Electronic Data Processing Systems - Business Processes Quiz

Batch processing is an EDP technique that collects data into groups, allowing for convenient and efficient processing. In batch processing, data is collected over a period of time and processed together as a batch, rather than being processed individually in real-time. This technique is commonly used for tasks such as payroll processing, billing, and generating reports. By processing data in batches, it reduces the need for constant user interaction and allows for automated and streamlined processing.

An on-line, real-time system is characterized by data that are assembled from more than one location and records that are updated immediately. This type of system allows for immediate access and processing of data, providing real-time information and enabling quick decision-making. Unlike batch processing systems, which process data in batches at a later time, on-line, real-time systems allow for immediate updates and access to data, making them more efficient and suitable for situations where real-time information is required.

Real-time processing refers to the computer process where data processing is performed concurrently with a particular activity, and the results are available soon enough to influence the particular course of action being taken or the decision being made. It allows for immediate processing and response, ensuring that the data is processed and acted upon in real-time, without any delay. This type of processing is commonly used in applications where immediate response and timely decision-making are crucial, such as in financial transactions, control systems, and online gaming.

The check digit of an account number is calculated using the Modulus 11 algorithm. In this case, the account number is 9106. To calculate the check digit, we need to multiply each digit of the account number by a weight factor, starting from the rightmost digit. The weight factors are 2, 3, 4, and so on, until 9. Then, we sum up the products and divide the result by 11. The remainder of this division is the check digit. In this case, the calculation results in a remainder of 6, which is the check digit.

The real-time feature would be least useful when applied to property and depreciation because these are long-term assets that are not expected to change frequently. Real-time updates are more beneficial for assets that have a higher turnover rate, such as bank account balances, customer accounts receivable, and merchandise inventory, as they require more frequent monitoring and adjustments.

The payroll program has been designed to check if any payroll calculation results in an amount greater than $300. If it does, the program prints out an error message. This control is referred to as a limit or reasonableness test because it sets a maximum limit on the amount that can be paid to an individual in a single week. It ensures that the calculations are reasonable and within the specified limit, preventing any potential errors or fraudulent activities.

Establishing the use of batch control totals for total hours to be processed is an effective control because it ensures that the payroll information entered into the computer system is accurate. Batch control totals involve calculating the total hours for each batch of payroll data and comparing it to a predetermined total. If the totals do not match, it indicates that there may be errors in the data entry. By implementing this control, the organization can identify and correct any inaccuracies before processing the payroll, minimizing the risk of errors and ensuring the accuracy of the payroll information.

An EDP input control is designed to ensure that data received for processing are properly authorized and converted to machine-readable form. This means that the control is put in place to verify that the data being inputted into the system is authorized and has gone through the necessary authorization process. Additionally, it ensures that the data is in a format that can be understood and processed by the computer system. This control helps to maintain the integrity and accuracy of the data being processed.

A characteristic of a batch-processed computer system is that transactions are sorted and processed sequentially against a master file. Key transcription of transactions, followed by machine processing, and the production of numerous printouts are also characteristics of a batch-processed system. However, the posting of a transaction, as it occurs, to several files without intermediate printouts is not a characteristic of a batch-processed system.

The EDP control group is responsible for monitoring and controlling the overall data processing activities in a computer system. When erroneous data are detected by program controls, it is their role to handle such situations. They would review the error report generated by the program controls and take appropriate actions to rectify the errors. This may involve correcting the data, investigating the cause of the errors, and implementing measures to prevent similar errors in the future. Therefore, the EDP control group is the correct choice for reviewing and following up on the error report.

The EDP (Electronic Data Processing) department is responsible for processing and managing electronic data. One of the main activities performed in this department is the conversion of information to machine-readable form. This involves transforming data from its original format into a format that can be easily processed by computers. By converting data to machine-readable form, it becomes easier to store, manipulate, and analyze the information using computer systems and software. This activity is crucial for efficient data processing and is typically performed by the EDP department.

The primary documentation on which a company should rely for an explanation of how a particular program operates is the run manual. This manual provides detailed instructions on how to run the program, including information on input requirements, output formats, and any special considerations or parameters that need to be set. It serves as a guide for users to understand and effectively utilize the program's functionalities.

The check digit of an account number is calculated using the Modulus 11 algorithm. In this case, the account number is 4388. To calculate the check digit, we multiply each digit of the account number by its respective weight (from right to left, starting with 2). The resulting products are summed up, and the sum is divided by 11. The remainder is subtracted from 11 to obtain the check digit. In this case, the sum is 38, and the remainder when divided by 11 is 5. Subtracting 5 from 11 gives us the check digit of 4.

The maintenance of a computer console log is an internal administrative control that can be used to detect unauthorized or unexplained computer usage. A computer console log records all activities and commands performed on a computer system, including user logins, system errors, and program executions. By regularly reviewing the console log, administrators can identify any suspicious or unauthorized activities, such as unauthorized access attempts or unusual system behavior. This control helps in monitoring and detecting any potential security breaches or misuse of the computer system.

The correct answer is the con-father-grandfather concept. This concept refers to a backup strategy where multiple generations of backups are kept, including the current backup (con), the previous backup (father), and an even older backup (grandfather). This ensures that there are multiple copies of the data available, allowing for easy recovery in case of data loss or corruption.

A control total for hours worked, prepared from time cards collected by the timekeeping department, would have been most effective in preventing the error or ensuring its prompt detection. This control would involve adding up the total hours worked by all employees and comparing it to the total hours processed for payroll. If an employee has been terminated, their hours should not be included in the control total, which would have alerted the payroll department to the error. This control helps to ensure that only active employees are included in the payroll calculation, reducing the risk of paying terminated employees.

An on-line sales order processing system allows for immediate initiation of shipment for customer orders as soon as they are received. This advantage is not present in a batch sales order processing system, where orders are processed in batches and may not be shipped out immediately. This immediate shipment capability in an on-line system ensures faster delivery of orders and improves customer satisfaction.

The check digit of an account number is calculated using the Modulus 11 algorithm. In this case, the account number is 5100. To calculate the check digit, we multiply each digit of the account number by its respective weight (from right to left) and sum them up. Then, we divide the sum by 11 and take the remainder. If the remainder is 0, then the check digit is 0. Therefore, the check digit of account number 5100 is 0.

The use of external labels in conjunction with magnetic tape storage is most likely to prevent errors that might be made by a computer operator. External labels on magnetic tapes provide important information about the contents and organization of the data stored on the tapes. This helps the computer operator in identifying and handling the correct tapes, reducing the risk of errors such as loading the wrong tape or mishandling the tapes during storage or retrieval.

In an EDP program or a series of programs, accounting functions that are typically incompatible in a manual system can be combined. This means that multiple accounting tasks can be performed within the same program or set of programs. However, this combination also poses a risk of unauthorized revisions to existing computer programs. To prevent this, an accounting control is necessary to ensure that only approved revisions are made to the computer programs. This control helps maintain the integrity and security of the programs and prevents any unauthorized changes.

A computer log is a compensating control for the problem of incompatible functions being performed by the same individual in an EDP system. A computer log keeps a record of all activities performed on the system, including the functions performed by individuals. This allows for monitoring and auditing of the system, making it easier to identify any incompatible functions being performed. Additionally, a computer log can be used as evidence in case of any fraudulent or unauthorized activities, providing accountability and ensuring the integrity of the system.

In a payroll EDP application, a hash total is used to ensure data integrity and accuracy. It is a control total that represents the sum of a specific data item, in this case, department numbers. By computing a hash total on department numbers, the system can verify that all department numbers have been correctly entered and processed. This helps to detect any errors or discrepancies in the data and ensures that the payroll calculations are performed accurately for each department.

The effectiveness of internal accounting control in a computerized system depends on avoiding incompatible combinations of duties. In this case, the incompatible combination would be between the programmer and the console operator. Having the same person responsible for both programming and operating the computer console can create a conflict of interest and increase the risk of fraud or errors. It is important to have a separation of duties to ensure proper checks and balances within the system.

The check digit should be consistently placed in any position of a valid account number. This ensures that regardless of where the check digit is located, it will always serve its purpose of validating the account number. Placing the check digit consistently in any position also makes it difficult for someone to manipulate or create a valid account number, thus strengthening internal control.

The correct answer is "has totals". In computer-record data fields, totals are calculated and used for data processing control purposes. These totals are specific to each record and are not typically added for other purposes. Therefore, the term "has totals" accurately describes this concept.

Systems documentation is a general control that would most likely assist an entity whose systems analyst left in the middle of a major project. Systems documentation provides a detailed record of the design, implementation, and operation of the entity's information systems. This documentation can help new analysts or team members understand the project's progress, the system's functionality, and any potential issues or challenges that may arise. It serves as a valuable resource for continuity and allows for a smooth transition of responsibilities in the absence of the systems analyst.

Computer operators having access to operator instructions and detailed program listings would lessen internal control in an EDP system. This is because allowing operators to have access to such information increases the risk of unauthorized access, manipulation, or misuse of the system. It is important to restrict access to sensitive information and limit it only to authorized personnel to maintain strong internal control in an EDP system.

The error would be detected by the vendor using a self-checking digit. A self-checking digit is a digit that is calculated and added to a number in such a way that it can be used to verify the accuracy of the number. In this case, if the customer inadvertently ordered part number 12368 instead of 12638, the self-checking digit would not match the calculated value for part number 12368, indicating an error.

When an on-line, real-time (OLRT) EDP system is in use, making a validity check of an identification number before a user can obtain access to the computer files can strengthen internal control. This is because it ensures that only authorized users are able to access the files, reducing the risk of unauthorized access and potential misuse of data. By verifying the identification number, the system can authenticate the user's identity and grant access only to those who have the proper credentials. This helps to protect the integrity and confidentiality of the computer files.

A header label in conjunction with magnetic tape is most likely to prevent errors by the computer operator. This is because the header label provides important information about the data stored on the tape, such as the file name, record length, and starting position. By using the header label, the computer operator can easily identify and access the correct data on the tape, reducing the chances of errors during data retrieval or processing.

The process of updating old records is destructive in the context of the grandfather-father-son updating backup concept. This means that when old records are updated, the original data is overwritten or replaced, making it difficult to retrieve or restore the previous versions of the data. This can pose challenges in implementing the backup concept, as it relies on preserving multiple versions of data for recovery purposes.

The systems analyst reviewing output and controlling the distribution of output from the EDP department can constitute a weakness in the internal accounting control of an EDP system. This is because the systems analyst has access to the output and can potentially manipulate or distribute it inappropriately, leading to unauthorized access or fraud. A strong internal control system should ensure that individuals with access to sensitive information are separate from those responsible for reviewing and distributing it.

External labels are used as a procedural control in the management of a computer center to minimize the possibility of data or program file destruction through operator error. External labels are physical labels attached to tapes, disks, or other storage media that provide information about the contents of the media. By clearly labeling the media, operators are less likely to accidentally overwrite or delete important data or program files. This control measure helps to ensure the integrity and safety of the data and program files in the computer center.