1. Which of the following statements about integrated accounting software is true?

Mid-range (or mid-level) accounting software would not be ideal for a multinational company because typical programs cannot process foreign currency

Cloud computing capabilities are too sophisticated for most integrated accounting software

Specialized accounting information systems would never be requested by customers in specialized industries to develop their own version of a package so that it can be customized uniquely to the organization

Small business accounting software is generally scalable, which means that a business could select a version of the software at a lower cost and then upgrade to a more sophisticated version as desired or needed

2. Which of the following statements about ERPs is not true?

ERPs serve the information needs of the entire organization, regardless of functionality or department

Front-office operations are primarily concerned with an enterprise's external systems

An ERP system will always be larger than a particular stand alone system for the same organization

All ERPs features portals whose purpose are to connect every subsystem's databases together

3. In March 2012, the State of California scrapped an ERP system after spending more than $300 million on its development. The ERP system was aimed at modernizing the case-management portion of the state's court system. Which of the following could have been a reason why the State of California abandoned its ERP system upgrade?

The state became worried that overall costs of the ERP system would add up to be too much even after implementation

Too many employees could be reassigned as a result of streamlined business processes

Converting all of the state's data as well as integrating hardware and software was too overwhelming and/or costly

All of the above could be reasons why the state abandoned its ERP system upgrade

4. Which of the following statements about the objectives of IT internal controls is true?

An important objective of processing controls is to contribute to a good audit trail

The objective of input controls is to ensure information output's validity, accuracy, and completeness

Fault-tolerant systems include only processes that your system must perform for data processing capabilities

General controls are controls that affect the entire organization and influence the effectiveness of other controls, so their objectives must be aligned with organizational ones