1. Which of the following components of an accounting

information system is responsible for identifying,

collecting, and recording financial transactions?

a) Data storage

b) Data processing

c) Data input

d) Data output

Answer: c) Data input

Rationale: The data input component of an accounting

information system includes activities such as identifying

financial transactions, collecting relevant data, and

recording them in the system.

2. Which component of an accounting information system

transforms raw financial data into meaningful and useful

information for decision-making?

a) Data storage

b) Data processing

c) Data input

d) Data output

Answer: b) Data processing

Rationale: The data processing component of an

accounting information system involves transforming raw

data into meaningful information through activities such as

sorting, classifying, summarizing, and calculating.