Managing Information Technology, 7e (Brown)

Chapter 1 Managing IT in a Digital World

1) Information technology has been described as pervasive in today's world because:

A) Internet connectivity leads to increased privacy issues.
B) today's technology tools are increasingly more complex.
C) today's technology tools are becoming harder to use.
D) IT has become commonplace in the workplace and in many homes.
Answer: D
Page Ref: 1-5

2) The widespread use of Microsoft's software products is responsible for today's de facto
software standards in each of the following areas, except:
A) PC operating systems (Windows).
B) office application suites (including word processing).
C) enterprise systems.
D) Internet browsers.
Answer: C
Page Ref: 3

3) Which of the following did not lead to an increase in IT investments by organizations in the
1990s:
A) wireless technology.
B) Internet communication standards (TCP/IP).
C) standard Web browsers.
D) high-bandwidth fiber-optic lines.
Answer: A
Page Ref: 4

4) By the year 2000, more than ________ of capital expenditures by businesses in developed
countries were for IT purchases.
A) one quarter
B) one half
C) three quarters
D) 90 percent
Answer: B
Page Ref: 1

5) Information technology has enabled businesses to compete in which of the following ways?
A) by being a low-cost producer of a good or service
B) by differentiating their products or services
C) both A and B
D) none of the above
Answer: C
Page Ref: 4

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6) Which does not describe a current hardware trend?
A) cheaper purchase costs
B) faster computer processing
C) tethered desktops
D) mobile hardware devices
Answer: C
Page Ref: 2

7) Which of the following is not a characteristic of free agents?

A) are knowledge workers
B) are telecommuters
C) work as independent contractors
D) do not have control over their work schedules
Answer: D
Page Ref: 5

8) Telecommuting is facilitated by all of the following except:

A) privacy laws.
B) low costs for personal computing products.
C) Internet connectivity.
D) software to facilitate remote collaboration.
Answer: A
Page Ref: 5

9) The term "app economy" refers to:

A) purchases of downloadable software.
B) App Stores by Apple and other vendors.
C) a software industry trend.
D) all of the above
Answer: D
Page Ref: 3

10) Which does not describe a current software trend?

A) suites of applications with integrated modules
B) bit-size programs for smartphones
C) legacy systems
D) social networking tools
Answer: C
Page Ref: 2

11) Which statement is true about how modern organizations are dependent on IT?
A) Some companies rely on IT for only back-office support (e.g., accounting).
B) Some companies are dependent on 24x7 IT operations.
C) Not all companies are strategically dependent on new technologies.
D) all of the above
Answer: D
Page Ref: 5
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12) Based on Ross et al. (1996), IT managers need to focus on three types of IT assets, which
include all of the following except:
A) procedural assets.
B) technology assets.
C) relationship assets.
D) human assets.
Answer: A
Page Ref: 5

13) IT leaders who establish mechanisms for joint IT-business decision making are fostering
which IT asset?
A) procedural asset.
B) technology asset.
C) relationship asset.
D) human asset.
Answer: C
Page Ref: 6

14) Keeping a company's IT resources aligned with business goals is the primary responsibility
of:
A) virtual teams.
B) the project sponsor.
C) the CEO.
D) the CIO.
Answer: D
Page Ref: 7

15) A new organizational leadership position that helps plan for and monitor compliance with
federal reporting requirements is:
A) CEO.
B) CSO.
C) CTO.
D) none of the above
Answer: B
Page Ref: 7

16) Information technology is defined as computer hardware and software for processing and
storing information, as well as communications technology (voice and data) for transmitting
information.
Answer: TRUE
Page Ref: 1

17) The company responsible for much of today's de facto software standards throughout
corporate America is Microsoft Corporation.
Answer: TRUE
Page Ref: 2

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18) A telecommuter is one who works from a location outside the company's regular offices and
communicates via IT in order to do his or her work.
Answer: TRUE
Page Ref: 5

19) Managing the costs and vulnerabilities of the data centers and networks that provide access
to business data and applications is the only major role of IT leaders.
Answer: FALSE
Page Ref: 7

20) By definition, the CIO is a direct report of the CEO.

Answer: FALSE
Page Ref: 7

======CH2==============

Managing Information Technology, 7e (Brown)

Chapter 2 Computer Systems

1) All computers, including desktop and notebook microcomputers, midrange systems,

mainframes, and supercomputers, are made up of the same six basic components. Which of the
following lists is entirely made up of some of these basic components?
A) bytes, bits, and input
B) output, memory, and modem
C) control unit, memory, and output
D) controller, arithmetic/logical unit, and speakers
Answer: C
Page Ref: 20

2) Which of the following is not an example of a computer output device?

A) printer
B) voice response unit
C) COM recorder
D) MICR reader
Answer: D
Page Ref: 20-21

3) Which method of input can recognize characters from typed, printed, or handwritten material?
A) OCR
B) MICR
C) mouse
D) COM
Answer: A
Page Ref: 20-21
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4) In computer memory, a cell that can store two or more characters of data is called a:
A) partition.
B) word.
C) bit.
D) byte.
Answer: B
Page Ref: 22

5) Which of the following is not an advantage of secondary storage devices compared to main
memory?
A) low cost
B) fast speed
C) high capacity
D) nonvolatility
Answer: B
Page Ref: 23

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6) DASD refers to:
A) digital-analog signal distortion.
B) direct analysis system development.
C) direct access storage device.
D) delayed access sequential device.
Answer: C
Page Ref: 24

7) Machine language is the form of a computer program that the control unit of the computer has
been built to understand. In general, a machine language instruction consists of two parts, which
are:
A) bits and bytes.
B) operation code and address(es).
C) sequential and direct access files.
D) RISC and data channel.
Answer: B
Page Ref: 26

8) Evaluating how well various computers will handle an organization's workload by running a
representative set of real jobs on the different machines is called:
A) benchmarking.
B) virtualizing.
C) compiling.
D) testing.
Answer: A
Page Ref: 27

9) What is a commonly used rating of a computer's speed that is based on the number of
instructions per second executed by the computer's control unit?
A) MFLOPS
B) MIPS
C) CPU
D) MPP
Answer: B
Page Ref: 27

10) Which type of computer is often used for numerically intensive scientific calculations or to
act as an extremely large Web server?
A) microcomputers
B) midrange systems
C) mainframes
D) supercomputers
Answer: D
Page Ref: 28

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11) Which type of computer serves as the heart of the computing systems for many, perhaps
most, major corporations and government agencies? This type of computer system also can act
as a large Web server, as a server in a client/server application, and has the widest range of
available applications.
A) microcomputers
B) midrange systems
C) mainframes
D) supercomputers
Answer: C
Page Ref: 28, 33

12) Which of the following computer storage devices is not an example of a direct access storage
device?
A) hard drive
B) CD/DVD drive
C) magnetic tape drive
D) flash drive
Answer: C
Page Ref: 23-24

13) What microcomputer vendor is not producing an IBM-compatible PC?

A) Apple
B) Dell
C) Hewlett-Packard
D) Lenovo
Answer: A
Page Ref: 30

14) In the 2000s, a new way of handling multiple servers in a computing center became popular,
in which multiple server modules are housed in a single chassis, saving space in the computing
center, reducing the required cabling, and improving system management. What are these servers
called?
A) blade servers
B) shared servers
C) mini servers
D) razor servers
Answer: A
Page Ref: 32

15) Which of the following is a computer programming language developed in the 1960s that is
still commonly used for older ("legacy") business applications?
A) C
B) COBOL
C) FORTRAN
D) FOCUS
Answer: B
Page Ref: 44-46
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16) Assembly language programs are converted to machine language using an assembler. The
resulting machine language program is called a(n) ________ program.
A) source
B) output
C) final
D) object
Answer: D
Page Ref: 43

17) The language translator program which translates an entire 3GL or 4GL program into
machine language before any of the program is executed is called a(an):
A) control unit.
B) interpreter.
C) compiler.
D) converter.
Answer: C
Page Ref: 44

18) Which of the following is not an advantage of 4GL programs over 3GL programs?
A) fewer lines of code
B) easier to write
C) more efficient execution on the computer
D) easier to understand and modify
Answer: C
Page Ref: 47

19) What are the two major categories of computer software?

A) applications software and support software
B) applications software and database management software
C) word-processing software and spreadsheet software
D) word-processing software and database management software
Answer: A
Page Ref: 35

20) Which of the following is not an example of applications software?

A) operating systems software
B) inventory record-keeping programs
C) spreadsheet packages
D) word-processing software
Answer: A
Page Ref: 35-36

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21) The collection of applications programs commonly used by office workers–including word
processing, spreadsheets, electronic mail, presentation graphics, and so on–are referred to as
________ software.
A) management
B) support
C) personal productivity
D) systems
Answer: C
Page Ref: 38

22) Each response below lists two operating systems in common use today. In which response
are both of the operating systems listed open systems?
A) Linux and UNIX
B) Windows 7 and UNIX
C) z/OS and z/VM
D) Linux and Windows Vista
Answer: A
Page Ref: 42

23) On large computers, the operating system switches back and forth among multiple programs
stored in memory in order to overlap input and output operations with processing time; the
purpose of this switching is to maximize the work done by the CPU. What is this concept of
switching among multiple programs in memory called?
A) virtual memory
B) multiprogramming
C) job control
D) multiprocessing
Answer: B
Page Ref: 41-42

24) Which of the following is not a benefit associated with the procedural language COBOL?
A) The language resembles English.
B) It is standardized.
C) COBOL programs are shorter than those written in other languages.
D) It is relatively easy to learn.
Answer: C
Page Ref: 44

25) HTML uses ________ placed within a document to tell the Web browser how to display
various elements on a Web page.
A) marks
B) keys
C) tags
D) comments
Answer: C
Page Ref: 48

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26) The metalanguage standard that is used to facilitate data interchange among applications on
the Web is ________; this is really a standard for specifying a document markup language based
on plain-text tags.
A) HTML
B) HTTP
C) JavaScript
D) XML
Answer: D
Page Ref: 48

27) An object-oriented, platform-independent programming language, developed by Sun

Microsystems and frequently used for Web-based applications, is:
A) FORTRAN.
B) Visual Basic .NET.
C) Java.
D) C++.
Answer: C
Page Ref: 49-50

28) A 4 GL, nonprocedural language–often provided with the database management system–
which is used to retrieve data from a database is called a ________ language.
A) query
B) search
C) lookup
D) retrieval
Answer: A
Page Ref: 53

29) Which of the following is a collection of software tools to help automate all phases of the
software development life cycle?
A) COBOL
B) CASE
C) XML
D) UNIX
Answer: B
Page Ref: 54

30) Which of the following is an example of communications interface software that is used to
transfer files from one computer system to another?
A) CICS
B) FTP
C) UML
D) Apache
Answer: B
Page Ref: 54

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31) The CPU is made up of two components, the control unit and memory.
Answer: FALSE
Explanation: It is made up of the control unit and the arithmetic/logic unit.
Page Ref: 20

32) When a data item is retrieved from a memory cell, either to print out the item or to use it in a
computation, the contents of the cell are unchanged.
Answer: TRUE
Page Ref: 22

33) The stored-program concept allows users to specify a list of operations that can be carried
out at electronic speeds, rather than waiting for the user to specify each operation separately.
Answer: TRUE
Page Ref: 25-27

34) Encapsulation is one of the important features of objects (in object-oriented programming) in
which a subclass inherits the properties, methods, and events of the class to which it belongs.
Answer: FALSE
Explanation: The statement above is the definition of inheritance, not encapsulation.
Page Ref: 50

35) Virtual memory is a procedure by which the operating system switches portions of programs
between main memory and direct access files so that portions of enough programs are stored in
main memory to enable efficient multiprogramming; to the user, it appears as though an
unlimited amount of main memory is available.
Answer: TRUE
Page Ref: 42

======CH3==============

Managing Information Technology, 7e (Brown)

Chapter 3 Telecommunications and Networking

1) Which of the following is a (are) primary reason(s) for networking an organization's

computers together?
A) sharing of peripherals such as printers
B) sharing of data
C) enables client/server applications
D) all of the above
Answer: D
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Page Ref: 61-62

2) Which of the following is not a primary function performed by a telecommunications

network?
A) transmission of voice
B) archiving data
C) tracking of out-of-service devices
D) transmission of data
Answer: B
Page Ref: 63

3) Which of the following most accurately describes the conversion function of

telecommunications?
A) checking for errors and putting the communication into a standardized format
B) changing coding system or speed when moving data between devices on the network
C) keeping track of the status of the network
D) choosing the most efficient path for a message to be sent over the Internet
Answer: B
Page Ref: 63

4) Which of the following most accurately describes the routing function of

telecommunications?
A) checking for errors and putting the communication into a standardized format
B) changing coding system or speed when moving data between devices on the network
C) keeping track of the status of the network
D) choosing the most efficient path for a message to be sent over the Internet
Answer: D
Page Ref: 63

5) Which of the following is a term used to describe transmission speed of a network?

A) parity
B) baud
C) MIPS
D) phase
Answer: B
Page Ref: 64

6) When data can be transmitted in both directions on a telecommunications line, but not
simultaneously, the transmission type is referred to as:
A) switched-line.
B) simplex.
C) half-duplex.
D) full-duplex.
Answer: C
Page Ref: 65

7) What is a key characteristic of a dedicated line versus a switched line?

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A) requires fiber optic media
B) used only for transactions within a single building
C) provides a direct transmission between sender and receiver
D) all of the above
Answer: C
Page Ref: 65

8) A common transmission medium that consists of a heavy copper wire at the center,
surrounded by insulating material, then a cylindrical conductor, and finally an outer protective
plastic covering is called a:
A) fiber-optic cable.
B) coaxial cable.
C) twisted pair of wires.
D) token ring.
Answer: B
Page Ref: 66

9) Which statement about Wi-Fi is not true?

A) Wi-Fi is a wireless technology for local area networks.
B) Wi-Fi is used in buildings with wired LANs to enable mobile access to the organizational
networks.
C) Wi-Fi networks are replacing WiMAX networks due to their greater speed and geographic
coverage.
D) Wi-Fi networks use a CSMA/CA protocol to avoid message failures.
Answer: C
Page Ref: 74-75

10) Which of the following is not an advantage of a wireless LAN versus a wired LAN?
A) faster transmission speed and more secure
B) takes planning, but relatively easy to install
C) enables users of mobile devices to connect to a LAN
D) can be used as an overlay network to permit employees to connect their laptops to the
corporate network from anywhere in the building
Answer: A
Page Ref: 67, 74-75

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11) Which transmission medium requires an unobstructed straight line between the transmitter
and the receiver?
A) coaxial cable
B) twisted pair of wires
C) microwave
D) wireless (as in a LAN)
Answer: C
Page Ref: 68

12) Which of the following is not a characteristic of fiber-optic transmission?

A) faster transmission than twisted pair of wires
B) more secure than other media because it does not emit radiation
C) requires more space than coaxial cable because it has more insulation
D) not affected by power-line surges or electromagnetic interference
Answer: C
Page Ref: 70

13) Which of the following is not a characteristic of a star network topology?

A) costly for small and medium-sized networks
B) relatively easy to identify which cable has failed
C) if central device fails, whole network fails
D) easy to add additional devices
Answer: A
Page Ref: 71

14) Which type of file requires the greatest bandwidth?

A) a Word document page in small font
B) a complex graphic
C) one minute of a voice conversation
D) one minute of a video
Answer: D
Page Ref: 65

15) Which type of technology relies on line-of-sight transmission?

A) Bluetooth
B) satellite
C) WiMAX
D) WiFi
Answer: B
Page Ref: 68-69

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16) Which statement about active RFID tags is not true?
A) They are much more commonly used today than passive tags.
B) They can transmit information continuously, on request, or on a predetermined schedule.
C) They have their own power supply.
D) They are more expensive than passive tags.
Answer: A
Page Ref: 67

17) Which company was the most visible early adopter of using RFID for inventory
management?
A) Cisco Systems
B) Microsoft
C) Walmart
D) Facebook
Answer: C
Page Ref: 67

18) Which statement about Bluetooth is not true?

A) It is named after a Viking queen.
B) It is short-range radio technology built into a microchip.
C) It enables cellular communication with home appliances as well as permitting wireless
communication between a computer and a mouse, keyboard, and printer.
D) Bluetooth technology standards are available free of royalties to any company that wishes to
use them.
Answer: A
Page Ref: 68

19) The term Ethernet is often used as a synonym with which of the following types of local area
networks:
A) token bus network.
B) token ring network.
C) contention bus network.
D) contention ring network.
Answer: C
Page Ref: 73

20) Which statement describes a major difference between a LAN and a WAN?
A) usage by a corporation
B) geographic distance between devices being networked
C) usage of wireless media
D) all of the above
Answer: D
Page Ref: 72-73, 77-80

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21) The CSMA/CD and CSMA/CA protocols are designed to manage which of the following:
A) low bandwidth.
B) conversion of data from digital to analog.
C) message collisions.
D) passing of token from one device to another.
Answer: C
Page Ref: 73-75

22) A private, packet-switched network using the public Internet is referred to as a(n):
A) VPN network.
B) SONET network.
C) ISDN network.
D) DDD network.
Answer: A
Page Ref: 80

23) What is a key difference between 4G and 3G networks?

A) 4G is a wireless network, 3G is not.
B) 4G has higher data transmission rates than 3G.
C) AT&T has an exclusive patent on 4G, but not 3G.
D) 4G networks support smartphones, but 3G networks do not.
Answer: B
Page Ref: 67, 76

24) Which of the following statements about network topologies is not true?
A) A bus topology can be thought of as a simple "linear" topology.
B) A ring topology is wired like a bus, except the ends of the cable are connected.
C) A star topology is like a ring, except the hub is bigger.
D) In a mesh topology, devices are directly connected to two, three, or more other devices in a
seemingly irregular pattern.
Answer: C
Page Ref: 70-71

25) Which of the following networking hardware devices forwards all messages it receives to all
devices that are connected to it, whether or not the messages need to go there?
A) gateway
B) hub
C) router
D) switch
Answer: B
Page Ref: 76-77

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26) A broadband service offered by telephone companies that uses copper wires already installed
in homes and offices to connect to the Internet is referred to as:
A) DSL.
B) cable modem.
C) T1.
D) VPN.
Answer: A
Page Ref: 82-83

27) When considering network protocols, why is the multilayer OSI model still important?
A) It provides a conceptual framework for how communication takes place in networks.
B) It is specifically designed for Ethernet transmissions, which are quite common.
C) It describes a protocol that is gradually replacing TCP/IP.
D) It was designed by IBM.
Answer: A
Page Ref: 86-87

28) Which of the following OSI model layers receives a packet of data from the transport layer
and adds header data to it to identify the route the packet is to take to its destination?
A) physical
B) data link
C) network
D) transport
Answer: C
Page Ref: 87

29) Which of the following network protocols is used on the Internet and has become the de
facto standard protocol for networking around the world?
A) SNA
B) TCP/IP
C) VPN
D) OSI
Answer: B
Page Ref: 88

30) In the United States, the two giants in the telephone industry in the decade of the 2010s are:
A) T-Mobile and Sprint Nextel.
B) Verizon and AT&T.
C) BellSouth and SBC.
D) GTE and Cingular.
Answer: B
Page Ref: 90

31) Conversion of digital to analog signals so that the signals can travel over conventional
telephone lines is accomplished with a device called a modem.
Answer: TRUE
Page Ref: 64
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32) The term modem stands for Modulator of Digital Electronic Messages.
Answer: FALSE
Explanation: Modem stands for modulator/demodulator.
Page Ref: 64

33) Early in the decade of the 2010s, two different technologies–WiMAX and LTE (Long Term
Evolution)–are competing to become the dominant 4G network technology.
Answer: TRUE
Page Ref: 76

34) A Universal Resource Locator (URL) is used to locate packets in a network.

Answer: FALSE
Explanation: A URL is the address of a particular Web site, and is used to jump to that Web site.
Page Ref: 82

35) By 2004, the number of cell phones in use in the United States was greater than the number
of wired phones in homes.
Answer: TRUE
Page Ref: 90

36) Using an Infrastructure as a Service provider can enable an organization to avoid major
capital investments for network equipment as well as computer servers and storage.
Answer: TRUE
Page Ref: 91

======CH4==============

Managing Information Technology, 7e (Brown)

Chapter 4 The Data Resource

1) Which of the following statements about managing data is true?

A) Reconciling inconsistent data can require a significant amount of time and money.
B) Potential costs incurred by organizations for data loss are minimal.
C) Today's tools eliminate the need for data management positions.
D) There are no consequences associated with noncompliance of a law due to poor data
management.
Answer: A
Page Ref: 95
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2) Data that unambiguously describes other data for enterprise use are called:
A) attributes.
B) data models.
C) entities.
D) metadata.
Answer: D
Page Ref: 97

3) In an ERD, a characteristic of a customer entity is diagrammed as a(n):

A) sub-entity.
B) attribute.
C) data relationship.
D) metadata.
Answer: B
Page Ref: 97

4) A top-down data modeling approach to describe the data structure and other requirements of
an organization, independent of any particular reports or screens, is called:
A) corporate modeling.
B) enterprise modeling.
C) view integration.
D) data consolidation.
Answer: B
Page Ref: 98

5) A bottom-up approach to describe the data structure and other requirements of an

organization, in which reports, screens, and relevant documents are analyzed, is called:
A) corporate modeling.
B) enterprise modeling.
C) view integration.
D) data consolidation.
Answer: C
Page Ref: 98

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6) The process of creating simple data structures from more complex ones, which yields a data
model that is very stable and useful across many different requirements, is called:
A) standardization.
B) consistency.
C) normalization.
D) basic.
Answer: C
Page Ref: 98

7) All of the following are true about using a pre-existing (packaged) data model, except:
A) it cannot be customized to fit the terms and business rules of a specific organization.
B) the modeling projects require less time and money.
C) it may be easier to share data with other organizations in the industry.
D) it is likely to work well with other applications from the same vendor.
Answer: A
Page Ref: 98

8) The data modeling guideline that specifies the functional, business division, and/or corporate
coverage is called the:
A) objective.
B) scope.
C) outcome.
D) timing.
Answer: B
Page Ref: 99

9) The data modeling guideline that captures the need that justified the data modeling effort is
specified in the:
A) objective.
B) scope.
C) outcome.
D) timing.
Answer: A
Page Ref: 99

10) An example of a query language used for posing queries to a database is:
A) SQL.
B) ASP.
C) XML.
D) PHP.
Answer: A
Page Ref: 100

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11) An example of a data exchange language to pass data between computers for e-business is:
A) SQL.
B) ASP.
C) XML.
D) PHP.
Answer: C
Page Ref: 100

12) Which of the following is not true about managing data in today's large organizations?
A) Application software is separate from the database software.
B) Data is captured more than once to ensure accuracy.
C) Data exists in databases for operational and managerial purposes.
D) The need to manage data is continuous.
Answer: B
Page Ref: 101

13) Databases for managerial control and other decision-making are often subsets, summaries, or
aggregations of ________ with external data supplements.
A) personnel databases
B) strategic databases
C) geographic databases
D) operational databases
Answer: D
Page Ref: 101

14) Which of the following statements about information processing with application
independence is not true?
A) Data are captured and stored in an operational database.
B) Data that is accessed from a database for application processing is automatically deleted from
the database.
C) Subsets and aggregated operational data may be periodically transferred to a long-term data
warehouse.
D) none of the above
Answer: B
Page Ref: 102

15) An application that moves data from one database to another and permits one source of data
to serve many localized systems within an organization is called a:
A) data analysis and presentation application.
B) data capture application.
C) data transfer application.
D) disposable application.
Answer: C
Page Ref: 103

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16) An application that distributes data to authorized users and manipulates data to create useful
information from established data sources is called a:
A) data analysis and presentation application.
B) data capture application.
C) data transfer application.
D) disposable application.
Answer: A
Page Ref: 103

17) An application that gathers data and populates databases is called a:

A) data capture application.
B) data transfer application.
C) data analysis and presentation application.
D) disposable application.
Answer: A
Page Ref: 103

18) Which of the following statements is true about the retention of data?
A) All organizational data should be retained indefinitely.
B) Some national laws require that certain types of data must be retained for certain periods of
time.
C) Emails should be retained in the same database as transaction data.
D) none of the above
Answer: B
Page Ref: 109

19) An unambiguous description of each type of data that applies to all business circumstances
and users is called a(n):
A) name.
B) descriptor.
C) identifier.
D) definition.
Answer: D
Page Ref: 105

20) A characteristic of a business entity that uniquely distinguishes it from other instances of the
entity for the long term is called a(n):
A) name.
B) definition.
C) identifier.
D) integrity rule.
Answer: C
Page Ref: 104

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21) Which of the following prescribes who can do what and when to each kind of data?
A) ranges
B) integrity rules
C) edit rules
D) usage rights
Answer: D
Page Ref: 105

22) A data dictionary/directory, or DD/D, contains each of the following, except:

A) entity definitions.
B) data element definitions.
C) database server definitions.
D) data standards.
Answer: C
Page Ref: 105

23) ________ refers to the disciplines, technologies, and methods to ensure the currency,
meaning and quality of reference data within and across various subject areas.
A) DD/D
B) MDM
C) DBMS
D) ERP
Answer: B
Page Ref: 105

24) What organizational role or unit is responsible for functions such as physical database
design, database interfaces with other technologies, and database recovery methods?
A) data steward
B) database administrator
C) CIO
D) data administration group
Answer: B
Page Ref: 112

25) Determining the physical arrangement of data based on the data currently required by the
business and expected to be required in the future is part of which of the following data resource
management functions?
A) organize and make accessible
B) define/describe and inventory
C) control quality and integrity
D) accounting for usage
Answer: A
Page Ref: 107

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26) What organizational role or unit is responsible for functions such as maintaining metadata,
reducing redundant data, and improving data quality across an organization?
A) data steward
B) database administrator
C) CIO
D) data administration
Answer: D
Page Ref: 110

27) What organizational role or unit is responsible for the quality of the data in a particular
subject database or departmental area?
A) data steward
B) database administrator
C) CIO
D) data administration
Answer: A
Page Ref: 110

28) Each of the following is a critical step in a data quality initiative, except:
A) cleaning up existing data errors.
B) avoiding the usage of advanced data cleansing tools.
C) establishing procedures to prevent errors.
D) verifying that third-party vendors provide clean data.
Answer: B
Page Ref: 109, textbox

29) Which of the following is a rationale for data ownership?

A) the need to protect the privacy of personal data
B) the need to protect trade secrets
C) the need to share data with those who "need to know"
D) all of the above
Answer: D
Page Ref: 110

30) Which of the following is a justification given for laws that control data flows across national
borders?
A) promote economic imperialism
B) protect a domestic industry
C) protect individual privacy
D) both B and C
Answer: D
Page Ref: 111

31) If an organization maintains application independence, then application software can more
easily be abandoned or replaced.
Answer: TRUE
Page Ref: 103
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32) Data warehouses provide a method for making historical and current data accessible for
queries by many people throughout an organization.
Answer: TRUE
Page Ref: 103

33) For legal reasons, all data should be stored indefinitely.

Answer: FALSE
Explanation: Some data should be retained, while other data should be disposed of at regular
intervals, based on legal requirements and organizational policies.
Page Ref: 109

34) The permissible range or set of values for each data element is defined by integrity rules.
Answer: TRUE
Page Ref: 105

======CH5==============

Managing Information Technology, 7e (Brown)

Chapter 5 Enterprise Systems

1) Which of the following is an intraorganizational system?

A) B2B
B) EDI
C) B2C
D) ERP
Answer: D
Page Ref: 189-190

2) What is a characteristic of a system with batch processing?

A) transactions are processed in real time
B) enables interactive decision support
C) processing costs are typically lower than for online processing
D) none of the above
Answer: C
Page Ref: 191

3) At Around-the-World-Warehouses, a shipping clerk or sales clerk enters the receipt or sale of

a product into a desktop computer. As soon as the entry is completed, a master file is updated
within a fraction of a second. This order entry system is an example of a(n):
A) online processing system.
B) batch processing system.
C) in-line system.
D) personal system.
Answer: A
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Page Ref: 191

4) An information system that supports a particular area of an organization, such as production or

marketing, is called a:
A) group support system.
B) functional information system.
C) vertically integrated information system.
D) transaction-processing system.
Answer: B
Page Ref: 192

5) In describing a client/server system, the software needed to support the interactions between
the clients and the server is called:
A) clientware.
B) middleware.
C) expert system.
D) telecommunications interface software.
Answer: B
Page Ref: 193

6) A vertically integrated information system may perform which of the following?

A) capture the initial sales data and produce invoices (acting as a transaction processing system)
B) summarize these data on a weekly basis for use by middle managers in tracking slow- and
fast-selling items as well as productive and unproductive salespeople (acting as a decision
support system)
C) analyze data for long-term trends for use by top managers (acting as an executive information
system)
D) all of the above
Answer: D
Page Ref: 192

7) Which statement about virtualization is not true?

A) In server virtualization, a single server operates as if it were multiple servers.
B) In desktop virtualization, the user can be using a thin client or mobile device with limited
storage because the applications and data are actually stored on a server accessed by the client.
C) In server virtualization, all of the virtual servers on a single physical server must employ the
same operating system.
D) Benefits from virtualization include lower costs, ease of management, and flexibility.
Answer: C
Page Ref: 194-195

8) Which of the following is a distinct characteristic of distributed systems?

A) less required coordination across sites
B) decreased security risks
C) dependence on high-quality telecommunications lines
D) communication and support costs are lower
Answer: C
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Page Ref: 192-193

9) In a client/server environment, Web servers and groupware servers are usually:

A) thin servers.
B) three-tier servers.
C) fat servers.
D) medium servers.
Answer: C
Page Ref: 193

10) Which of the following benefits is associated with data warehousing?

A) historical data on business operations can be used to support decision making
B) large database machines can be kept in a single warehouse location
C) archival data is stored on magnetic data at a secure warehouse site
D) none of the above
Answer: A
Page Ref: 201-204

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Copyright © 2012 Pearson Education, Inc. Publishing as Prentice Hall
11) The components of a three-tier client/server system include:
A) server, middleware, and client.
B) client, applications server, and database server.
C) database server, client, and middleware.
D) applications server, middleware, and client.
Answer: B
Page Ref: 193

12) Which of the following statements about service-oriented architecture (SOA) is false?
A) Services can be developed internally to the organization or purchased externally.
B) Once a service is created, it can be used over and over again.
C) Services can communicate or be connected with one another.
D) none of the above
Answer: D
Page Ref: 194

13) A type of transaction processing system that consists of a set of integrated business
applications, or modules, to carry out most common business functions (such as inventory
control, general ledger accounting, accounts payable, order processing, etc.) is called a(n):
A) distributed system.
B) client/server system.
C) enterprise resource planning system.
D) group support system.
Answer: C
Page Ref: 198

14) All of the following statements about enterprise resource planning (ERP) systems are true
except:
A) the modules of an ERP system are integrated through common definitions and a common
database.
B) ERP systems are designed to support business processes that involve multiple functional
units.
C) the modules of an ERP system are typically designed for companies operating in the U.S.
only.
D) ERP systems are typically purchased from a software vendor.
Answer: C
Page Ref: 198

15) Establishing a data warehouse requires software tools to do all of the following except:
A) operate the warehouse.
B) access and analyze data.
C) construct the warehouse.
D) process transactions (such as a sales order).
Answer: D
Page Ref: 202-203

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16) Which of the following CRM enterprise vendors offers only a hosted or on-demand solution?
A) Oracle
B) Microsoft
C) Salesforce.com
D) SAP
Answer: C
Page Ref: 205

17) Which of the following are potential disadvantages of electronic mail systems?
A) can result in information overload
B) can result in the usage of offensive words by a sender who would not use them face-to-face
C) can be electronically monitored by supervisor
D) all of the above
Answer: D
Page Ref: 208

18) Which statement about portals is not true?

A) A portal may be accessible to organizational employees only.
B) Portal software increases the cost of providing an intranet to employees.
C) A portal is equivalent to a firewall.
D) Portal software is used to improve a user's access to internal information via a Web browser.
Answer: C
Page Ref: 215

19) Which of the following is a potential business benefit from implementing an ERP system?
A) improved financial process controls
B) lower costs for inventory warehousing
C) re-engineered business processes
D) all of the above
Answer: D
Page Ref: 198-202

20) Lotus Notes (an IBM product) is an example of which of the following types of application
software?
A) enterprise resource planning (ERP) system
B) transaction processing system
C) groupware
D) physician documentation for patient records
Answer: C
Page Ref: 210

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21) Which of the following is not a capability associated with groupware products?
A) data modeling
B) electronic bulletin boards
C) document sharing
D) instant messaging
Answer: A
Page Ref: 209-210

22) According to the textbook, which of the following is not true when a firm is considering the
implementation of an intranet?
A) If the basic infrastructure is already in place (e.g., Web browsers and Web server),
implementation requires relatively little effort.
B) Little planning is required to design Web pages and contents.
C) The per-user costs are generally low.
D) Minimal user training is required.
Answer: B
Page Ref: 213-214

23) A computer system that relies on extensive data input to produce a production schedule for
the factory and a schedule of needed raw materials is what kind of system?
A) computer-aided manufacturing (CAM)
B) shop floor control (SFC)
C) computer-aided process planning (CAPP)
D) material requirements planning (MRP)
Answer: D
Page Ref: 215

24) A manufacturing computer system that logically groups parts according to physical
characteristics, machine routings through a factory, and similar machine operations is what kind
of system?
A) computer-aided process planning (CAPP)
B) group technology (GT)
C) computer-aided manufacturing (CAM)
D) computer-aided design (CAD)
Answer: B
Page Ref: 216

25) Which one of the following answers consists of systems all of which have been defined in
this textbook as enterprise systems?
A) expert system, data mining, neural networks
B) groupware, intranet, group support systems
C) data warehousing, data mining, business intelligence systems
D) intranet, customer relationship management, groupware
Answer: D
Page Ref: 190

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26) What are the three major categories of computer-integrated manufacturing (CIM) systems?
A) robotics, engineering systems, and manufacturing administration
B) design, factory operations, and engineering systems
C) manufacturing administration, factory operations, and design
D) engineering systems, manufacturing administration, and factory operations
Answer: D
Page Ref: 215

27) Which of the following is not an example of an outcome that would be expected from the
implementation of a supply chain management (SCM) system?
A) reduction in time for getting a new product designed and at a retail store
B) reducing out-of-stock items in warehouses
C) more accurate accounting records
D) delivering the right number of products to the right customers at the right time
Answer: C
Page Ref: 217-219

28) MRP II is a computer-based manufacturing administration system that usually has which of
the following components?
A) computer-aided design, master production schedule, and group technology
B) master production schedule, material requirements planning, and shop floor control
C) material requirements planning, computer-aided engineering, and master production schedule
D) shop floor control, manufacturing automation protocol, and material requirements planning
Answer: B
Page Ref: 216-217

29) An engineering system that uses computer graphics to create and modify engineering designs
is what type of system?
A) computer-aided engineering (CAE)
B) computer-aided design (CAD)
C) graphic user design (GUD)
D) computer-aided process planning (CAPP)
Answer: B
Page Ref: 216

30) What are the 5 basic components of a supply chain management (SCM) system?
A) market, source, make, sell, deliver
B) plan, source, buy, sell, deliver
C) plan, source, make, deliver, return
D) procure, make, market, sell, deliver
Answer: C
Page Ref: 218

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31) Intraorganizational systems are systems that span organizational boundaries.
Answer: FALSE
Explanation: Interorganizational systems span organizational boundaries.
Page Ref: 189-190

32) A client/server system is a particular type of distributed system.

Answer: TRUE
Page Ref: 192-193

33) Payroll and order entry systems are examples of transaction processing systems.
Answer: TRUE
Page Ref: 196-198

34) In a survey of IT leaders, CIO magazine found that the companies represented were
completely dependent on their ERP systems, but they also had major concerns including
complex system integration, high cost of ownership, and systems that are difficult to use.
Answer: TRUE
Page Ref: 199

35) Groupware systems attempt to provide an integrated approach to all aspects of interaction a
company has with its customers.
Answer: FALSE
Page Ref: 204

======CH6==============

Managing Information Technology, 7e (Brown)

Chapter 6 Managerial Support Systems

1) A computer-based system that allows a police officer to consider a variety of alternatives for
allocating police officers to different neighborhoods is an example of a:
A) group support system.
B) transaction processing information system.
C) vertically integrated information system.
D) decision support system (DSS).
Answer: D
Page Ref: 224

2) All of the following are examples of the use of a DSS except:

A) optimizing airline crew reassignments after a major schedule disruption due to storms.
B) estimating project costs when bidding for new construction work.
C) identifying the source of an input error for a sales transaction.
D) employing a pro forma financial statement generator.
Answer: C
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Page Ref: 223-225

3) An actual DSS application that assists in the decision-making process of an organization (e.g.,
a DSS for investment portfolio management or a DSS for staff scheduling) is referred to as a:
A) specific DSS.
B) DSS generator.
C) planning DSS.
D) DSS model.
Answer: A
Page Ref: 224

4) Which of the following is not a major component of a DSS?

A) dialog management
B) inference engine
C) data management
D) model management
Answer: B
Page Ref: 224

5) A DSS that provides a set of capabilities (such as a spreadsheet) to build a specific decision
support system quickly and easily is referred to as a:
A) specific DSS.
B) DSS generator.
C) planning DSS.
D) DSS tool.
Answer: B
Page Ref: 224

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6) An application that extracts data from a database and structures it by individual dimensions,
such as region, organizational unit, or dealer, is referred to as:
A) OLAP software.
B) data mining software.
C) data warehousing software.
D) expert system software.
Answer: A
Page Ref: 226

7) In extracting information from large data warehouses, a data mining tool may use which of the
following techniques?
A) decision trees
B) regression
C) rule induction
D) all of the above
Answer: D
Page Ref: 226

8) A technique to search for small "nuggets" of information from the vast quantities of data
stored in an organization's data warehouse, using technologies such as decision trees and neural
networks, is called:
A) statistical inferencing.
B) data mining.
C) data regression.
D) analytic extraction.
Answer: B
Page Ref: 226

9) Which of the following is not a typical application of data mining?

A) predicting customer attrition
B) fraud detection
C) production process planning
D) trend analysis
Answer: C
Page Ref: 227

10) From a manager's perspective, all of the following are potential advantages of using group
support systems except:
A) to encourage creative thinking.
B) to have more productive meetings.
C) to make it easier for higher-ranking participants to sway everyone else's vote.
D) to obtain higher quality ideas and decisions.
Answer: C
Page Ref: 228-229

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11) A GSS can be used to support:
A) meetings at one physical location.
B) meetings with participants at multiple locations.
C) meetings of pre-existing teams or newly formed groups.
D) all of the above
Answer: D
Page Ref: 228-229

12) A data mining product which has the ability to handle textual information, pulling data out of
letters, memos, medical records, tweets, and documents of all kinds, is called a:
A) neural network.
B) decision tree.
C) text miner.
D) text-to-data reducer.
Answer: C
Page Ref: 226

13) Questions that a GIS can directly answer include all of the following except:
A) What is adjacent to this feature?
B) Is this the best site for a new business?
C) How many features are within a certain distance of a site?
D) Which site is the nearest one?
Answer: B
Page Ref: 232

14) Which of the following statements is true?

A) Organizations must custom-develop a GIS.
B) The usage of census data is illegal.
C) No competitive uses of GISs are known to date.
D) none of the above
Answer: D
Page Ref: 229-234

15) Mobile devices may use a type of GIS to:

A) find the fastest route to a location.
B) identify a store location.
C) find nearby restaurants.
D) all of the above
Answer: D
Page Ref: 229-234

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16) Which of the following is not a typical characteristic of an executive information system?
A) provides easy online access to current information about business conditions in an aggregated
form
B) requires the assistance of a user with a technology background
C) is a system used by managers at all levels of the organization
D) includes internal transaction data and may incorporate qualitative data from both internal and
external sources
Answer: B
Page Ref: 234-235

17) Information extracted from executive information systems is typically displayed in any of the
following formats except:
A) spreadsheets.
B) charts.
C) detailed, nonaggregated information.
D) dashboards.
Answer: C
Page Ref: 234-235

18) In many cases, EIS applications have evolved into which of the following type(s) of
application?
A) performance management system.
B) business intelligence system.
C) competitive intelligence system.
D) all of the above
Answer: D
Page Ref: 235

19) Which of the following approaches to representing spatial data relies on dividing space into
small, equal-sized cells arranged in a grid?
A) vector-based GIS
B) coverage GIS
C) raster-based GIS
D) polygon-based GIS
Answer: C
Page Ref: 231-232

20) In a "community of practice" knowledge management system, which of the following

statements is true?
A) There is usually very formal management and control of a COP KMS.
B) Each member of the COP is responsible for the knowledge content of the KMS.
C) The knowledge in the KMS is very carefully organized and packaged.
D) The likelihood is high that the knowledge in the KMS will be applicable to many members of
the COP.
Answer: B
Page Ref: 239

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21) The branch of artificial intelligence that is concerned with building systems that incorporate
the decision-making logic of a human expert is called:
A) expert systems.
B) fuzzy logic.
C) natural languages.
D) neural networks.
Answer: A
Page Ref: 241

22) Which statement about business intelligence (BI) tools is not true?
A) Most BI tools are designed specifically for use by financial analysts.
B) BI tools are used to improve the outcomes from direct marketing campaigns.
C) BI tools are used to identify customer purchasing patterns.
D) BI tools are used in marketing to decide on promotions and online advertising.
Answer: A
Page Ref: 235-238

23) A machine that possesses visual and/or aural abilities that affect the machine's physical
behavior (response) is referred to as a(n):
A) programmed system.
B) perceptive system.
C) command-driven system.
D) expert system.
Answer: B
Page Ref: 241

24) Three major pieces of any expert system are:

A) user interface, knowledge base, and workspace.
B) expert system shell, knowledge acquisition system, and explanation system.
C) knowledge base, inference engine, and user interface.
D) expert system shell, inference engine, and knowledge acquisition system.
Answer: C
Page Ref: 241-242

25) The individual who is responsible for gathering an expert's knowledge to be used to build an
expert system is called a(n):
A) systems programmer.
B) expert system manager.
C) knowledge programmer.
D) knowledge engineer.
Answer: D
Page Ref: 241

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26) Which statement about virtual reality applications is not true?
A) VR systems are being used to train professionals and to design new products.
B) Users of VR systems may use helmets, glasses, and/or gloves that immerse them into a virtual
world that seems real to one or more of their senses.
C) A "virtual tour" of a real estate property uses VR-like technology.
D) none of the above
Answer: D
Page Ref: 245-247

27) The part of an expert system that automatically executes a line of reasoning when supplied
with the rules and parameters involved in a decision is called the:
A) explanation subsystem.
B) inference engine.
C) workspace.
D) knowledge base.
Answer: B
Page Ref: 241-242

28) One way to develop an expert system is to use a development environment that contains all
the basic expert system components plus a limited but user-friendly special language with which
to develop a knowledge base. This development environment is referred to as a(n):
A) fourth-generation language.
B) high-level programming environment.
C) artificial intelligence shell.
D) natural language system.
Answer: C
Page Ref: 242

29) The AI technology that is used to evaluate handwriting on credit card slips, select
undervalued stocks as part of portfolio pension plan management, and determine where to drill
for oil and gas is:
A) neural networks.
B) perceptive systems.
C) natural languages.
D) expert systems.
Answer: A
Page Ref: 244-245

30) Which of the following is a key characteristic of neural networks?

A) They learn.
B) They are all designed at IBM and are named Watson1, Watson2, etc.
C) They monitor system changes.
D) They are always right.
Answer: A
Page Ref: 244

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31) Participants in GSS sessions must identify themselves to eliminate any doubt about the
integrity of the source of information provided.
Answer: FALSE
Explanation: Participants may provide input anonymously to avoid being ridiculed.
Page Ref: 228-229

32) Data for executive information systems (EISs) come from both quantitative and qualitative
sources.
Answer: TRUE
Page Ref: 235

33) Once a neural network has established an acceptable level of predictive ability, no further
changes are made to the weights of the predictor variables.
Answer: FALSE
Explanation: Neural networks continue to "learn" and improve their predictive ability.
Page Ref: 244

34) The goal of a knowledge management system (or KMS) is to tap into the knowledge of the
individual and the organization and disseminate it throughout the firm to derive operational and
market improvements.
Answer: TRUE
Page Ref: 238

======CH7==============

Managing Information Technology, 7e (Brown)

Chapter 7 E-Business Systems

1) A bricks-and-clicks company can be described as all of the following except:

A) multichannel.
B) pure-play.
C) integrating offline and online business.
D) click-and-mortar.
Answer: B
Page Ref: 253

2) Which law describes the relative value of a network as proportional to the square of the
number of its members?
A) Moore's Law
B) Metcalfe's Law
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C) M-commerce Law
D) McAffe's Law
Answer: B
Page Ref: 253

3) According to the textbook, which statement about electronic data interchange (EDI) is not
true?
A) EDI involves computer-to-computer communications between trading partners.
B) EDI saves costs due to automated transaction handling and the elimination of paper
documents.
C) EDI requires an Internet connection.
D) Some EDI standards are industry-specific.
Answer: C
Page Ref: 257-258

4) In the first half of the 1990s, which of the following paved the way for today's Internet?
A) The National Science Foundation lifted the ban on commercial usage of the Internet.
B) A commercial web browser was available.
C) Google bought PayPal.
D) both A and B
Answer: D
Page Ref: 254

5) Which of the following was the first commercial Web browser?

A) Mosaic
B) Opera
C) Internet Explorer
D) Netscape Navigator
Answer: D
Page Ref: 254

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6) Which statement about the growth of e-business in the 1990s is not true?
A) the U.S. Congress did not impose a sales tax on purchases via the Internet
B) credit card processing for online purchases was available even before the web browser
C) DSL and cable modems to U.S. homes increased the download speeds for web sites
D) search engines enabled users to find web sites without keying in their URLs
Answer: B
Page Ref: 254-258

7) Which of the following uses cryptography to ensure secure transmission over a public
network?
A) digital signatures
B) communication protocols
C) web browsers
D) search engines
Answer: A
Page Ref: 256, textbox

8) Which of the following are likely to have Web portals?

A) news sites
B) search engines
C) companies
D) all of the above
Answer: D
Page Ref: 255

9) According to Porter's model, which of the following is not one of the competitive forces that
business organizations typically face?
A) supplier power
B) threat of new entrants
C) threat of government regulation
D) threat of substitute products
Answer: C
Page Ref: 259

10) According to Porter (2001), the Internet has had which kind of competitive impact?
A) widening of geographic markets to increase the reach to potential customers
B) increased difficulties in keeping a product or service offering proprietary
C) reduction in switching costs for customers
D) all of the above
Answer: D
Page Ref: 259

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11) Which type of e-business is most dependent upon the number of individuals having Internet
access?
A) B2B
B) B2C
C) G2G
D) C2B
Answer: B
Page Ref: 263

12) Which statement about Web 2.0 is true?

A) the World Wide Web is used as a platform for sharing personal information
B) the Web 2.0 browser is the one that succeeded Mosaic
C) it is a new protocol that has been approved by the W3C
D) it refers to the use of XML to replace EDI over the Internet
Answer: A
Page Ref: 260

13) A potential seller benefit from B2C applications is:

A) lower costs from online channels.
B) multimedia opportunities for marketing.
C) new ways to research potential markets.
D) all of the above
Answer: D
Page Ref: 263, Fig. 7.9

14) Which statement about the usage of social media as a B2C platform is not true?
A) companies are using social media to communicate with customers
B) Fortune 500 companies are using Facebook, but not Twitter
C) blogs are being used to help "brand" a company or products
D) some companies have used online communities to generate and comment on product ideas
Answer: C
Page Ref: 275

15) Which of the following businesses have a Web site that promotes a sense of "community" by
their consumers?
A) Amazon
B) Netflix
C) TD Ameritrade
D) both A and B
Answer: D
Page Ref: 264-266, 273

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16) Which of the following was NOT a pioneer in providing online customers with the ability to
order customized products through their Web site?
A) Lands' End
B) Blockbuster
C) Dell
D) all of the above
Answer: B
Page Ref: 265, 267

17) Which of the following was a pioneer in developing a superior online shopping experience
for consumers?
A) Amazon.com
B) Dell.com
C) Landsend.com
D) Netflix.com
Answer: A
Page Ref: 264

18) Which of the following is not an example of an online intermediary?

A) Dell
B) e-Bay
C) Facebook
D) Google
Answer: A
Page Ref: 269

19) Providing customized content to the user based on the actual geographic location of their
handheld device is a form of:
A) C2C
B) M-commerce
C) EDI
D) none of the above
Answer: B
Page Ref: 256

20) What term refers to web sites that were designed to be an initial point of access, or gateway,
to other sites?
A) Web portal
B) Firewall
C) Web browser
D) Virus
Answer: A
Page Ref: 255

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21) In what industries are companies that serve as online B2B intermediaries more likely to have
a sustainable business model?
A) those with lots of buyers and few sellers
B) those with lots of buyers and lots of sellers
C) those with few buyers and lots of sellers
D) none of the above
Answer: B
Page Ref: 261-262, Fig 7.7

22) Which is a major challenge that Facebook is continually facing?

A) user trust for maintaining the privacy of their personal information
B) finding more users
C) branding
D) none of the above
Answer: A
Page Ref: 272

23) Which of the following is NOT a difference in e-business after the U.S. dot-com meltdown
when compared with before the meltdown?
A) less venture capital
B) pure-play businesses no longer exist
C) company valuations based on potential for earnings and profits
D) some state sales taxes
Answer: B
Page Ref: 260, Fig. 6.5

24) The 1999 end-of-year holiday season was considered a milestone in B2C e-business in the
U.S. because online sales approached what percentage of total holiday sales?
A) 1%
B) 2%
C) 5%
D) 10%
Answer: A
Page Ref: 260

25) Which of the following is included in the 7Cs framework for evaluating B2C web sites by
Rayport and Jaworski?
A) content (site layout and design)
B) context (usage of text and other media)
C) community (enabling feelings of membership and shared interest)
D) all of the above
Answer: D
Page Ref: 273

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26) Which of the following companies uses the Web for both B2B and B2C?
A) Dell
B) Facebook
C) Staples
D) both A and C
Answer: D
Page Ref: 266-267, 272

27) Which of the following statements about Google is not true?

A) Google's profitability has been based on revenues from targeted advertising
B) YouTube was purchased by Google
C) an open operating system platform for mobile devices, named Android, is a Google product
D) none of the above
Answer: D
Page Ref: 271-273

28) Which of the following is an example of a "first mover" success not always being valid?
A) Google
B) eBay
C) Yahoo!
D) Staples
Answer: C
Page Ref: 273

29) Why would a consumer want to see a TRUSTe seal on a web site?
A) TRUSTe is a government organization concerned with consumer trust
B) a TRUSTe seal signifies that the company's website has a clear privacy policy
C) the company is affiliated with Apple computer
D) sites that do not display this seal are not trustworthy
Answer: D
Page Ref: 257-258, textbox

30) Which of the following countries has a national policy that requires that all web sites be
registered and in compliance with national guidelines about certain content?
A) Japan
B) China
C) U.S.
D) U.K.
Answer: B
Page Ref: 274, textbox

31) The World Wide Web Consortium (W3C) is an industry consortium that oversees the
assignment of domain names.
Answer: FALSE
Page Ref: 254

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32) An extranet is a private network operating within an organization that employs the TCP/IP
protocol to provide information, applications, and other tools for use by the organization's
employees.
Answer: FALSE
Page Ref: 256

33) The Internet has its roots in ARPANET, a network of U.S. government and selected research
and development firms in the private sector that grew to include educational institutions and
other nonprofit organizations.
Answer: TRUE
Page Ref: 254

34) According to the textbook, traditional U.S. retailers that had developed a multichannel
capability appeared to have an online B2C advantage by 2005.
Answer: TRUE
Page Ref: 268

======CH8==============

Managing Information Technology, 7e (Brown)

Chapter 8 Basic Systems Concepts and Tools

1) Which of the following is a type of control that is used to ensure the development of a high
quality, reliable information system?
A) methodology standards
B) system testing
C) system backup
D) all of the above
Answer: D
Page Ref: 355

2) Why is it important for a system analyst to document formal as well as informal systems
within an organization?
A) informal systems are always less efficient.
B) the usage of an informal system by users means that the formal system is deficient in some
way and users have designed ways to work around it.
C) informal systems require natural language processing, but formal systems do not.
D) all of the above
Answer: B
Page Ref: 331

3) Which of the following elements usually includes subcomponents to filter, translate, store, and
correct data that flows through it?
A) component
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B) environment
C) storage
D) interface
Answer: D
Page Ref: 333

4) Using a sales tracking system as an example, the customer orders and customer returns of
goods are examples of which type of system components?
A) outputs
B) inputs
C) storage
D) memory
Answer: B
Page Ref: 332

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5) Using a payroll system as an example, paychecks and W-2 forms are examples of which of the
following system elements?
A) outputs
B) inputs
C) storage
D) memory
Answer: A
Page Ref: 332

6) In basic systems terminology, the process of breaking down a system into successive levels of
subsystems is called:
A) functional analysis.
B) factoring.
C) interfacing.
D) hierarchical decomposition.
Answer: D
Page Ref: 332

7) A numerical digit based on the other digits within a numerical identifier is referred to as a:
A) ITIL rule.
B) check digit.
C) lottery number.
D) none of the above
Answer: B
Page Ref: 356

8) Which of the following is an example of a goal of hierarchical decomposition?

A) to take advantage of the simplicity of a system
B) to analyze or change only part of the system
C) to design and build each subsystem at the same time
D) to increase the interdependence of the system components
Answer: B
Page Ref: 332

9) Which of the following is not an example of a principal method for system decoupling?
A) slack resources to provide alternative paths
B) usage of standards
C) sharing data stores
D) benchmarking
Answer: D
Page Ref: 334

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10) A physical system description depicts ________ the system operaters, while a logical system
description depicts ________ the system does.
A) how; what
B) how; why
C) what; how
D) why; what
Answer: A
Page Ref: 335

11) Which of the following system descriptions depicts the function and purpose (the what) of
the system without reference to, or implications for, the actual way in which the system will be
implemented?
A) functional system description
B) logical system description
C) physical system description
D) network system description
Answer: B
Page Ref: 335

12) Which is a basic principle of business process reengineering (BPR) suggested by Hammer ?
A) integrating information processing into the work that produces the information
B) building reengineering efforts around legacy systems
C) developing parallel processes for redundancy
D) escalating decision-making up an organizational hierarchy
Answer: A
Page Ref: 336

13) As defined in the textbook, the generic systems development life cycle consists of the
following three phases:
A) requirements, design, and implementation.
B) definition, construction, and implementation.
C) specifications, development, and installation.
D) feasibility analysis, testing, and maintenance.
Answer: B
Page Ref: 339

14) Which of the following best describes the definition phase of the systems life cycle?
A) The system is functionally designed, and then its physical design is specified.
B) The new system is installed.
C) Business and systems professionals document systems needs and feasibility.
D) Data and procedures from the old system are converted.
Answer: C
Page Ref: 339

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15) Which of the following best describes the construction phase of the systems life cycle?
A) The system is functionally designed, and then its physical design is specified.
B) The new system is installed.
C) Business and systems professionals document systems needs and feasibility.
D) Data and procedures from the old system are converted.
Answer: A
Page Ref: 340

16) Which of the following describes an early step in the implementation phase of the systems
life cycle?
A) The system is detailed functionally, and then its physical design is specified.
B) Programs and computer files are designed.
C) Operational feasibility is conducted.
D) Data and procedures from the old system are converted.
Answer: D
Page Ref: 340

17) Procedural-oriented approaches to systems design first involve the:

A) Logical To-Be model.
B) As-Is model.
C) Physical To-Be model.
D) Want-To-Be model.
Answer: B
Page Ref: 341

18) When a physical model of a system is depicted with a diagram, cylinders are used to
represent:
A) major modules.
B) databases.
C) data flows.
D) processes.
Answer: B
Page Ref: 342

19) Which of the following technique is most closely associated with the Logical To-Be model?
A) work process flow diagram
B) context diagram
C) data flow diagram
D) swimming lane diagram
Answer: C
Page Ref: 345

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20) Which of the following is not graphically represented in a data flow diagram (DFD)?
A) sender
B) process
C) data flow
D) data store
Answer: A
Page Ref: 345

21) When developing a logical data flow diagram, a circle indicates:

A) an element in the environment of the system that sends or receives data.
B) data in motion.
C) data at rest.
D) a process component.
Answer: D
Page Ref: 345

22) When developing a logical data flow diagram, a rectangle (or open rectangle) indicates:
A) data at rest.
B) data in motion.
C) an element in the environment of the system that sends or receives data.
D) a process component.
Answer: A
Page Ref: 345

23) The most common approach to defining data elements in a DFD is to create a(n):
A) data store.
B) data dictionary/directory.
C) process.
D) external entity.
Answer: B
Page Ref: 346

24) All of the following are tools for representing the Logical To-Be model of an information
system except a(n):
A) program chart.
B) data dictionary.
C) entity-relationship diagram.
D) data flow diagram.
Answer: A
Page Ref: 345, 346

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25) In the object-oriented (O-O) approach to software engineering, the term "encapsulation"
refers to:
A) sharing commonalities between classes of objects.
B) a relationship between a generalized object class and one or more specialized classes.
C) storing data and related operations together within objects.
D) the reusability of objects across a wide variety of applications.
Answer: C
Page Ref: 352

26) Which of the following diagrams is not part of the Unified Modeling Language for O-O
modeling?
A) class diagram
B) context diagram
C) sequence diagram (to capture messages)
D) use Case diagram
Answer: B
Page Ref: 352-353

27) Which of the following statements is not true about system testing controls in the
construction phase of the systems life cycle?
A) Each program is tested individually and in combination with other programs.
B) The results from processing typical and atypical inputs are examined.
C) Users are not involved in system testing.
D) Validation rules and calculations are checked.
Answer: C
Page Ref: 357

28) What set of international guidelines includes an extensive set for implementation
management practices against which firms can benchmark their own practices?
A) CCM
B) COSO
C) ITIL
D) none of the above
Answer: C
Page Ref: 356

29) Controls for the validity of data entered into an application program (such as ensuring that
only numbers are entered into a numeric field) are referred to as:
A) batch totals.
B) encryption rules.
C) access privileges.
D) edit rules.
Answer: D
Page Ref: 356

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30) Security measures that are concerned with whether or not users can run an application, read a
file, or change data in a database, or can change who can access to data that others have created
are referred to as:
A) logical access controls.
B) physical access controls.
C) backup procedures.
D) audit trails.
Answer: A
Page Ref: 358

31) One of the fundamental principles of systems analysis and design (SA&D) is that the logical
system should be described before the physical system.
Answer: TRUE
Page Ref: 335

32) System testing only occurs when systems are initially developed.
Answer: FALSE
Explanation: Testing also occurs when systems are modified.
Page Ref: 357

33) In general, the term "system" is defined as a set of interrelated components that must work
together to achieve some common purpose.
Answer: TRUE
Page Ref: 330

======CH9==============

Managing Information Technology, 7e (Brown)

Chapter 9 Methodologies for Custom Software Development

1) The SDLC phase that typically requires the greatest percentage of the total cost for a custom
development project is the ________ phase.
A) definition
B) construction
C) implementation
D) final
Answer: B
Page Ref: 363, Fig. 9.2
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2) During the feasibility analysis phase of the SDLC, which of the following types of feasibility
is not assessed?
A) economic
B) operational
C) time-driven
D) technical
Answer: C
Page Ref: 363

3) Who usually takes primary responsibility for establishing the custom development costs for an
SDLC project?
A) end user
B) business manager
C) IS analyst
D) both B and C
Answer: C
Page Ref: 364

4) The ________ approach to systems development has often been referred to as the "waterfall"
model.
A) SDLC
B) prototyping
C) RAD
D) XP
Answer: A
Page Ref: 363

5) Deciding what hardware and systems software will be used to operate the system and defining
the processing modules that will comprise the system are part of which SDLC step?
A) system building
B) requirements definition
C) system design
D) feasibility analysis
Answer: C
Page Ref: 365

6) Testing a new custom system before implementation is the responsibility of:

A) both users and IS analysts.
B) users only.
C) IS analysts only.
D) independent third parties.
Answer: A
Page Ref: 366

7) Which of the following accurately describes the order in which a system is tested?
A) module testing, subsystem testing, integration testing, acceptance testing
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B) subsystem testing, acceptance testing, integration testing, module testing
C) acceptance testing, integration testing, subsystem testing, module testing
D) module testing, integration testing, subsystem testing, acceptance testing
Answer: A
Page Ref: 366

8) A conversion strategy whereby an organization continues to operate the old system together
with the new one for one or more cycles, until the new system is working properly and the old
system can be discontinued, is called a:
A) pilot strategy.
B) phased strategy.
C) cutover strategy.
D) parallel strategy.
Answer: D
Page Ref: 367

9) A conversion strategy whereby the new system is first implemented in only part of the
organization to solve any problems before implemented in the rest of the organization is called a:
A) pilot strategy.
B) phased strategy.
C) cutover strategy.
D) parallel strategy.
Answer: A
Page Ref: 367

10) The following diagram depicts which of the following conversion strategies?

A) parallel strategy
B) phased strategy
C) pilot strategy
D) entrepreneurial strategy
Answer: B
Page Ref: 367, Fig. 9.4

11) The following diagram depicts a cutover conversion strategy. Which of the following best
characterizes this type of conversion strategies?

A) costly
B) time consuming
C) risky
D) all of the above
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Answer: C
Page Ref: 367

12) The percentage of resources devoted to the maintenance of a system:

A) generally increases over time.
B) generally decreases over time.
C) generally stays about the same over time.
D) is variable depending on the system.
Answer: A
Page Ref: 369, Fig. 9.5

13) Which of the following is not typically the responsibility of an IT project manager?
A) approve funds for the project
B) oversee multiple project phases
C) determine how long each development task will take
D) form a project team with appropriate knowledge and skills
Answer: A
Page Ref: 370

14) Which of the following best describes a responsibility of a systems analyst?

A) ensure the promised benefits of a system are achieved
B) develop detailed system requirements
C) train users
D) all of the above
Answer: B
Page Ref: 370

15) Which prototyping step is not the responsibility of the system builders?
A) develop initial prototype
B) use prototype and note desired changes
C) revise and enhance prototype
D) assist with converting the prototype to an operational system
Answer: B
Page Ref: 374

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16) Which of the following is not an advantage of prototyping?
A) Only basic system requirements are needed at the front-end of the project.
B) End-prototype typically has more security and control features than a system developed with
an SDLC process.
C) Strong top-down commitment may be less necessary at the outset of the project.
D) User acceptance is likely to be higher than with a system developed using an SDLC process.
Answer: B
Page Ref: 375

17) Which of the following is typical for a pure prototyping approach?

A) Firms use the approach to explore the use of newer technologies.
B) Documentation is less complete than with traditional systems development approaches.
C) Less security and control features are incorporated than with traditional SDLC approach.
D) all of the above
Answer: D
Page Ref: 376

18) When prototyping is incorporated into a traditional SDLC approach, it is most commonly
included as part of which of the following steps?
A) requirements definition
B) feasibility analysis
C) system design
D) system building
Answer: A
Page Ref: 376

19) Which of the following best describes a common prototyping goal when it is used as part of a
prototyping/piloting approach?
A) to establish and demonstrate basic concepts of the new system and to get buy-in from key
stakeholders
B) to demonstrate the technical feasibility of the new system
C) to test a complex system
D) both A and B
Answer: D
Page Ref: 377

20) Which of the following is a technique where a team of users and IS specialists engage in an
intensive session to minimize the total time required for gathering information from multiple
participants?
A) RAD
B) Piloting
C) JAD
D) CASE
Answer: C
Page Ref: 377

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21) A software tool used to automate one or more steps of a software development methodology
is referred to as:
A) RAD.
B) Piloting.
C) JAD.
D) CASE.
Answer: D
Page Ref: 378

22) All of the following are considered advantages to using RAD methodology, except:
A) dramatic savings in development time.
B) system quality much higher than with SDLC.
C) focuses on essential system requirements.
D) ability to rapidly change system design at user request.
Answer: B
Page Ref: 378-379

23) Which is a potential advantage of having an application developed by a business user, rather
than an IS professional?
A) The system requirements do not have to be explained to an IS analyst.
B) If the system is a high priority for a business unit, it does not have to compete with other
business units for IS personnel to work on it.
C) Business managers have more control over the development costs for the application.
D) all of the above
Answer: D
Page Ref: 382

24) Which is not a potential disadvantage of having an application developed by a business user,
rather than an IS professional?
A) A similar application may already exist in another business unit, so it could be a redundant
effort.
B) Users typically pay more attention to system controls for ensuring data quality and security,
and therefore development costs are higher.
C) It is common for user developers to change jobs.
D) User-developed systems are frequently less well documented.
Answer: B
Page Ref: 382

25) What three characteristics should be evaluated by organizations when choosing whether or
not to have a non-IS professional develop a new application?
A) application, development tool, and telecommunications characteristics
B) training classes attended by user, IS professional certifications, security issues
C) application, development tool, and developer characteristics
D) number of years developer has been in the organization, the application size, and the cost of
the development tool
Answer: C
Page Ref: 384, Fig. 9.15
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26) What is a specific characteristic of an application that can be important for determining the
potential risks of developing a new business application by an employee with no professional IS
training?
A) the number of users of the application
B) the potential impact on operations or decisions based on the application
C) the average age of the developer
D) both A and B
Answer: D
Page Ref: 384

27) A common shortcoming of user-developed applications is:

A) inadequate system testing.
B) inadequate knowledge of the business problem.
C) the usage of a prototyping methodology.
D) too much time spent on documenting the system.
Answer: B
Page Ref: 385

28) Which of the following is not a characteristic of eXtreme Programming (XP)?

A) it is a one type of so-called agile approaches to systems development
B) programmers write code in pairs and test their own code
C) both definition and construction tasks are accomplished together
D) it works best when developing large-scale, complex transaction processing systems
Answer: D
Page Ref: 380

29) The agile method that emphasizes independent project teams, coordination and
communication between and within teams with lots of team meetings, iterative and continuous
monitoring of work, team ownership of the final product is called:
A) XML.
B) RAD.
C) Scrum.
D) JAD.
Answer: C
Page Ref: 381

30) Which of the following is not a key guideline for managing day-to-day interactions with
outsourced staff?
A) communicate frequently
B) closely monitor and manage the work of the outsourcer's staff
C) create a centralized project management office
D) hire offshore legal expertise for writing contracts
Answer: B
Page Ref: 382

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31) The parallel strategy of installing a new system is the riskiest method of installation because
the old system is abandoned as soon as the new system is implemented.
Answer: FALSE
Explanation: The cutover (or cold turkey) strategy is riskiest.
Page Ref: 367

32) The Construction phase of the SDLC involves installation and operations of the new system.
Answer: FALSE
Explanation: These steps are part of the Implementation phase.
Page Ref: 365, Fig. 9.1

33) The SDLC methodology is the best methodology when an application needs to be quickly
developed.
Answer: FALSE
Explanation: The SDLC is a very time-consuming process.
Page Ref: 371

34) Agile methodologies are especially useful for developing smaller systems rather than
largescale transaction processing applications.
Answer: TRUE
Page Ref: 377

35) A type of testing where the objective is to make sure that the system performs reliably and
does what it is supposed to do in a user environment is referred to as user acceptance testing.
Answer: TRUE
Page Ref: 366

36) When a change made to one part of a system results in unexpected changes to another part of
the system, it is commonly referred to as a ripple effect.
Answer: TRUE
Page Ref: 369

37) Some consultants have claimed that up to one-third of all spreadsheets contain errors, which
can include mechanical errors (typos), errors in logic, as well as errors in omission.
Answer: TRUE
Page Ref: 383, textbox

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======CH10==============

Managing Information Technology, 7e (Brown)

Chapter 10 Methodologies for Purchased Software Packages

1) When considering the purchase of a major software application, managers need to also
consider the following potential downside:
A) It is typically more expensive than custom development.
B) The package seldom totally fits the company's needs.
C) It takes much longer to implement because of the software's complexity.
D) There is no documentation.
Answer: B
Page Ref: 391

2) Which statement is not true about using an ASP purchasing option?

A) The purchasing organization does not purchase software licenses or install the software on its
own equipment.
B) A 3rd-party organization delivers the software functionality via the Internet.
C) The purchasing organization typically pays to the ASP the up-front costs for the software
licenses for all potential users.
D) Because the software is typically already installed on the ASP's host computer, the
implementation is typically faster.
Answer: B
Page Ref: 406

3) If an organization purchases a software package and does not modify or add to the package in-
house, the construction phase then is often limited to which step?
A) system design
B) system building
C) system testing
D) feasibility analysis
Answer: C
Page Ref: 398

4) When comparing a traditional SDLC and a purchasing life cycle methodology, which step is
found in a modified SDLC approach but not in a traditional SDLC?
A) feasibility analysis
B) requirements definition
C) establish evaluation criteria
D) system testing
Answer: C
Page Ref: 392, Fig. 10.1

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5) When purchasing a software package, a successful definition phase ends with a(n):
A) system testing plan.
B) vendor contract.
C) system design.
D) RFP.
Answer: B
Page Ref: 396, Fig. 10.1

6) Being an Alpha site usually means that the client company:

A) does not need to create a requirements definition.
B) plays a significant role in user acceptance testing for the vendor.
C) performs all necessary maintenance on the package.
D) plays a significant role in determining the functionality of the package.
Answer: D
Page Ref: 393

7) Being a Beta site usually means that the company:

A) does not need to create a requirements definition.
B) plays a significant role in user acceptance testing for the vendor.
C) performs all necessary maintenance on the package.
D) plays a significant role in determining the functionality of the package.
Answer: B
Page Ref: 393

8) The requirements definition for a purchased system is ________ detailed than the
requirements used to build a prototype, and ________ detailed than the requirements needed to
design a custom system.
A) more, less
B) less, more
C) more, more
D) less, less
Answer: A
Page Ref: 392

9) Which criterion should a firm consider when evaluating candidate software packages?
A) functional capabilities of the packaged system
B) technical requirements the software must satisfy
C) business characteristics of the vendor firm
D) all of the above
Answer: D
Page Ref: 395

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10) The acronym RFP stands for:
A) request for proposal.
B) requirement for program.
C) review of product.
D) request for product.
Answer: A
Page Ref: 395

11) In addition to evaluating the vendors' responses from the formal RFP process, what other
type of data collection for a leading candidate package is recommended?
A) software demonstration of the package
B) references from users of the software package in other companies
C) in-house user acceptance test results
D) both A and B
Answer: D
Page Ref: 396

12) When matching a company's needs with the capabilities of a software package, an alternative
to address a mismatch is:
A) modify the software package.
B) change business procedures to match the software.
C) both A and B
D) none of the above
Answer: C
Page Ref: 397, Fig. 10.6

13) Which of the following statements about choosing alternative packages is false?
A) It is likely that there will be discrepancies between the organization's needs and the package's
capabilities.
B) If modifications are made to a package, it will not impact what modifications may need to be
made when the vendor releases an upgraded version of the package.
C) Procedural assumptions incorporated into a package may be better ways of doing things than
the company's current procedures.
D) none of the above
Answer: B
Page Ref: 397, Fig. 10.6

14) A contract with a vendor usually does not include:

A) number of licenses.
B) payment schedule.
C) feasibility analysis.
D) software specifications.
Answer: C
Page Ref: 398

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15) With a cost-reimbursement type of contract, the greatest risk is assumed by:
A) the purchasing company.
B) the vendor.
C) both the purchasing company and the vendor.
D) neither the purchasing company nor the vendor.
Answer: A
Page Ref: 398

16) With a fixed-price contract, the greatest risk is typically assumed by:
A) the purchasing company.
B) the vendor.
C) both the purchasing company and the vendor.
D) neither the purchasing company nor the vendor.
Answer: B
Page Ref: 398

17) Options for modifying the code of a purchased package include:

A) a contract with the vendor.
B) a contract with a third party.
C) obtaining the source code from the vendor.
D) all of the above
Answer: D
Page Ref: 399

18) Which of the following is a factor that can affect the success of the installation plan for a
purchased package?
A) vendor support before the installation
B) vendor support after Go Live
C) the number of different business units implementing the software and their locations
D) all of the above
Answer: D
Page Ref: 399

19) A change management program as part of an IT project is used to:

A) convert data to useable form.
B) avoid resistance by business users to a new system being implemented.
C) help with personnel shifts in a company.
D) negotiate a contract.
Answer: B
Page Ref: 400

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20) Which of the following activities is not part of the installation step of the SDLC for a
purchased package?
A) installation planning
B) data cleanup
C) acceptance testing
D) user Training
Answer: C
Page Ref: 399

21) Which of the following statements about having a vendor perform package maintenance is
false?
A) The vendor may go out of business before the clinet wishes to stop using the system.
B) Vendors continue to support all prior versions of a package.
C) New versions of a system may include undesired changes.
D) A well-designed contract with a vendor can result in considerable cost avoidance over the life
of the system.
Answer: B
Page Ref: 400

22) What types of employees outside of an organization's IS department may be involved in a

purchased software project?
A) business unit representatives who will use the system
B) attorneys
C) purchasing specialists
D) all of the above
Answer: D
Page Ref: 400

23) If extensive changes in business processes and procedures are needed to effectively
implement the purchased software, business managers are typically asked to take the role of:
A) attorney.
B) project manager.
C) purchasing specialist.
D) all of the above
Answer: B
Page Ref: 400

24) Successful implementation of a purchased software package typically depends upon:

A) how much the package costs.
B) being a Beta site for the vendor.
C) how well the Definition phase was conducted.
D) all of the above
Answer: C
Page Ref: 401

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25) A primary advantage of purchasing an existing software package rather than developing a
custom application is:
A) being the first to test the system.
B) less time needed for the implementation phase.
C) an application that takes into account unique organizational needs.
D) IS people resources can be dedicated to projects for systems that can't be purchased.
Answer: D
Page Ref: 402, Fig. 10.7

26) Which of the following is a long-term advantage of purchasing packaged systems?

A) infusion of external expertise
B) IS resources freed up for other projects
C) higher application quality
D) both A and C
Answer: D
Page Ref: 402

27) Which is not a potential disadvantage of purchasing packaged systems?

A) costs more than if custom developed (in-house or contractor)
B) IS and business personnel's lack of detailed knowledge about how the package works
C) dependence on an external vendor
D) the potential for greater user resistance due to process changes to match the package
Answer: A
Page Ref: 402

28) Which of the following statements about purchasing enterprise system packages is false?
A) ERP systems require training on how to write interfaces and queries.
B) A risk of purchasing ERP systems is the dependence on a single vendor for all core business
processes.
C) ERP systems typically involve a lot of custom interfaces to legacy systems.
D) ERP systems are very expensive to purchase.
Answer: C
Page Ref: 403

29) Which of the following is not a critical success factor for ERP project success?
A) Project leaders should have prior experience with large scale systems.
B) Third party consultants should transfer their knowledge, not just implement.
C) Top management should be engaged in the project to ensure managerial buy-in.
D) The ERP system should be customized to match current business processes.
Answer: D
Page Ref: 404

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30) Which is not an advantage of open source software?
A) Complete documentation for the software is freely available.
B) The acquisition cost is the same for one copy or thousands of copies.
C) The source code can be modified to add new features.
D) The organization is not dependent on one vendor or proprietary code.
Answer: A
Page Ref: 405

31) An RFP should be sent to as many vendors as possible.

Answer: FALSE
Explanation: An RFP should only be sent to a short list of vendors that produce suitable
software packages.
Page Ref: 394

32) When there are discrepancies between a package's capabilities and a company's needs, the
only way to deal with the discrepancies is by modifying the package.
Answer: FALSE
Explanation: A company can change procedures to match those of the package, or implement
the package "as is" and work around the differences.
Page Ref: 397

33) Employee training is part of the installation step of the SDLC.

Answer: TRUE
Page Ref: 399

34) Choosing between building a custom application and purchasing a software package is called
a make-or-buy decision.
Answer: TRUE
Page Ref: 391

35) For large enterprise system packages, it is common for companies to contract with a
consulting firm, called a third-party implementation partner, to provide installation and
maintenance support.
Answer: TRUE
Page Ref: 403

36) A company that elects to use a "hosted" application rather than to purchase the software
application and host it on its own equipment, is making use of a(n) application service provider
(or ASP).
Answer: TRUE
Page Ref: 399

37) Open source software is well-suited for very specialized applications and business processes.
Answer: FALSE
Explanation: Generic applications that are common to many organizations are the most viable
applications because they will attract a large community of developers.
Page Ref: 406
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======CH11==============

Managing Information Technology, 7e (Brown)

Chapter 11 IT Project Management

1) Which of the following is NOT one of the nine project management competencies certified by
the Project Management Institute?
A) conflict management
B) managing project communications
C) risk management
D) integration management
Answer: A
Page Ref: 410, Fig. 11.1

2) Applying knowledge, skills, tools, and techniques to a broad range of activities in order to
meet the requirement of a particular project is called:
A) project management.
B) life-cycle management.
C) change management.
D) program management.
Answer: A
Page Ref: 411

3) Which of the following competencies certified by the Project Management Institute has been
developed recently?
A) scope
B) time
C) procurement (including contract management)
D) cost
Answer: C
Page Ref: 410

4) A key deliverable for the initiation phase of a project is the:

A) technical feasibility study.
B) project charter.
C) Gantt chart.
D) work breakdown analysis.
Answer: B
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Page Ref: 415

5) The organizational unit responsible for ensuring that standard approaches to project
management are utilized across projects is called the:
A) Program Management Office.
B) PMI.
C) Portfolio Management Team.
D) Project Oversight Committee.
Answer: A
Page Ref: 411

6) Using the scheme proposed by Denis et al (2004) for prioritizing systems projects, which
statement is true?
A) Absolute Must and Highly Desired/Business-Critical projects are typically funded in the year
submitted.
B) Wanted projects with an ROI greater than 12 months are never funded.
C) Nice to Have projects are typically outsourced.
D) all of the above
Answer: B
Page Ref: 411-12

7) What would not typically be a part of a business case for a new systems project?
A) expected business benefits
B) initial development costs
C) ongoing costs for operations and maintenance
D) all of the above
Answer: D
Page Ref: 411

8) What major component belongs to project planning?

A) project scheduling
B) project budgeting
C) project staffing
D) all of the above
Answer: D
Page Ref: 416

9) A project sponsor usually participates in which of the following activities associated with a
new project?
A) development of the initial project proposal
B) an assessment of the detailed system design
C) ensuring resources are available for the project team
D) both A and C
Answer: D
Page Ref: 413

10) The function of the project champion is usually held by:

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A) the company's CIO.
B) an influential business manager in the company.
C) the company's CSO.
D) an outside consultant.
Answer: B
Page Ref: 413

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11) The process of identifying the phases and sequence of tasks that need to be accomplished to
meet a project's goals is known as:
A) timeboxing.
B) work breakdown analysis.
C) project scheduling.
D) milestone analysis.
Answer: B
Page Ref: 417

12) A common pitfall in developing a master schedule for a project is a failure to:
A) understand the interdependencies among project tasks and subtasks.
B) identify all of the project tasks and subtasks.
C) correctly estimate the number of resources needed to complete the tasks.
D) correctly estimate the total time needed to complete all tasks.
Answer: A
Page Ref: 417

13) Which of the following is a characteristic of the bottom-up method for estimating a project's
cost?
A) Cost elements are estimated only at the lowest task level.
B) Cost elements are estimated using the last project after adjusting for inflation.
C) Cost elements are aggregated from subordinate tasks.
D) none of the above
Answer: C
Page Ref: 417

14) According to Frame (1994), which of the following is not a trap that inexperienced cost
estimators fall into?
A) They are too optimistic about what is needed to do the job.
B) They tend to leave components out that should be estimated.
C) They do not use a consistent estimation methodology.
D) They do not rely on historical project costs.
Answer: D
Page Ref: 417

15) When planning projects, what is a recommended practice?

A) conservative estimates
B) control mechanisms focused on greatest project uncertainties
C) control mechanisms focused on organizational vulnerabilities
D) all of the above
Answer: D
Page Ref: 417

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16) A project charter describes:
A) the project's broad objectives, but not its intended scope.
B) any unknown constraints.
C) the estimated project benefits.
D) all of the above
Answer: C
Page Ref: 415

17) The project management chart that graphically models the sequence of project tasks and their
interrelationships using a flowchart diagrams is called a:
A) Gantt chart.
B) PERT chart.
C) work breakdown.
D) project charter.
Answer: B
Page Ref: 420, Fig 11.6

18) Which of the following graphically depicts the estimated times (and later, the actual times)
for each project task against a horizontal timescale?
A) Gantt chart
B) PERT chart
C) work breakdown
D) project charter
Answer: A
Page Ref: 421, Fig. 11.7

19) According to Kappelman et al. (2006), which is one of the people-related early warning signs
of IT project failure?
A) inadequate business stakeholder involvement or participation in the project
B) subject matter experts (SMEs) in the business are overscheduled
C) both A and B
D) none of the above
Answer: C
Page Ref: 423

20) Which of the following is a risk management task?

A) risk identification
B) risk assessment
C) risk monitoring
D) all of the above
Answer: D
Page Ref: 423, Fig. 11.10

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21) The highest level of project risk typically occurs at what stage of a project's life?
A) during the beginning of a project
B) after the planning stage
C) during the execution and control stage
D) none of the above
Answer: A
Page Ref: 424

22) Which of the following is a common risk avoidance and mitigation strategies?
A) assigning the best human resources available to reduce a specific type of project risk
B) choosing an alternative technical approach to avoid risk exposure
C) subcontracting a specific deliverable to a third-party
D) all of the above
Answer: D
Page Ref: 424, Fig. 11.11

23) According to Keil and Robey (1999), a common pitfall in monitoring the risks of a project
already underway is:
A) relying too heavily on the use of consultants.
B) failing to increase the resources working on the project.
C) ignoring negative feedback.
D) all of the above
Answer: C
Page Ref: 424

24) According to Markus (1983), resistance to the implementation of a new information system
is commonly due to:
A) the complexity of the new system.
B) the selected hardware.
C) changes in the managerial power structure due to the new system.
D) fear of computers.
Answer: C
Page Ref: 424

25) Which of the following is not one of the three stages of the Lewin/Schein change model?
A) unfreezing stage
B) moving stage
C) refreezing stage
D) transitioning stage
Answer: D
Page Ref: 424

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26) What is a common question to ask as part of a post-project review?
A) Who did something wrong?
B) What went wrong on this project, not what went right?
C) What could the project leaders have done differently?
D) all of the above
Answer: C
Page Ref: 426, Fig. 11.12

27) Which of the following is a major change management activity associated with successful IT
projects?
A) communications about the project to all affected employees
B) training on the system and process changes
C) the need for incentives to key team members
D) all of the above
Answer: D
Page Ref: 424

28) Virtual teamwork introduces IT project risk due to which of the following factors?
A) differences in communication norms across working groups
B) unfamiliarity with a team member's culture
C) lack of trusting relationships across team members
D) all of the above
Answer: D
Page Ref: 427

29) The project champion is a business manager who has high credibility as an organizational
spokesperson among the user community, and is successful at communicating the business
vision and project benefits.
Answer: TRUE
Page Ref: 413

30) A PERT (or CPM) chart graphically depicts the estimated times for each project task against
a horizontal time line, for displaying a project schedule and for tracking the progress of a set of
tasks against the project plan.
Answer: FALSE
Explanation: This is a description of a Gantt chart.
Page Ref: 421

31) Additional project management skills are needed when using offsite and offshore resources
for new application development.
Answer: TRUE
Page Ref: 427

32) Greater changes in business processes are associated with "vanilla" implementations of
software packages.
Answer: TRUE
Page Ref: 419
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33) Some organizations have found the use of red-yellow-green (traffic light) symbols effective
in communicating problem areas to project oversight committees.
Answer: TRUE
Page Ref: 422

======CH12================

Managing Information Technology, 7e (Brown)

Chapter 12 Planning Information Systems Resources

1) A(n) ________ is a written expression of the desired future about how information will be
used and managed in the organization.
A) information resource assessment
B) information vision
C) IT architecture
D) strategic IS plan
Answer: B
Page Ref: 524

2) The ________ contains a set of longer-term objectives (often three to five years) that represent
measurable movement toward the information vision and IT architecture and a set of associated
major initiatives that must be undertaken to achieve these objectives.
A) business strategic plan
B) operational IS plan
C) strategic IS plan
D) information resource assessment
Answer: C
Page Ref: 526

3) Which is a source for measuring current IS performance?

A) annual performance data based on established metrics
B) comparing annual objectives with actual performance metrics
C) matching the IS mission statement with its achievements
D) all of the above
Answer: D
Page Ref: 521

4) Which statement is true?

A) An information vision is the same as an IT architecture.
B) Operational IS plans precede strategic IS planning.
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C) A Critical Success Factor (CSF) technique is a tool to support strategic IS planning.
D) none of the above
Answer: C
Page Ref: 520, 527

5) According to the process described in the textbook, which of the following steps in the
information resources planning process would come first?
A) vision for the business
B) IT architecture
C) strategic IS plan
D) assessment of current information resources
Answer: D
Page Ref: 520, Fig. 12.1

6) Which of the following is not a part of the initial IS assessment?

A) compare current actual performance against previous goals
B) envision an ideal or intended state at some point in the future
C) collect IT operational data
D) benchmark performance against competing organizations
Answer: B
Page Ref: 521

7) Which of the following is not a typical approach for formulating a strategic IS plan?
A) value chain analysis
B) SWOT analysis
C) setting forth project budgets and schedules
D) translating the organization's vision into a set of major initiatives that describes how to
accomplish the organization's vision of its future
Answer: C
Page Ref: 526-32

8) Which stage of IT architecture maturity is characterized by individual applications designed

for separate business units without enterprise standards?
A) Application Silos
B) Standardized Technology
C) Rationalized Data and Process
D) Modularity
Answer: A
Page Ref: 524

9) Which stage of IT architecture maturity seeks to both achieve the flexibility needed by local
business units and to retain enterprise-wide standards, such as with ERP systems, for a
multinational firm?
A) Application Silos
B) Standardized Technology
C) Rationalized Data and Process
D) Modularity
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Answer: D
Page Ref: 525

10) The strategic IS planning process consists of all of the following steps except:
A) setting objective or goals.
B) conducting internal and external analyses.
C) defining the IS mission statement.
D) establishing strategic initiatives.
Answer: C
Page Ref: 526

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11) While conducting internal and external analyses, a firm may develop a series of four
statements that together make up a SWOT analysis. SWOT stands for:
A) strategies, weaknesses, objectives, and targets.
B) systems, weaknesses, opportunities, and targets.
C) strengths, weaknesses, objectives, and threats.
D) strengths, weaknesses, opportunities, and threats.
Answer: D
Page Ref: 528, Fig. 12.7

12) Recommended tools for identifying IS strategic initiatives do NOT include:

A) bottom-up analysis.
B) critical success factors analysis.
C) value chain analysis.
D) analysis of competitive forces.
Answer: A
Page Ref: 527

13) In a value chain analysis, which is not a method of establishing a competitive advantage in
an industry?
A) make products/services more desirable by offering unique features
B) establish stronger links with suppliers to obtain lower-cost, higher-quality materials
C) replicate other successful companies' IT architectures
D) inhibit the entry of competitors by raising the stakes for competing in the market
Answer: C
Page Ref: 529

14) All of the following are primary value chain activities except:
A) inbound logistics.
B) human resource management.
C) operations.
D) service.
Answer: B
Page Ref: 531, Fig. 12.10

15) In the value chain of Porter and Millar, which of the following are support activities?
A) inbound logistics
B) information technology
C) human resources
D) both B and C
Answer: D
Page Ref: 531, Fig. 12.10

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16) Operational IS plans include plans for projects, such as:
A) expected benefits.
B) due dates.
C) priorities.
D) all of the above
Answer: D
Page Ref: 532

17) Which of the following is a goal of a portfolio approach to managing IS projects?

A) implement only low risk IS systems
B) implement only IS systems that can offer a high business return
C) balance the risks and returns of IS projects
D) avoid implementing any high risk IS systems
Answer: C
Page Ref: 532

18) An IS operational plan is usually created for what time period?

A) monthly
B) for a 6-month or less time period
C) for a 1- to 2-year time period
D) for a 3- to 5-year time period
Answer: C
Page Ref: 532

19) Which of the following is not a guideline for successful IS planning?

A) The strategic IS plan should be developed independent of business managers.
B) The strategic IS plan should be aligned with business goals.
C) IS plans should reflect realistic expectations.
D) The information resources planning effort should be viewed as an iterative effort.
Answer: A
Page Ref: 533

20) According to the textbook, which of the following is not a potential benefit of information
resources planning?
A) provides a context for IS resource decisions
B) aligns IS and business goals
C) balances tradeoffs between standardization and agility goals
D) makes products/services more desirable than those of current competitors
Answer: D
Page Ref: 520

21) The information technology architecture depicts how the technological and human assets of
the IS organization should be organized to support the organization's operating model and its
information vision.
Answer: TRUE
Page Ref: 524

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22) A critical success factor (CSF) approach is a well-known method for identifying strategic IT
opportunities by eliciting input from key managers about information needs and processes most
important to the success of a business function or to the entire organization.
Answer: TRUE
Page Ref: 527

23) The strategic IS plan contains a set of short-term objectives that represent measureable
movement toward the intended performance metrics.
Answer: FALSE
Explanation: This plan sets longer-term objectives (often 3 to 5 years).
Page Ref: 565

======CH13==============

Managing Information Technology, 7e (Brown)

Chapter 13 Leading the Information Systems Function

1) Which of the following has led to changes in the IS role within today's organizations?
A) rapid technological changes in information technology
B) the extent to which IS plays a strategic role in the organization
C) the pervasiveness of IT in business activities
D) all of the above
Answer: D
Page Ref: 536

2) In general, the largest percentage of an IS organization's annual budget is for:

A) IS personnel.
B) organizational data.
C) Internet communications.
D) the applications portfolio.
Answer: A
Page Ref: 549

3) IS managers may report to:

A) a business unit manager.
B) an IS leader of an IS group within a functional unit (finance, marketing, etc.).
C) an IS leader in a corporate IS unit that supports the entire organization.
D) any of the above
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Answer: D
Page Ref: 554

4) An IS steering committee or advisory board is typically not effective at which of the following
tasks?
A) approving system design documents
B) setting priorities for systems development projects
C) monitoring progress of IT projects against established timelines and budgets
D) developing shared business/IT responsibility and accountability
Answer: A
Page Ref: 553

5) The most common benefit from offshore outsourcing to a business in a developed country is:
A) higher quality of services.
B) cost savings due to lower labor market costs.
C) the ability to expand globally.
D) use of state-of-the-art technology.
Answer: B
Page Ref: 556

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6) According to a survey of U.S. managers, which of the following IS skills are likely to be least
critical to maintain in-house and most likely to be outsourced?
A) project management skills
B) business domain skills
C) systems analysis and design skills
D) computer programming with a 3rd-generation language
Answer: D
Page Ref: 552, Fig. 13.14

7) Which of the following is a potential downside to the IT outsourcing of computer operations?

A) contracts can span 5-10 years or more
B) increased security risks for organizational data
C) difficulties in bringing IT operations back in-house
D) all of the above
Answer: D
Page Ref: 556

8) The standard performance metrics for new applications projects include all of the following
except:
A) high-quality
B) delivered on time
C) defined processes
D) within budget
Answer: C
Page Ref: 549

9) Which of the following can be a benefit of a well-designed chargeback system?

A) IS organization accountability is moved to the business units.
B) SLAs can be avoided.
C) Business managers can make changes to IS resource usage to take advantage of IS service
pricing.
D) all of the above
Answer: C
Page Ref: 541

10) Chargeback transfer prices are often established for all of the following except:
A) IS personnel time.
B) number of IS managers on staff.
C) disk file space utilized.
D) usage of help desk support.
Answer: B
Page Ref: 541

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11) Application outsourcing to countries that are geographically closer to a company's
headquarters and in an overlapping time zone is referred to as:
A) proximity development centers.
B) near-shore outsourcing.
C) multisourcing.
D) captive sourcing.
Answer: B
Page Ref: 557

12) ________ IS governance designs are often found in organizations with highly autonomous
business units that see no major benefits from sharing IS applications and other IT resources.
A) Customized
B) Centralized
C) Decentralized
D) Federal
Answer: C
Page Ref: 537

13) Organizations that choose a ________ design are attempting to achieve the benefits of both
the centralized and decentralized designs by centralizing computer operations and decentralizing
application development and maintenance.
A) classic
B) federal
C) mixed
D) split
Answer: B
Page Ref: 537

14) Which statement is true about an account manager position?

A) approves new IS application development requests for the IS account
B) manages the IS relationship with a specific unit
C) is the financial manager for the IS organization
D) is the head trainer for a specific unit
Answer: B
Page Ref: 553

15) Which of the following is a popular tool used to assess the overall performance of the IS
organization, not just the financial impacts?
A) chargeback system
B) business manager satisfaction surveys
C) financial cost-benefit analysis
D) balanced scorecard
Answer: D
Page Ref: 554

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16) Which performance metric is not part of the typical balanced scorecard?
A) effective governance model
B) innovation learning
C) customer satisfaction
D) financial performance
Answer: A
Page Ref: 554

17) Which of the following is a common practice for retaining IT workers?

A) providing management training and development
B) salaries lower than the market demands
C) requiring employees to telecommute
D) none of the above
Answer: A
Page Ref: 552, Fig. 13.3

18) Which of the following is a characteristic of a good IS chargeback system?

A) understandable charges
B) regular and prompt feedback on charges accrued
C) charges related to business benefits
D) all of the above
Answer: D
Page Ref: 542, Fig. 13.5

19) Which of the following is a CMM maturity level focus area?

A) repeatable, necessary processes
B) defined, documented software engineering processes
C) optimized, continuous process improvement
D) creative, ad hoc processes
Answer: D
Page Ref: 550, Fig. 13.11

20) Which is important when selecting an outsourcing vendor?

A) vendor reputation in the industry
B) financial health of the vendor company
C) established record for good customer support
D) all of the above
Answer: D
Page Ref: 557

21) Which of the following is not an IT asset that IS leaders are responsible for managing?
A) technology asset
B) outsourcing asset
C) human resources asset
D) business/IT relationship asset
Answer: B
Page Ref: 536
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22) "Best shore" outsourcing refers to:
A) using a vendor based on the East or West coast of the U.S.
B) using a vendor that is geographically closest to the client firm headquarters.
C) keeping all IS work in-house.
D) choosing the best geographic site where the client firm already has a presence.
Answer: D
Page Ref: 557

23) Which of the following is a potential benefit of a PMO?

A) repeatable, well-honed project management processes
B) proven change management techniques
C) post-project review procedures
D) all of the above
Answer: D
Page Ref: 549

24) Which statement about telecommuters is true?

A) All "white collar" work is suitable for telecommuting.
B) IBM is an example of an organization that achieved significant cost savings due to the need
for less office space for sales office personnel.
C) Telecommuters generally believe they have better opportunities for developing relationships
with co-workers than those who work in offices.
D) No special security or legal issues need to be addressed when implementing a telecommuting
program.
Answer: B
Page Ref: 547-548

25) The ITIL framework was developed by a branch of the British government to provide
standardization in chargeback systems.
Answer: FALSE
Page Ref: 542

26) A shared services unit may include not only the IS organization but also other functional
support organizations (such as legal or human resource departments).
Answer: TRUE
Page Ref: 538

27) Many technology decisions involve trade-off decisions from a service delivery perspective.
Answer: TRUE
Page Ref: 539

28) When to abandon a legacy system, versus continuing to incur application maintenance costs,
is a key application management issue.
Answer: FALSE
Page Ref: 548

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29) In many organizations, an IS steering committee or advisory board is responsible for
approving and prioritizing IT investments.
Answer: TRUE
Page Ref: 553

30) Decentralized IS designs are found in companies with highly autonomous business units that
can achieve only minimal benefits from sharing IS operations or applications with other business
units.
Answer: TRUE
Page Ref: 537

31) Physically locating IS personnel within the business units they are supporting is a common
mechanism for fostering strong business/IT relationships.
Answer: TRUE
Page Ref: 598

======CH14==============

Managing Information Technology, 7e (Brown)

Chapter 14 Information Security

1) What is the approximate total business loss (in U.S. dollars) resulting from the largest reported
customer data security breach to date involving retailers or financial institutions as of 2010?
A) 876,000
B) 4.2 million
C) 16.7 million
D) 1 billion
Answer: D
Page Ref: 562

2) When a web site mimics a legitimate site for the purpose of misleading or defrauding an
Internet user, it is called:
A) identity theft.
B) illegal spam e-mail
C) spoofing.
D) phishing.
Answer: C
Page Ref: 564
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3) Hackers can be differentiated from crackers by:
A) the types of targets they select.
B) the tools that they use.
C) their level of malicious intent.
D) whether they are internal or external to the target organization.
Answer: C
Page Ref: 562

4) Which type of employee does not need to be aware of basic types of information security
technologies?
A) business managers
B) managers who only work on IT applications
C) the CSO
D) none of the above
Answer: D
Page Ref: 561

5) Research has shown that an organization's inability to return to normal business activities after
a major disruption is a key predictor of:
A) business survival.
B) business renewal.
C) business growth.
D) business start.
Answer: A
Page Ref: 571

6) Which of the following is a typical statement included in an organization's acceptable use

policy?
A) The organization's computing resources (hardware, software, network services) are company
property.
B) An employee does not have privacy rights to their usage of these computing resources.
C) Specific types of computing behavior are prohibited by federal or state laws.
D) all of the above.
Answer: D
Page Ref: 570

7) What is just beginning to be addressed in organizations' acceptable-use policies?

A) usage of social media
B) usage of emails
C) usage of external websites
D) none of the above
Answer: A
Page Ref: 570

8) Which of the following must an organization's management do if HIPAA applies to its

activities?
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A) assign a person or persons to be responsible for HIPAA compliance
B) decide whether or not to comply with HIPAA
C) take out HIPAA compliance insurance
D) all of the above
Answer: A
Page Ref: 569

9) What is the best term to describe those who break into computers to steal information, wipe
out hard drives, or do others harm?
A) cyber terrorists
B) computer felons
C) hackers
D) crackers
Answer: D
Page Ref: 562

10) Why is it difficult for companies to manage their e-mail on their own private subnets?
A) Individuals within organizations can make copies and save them.
B) Individuals can forward copies to others.
C) Individuals do not completely remove them from their storage devices.
D) all of the above
Answer: D
Page Ref: 572, textbox

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11) Determining a Return Benefit for a specific security action is based on which of the
following?
A) annualized Expected Losses and Annualized Cost of Actions
B) benefits of remote PC access
C) electronic records management
D) none of the above
Answer: A
Page Ref: 567, Fig. 14.4

12) What are sources to use to calculate a single loss expectancy as part of a risk assessment?
A) historical experiences of the organization
B) industry averages
C) recent incidents only (typically the past 6 months)
D) both A and B
Answer: D
Page Ref: 565

13) Which organizational position is directly responsible for the balancing of an organization's
security risks with the costs to avoid them?
A) the CEO
B) the CFO
C) the CSO
D) the CIO
Answer: C
Page Ref: 565

14) Which of the following is one of the areas in which controls are assessed by auditors using
the COSO framework?
A) Risk Assessment
B) monitoring
C) Control Environment.
D) all of the above
Answer: D
Page Ref: 568

15) Which of the following is not one of the rules that the GLBA gives federal agencies and
states the ability to enforce?
A) Financial Privacy Rule
B) Credit Information Rule
C) Safeguards Rule
D) none of the above
Answer: B
Page Ref: 569

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16) What effect does The PATRIOT Act passed by Congress have on the U.S. government's
ability to access an individual's personal information?
A) significantly strengthens
B) significantly weakens
C) has no effect
D) none of the above
Answer: A
Page Ref: 569

17) What are some of the benefits to organizations with written privacy policies?
A) justification for quickly removing employees who behave improperly.
B) compliance with one part of SOX.
C) better ability to be insured.
D) all of the above
Answer: D
Page Ref: 569

18) Which of the following is not one of the common policy areas generally included in an
information security policy?
A) Access Control Policies (e.g., password controls)
B) External Access Policies (e.g., accessing the Web and Internet)
C) Usage of Social Security Number Policies. (e.g., whether it is an identifier)
D) Acceptable Use Policies (e.g., usage of organization's computer resources)
Answer: C
Page Ref: 570

19) Putting plans in place to ensure that employees and business processes can continue when
faced with any major unanticipated disruption is called:
A) Business Contingency Planning.
B) Disaster Recovery Planning.
C) Business Continuance Planning.
D) Business Continuity Planning.
Answer: D
Page Ref: 571

20) What are some means to deal with key information security management issues?
A) Managers must determine what their real information assets are and assign values and
priorities for them.
B) Managers must determine how long the organization can function without a specific
information asset.
C) Departmental managers and the owners of the information assets need to develop and
implement the security procedures to protect all major information assets.
D) all of the above
Answer: D
Page Ref: 565

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21) Which position is responsible for continually assessing an organization's information security
risks and developing and implementing effective countermeasures?
A) CSO or CISO
B) CEO
C) COSO
D) all of the above
Answer: A
Page Ref: 565

22) Which statement about computer crimes is not true?

A) Crackers have successfully used hacking techniques to wipe out hard drives, steal
information, and disrupt government activities.
B) Hackers have helped to point out security vulnerabilities in computer software.
C) Data and application encryption are not considered robust security approaches.
D) Common civilian targets include power grids and financial networks.
Answer: C
Page Ref: 562-564

23) What should an ERM manager (or an ERM committee) be responsible for?
A) defining what constitutes an electronic transaction
B) classifying specific records based upon their importance, regulatory requirements, and
duration.
C) formulating and managing SOX compliance
D) all of the above
Answer: B
Page Ref: 573

24) BCP shortcomings recently identified during crises include:

A) backup IT sites are too close to data centers
B) plans are needed for alternative workplaces for human resources
C) evacuation plans should be practiced
D) all of the above
Answer: D
Page Ref: 572, textbox

25) The Sarbanes-Oxley act requires officers of publicly traded companies in the U.S. to certify
that:
A) the organization has a CIO.
B) they are responsible for establishing and maintaining internal financial controls.
C) the organization has a CSO.
D) all email over one year old has been securely deleted.
Answer: B
Page Ref: 568

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26) Creating a BCP in the U.S. requires:
A) inventorying all desktop PCs, but not laptops.
B) keeping files on magnetic tape.
C) identifying interdependencies between critical business processes and business units.
D) following Federal Rules of Civil Procedure.
Answer: C
Page Ref: 571

27) Which of the following is the recommended means for disseminating an organization's
information security policy?
A) hardcopy distributions to all employees, not just new employees
B) email distributions
C) posting the policy on the organization's intranet
D) all of the above
Answer: D
Page Ref: 570

28) A denial of service attack is implemented by simultaneously sending a large number of

messages to a target computer to create a computer or communications overload, so that
legitimate users cannot obtain access.
Answer: TRUE
Page Ref: 562, Fig. 14.1

29) A worm is a virus that has the ability to copy itself from machine to machine, usually over a
network.
Answer: TRUE
Page Ref: 562, Fig. 14.1

30) Due to several recent laws regarding information security, it is a good practice to provide
existing civil and criminal laws rather than have a company-specific information security policy.
Answer: FALSE
Page Ref: 570

31) Primary sources of thefts of intellectual property rights, trade secrets, and research and
development knowledge are employees.
Answer: TRUE
Page Ref: 562

32) The goal of the IS manager responsible for information security is to eliminate all
information risk.
Answer: FALSE
Page Ref: 565

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33) Electronic Records management (ERM) practices became a more important information
security management issue in the U.S. in 2006 when new legislation established new rules for
timely information gathering in response to potential litigation.
Answer: TRUE
Page Ref: 573

======CH15==============

Managing Information Technology, 7e (Brown)

Chapter 15 Social, Ethical, and Legal Issues

1) Which is not a social problem that is perceived to have increased due to information
technology?
A) the theft of personal information
B) increased potential for exploitation of children (child pornography)
C) theft of an organization's intellectual property
D) difficulties in connecting with people in other regions of the world
Answer: D
Page Ref: 575

2) Which of the following is not a reason that legal systems in developed countries have not kept
up with available information technologies?
A) Technology changes very quickly.
B) Those who create laws generally have little expertise with complex IT issues.
C) The existing laws can easily be reinterpreted to apply to new technologies.
D) Laws are difficult to create in an Internet age when it is difficult to determine which country
has legal jurisdiction.
Answer: C
Page Ref: 575

3) Ethical problems associated with the use of IT may affect all of the following except:
A) managers.
B) stockholders.
C) customers.
D) all of the above
Answer: D
Page Ref: 576

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4) Approximately what percentage of the U.S. public is quite sensitive to the loss of privacy of
their personal information?
A) 5%
B) 10%
C) 25%
D) 50%
Answer: C
Page Ref: 579

5) Which large Internet advertising company has caused concerns among privacy organizations
due to its purchase or alliance with other companies?
A) DoubleClick
B) ClickTrack
C) AdClick
D) Google
Answer: A
Page Ref: 581

6) What is a reason for including ethics discussions in an IT management forum?

A) IT is having a growing impact on people's lives.
B) Managers are making decisions about how IT is being used within an organization and with
suppliers and customers.
C) none of the above
D) both A and B
Answer: D
Page Ref: 576

7) According to the textbook, which of the following is also an ethical behavior that is
recognized by most world religions?
A) do no harm
B) treat others as you would like them to treat you
C) forbid killing
D) no stealing
Answer: B
Page Ref: 578

8) In the context of developing and using IT, what is the common flaw in ethical reasoning?
A) ignoring the developers
B) ignoring members of your organization
C) ignoring members of your segment of society
D) ignoring some affected parties
Answer: D
Page Ref: 578

9) Sending an e-mail that falsely claims to be a legitimate enterprise in an attempt to scam the
user into providing private information is called:
A) spoofing.
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B) cracking.
C) hacking.
D) phishing.
Answer: D
Page Ref: 584

10) Which is not true about the impacts of identity theft today?
A) the number of Americans affected is on the increase
B) financial losses due to identity theft of Americans is on the increase
C) losses by credit card companies have increased because these companies absorb the cost if
your credit card is misused
D) none of the above
Answer: D
Page Ref: 584

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11) Which of the following is true about investigations of identity theft in the U.S. today?
A) Banks don't pursue all potential cases because of the high cost of investigating.
B) Police don't vigorously pursue cases even though money has been taken from the victim.
C) It is a U.S. federal crime.
D) both A and C
Answer: D
Page Ref: 584

12) Which statement is true concerning privacy in the U.S.?

A) a great deal of legislation that purports to offer some privacy protection
B) there are not laws concerning legal rights to privacy
C) a government agency is allowed to gather information for one purpose and use it for another
purpose
D) the federal protection of private healthcare information is not a concern of the government
because of the need to learn more about the effectiveness of pharmaceuticals
Answer: A
Page Ref: 582

13) Which of the following is not a characteristic of intellectual property (IP)?

A) it can be shared without losing it
B) what IP can be owned differs from one society to another
C) IP ownership rights are generally limited by time
D) sharing IP has become more difficult over the years
Answer: D
Page Ref: 585

14) When a customer wants to "opt-out" from a U.S. company sharing his or her information
with third parties:
A) the financial institution has no obligation to comply with this request.
B) it often takes a lot of effort and time for customers to understand how to accomplish it.
C) a written request from a government official is required.
D) all of the above
Answer: B
Page Ref: 582

15) The U.S. position on privacy can be characterized as being favorable toward:
A) a restricted flow of data among companies.
B) consumer data are primarily viewed as a saleable, usable asset that belongs to the corporation
that collected the data.
C) having its citizens be in control of their personal data.
D) a more protective position of personal rights with respect to data about individuals than the
European position.
Answer: B
Page Ref: 582

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16) According to the Federal Trade Commission, "someone appropriating your personal
information without your knowledge to commit fraud or theft" is called:
A) an identity theft.
B) a credit information theft.
C) an intellectual property theft.
D) internet file sharing.
Answer: A
Page Ref: 583

17) Advances in artificial intelligence can raise social and ethical issues because:
A) computers can sift through mountains of data better than humans.
B) computers can be programmed to replace human experts in the workplace.
C) the degree to which a robot acts ethically depends on how it is programmed.
D) all of the above
Answer: D
Page Ref: 591

18) A "cookie" is:

A) a small record stored on the user's computer that identifies the user to a Web site.
B) a worm.
C) always harmful to your personal computer.
D) all of the above
Answer: A
Page Ref: 581

19) In the U.S., the only federal law that limits employer surveillance of its workers is related to:
A) eavesdropping on spoken personal conversation.
B) reading employees e-mails.
C) videotaping workers.
D) recording employee phone calls.
Answer: A
Page Ref: 582

20) Which of the following regions has the lowest rate of software piracy?
A) North America
B) Western Europe
C) Asia/Pacific
D) Latin America
Answer: A
Page Ref: 586

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21) Which of the following prevents someone else from creating another computer program that
does the same thing as a copyrighted program?
A) patents.
B) copyrights.
C) all of the above
D) none of the above
Answer: A
Page Ref: 586

22) What type of impact on the software industry from awarding a large number of patents to IT
industry giants such as Microsoft has been documented?
A) the overall number of infringement lawsuits is decreased
B) it accelerates innovations among smaller firms
C) the growth of small software firms is inhibited
D) none of the above
Answer: C
Page Ref: 587

23) Software piracy:

A) has caused the software industry to become unprofitable.
B) is fairly consistent across countries throughout the world.
C) typically is not rigorously deterred by governments in less developed countries.
D) has a very low rate in former communist countries.
Answer: C
Page Ref: 586

24) Which of the following is true of patents?

A) provides effective protection against software piracy
B) makes it illegal to copy software and use it without the software vendor's permission
C) gives the creator the exclusive right to the manufacture and uses what has been patented for a
limited period of time
D) all of the above
Answer: C
Page Ref: 586

25) Recent piracy rates for music CDs were highest in:
A) African countries.
B) Indonesia and Paraguay.
C) Western Europe.
D) United States.
Answer: B
Page Ref: 586

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26) Swapping or sharing music on the Internet:
A) first gained widespread popularity with the advent of Napster.
B) was upheld by U.S. courts, which meant Napster was able to remain in business.
C) was first made possible with the use of B2C files.
D) cannot be traced so people cannot be prosecuted.
Answer: A
Page Ref: 587

27) In 2007, Microsoft asserted that 235 company patents were infringed upon by open source
programs. What effect did this announcement have?
A) IBM also filed dozens of lawsuits to enforce these patents
B) open source organizations filed lawsuits alleging that Microsoft is infringing upon their
patents
C) it slowed down the growth of open source communities.
D) public backlash caused Microsoft to withdraw the statements
Answer: C
Page Ref: 587

28) Which of the following is true regarding personal financial credit reports?
A) they rarely contain inaccurate data
B) inaccuracies are not usually spotted because many individuals do not review their reports
regularly
C) there are no laws that govern them
D) they are easily corrected if found inaccurate
Answer: B
Page Ref: 590

29) In a recent survey, what percentage of students studying in a sample of U.S. colleges and
universities said it is always wrong to pirate music and movies?
A) 10%
B) more than 10% but less than 25%
C) about 50%
D) 90%
Answer: B
Page Ref: 589

30) Amazon.com settled a lawsuit with Barnes and Noble in March 2002 that centered on the
infringement of what patent?
A) the personalization of content on an e-commerce site
B) the use of cookies to track patterns across visits
C) its "one-click-ordering" process
D) the "buy it now" feature
Answer: C
Page Ref: 587

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31) The U.S. has much stronger privacy laws and practices than Europe.
Answer: FALSE
Page Ref: 583

32) U.S. copyright laws make it illegal to copy software and use it without the software vendor's
permission.
Answer: TRUE
Page Ref: 586

33) A patent gives its creator the exclusive right to the manufacture and use of a new design or
method for a limited period of time.
Answer: TRUE
Page Ref: 586

34) Some ethical issues are viewed differently depending upon the culture in which they arise.
Answer: TRUE
Page Ref: 589

35) According to the Federal Trade Commission (FTC), identify theft is "someone appropriating
your personal information without your knowledge to commit fraud or theft."
Answer: TRUE
Page Ref: 583

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