IS 414 CH. 2 (VOCAB)

Question 1

Data processing cycle

Answer 1

The four operations (data input, data storage, data processing, and information output) performed on data to generate meaningful and relevant information

Question 2

Source documents

Answer 2

Documents used to capture transaction data at its source - when the transaction takes place

Question 3

Turnaround document

Answer 3

Records of company data sent to an eternal party and then returned to the system as input. Are in machine-readable form to facilitate their subsequent processing as input records

Question 4

Source data automation

Answer 4

The collection of transaction data in machine-readable form at the time and place of origin

Question 5

General ledger

Answer 5

A ledger that contains summary-level data for every asset, liability, equity, revenue, and expense account of the organization

Question 6

Subsidiary ledger

Answer 6

A ledger used to record detailed data for a general ledger account with many individual subaccounts, such as accounts receivable, inventory, and account payable

Question 7

Control account

Answer 7

A title given to a general ledger that summarizes the total amounts recorded in a subsidiary ledger

Question 8

Coding

Answer 8

The systematic assignment of numbers or letter to items to classify and organize them

Question 9

Sequence codes

Answer 9

Items are numbered consecutively so that gaps in the sequence code indicate missing items that should be investigated

Question 10

Block code

Answer 10

Blocks of numbers that are reserved for specific categories of data, thereby helping to organize the data (chart of accounts)

Question 11

Group code

Answer 11

Two or more subgroups of digits that are used to code an item. Is often used in conjunction with a block code

Question 12

Mnemonic code

Answer 12

Letter and numbers that are interspersed to identify an item. Is derived from the description of the item and is usually easy to memorize

Question 13

Chart of accounts

Answer 13

A listing of all the numbers assigned to balance sheet and income statement accounts. The account numbers allow transaction data to be coded, classifies, and entered into the proper accounts. They also facilitate financial statement and report preparation

Question 14

General journal

Answer 14

A journal used to record infrequent or nonroutine transactions, such as loan payments and end-of-period adjusting and closing entries

Question 15

Specialized journals

Answer 15

A journal used to record a large number of repetitive transactions such as credit sales, cash receipts, purchases, and cash disbursements

Question 16

Audit trail

Answer 16

A path that allows a transaction to be traced through a data processing system from point of origin to output to point of origin. It is used to check the accuracy and validity of ledger postings and to trace changes in general ledger accounts from their beginning balance to their ending balance

Question 17

Entity

Answer 17

The item about which information is stored in a record

Question 18

Attributes

Answer 18

The properties, identifying numbers, and characteristics of interest of an entity that is stored in a database

Question 19

Field

Answer 19

The portion of a data record where the data value for a particular attribute is stored

Question 20

Record

Answer 20

A set of fields whose data values describe specific attributes of an entity such as all payroll data relating to a single employee

Question 21

Data value

Answer 21

The actual value stored in a field. It describes a particular attribute of an entity

Question 22

File

Answer 22

A set of logically related records

Question 23

Master file

Answer 23

A permanent file of records that stores cumulative data about an organization. As transactions take place, individual records within a master file are updated to keep them current

Question 24

Transaction file

Answer 24

A file that contains the individual business transactions that occur during a specific fiscal period. Is conceptually similar to a journal in a manual AIS

Question 25

Database

Answer 25

A set of interrelated, centrally controlled data files that are stored with as little data redundancy as possible. Consolidates records previously stored in separate files into a common pool and serves a variety of users and data processing applications

Question 26

Batch processing

Answer 26

Accumulating transaction records into groups or batches for processing at a regular interval such as daily or weekly. The records are usually sorted into some sequence before processing

Question 27

Online, real-time processing

Answer 27

The computer system processes data immediately after capture and provides updated information to users on a timely basis

Question 28

Document

Answer 28

A record of a transaction or other company data

Question 29

Report

Answer 29

System output, organized in a meaningful fashion, that is used by employees to control operational activities, by managers to make decisions and design strategies, and by investors and creditors to understand a company’s business activities

Question 30

Query

Answer 30

A request for the database to provide the information needed to deal with a problem or answer a question. The information is retrieved, displayed or printed, and/or analyzed as requested

Question 31

Enterprise resource planning (ERP) system

Answer 31

A system that integrates all aspects of an organization’s activities (accounting, finance, marketing, human resources, manufacturing, inventory management) into one system. Is modularized; companies can purchase the individual modules that meet their specific needs. Facilitates information flow among the company’s various business functions and manages communications with outside stakeholders