus primarily on:

Question options:
  

customer relationship management   and product lifecycle management.

 

customer relationship management   and human capital management.

 

customer relationship management   and supply chain management.

 

product lifecycle management and   supply chain management.

 

Question 26

Designing and developing applications that support the primary business activities are a part of the __________ activities.

Question options:
  

technology development

 

operations and manufacturing

 

outbound logistics

 

procurement

 

Question 27

Which of the following is a core activity?

Question options:
  

Administrative activities

 

Human resource activities

 

Operations and manufacturing

 

Technology development

 

Question 28

How is business process management similar to quality improvement approaches such as total quality management?

Question options:
  

They focus on radical redesign and   drastic improvement of processes.

 

They are intended to be   cross-functional approaches to improve an organization.

 

They focus on incremental change   of processes.

 

They focus on the activities   typically occurring at the operational level of the organization.

 

Question 29

In service-oriented architecture, business processes:

Question options:
  

of an organization are   standardized.

 

of an organization are carried out   by a large, comprehensive system.

 

are shared with channel partners.

 

are broken down into individual   components or services.

 

Question 30

Which of the following is the first step in the procure-to-pay process?

Question options:
  

Issue purchase order

 

Negotiate price and terms

 

Receive goods

 

Receive invoice

 

Question 31

Financial management, operations management, human resource management, and other important internal activities require the support of __________ components.

Question options:
  

ERP essence

 

ERP exterior

 
ERP core
 
ERP extended
 

Question 32

Which of the following software is cost effective since the vendor that builds the application spreads out the development costs by selling copies to a large number of users?

Question options:
  

Corrected software

 

Adapted software

 

Bespoke software

 
Packaged software
 

Question 33

__________ immediately after the purchase order is issued in the procure-to-pay process.

Question options:
  

Credit is checked

 

Goods are received

 

Price and terms are negotiated

 

Payment is settled

 

Question 34

A(n) __________ system coordinates business processes with customers, suppliers, and business partners of an organization.

Question options:
  

stand-alone

 

internally focused

 
legacy
 

externally focused

 

Question 35

Which of the following is a support activity?

Question options:
  

Customer service activities

 

Operations and manufacturing   activities

 

Outbound logistics activities

 

Technology development activities

 

Question 36

__________ components support the primary external activities of the organization for dealing with suppliers and customers.

Question options:
  

ERP aggrandized

 
ERP extended
 
ERP essence
 

ERP abridged

 

Question 37

According to the order-to-cash process, what would the next step be for an online retailer after creating an order for a customer?

Question options:
  

Collect payment

 

Pick, pack, and ship

 

Check and allocate stock

 

Create customer record

 

Question 38

Which of the following is true regarding enterprise resource planning (ERP)?

Question options:
  

It helped in developing the   manufacturing resource planning package.

 

It makes the process of sharing   information between business activities easier.

 

It stores data in different   locations.

 

It is an older version of   materials requirement planning.

 

Question 39

According to business process management, what would be management’s next step after developing a vision for the organization?

Question options:
  

They should design and implement a   prototype of the new processes.

 

They should identify the ways in   which information systems can be used to improve the various business   processes.

 

They should identify the critical   processes that are to be redesigned.

 

They should manage the information   technology to be used from a business transaction perspective.

 

Question 40

In the order-to-cash process, once “checking credit” is done, it is followed by:

Question options:
  

creating an order.

 

collecting payment.

 

picking, packing, and shipping.

 

allocating stock.