b.

Support activity
c. Service activity
d. Structured activity

AIS
1. Data differ from information in which way?
a. Data are output and information is input.
b. Information is output and data are input.
c. Data are meaningful bits of information.
d. There is no difference.
2. Which of the following is not a characteristic that makes
information useful?
a. It is reliable
b. It is timely
c. It is inexpensive
d. It is relevant.
3. Which
a.
b.
c.
d.

of the following is a primary activity in the value chain?

Purchasing
Accounting
Post-sales service
Human resource management

4. Top management continually emphasizes and supports

investments designed to improve the efficiency of the
manufacturing process. Such a focus most likely reflects the
pursuit of which type of strategy?
a. Product differentiation
b. Low-cost
c. Needs-based
d. Variety-based
5. Which of the following is not a means by which information
improve decision making?
a. Increasing information overload
b. Reducing uncertainty
c. Providing feedback about the effectiveness of prior
decisions
d. Identifying situations requiring management action

6. In the value chain concept, upgrading IT is considered what

kind of activity?
a. Primary activity

7. Lower-level management employees are most likely to make

which of the following decisions?
a. Structured decision involving strategic planning
b. Unstructured decisions involving managerial control
c. Structured decisions involving operational control
d. Unstructured decisions involving strategic planning
8. Which of the following is a function of an AIS?
a. Reducing the need to identify a strategy and strategic
position
b. Transforming data into useful information
c. Allocating organizational resources
d. Automating all decision making
9. A firm, its suppliers, and its customers collectively form which
of the following?
a. Supply chain
b. Value chain
c. ERP system
d. AIS
10. A company that focuses its marketing efforts on a specific
subset of the population (e.g. college students) is probably
pursuing which type of strategic position?
a. Variety-based
b. Needs-based
c. Access-based
d. Low-cost