Chapter 3

Question 1

Two benefits of cloud computing

Answer 1

Production costs relating to hardware

Information, it automatically backed up on the cloud

Question 2

The term Big Data refers to…

Answer 2

Large volumes of structure, data

Large volumes of unstructured data.

The technology required to handle that data.

Question 3

 For reasons for finance to perform Big Data analytics

Answer 3

Finding trends

Understanding customer behaviour

Reducing costs

Analysing opportunities

Question 4

Augmented

Answer 4

Added to

Make larger in size

Question 5

Software as a service.

S A,AS

Answer 5

A remote based email service, for example

Question 6

Infrastructure as a service.

IAAS

Answer 6

For example, Internet based storage for sharing docs remotely

Question 7

Benefits of cloud, computing

Clouds

Answer 7

Competitiveness – who said the cloud can give small businesses, advantages

Limber – flexibility as a result of not having to invest in hardware.

Our planet – reduce carbon footprint

Unity – enables better collaboration and contribution.

Disaster recovery

Security dash reduce the chances of lost in transit.

Question 8

Big Data

Definition

Answer 8

 Collections of data that are so large, that traditional methods of data collection are insufficient.

Question 9

Big Data

The for V’s

Answer 9

Volume – the amount

Variety – the sources – structured or unstructured

Velocity – the speed at which it changes.

Veracity – it’s truthfulness.

Question 10

Structured data

Answer 10

Data capture intentionally for an identified use

Question 11

Unstructured data

Answer 11

Date of a mess with no identified purpose

Question 12

Potential and strategic significance, Big Data

Answer 12

Information becomes more transparent and more accessible. It becomes more viable to predict trends, analyse customer behaviour and understand what they want.

It is possible to minimise risk by testing scenarios.

There is more potential for customer, segmentation, targeted marketing and customisation of products

Business make better decisions by revealing new insights Into production methods/processes,

Helps develop future products/services with a faster time to market

Question 13

How finance may use Big Data?

Answer 13

Drive sales/revenue

Reduce costs

Internal audit

Drawback – expensive for a small or new business

Question 14

Process automation

Answer 14

The use of software to carry out low-level tasks

Repetitive tasks

Results in huge cost savings 

Question 15

Process automation can have a negative impact on staff morale (robots, taking our jobs)

Answer 15

Must be managed sensibly.

Make course redundancies

Can be motivating for staff if they will now be used in less routine ways

Question 16

How finance may use process automation

Answer 16

Processing credit notes.

Sending customer statements

Performing supplier statement reconciliations

Basic tax returns.

Process automation may add to the role of internal audit 

Question 17

Artificial intelligence

Answer 17

Technology that can be used to make decisions. Are you carry out tasks required human intelligence

Learning machines 

Question 18

Benefits of machine learning

Answer 18

Machines can process considerably more data

Machines are able to identify patterns

Machines do not suffer from human characteristics, such as biased, tiredness of boredom

Question 19

Limitations of machine learning

Answer 19

Shit in shit out

Question 20

How finance may use artificial intelligence?

FAF

Answer 20

Forecasting

Accounting entries

Fraud detection

Question 21

How finance may use Blockchain

Answer 21

Validity of recordkeeping – checking and doublechecking is no longer required.

The removal of the need for the administrator will reduce costs.

Users of financial information will be able to trust it and there will be less need for external validation.

Businesses may essentially become cashless.

There are currently no accounting standards that cover crypto currencies.

Give assurance to auditors regarding ownership of assets.

Question 22

How finance may use the Internet of things

Answer 22

 Remote access can give feedback about wear and tear

Knowledge about how machines are working main form, costings and infantry valuation.

Up-to-the-minute, analytical procedures may inform pricing and decision-making.

Question 23

3-D. Printing definition

Answer 23

Printing 3-D. Objects from a variety of materials, for example, classic metal and even human tissue full time is sometimes called additive manufacturing (a.m.)

Question 24

Impact of automation on the 4 finance departments

Answer 24

Financial accounting dash coding of routine information

Management, accounting – forecasting

Treasury dash processing, certain tax returns

Internal audit – improve fraud detection

Question 25

Ethics of technology usage

Five moral dimensions of the information age

Pails

Answer 25

Property dash the right to protect intangible property

Accountability – who is accountable for the information

Information rights/privacy, the rights to be free from the surveillance or interference

Live quality – what are the negative social costs, and how do we achieve balance

Systems, – what standard of data and system quality to society demand

Question 26

Corporate digital responsibility

Answer 26

Voluntary commitment to go beyond corporate social responsibility.

Companies must clearly obey the law concerning data protection.

CDR is a commitment to protecting customers and employees and using new technologies and data responsibly.

Question 27

Development of CDR strategy

Answer 27

Digital Stewardship– developing a responsible approach to using data.

Customer expectations – transparency and ability to opt in

Giving back – using data to help society, rather than merely pursue corporate objectives.

Data value – rewarding/incentivise in customers to give data

Digital inclusion – ensuring lack of digital barriers in society.