c954 Information Technology Management - Set 1 - Part 1

Test your knowledge of technical writing concepts with these practice questions. Each question includes detailed explanations to help you understand the correct answers.

Question 1: Which of the following best describes the purpose of Management Information Systems (MIS) within an organization?

To ensure technology works independently of human intervention

To enable effective coordination between information, people, and technology

To automate all organizational processes

To limit data accessibility within the organization

Question 2: What is the primary difference between data and information in a business context?

Data is actionable, whereas information is meaningless

Data refers to processed facts, while information is raw and unstructured

Data consists of raw facts, while information is relevant data used for decision-making

Data is strategic, while information is operational

Question 3: Which of the following information quality factors would be most impacted if an organization cannot verify the source of information?

Timeliness

Location

Form

Validity

Question 4: In the context of business intelligence, which of the following describes its primary purpose?

To summarize data into basic facts

To provide historical data only

To enable strategic decision-making through a collection of relevant information

To store data for long-term archiving

Question 5: If a manager needs access to specific information only at their work location, which information quality factor does this refer to?

Timeliness

Location

Validity

Form

Question 6: Which of the following best defines the concept of “Garbage In, Garbage Out”?

The idea that low-quality output results from low-quality input

A technique used to clear outdated information

A security measure for validating data

An approach for identifying irrelevant data

Question 7: Vertical information flow that moves up in an organization serves primarily to do which of the following?

Communicate specific transactions to management

Relay strategic goals from management to staff

Exchange information with suppliers

Create standard operating procedures

Question 8: How does information granularity typically change as it moves upward through an organization?

It becomes finer and more detailed

It becomes more coarse and summarized

It remains the same

It becomes less relevant

Question 9: Which type of information flow involves departments within an organization sharing information with each other?

Vertical, Up

Horizontal

Vertical, Down

Granular

Question 10: In which of the following scenarios would subjective information be more appropriate than objective information?

Calculating quarterly sales

Estimating customer satisfaction

Reporting inventory levels

Summarizing revenue from product sales

Question 11: What is the primary benefit of using a break-even analysis in business?

To understand the maximum profit potential

To identify total operating costs

To determine when revenue will cover fixed and variable costs

To calculate marginal costs per unit

Question 12: In a break-even analysis, which cost remains constant regardless of production volume?

Variable cost

Revenue

Fixed cost

Marginal cost

Question 13: When using Porter’s Five Forces model, which force is primarily concerned with how easily new competitors can enter the market?

Buyer Power

Threat of New Entrants

Supplier Power

Threat of Substitutes

Question 14: A company aims to reduce buyer power by creating loyalty programs. Which of Porter’s Five Forces is this strategy intended to address?

Competitive Rivalry

Buyer Power

Supplier Power

Threat of Substitutes

Question 15: If an organization follows a strategy of offering a unique customer experience without necessarily lowering prices, which of Porter’s strategies is it likely using?

Cost Leadership

Differentiation

Focus

Niche

Question 16: Which of the following information systems is focused on managing interactions with customers and improving customer service?

Knowledge Management

Customer Relationship Management

Human Resource Information System

Supply Chain Management

Question 17: Which type of information system would be most suitable for coordinating distribution, inventory, and production across various departments?

Finance Information System

Customer Relationship Management

Supply Chain Management

Accounting Information System

Question 18: When managing relationships with channel partners and distributors, which type of system is most appropriate?

Customer Relationship Management

Partner Relationship Management

Supply Chain Management

Knowledge Management

Question 19: Which of the following hardware types converts real-life actions into computer-readable data?

Processing Hardware

Input Hardware

Storage Hardware

Output Hardware

Question 20: What role does telecommunication hardware play in a computer system?

It processes data

It stores data for future use

It enables data transfer across networks

It outputs data for human understanding

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