Question 1

Operations Research methods:  The Hungarian Method is a specialized algorithm used to optimally solve which class of problems?

Accepted Answer

Introduction / Context: Operations Research provides algorithms tailored to problem structures. The Hungarian Method is a classic polynomial-time algorithm designed specifically for matching agents to tasks with minimum cost (or maximum profit). Recognizing the correct problem class helps practitioners choose the right tool quickly. Given Data / Assumptions: We are selecting the problem category, not the solution technique name alone. Assignment problems feature a one-to-one assignment between two equal-sized sets. Costs or profits for each agent–task pairing are given in a matrix. Concept / Approach: The Hungarian Method transforms the cost matrix via row and column reductions, identifies zeros representing feasible assignments, and iteratively adjusts until an optimal one-to-one assignment is found. This is distinct from the Transportation Method (balanced shipping among sources and destinations) and from Simplex or Graphical methods used for general linear programming problems. Step-by-Step Solution: Identify structure: equal number of agents and tasks; one agent per task.Recognize matrix reductions and zero-covering steps characteristic of the Hungarian Method.Select “Assignment Method.” Verification / Alternative check: OR textbooks list the Hungarian Method under assignment problems, often alongside extensions (unbalanced, maximization). Why Other Options Are Wrong: Graphical and Simplex: general LP methods. Transportation: solved via specialized heuristics and MODI/stepping-stone, not Hungarian. Common Pitfalls: Confusing assignment with transportation; assignment is a special case with one-to-one constraints. Final Answer: Assignment Method

Question 2

Defining MIS precisely:  Which statement best captures what a Management Information System (MIS) does in support of managerial decision-making?

Accepted Answer

Introduction / Context: Definitions of MIS vary in wording but converge on a core idea: MIS captures data, transforms it into useful information, and communicates it to managers for decisions. The options here use different emphases—data handling, information handling, and conversion—yet all describe facets of MIS. Given Data / Assumptions: MIS spans data capture, storage, processing, retrieval, and presentation. Data-to-information conversion (aggregation, analysis) is central. The outcome is decision support at various organizational levels. Concept / Approach: Conceptually, MIS is a socio-technical communication process: it takes raw data from operations, applies business rules and analytics to create information, and routes that information via reports, dashboards, and alerts to managers. Therefore, each statement contributes a correct aspect of the whole. Step-by-Step Solution: Relate “data” vs. “information”: data are raw facts; information is processed data with context.Recognize MIS activities include recording/storing/processing/retrieving.Conclude that all three phrasings are valid and complementary—select “All of the above.” Verification / Alternative check: Reference definitions consistently include data capture, processing, and delivery of information for decision support. Why Other Options Are Wrong: Choosing a single statement artificially narrows MIS; the function is broader. Common Pitfalls: Equating MIS solely with reports; it also includes controls, exception alerts, and interactive analysis. Final Answer: All of the above

Question 3

Transportation models in Operations Research:  Which of the following methods are used to obtain initial feasible or improved solutions in transportation problems?

Accepted Answer

Introduction / Context: Transportation problems allocate shipments from multiple sources to multiple destinations at minimum cost while meeting supply and demand constraints. Several standard heuristics generate initial basic feasible solutions that are then improved via methods like MODI or stepping-stone. Given Data / Assumptions: We are identifying commonly taught initial solution methods. Problem is balanced or can be balanced by adding dummy rows/columns. Costs are known and nonnegative. Concept / Approach: North-West Corner Method (NWCM) is simple and fast but ignores costs. Least Cost Method (LCM) considers costs when allocating. Vogel’s Approximation Method (VAM) uses penalties based on cost differences to produce a high-quality starting solution that often requires fewer improvement iterations. Step-by-Step Solution: List recognized methods: NWCM, LCM, VAM.Confirm each is applied to the transportation cost matrix.Select the comprehensive option: “All of the above.” Verification / Alternative check: Operations Research curricula and textbooks present these three as standard approaches for initial feasible solutions. Why Other Options Are Wrong: Choosing only one method disregards the breadth of common practice; all are valid depending on goals (speed vs. quality). Common Pitfalls: Forgetting to check degeneracy or balance; always validate and then improve the initial solution with MODI/stepping-stone. Final Answer: All of the above

Question 4

Temporal scope of MIS outputs:  An MIS can provide which time-oriented categories of information to managers?

Accepted Answer

Introduction / Context: Managers rely on historical trends, current status, and forecasts to make decisions. A robust Management Information System supports all three time horizons by combining data warehousing, real-time feeds, and analytical models. The question probes whether MIS is limited to one temporal view or spans all of them. Given Data / Assumptions: Past information: historical reports and trend analyses. Present information: real-time or near-real-time operational dashboards. Future information: projections and forecasts generated by models. Concept / Approach: MIS integrates transaction logs and external data to produce time-series analyses (past), monitors KPIs through streaming or frequent refresh (present), and uses forecasting models or planning tools (future). Each horizon plays a role: past for learning, present for control, future for planning. Step-by-Step Solution: Map MIS components to time horizons: data warehouse → past; operational reporting → present; DSS/analytics → future.Acknowledge that effective management uses all three together.Select “All of the above.” Verification / Alternative check: Architecture diagrams often show OLTP → ETL → warehouse → BI (past), plus operational BI (present) and planning modules (future). Why Other Options Are Wrong: Limiting MIS to any single time frame would omit critical managerial needs. Common Pitfalls: Confusing MIS with only historical reporting; modern MIS includes operational dashboards and predictive planning. Final Answer: All of the above

Question 5

Public-sector information systems:  A city uses a computer system for real-estate taxation. Which task is the computer least able to perform compared to human policymakers?

Accepted Answer

Introduction / Context: Government information systems automate record-keeping and calculations for taxation, licensing, and services. However, certain tasks remain inherently policy decisions requiring elected officials’ judgment. The question asks which task a computer is least suited for compared with administrative and legislative bodies. Given Data / Assumptions: The system supports real-estate tax administration. Operational tasks include maintaining records, computing liabilities, and posting payments. Policy tasks include setting tax revenue targets and rates. Concept / Approach: Computers excel at deterministic processing: storing master data (assessments, categories), executing formulas (mill rates, exemptions), and logging transactions (payments). By contrast, deciding how much revenue to raise is a normative, political choice balancing budgets, services, and equity considerations—outside the scope of automated computation. Step-by-Step Solution: List operational tasks suited to automation: records management, calculation, posting.Identify policy task: determining revenue needs.Select the policy task as least amenable to automation: deciding how much to raise. Verification / Alternative check: Public administration divides responsibilities: computers implement policy via rules, while elected bodies set the rules and targets. Why Other Options Are Wrong: Keeping records (rates, assessments, payments): routine data management—ideal for computers. Computing tax due: formulaic and repeatable. Common Pitfalls: Assuming predictive analytics can replace policy judgment; analytics can inform but not decide community-wide trade-offs. Final Answer: Decide how much money should be raised through real estate taxes

Question 6

Operations data capture in manufacturing and services:  Data collection terminals are deployed on the shop floor and in service points to report the activity of which resources and flows?

Accepted Answer

Introduction / Context: Data collection terminals are specialized input devices used in manufacturing plants, warehouses, field service, and other operational settings. They capture real-time facts about work progress so that the Management Information System (MIS), Manufacturing Execution System (MES), or Enterprise Resource Planning (ERP) can monitor productivity and control costs. This question asks which kinds of activities these terminals typically report. Given Data / Assumptions: Terminals are attached to work centers, docks, stores, or service bays. Organizations need visibility into labor, machines, and materials. We assume standard barcode/RFID/time-entry devices integrated with back-end systems. Concept / Approach: Operational control requires a complete picture of three dimensions: manpower (who worked and for how long), machine usage (which assets were running, idle, or down), and material flow (what parts moved, consumed, or were completed). Terminals feed these facts to databases that drive scheduling, costing, and performance dashboards. Step-by-Step Solution: Identify resource dimensions: labor, equipment, and materials.Map each dimension to typical terminal events: clock-in/out and job start/stop for manpower; machine start/stop and downtime codes for machine use; move tickets, receipt/issue, and WIP completions for material flow.Conclude that all listed activities are reported. Verification / Alternative check: MES/ERP modules (time and attendance, production reporting, inventory transactions) rely on terminal input to reconcile work orders, routings, and bills of materials, confirming the threefold coverage. Why Other Options Are Wrong: material flow / machine use / manpower use (alone): each is correct but incomplete because terminals routinely capture all three to achieve accurate costing and control.None of the above: incorrect; data collection terminals are expressly designed for these uses. Common Pitfalls: Capturing only labor time while ignoring machine downtime or material consumption leads to inaccurate standard-to-actual variance analysis. Final Answer: All of the above

Question 7

Inventory control (EOQ calculation):  When the ordering (purchase) cost is $20 per order, the annual holding (maintenance) cost is $0.50 per unit per year, and annual sales/demand are 20 units, what is the Economic Order Quantity (EOQ)?

Accepted Answer

Introduction / Context: The Economic Order Quantity (EOQ) model balances ordering cost and holding cost to find the order size that minimizes total inventory cost. It is widely used in production and retail environments when demand is steady and costs are known. This problem provides the inputs and asks for the EOQ value. Given Data / Assumptions: Ordering (setup) cost per order S = 20 dollars. Annual holding cost per unit H = 0.50 dollars per unit per year. Annual demand D = 20 units. EOQ formula: Q* = sqrt( (2 * D * S) / H ). Assume no quantity discounts, constant demand, and instantaneous replenishment. Concept / Approach: EOQ minimizes total cost TC(Q) = (D/Q) * S + (Q/2) * H. Differentiating and setting derivative to zero yields Q* = sqrt(2DS/H). We substitute the given D, S, and H to compute the exact order size in units. Step-by-Step Solution: Compute numerator 2 * D * S = 2 * 20 * 20 = 800.Divide by H: 800 / 0.50 = 1600.Take square root: sqrt(1600) = 40.Therefore, EOQ = 40 units. Verification / Alternative check: Rough check: Very low demand (20) with low holding cost (0.50) and moderate order cost (20) can still produce an EOQ larger than annual demand because the model minimizes cost of orders versus holding; with such low H, holding additional units is inexpensive, favoring larger orders. Why Other Options Are Wrong: 20: Equals D, not the EOQ result.80 and 160: These exceed the optimal square-root result given the inputs.None of the above: Incorrect because 40 matches the calculated EOQ. Common Pitfalls: Confusing “purchase cost” with unit purchase price in the EOQ formula; here “purchase cost” refers to ordering/setup cost per order S, not the item price. Final Answer: 40

Question 8

Information systems maturity:  The Nolan _____ model identifies several phases that describe how information systems evolve and mature within organizations over time.

Accepted Answer

Introduction / Context: The Nolan growth framework is a classic concept in MIS that outlines how organizations typically progress in their use and management of information systems. It emphasizes predictable patterns in spending, control, and integration as technology adoption deepens. The question asks you to recall the common name of this model. Given Data / Assumptions: The model is associated with Richard L. Nolan. It delineates phases through which IT usage evolves. The missing word should complete the standard phrase used in MIS literature. Concept / Approach: The well-known term is the “Nolan stage model” (also called the “stages of growth” model). It classifies organizational IT maturity into sequential stages, such as initiation, contagion, control, integration, data administration, and maturity (names vary by revision), highlighting changing priorities and governance mechanisms at each phase. Step-by-Step Solution: Recall the canonical name used in textbooks and articles: “Nolan stage model.”Confirm that “stage” fits as the blank.Select “stage.” Verification / Alternative check: Historical MIS references consistently use “stages of growth” and refer to Nolan’s “stage model,” validating the answer. Why Other Options Are Wrong: plan / decision / master: These terms do not reflect the literature’s established name.None of the above: Incorrect because “stage” is the accepted term. Common Pitfalls: Confusing the Nolan model with strategic planning models; Nolan’s focus is evolutionary stages, not annual planning steps. Final Answer: stage

Question 9

Bit coding schemes for bytes in data communication:  In practical data transmission, which coding scheme is typically used to represent a byte for text and control characters?

Accepted Answer

Introduction / Context: When computers exchange text over networks or serial links, they rely on a standard mapping between bit patterns and characters. This mapping ensures that both sender and receiver interpret bytes consistently. The question asks for the most commonly used scheme in data transmission contexts. Given Data / Assumptions: “Byte” refers to an 8-bit unit in modern systems. We focus on conventional interchange of text and control codes over communication links. We are choosing among standard encodings and unrelated terms. Concept / Approach: ASCII (American Standard Code for Information Interchange) is the de facto baseline for representing characters in data transmission, with widely adopted 7-bit definitions extended to 8-bit variants. While EBCDIC is used on legacy IBM mainframes, ASCII dominates Internet protocols and serial communications. SNA is a networking architecture, not a character code; “Hexadecimal” is a numeral system, not a character encoding. Step-by-Step Solution: Identify the purpose: mapping bits to characters for interchange.Match to the most prevalent standard: ASCII.Eliminate distractors (EBCDIC niche, SNA architecture, Hex numeral base). Verification / Alternative check: Protocol specifications (SMTP, HTTP header formats, Telnet) historically reference ASCII for control and text semantics, confirming its primacy. Why Other Options Are Wrong: EBCDIC: Real, but far less common in open transmission standards.SNA: Systems Network Architecture, unrelated to character coding.Hexadecimal: A base-16 representation scheme, not a character codebook. Common Pitfalls: Confusing how bytes are displayed (hex dumps) with how they are interpreted as characters (ASCII). Final Answer: ASCII

Question 10

Systems analysis and evaluation:  When comparing alternatives during system design, the “best” alternative is recognized as the one that most effectively does which of the following?

Accepted Answer

Introduction / Context: Systems analysis requires evaluating alternatives against clear objectives. While cost and pros/cons matter, the primary criterion is alignment with the defined system goals—functionality, performance, compliance, and value. This question asks you to select the essence of “best.” Given Data / Assumptions: Objectives are defined in the requirements and business case. Trade-offs include cost, schedule, risk, quality, and scope. We seek the overarching decision principle. Concept / Approach: The best alternative maximizes goal satisfaction for the stakeholders, within constraints. Lowest cost alone may underdeliver; tallying advantages/disadvantages without reference to objectives can mislead. Therefore, the alternative that best enables the system to meet its objectives is preferred, subject to constraints and feasibility. Step-by-Step Solution: Start from the problem statement and success criteria.Evaluate each option against the criteria (fit, performance, risk, compliance).Select the alternative with the highest objective attainment, not just lowest cost. Verification / Alternative check: Decision-analysis methods (weighted scoring, utility functions, cost-benefit with value measures) formalize this principle: maximize value against stated objectives. Why Other Options Are Wrong: representing lowest cost: can sacrifice mission-critical outcomes.with the most advantages / least disadvantages: counts without weighting by objectives can be misleading.None of the above: incorrect because option (a) reflects the core principle. Common Pitfalls: Optimizing for a single metric (cost or time) while violating constraints like security or compliance. Final Answer: best enabling the system to meet its objectives

Question 11

Composition of a Management Information System (MIS):  An MIS is composed of which combination of resources and elements in an organization?

Accepted Answer

Introduction / Context: A Management Information System (MIS) is a socio-technical system that transforms raw data into useful information for decision-making. It comprises multiple interdependent components. This question asks you to identify the complete set among the choices provided. Given Data / Assumptions: MIS includes technical layers (hardware, software, databases). MIS also includes people and the information they produce and use. Processes and procedures are implicit within how these components work together. Concept / Approach: Because each listed item is an essential part of MIS—data as inputs, software to process, hardware to run, and people to interpret and act on information—the correct answer aggregates all of them. Omitting any part weakens the system’s ability to deliver value. Step-by-Step Solution: Recognize data as the raw material.Identify software as logic and tools that process and present data.Identify hardware as the physical platform.Acknowledge information and people as outputs and users who make decisions.Select the inclusive choice. Verification / Alternative check: Standard MIS definitions enumerate people, processes, data, and technology; the options collectively cover these domains. Why Other Options Are Wrong: Each single item is necessary but insufficient alone.Only the combined “All of the above” captures a working MIS. Common Pitfalls: Equating MIS with hardware or software only; ignoring the critical role of users and information quality. Final Answer: All of the above

Question 12

Interactive commerce history:  QUBE is an early example of which category of information systems focused on interactive consumer transactions?

Accepted Answer

Introduction / Context: Before the Web became mainstream, several initiatives explored interactive television and online shopping concepts. QUBE was a pioneering interactive TV service that allowed viewers to participate in polls and make purchases, foreshadowing today’s e-commerce platforms. This question asks you to identify the system category exemplified by QUBE. Given Data / Assumptions: QUBE involved consumer interaction via terminals/TV remotes. Primary use included shopping-like interactions in addition to entertainment. We classify by business function, not by underlying network protocols. Concept / Approach: Systems that enable consumers to browse, select, and purchase goods electronically are electronic shopping systems, a subset of e-commerce. QUBE’s interactive purchasing and response capabilities place it in that category rather than problem-solving or operational inventory systems. Step-by-Step Solution: Identify QUBE’s core feature: consumer interactivity for purchases.Map this to electronic shopping systems.Eliminate distractor categories that do not involve consumer-facing purchase flows. Verification / Alternative check: Historical overviews of interactive TV cite QUBE’s shopping experiments as precursors to teleshopping and later web-based e-commerce. Why Other Options Are Wrong: problem-solving: Refers to decision-support/expert tools, not retail transactions.inventory: Back-office stock control, not consumer-facing purchasing.algebra: Not an information system category.None of the above: Incorrect because “electronic shopping” fits. Common Pitfalls: Confusing the delivery medium (TV vs. web) with the business function (shopping); the category is defined by function. Final Answer: electronic shopping

Question 13

Shop-floor and service event capture:  Which activities are commonly recorded by data collection terminals during production and operations?

Accepted Answer

Introduction / Context: Accurate, timely reporting on the shop floor enables effective scheduling, costing, and quality control. Data collection terminals provide a standardized way to capture the events that matter to production control and HR compliance. The question asks which events they record. Given Data / Assumptions: Terminals can read barcodes/RFID and accept keyed input. Integration with MES/ERP/HR systems is in place. We consider common best practices for discrete and process industries. Concept / Approach: Three critical event families are handled: material movements (for inventory accuracy and WIP tracking), labor time (attendance and job time), and operation status (start/stop for steps to compute standard vs. actual times). These events support three-way matches, variance analysis, and OEE (Overall Equipment Effectiveness) reporting. Step-by-Step Solution: Confirm materials tracking: move tickets, issues, receipts, transfers.Confirm attendance capture: clock-in/out and job assignment.Confirm operation timing: start/stop, scrap, rework reasons.Select the inclusive option. Verification / Alternative check: Manufacturing reference models and ERP implementations always include these terminal transactions to keep inventory and cost books accurate. Why Other Options Are Wrong: Each single activity is correct but incomplete; robust operations collect all three.None of the above: incorrect because these are standard terminal functions. Common Pitfalls: Failing to capture rework or scrap at terminals, which skews yield and cost data. Final Answer: All of the above

Question 14

Accounting corrections and error handling:  Detected monetary errors in the books are corrected with which kind of journal entries?

Accepted Answer

Introduction / Context: In double-entry accounting, every transaction affects at least two accounts through debits and credits. When errors are detected—such as mispostings, omissions, or wrong amounts—accountants pass correcting journal entries. This question asks which side (debit or credit) is used for corrections. Given Data / Assumptions: Books follow double-entry principles. Errors may require increasing or decreasing balances. Correcting entries restore the intended accounting effect. Concept / Approach: Corrections are not limited to one side. Depending on the nature of the error (overstated debit, understated credit, wrong account used), the fix may be a debit, a credit, or a combination, always keeping debits equal to credits. Hence, “both (a) and (b)” is appropriate. Step-by-Step Solution: Identify the error type (for example, expense overstated).Determine the reversing and reclassification entries needed.Post the necessary debit(s) and credit(s) to correct the balances. Verification / Alternative check: Accounting manuals specify that correction entries follow normal rules of debit/credit depending on account types (assets, liabilities, equity, income, expense). Why Other Options Are Wrong: debit entries / credit entries alone: too narrow; many corrections require the other side as well.neither / none: contradict the mechanics of double-entry records. Common Pitfalls: Using a one-sided entry or suspense account without proper offset and documentation; every correction must balance and be auditable. Final Answer: both (a) and (b)

Question 15

Artificial intelligence application types:  _____ are computer programs that attempt to provide the same judgmental advice that human experts (for example, doctors or engineers) would provide in a narrow domain.

Accepted Answer

Introduction / Context: Within artificial intelligence, one classic approach is to encode expert knowledge as rules or frames and use an inference engine to reach conclusions, provide recommendations, or diagnose faults. Such applications are designed to emulate the judgment of human specialists. The question asks for the common abbreviation of these systems. Given Data / Assumptions: Focus is on judgmental advice in a narrow, well-structured domain. We distinguish general “AI” as a broad field from a specific application class. We identify the abbreviation commonly used in textbooks. Concept / Approach: These programs are called Expert Systems (ES). They combine a knowledge base (rules, facts) with an inference engine (forward/backward chaining) and often include an explanation facility to justify conclusions. “KBS” (knowledge-based systems) is a broader term that can include ES, but the most direct answer for systems that emulate expert advice is ES. “RAND” refers to a research organization, not a system type. Step-by-Step Solution: Identify the application class: emulate human expert advice.Map to the precise term: Expert System (ES).Select “ES” as the best fit abbreviation. Verification / Alternative check: Classic shells like MYCIN-like systems, CLIPS-inspired tools, and rule-based medical advisors are labeled as ES in the literature. Why Other Options Are Wrong: AI: Too broad; includes many methods not limited to expert advice.KBS: Related but broader; the question points specifically to expert advice systems.RAND: Not an AI application type.None: Incorrect because ES is correct. Common Pitfalls: Confusing machine learning systems (which learn patterns) with rule-based ES (which reason over encoded knowledge). Final Answer: ES

Question 16

In accounting information systems, fixed-asset file management procedures are required for many activities. For which of the following activities are such procedures not required? Choose the best single exception.

Accepted Answer

Introduction / Context: Fixed-asset accounting depends on accurate master data and well-controlled file management. From capitalization to retirement, organizations rely on standardized procedures to ensure that asset records (location, cost, depreciation, custody, and insurance values) remain correct. The question asks whether there is any listed activity that would not need fixed-asset file management procedures. Given Data / Assumptions: Activities listed: physical inventory of assets, processing new purchases, and estimating fire insurance requirements. “Fixed-asset file management procedures” refers to policies and steps for creating, updating, reconciling, and reporting asset master records. We assume a typical computerized fixed-asset subledger integrated with the general ledger and risk/insurance schedules. Concept / Approach: All three activities inherently depend on current, accurate fixed-asset records. Physical inventory requires matching what exists on the floor to what resides in the master file. Purchase processing needs creation or update of master records (first cost, useful life, tag, location). Insurance estimation needs exposure data such as replacement cost, asset type, and location—all maintained within the asset files or derived from them. Therefore, procedures are needed for each activity, making “None of the above” the correct choice. Step-by-Step Solution: Identify data used in physical counts: tag numbers, descriptions, locations, custodians → maintained in asset files. Identify data used when purchasing: capitalization threshold, first cost, in-service date → created or updated in asset files. Identify data used for insurance: asset class, age, location, replacement values → summarized from asset files. Conclude that procedures are required for every listed activity. Verification / Alternative check: Audit standards emphasize fixed-asset master file controls for existence (inventory), rights and obligations (purchase documentation), and valuation/insurance (exposure calculation). Each requires reliable file procedures. Why Other Options Are Wrong: (a), (b), (c): Each activity needs accurate files; none is an exception. (d) “All of the above” suggests no procedures are required for any activity, which is incorrect. Common Pitfalls: Assuming insurance teams estimate independently; they still rely on asset records. Ignoring that physical inventory reconciles directly to the master file. Final Answer: None of the above

Question 17

Applying the general systems model of the firm: in which situations is this model useful for analysis and problem solving?

Accepted Answer

Introduction / Context: The general systems model views an organization as interrelated subsystems (inputs, processes, outputs, feedback). It is a transferable way of thinking that helps structure messy problems, regardless of setting—academic, onboarding into a new firm, or real managerial decision-making. The question asks where this model is applicable. Given Data / Assumptions: A “general systems model” is domain-agnostic and focuses on flows, boundaries, and feedback loops. Use cases range from classroom cases to practical managerial work. We assume typical business functions like marketing, operations, finance, and IT are present. Concept / Approach: A good model is valuable when it clarifies structure, dependencies, and trade-offs. In classes, it helps analyze cases. In a new company, it accelerates understanding of how departments and processes connect. As a manager, it translates into day-to-day problem solving by revealing where bottlenecks, information delays, or misaligned incentives occur. Thus, the model is broadly useful across all three contexts, implying the inclusive answer is correct. Step-by-Step Solution: Map an organizational issue to inputs, processes, outputs, and feedback. Identify subsystem boundaries and interfaces (e.g., sales ↔ operations, ops ↔ finance). Apply the same mapping whether in a course case, during onboarding, or in managerial practice. Select the “All of the above” option based on broad applicability. Verification / Alternative check: Systems thinking is taught for precisely this portability: it enables consistent analysis across examples, industries, and maturity levels. Why Other Options Are Wrong: Each single setting is valid but incomplete; the model is not restricted to one environment. Common Pitfalls: Believing tools learned in school do not transfer to practice; underestimating how onboarding benefits from systems maps. Final Answer: All of the above

Question 18

MIS development strategy: designers must decide whether to follow a “top-down” or a “bottom-up” approach. Fill in the missing word to complete the common pair.

Accepted Answer

Introduction / Context: Systems are commonly designed using either a “top-down” approach (start from strategy, decompose to processes and components) or a “bottom-up” approach (start from existing data/process assets and integrate upward). The question asks you to complete the standard phrase that contrasts these two approaches. Given Data / Assumptions: The fixed pair is “top-down” versus “bottom-up.” We assume conventional MIS and software engineering terminology. Concept / Approach: “Top-down” emphasizes alignment with corporate objectives and architecture first, while “bottom-up” emphasizes incremental integration of operational components. Both have merits and are often combined. The missing word paired with “top” is “down.” Step-by-Step Solution: Recall the standard contrast phrase in systems design. Identify “top-down” as the correct completion. Select “down.” Verification / Alternative check: Software engineering and MIS textbooks consistently use the “top-down/bottom-up” dichotomy. Why Other Options Are Wrong: (b) “level” does not complete the idiom. (c) “bottom” duplicates the second approach, not the completion for “top.” (d) and (e) are inconsistent with the well-known phrase. Common Pitfalls: Confusing the two directions or thinking they are mutually exclusive; in practice, hybrid approaches are common. Final Answer: down

Question 19

Fixed-asset master data capture: which data items for a newly purchased asset could a well-designed application obtain automatically from existing sources and policies?

Accepted Answer

Introduction / Context: Modern fixed-asset systems integrate with purchasing, accounts payable, and policy tables. When an asset is capitalized, the application can prefill many fields to reduce manual entry and enforce consistency. The question asks which of the listed items can be captured automatically by a well-designed application. Given Data / Assumptions: Purchasing and AP modules provide structured data such as vendor, PO, invoice amount, and in-service date. Policy tables store standard useful lives, depreciation methods, and salvage rate assumptions by asset class. “Estimated disposal data” means predicted end-of-life parameters derived from policy, not an actual future sale date. Concept / Approach: First cost is read from the approved invoice or purchase order. Source information (vendor/PO) is directly linked in integrated ERP systems. Estimated disposal data (such as useful life and salvage assumptions) is determined automatically from the asset class and corporate policy. Because all three can be system-derived, the comprehensive choice is correct. Step-by-Step Solution: Map “first cost” to PO/invoice integration → auto-population. Map “source” to vendor and PO linkage → auto-population. Map “estimated disposal data” to policy tables by asset class → auto-derivation. Conclude that all can be automated with proper design and integration. Verification / Alternative check: ERP fixed-asset modules routinely use policy defaults and purchase integrations to minimize manual entry and ensure compliance. Why Other Options Are Wrong: Choosing a single item underestimates the capability of integrated systems; “None” contradicts standard ERP practice. Common Pitfalls: Confusing “estimated disposal data” with a literal known sale date; here it refers to policy-based end-of-life assumptions. Final Answer: All of the above

Question 20

Order entry technologies: which input methods are used in practice to capture sales order data into an information system?

Accepted Answer

Introduction / Context: Sales order processing has evolved through multiple generations of input technology. Modern systems favor direct terminal entry via on-screen forms or APIs, but organizations also use scanning and OCR for mailed or faxed orders. Historically, batches could be keyed via keypunch or keyed entry terminals before online processing was ubiquitous. The question asks which of these methods are used to capture orders. Given Data / Assumptions: We consider both historical and contemporary practices. Organizations may use blended approaches depending on customer channels. Input accuracy and speed depend on validation rules and interface design. Concept / Approach: Terminal entry enables real-time validation and availability checks. Keypunch/keyed batches historically supported deferred processing and may still exist in legacy workflows. OCR digitizes printed order forms and feeds them into order management systems after validation. Because all three are legitimate methods in different contexts, the inclusive option is correct. Step-by-Step Solution: Associate terminal entry with online, interactive capture. Associate keypunch/keyed batches with legacy offline capture. Associate OCR with scanning pipelines for paper forms. Select “All of the above.” Verification / Alternative check: Order-to-cash implementations frequently integrate multiple intake channels, all converging into a single order database. Why Other Options Are Wrong: Each single method is valid but incomplete; “None” is clearly incorrect. Common Pitfalls: Assuming only modern terminals are used; many industries still process paper orders with OCR or batch entry. Final Answer: All of the above

Management Information Systems Questions