1. Which signals the start of the expenditure cycle?

a.

When an operational department requests goods or services to be provided

b.

When a purchase order is processed

c.

When suppliers are selected for goods and services requested

d.

When payments are made for goods received

2.

Which of the following is NOT correct with regards to IT strategic plan?

a.

It must allocate IT resoures among alternative projects

b.

IT steering committee oversees the implementation of the IT strategic plan

c.

It specifies the software and hardware requirements for all IT systems within the organisation.

d.

It needs to be consistent with the organizations strategic plan.

3.

An AR clerk needs money to pay for his upcoming holiday in Hawaii. As the treasurer is currently away on her annual leave, he is receiving some customer payments via cheques on her behalf. He decides to take some of these payments without anyone knowing. This is an example of: (i) Pressure for fraud. ii) Opportunity for fraud.

a.

Only (i)

b.

Only (ii)

c.

Both (i) and (ii)

d.

Neither (i) nor (ii)

4.

Which is true with regards to Customer Relationship Management (CRM) system? i. It focuses on building long-term relationships with customers; ii. It is based on the premise that customer needs differ and hence different customers need to be treated differently; iii. CRM systems enable organisations to pursue excellent relationships with customers; iv. CRM systems provide high-quality and timely information aiming at satisfying customer needs and maximising customer value

a.

All are correct

b.

i, ii, iii

c.

i, iii and iv

d.

ii, iii and iv

5.

What is the role of accountants with regards to information system? i. Users of information system; ii. Auditor of information system; iii. Programmer of information system; iv. Consultant of information system

a.

i, ii and iii

b.

i, ii and iv

c.

ii, iii and iv

d.

All of the options