161. What is the primary purpose of an Accounting Information System (AIS)?
A. Assessing Market Trends
B. Facilitates the Collection, Processing, and Reporting of Financial Information for Decision-Making
C. Analyzing Employee Performance
D. Setting Advertising Budgets
162. How does an AIS contribute to the automation of financial transactions within an organization?
A. Ignoring Non-Cash Transactions
B. Utilizes Technology to Record and Process Financial Transactions Efficiently
C. Detailing Long-Term Liabilities
D. Focusing Only on Short-Term Assets
163. What role does data integrity play in the design and implementation of an Accounting Information System?
A. Setting Advertising Budgets
B. Ensures Accuracy and Reliability of Financial Information by Maintaining Data Integrity
C. Ignoring Changes in Equity
D. Assessing Market Demand
164. How does an AIS support the integration of financial information across different departments within an organization?
A. Analyzing Employee Performance
B. Focusing Only on Short-Term Liabilities
C. Facilitates Seamless Flow and Sharing of Financial Data Among Various Organizational Units
D. Ignoring Non-Cash Transactions
165. What is the significance of internal controls in an Accounting Information System?
A. Assessing Market Trends
B. Establishes Safeguards and Measures to Ensure Accuracy, Security, and Compliance in Financial Processes
C. Ignoring Changes in Cash Position
D. Detailing Changes in Equity
166. How does an AIS contribute to the generation of financial statements and reports?
A. Focusing Only on Short-Term Assets
B. Aggregates and Summarizes Financial Data to Produce Comprehensive Reports and Statements
C. Ignoring Non-Monetary Transactions
D. Analyzing Market Share
167. What role does software play in the functionality of an Accounting Information System?
A. Setting Advertising Budgets
B. Utilized to Perform Accounting Functions, Process Transactions, and Generate Financial Reports
C. Assessing Employee Performance
D. Ignoring Changes in Equity
168. How does an AIS address the security and confidentiality of financial information?
A. Analyzing Market Demand
B. Implements Access Controls and Encryption Measures to Safeguard Financial Data
C. Ignoring Non-Cash Transactions
D. Detailing Long-Term Liabilities
169. What is the purpose of transaction processing within an Accounting Information System?
A. Focusing Only on Short-Term Liabilities
B. Captures, Records, and Processes Financial Transactions in Real-Time or Batch Mode
C. Setting Advertising Budgets
D. Ignoring Changes in Cash Position
170. How does an AIS contribute to the tracking and management of inventory levels within an organization?
A. Assessing Market Trends
B. Utilizes Systems to Monitor and Control Inventory Quantities and Valuations
C. Ignoring Non-Monetary Transactions
D. Analyzing Employee Performance
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