Exam 1 Flashcards
What is Bloom’s taxonomy
a hierarchical view of critical thinking skills
Where do accountants play a role in blooms taxonomy
Create, Evaluate, Analyze
Where do machines excel in blooms taxonomy
Apply, Understand, Remember
What is the order of Blooms Taxonomy
Top to bottom
Create
Evaluate
Analyze
Apply
Understand
Remember
What is the definition of create
combining parts to make a new whole
what is the def. of evaluate
judging the value of info or ideas
what is the def. of analyze
breaking down info into component parts
what is the def. of apply
applying the facts, rule, concepts and ideas
what is the def. of understand
understanding what the facts mean
what is the def of remember
recognizing and recalling the facts
What part of blooms taxonomy does the basic accounting curriculum address
remember, understand and apply
what part of blooms taxonomy does data analytics cover
the higher-order thinking skills (analyze, evaluate and create)
True or false… Accountants simply cannot analyze, evaluate and create if they do not already have the basic accounting knowledge and understanding required by the lower- level skills of remembering, understanding, and applying levels of critical thinking mastered.
True
What is the AMPS model
Ask the question
Master the Data
Perform the Analysis
Share the Story
What happened? What is happening?
is what type of analytics
Descriptive Analytics
Why did it happen? What are the root causes of past results?
is what type of analytics
Diagnostic Analytics
Will it happen in the future? What is the probability something will happen?
Is what type of analytics
Predictive Analytics
What should we do, based on what we expect will happen?
Prescriptive Analytics
Your Data wont speak unless you ask it the right questions relates to what part of the AMPS
ask the right question
what issues exist in data we want to analyze
- Can the data answer/address the question
- Does the data exhibit data integrity
- Does the data have errors
- Is data missing
- Is data biased
- What type of data is it
- What type of analysis does the data allow us to do
- Cost of acquiring vs. the benefit of using data
- Who owns the data
- Is the data hard to access
When is a PivotTable good to use
summarize the A/R aging or post- J.E to trial balance
When should a cash flow analysis be used
evaluate capital investments made by the firm or equity investments made by a potential investor
when should a data visualization be used?
histograms and scatterplots might be used to help evaluate J.E that are excessively big or excessively small with the testing of internal controls
When should a regression analysis be used
evaluate cost behavior by segregating total costs into fixed and variable cost components
What-If/Goal Seek Analysis
used to perform an analysis of how changing costs and other factors affect breakeven level for a new product
What is Benford’s Law
might be used to find and evaluate unusual and potentially fraudulent transactions
What is the best way to report what we’ve found in our data analytics
Static/Dynamic Visualizations
What are examples of static visualization and what are they created for
one-off analyses…
- reports
- graphs
- tables
What are examples of dynamic visualization and what are they created for
updates on a continuous basis
- Dashboards
T/F 91% of people prefer visual content over written content
True
What are data Acquisition and Preparation Tools and what part of AMPS is it for
Master the Data
Excel (basic)
Alteryx
SQL (structured query language)
Tableau Prep
Power Query (PowerBI)
What are data analysis Tools and what part of AMPS is it for
Perform the analysis
- Excel, SAS, SPSS, Strat, R and Python
What are data visualization Tools and what part of AMPS is it for
Share the Story but can also be apart of perform the analysis
- Excel, Tableau, Power BI, word and powerpoint
What is SQL
a tool to prepare data for analysis and is used to access specific data from very large datasets
What tools analyze data interactively
Excel (basic analysis)
- Pivot Tables
-Data Analysis Toolpak
What do pivot tables do?
An Excel function that analyzes data interactively
good for summarizations, and also organizes data. Allows reorganization and summarization of data using crosstabulations without changing the underlying spreadsheet.
What do data analysis toolpaks do?
An Excel function that analyzes data interactively
- access to specific analysis techniques, including descriptive statics, histograms, correlation, and regression
What tools analyze data programmitcally
SAS, SPSS, Strata - software analysis tools that emphasize statistics
R and Python - programming software tool used to perform advanced data analysis
What is accounting data analytics
encapsulated as the technologies, systems, practices, methods encapsulated as the technologies, systems, practices, methodologies, databases, statistics, and applications used to analyze diverse accounting and nonaccounting data to give organizations the information they need to make sound and timely business decisions.
What data sources do we consider for analysis
- F.S
- Macroeconomic statistics
- Supply chain data
- Financial analyst reports
Finding what data is available to answer the question is part of what AMPS
master the data
What are the four V’s
Volume
Velocity
Variety
Veracity
What are examples of volume? Four V’s
Click stream, Log, Event, Speech, Social Media, Traditional
What are examples of velocity? Four V’s
speed of generation, rate of analysis
What are examples of variety? Four V’s
unstructured, semi-structured, structured
What are examples of veracity?
untrusted vs. uncleansed data
How would you rate a balance sheet that is reported for G M four times a year based on the four Vs of Big Data (Volume, Variety, Velocity, and Veracity)?
Variety
*Structured
Veracity
* Data quality
* Belter quality,(trusted)
* better conclusions
Where do we find accounting data
- Financial Statements
- General Journal/Ledger
- Financial Accounting-Related Data
- Managerial Accounting Data
- Tax Data
Financial Statements Include:
- B/S
-I/S - Statement of Cash flows
- Statement of S.E
What details do General Journal/Ledger show?
- journal entries
- general ledger
- Fixed asset subledger
- Receivables subledger
- Inventory subledger
What are the various locations where financial accounting-related data could be found
- conference call transcripts
-press releases - XBRL
- filing with securities and excuange comissions
- 10K - anual filings
- 10Q - quarterly filings
- 8K - report of material events or changes
what are conference call transcripts
a place where financial accounting related data is found
- CEO, CFO hold a chat to discuss quarterly results
what is XBRL?
a place where financial accounting-related data is found
standards-based way of exchanging business information between business systems
Standard cost data
allows variance analysis, comparing budget to actual
POS transaction data
all information from the sale
Potential cost drivers
all evaluation of best way to allocate overhead
Supply Chain Data
system which tracks products from vendor to final customer
Customer Relationship Management System Data
tracks everything about the customer
HR Management System Data
System which tracks all information regarding employees
What does tax data combine?
Internal and external data
In a company where does tax data come from?
Financial reporting system
where is tax information applicable to the tax function kep?
data warehouse or data mart
Does managerial accounting data comprise enterprise data from various sources
yes
can other non-accounting sources inform analyses
yes
what are examples of other non-accounting sources that can inform analyses
Economic data, current and historical stock prices, social media, and analyst research reports
Gross domestic product
a measure of economy-wide performances
unemployment numbers
a measure of labor availability
consumer price index
a measure of inflation
housing market starts and price levels
generally regarded as a key measure of economic status
What is economic data that can help identify trends in the market?
- gross domestic product
- unemployment #’s
- consumer price index
- housing market starts and price levels
what do social media and chat boards help us understand
sentitment
what do product reviews help determine
satisfaction and demand
What do analyst reports and earnings forecasts such as value line do
show trends
how are reading product reviews useful for predicting earnings
help predict financial information
What is categorical data
data represented by words and categorizes groups
What do pivot tables do
summarize data and is a tool that allows the reorganization and summarization of certain data without changing the underlying spreadsheet
what is numerical data
meaningful numbers
what is nominal data
type of categorical data that cannot be ranked
what are examples of nominal data
gender, transaction type, depreciation method
what is nominal data summarized by
counting and grouping
what is ordinal data
type of categorical data that can be ranked
what are examples of ordinal data
- gold bronze
- survey answers
- ## transaction dates
What is interval data
a type of numerical data where there is an equal interval between each observation
which type of data is able to be multiplied, summed and other complex numerical equations
interval data
what are examples of interval data
SAT scores
Farenheit Temperature
what is ratio data
type of numerical data, with equal and definitive ratio between each data point and absolute zerow
what are examples of ratio data
height, weight, accounting FS figures, kelvin temp scale
where would transaction type be summarized on a pivot table
Row feild
what would amount range be summarized on a pivot table
value feild
Is current depreciation a static number or a calc. field based on the passage of time
calc feild
is net book value a static or calc. field
calc field
How is time remaining to order calculated?
what is a data dictionary
a centralized repository of information about data containing a seperate record for each feild/variable in the table/database
what could be done with the coupon - should it be in product or sales database
both
what goes with the quote…“its data about data”
data dictionary
what is excels relative advantage
best at data analysis, has tools that create PT, graphs and performing stat. analysis
what is tableaus relative advantage
best for visualization, does not allow for orignal data entry
what is the relative advantage of databases
most secure way of storing data
what is the difference between a relational data base and data dictionary
relational database has multiple tables
what are the three components to a relational database
tables
feilds
records
tables definiton
data organized into sets of columns (fields) and rows (records)
fields defintion
descriptive columns that contain information about the observation in the table
records definiton
these are rows in a table, each record or row, corresponds to a unique instance of what is being described in the table
do feilds or records contain the foreign and primary key
fields
what is the primary key
unique identifier in each table
in the transaction table what is the primary key
transaction_ID
what is foreign key
exists to create a relationship or link between two tables
How do entity relationship diagrams represent database tables
graphically
what is an ER diagram
graphical representation of an information system and its relationship with events within the system
What are the internal controls that relational databases enable
-preventative controls
- security around data entry
- reduce redundancy and cut down error
- reduces the possibility of having more than one truth
How do relational databases enhance data integrity
- free from error
-complete
-neutral
what does ETL stand for
- EXTRACT data from sources
- TRANSFORM data into different data types
- LOAD data into other tools for further analysis
T/F excel allows analysts to query data from sources
T
T/F is is important to understand the frequency of refreshing data
T
T/F Tableau does not require access to another data source
F
Does Structured Query Language (SQL) enable filtered transaction
YEs
When do we want to use SQL
want to extract price columns and rows needed to answer the data analysis problems
SQL filters are…
SELECT feilds
FROM tables
WHERE filter (usually dates)
Can Excel pull data from the internet?
YES
