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Exam Paper for Business Information Systems in BBA
(With Answers)
PAPER # 1

**Business Information Systems Exam**
**Instructions:**
- Answer all questions
...

- Write your answers in the space provided
...


1
...
What does ERP stand for?
a) Enterprise Resource Planning
b) Efficient Resource Processing
c) Essential Reporting Platform
d) Effective Relationship Planning

3
...
Which of the following is an example of a transaction processing system (TPS)?
a) Email system
b) Payroll system
c) Decision support system
d) Social media platform

5
...


6
...


7
...


8
...


9
...
Provide
examples of how BI can benefit decision-making and strategic planning
...
Explain the concept of cybersecurity and its importance in the context of Business
Information Systems
...


**Section D: Case Study (25 marks)**
Read the following case study and answer the questions that follow
...
They
are considering implementing an Enterprise Resource Planning (ERP) system to
streamline their operations and improve efficiency
...
*

11
...
Outline the key challenges and risks that the XYZ Corporation may face during the
ERP implementation process, and suggest strategies to mitigate these risks
...
c) Employee recruitment
2
...
a) Customer Relationship Management
4
...
c) To support managerial decision-making

Answers for the short answer questions in Section B:
6
...
It is significant in BIS because it allows organizations to make data-driven
decisions, identify opportunities, and detect anomalies
...
The main components of an Information System include hardware, software, data,
procedures, and people
...


4

8
...
Disadvantages include security concerns and potential data privacy
issues
...
Business Intelligence (BI) plays a crucial role in modern organizations by providing
insights into data, enabling better decision-making and strategic planning
...


10
...
Potential
threats include data breaches, malware, and social engineering
...


Answers for the case study questions in Section D:
11
...


12
...
Mitigation strategies may involve thorough planning,
employee training, and phased implementation to minimize disruptions
...
Which of the following is NOT a component of an information system? (a)
Hardware (b) Software (c) People (d) All of the above
2
...
Which of the following is NOT a type of database? (a) Relational database (b)
Hierarchical database (c) Network database (d) None of the above

5

4
...
Which of the following is NOT a type of information security threat? (a) Malware
(b) Phishing (c) Denial-of-service attack (d) All of the above
Section B: Short Answer (5 marks each)
6
...

7
...
Explain the role of information systems in business decision-making
...
Discuss the challenges and opportunities of using information technology in
business
...
What are the best practices for ensuring the security of information systems?
Section C: Long Answer (10 marks each)
11
...
What are the factors that the company should consider when
making this decision?
12
...
What steps can the company take to improve its information
security posture?
13
...
How can the company ensure that the CRM system is
successful?
Answers
Section A
1
...
(d) All of the above
3
...
(d) All of the above
5
...
A business information system (BIS) is a system that collects, stores, processes,
and distributes information to support business operations and decision-making
...

7
...
Information systems play a vital role in business decision-making
...

9
...
The best practices for ensuring the security of information systems include:

7

o

Implementing strong passwords and other authentication measures

o

Installing and maintaining firewalls and other security software

o

Educating employees about security best practices

o

Backing up data regularly

Section C
11
...
To improve its information security posture, a company should take the following
steps:
o

Conduct a risk assessment to identify its vulnerabilities

o

Implement security controls to mitigate the risks

o

Educate employees about security best practices

o

Monitor its systems for security threats and incidents

13
...

1
...
Hardware

o

B
...
Data

o

D
...
Processes

2
...
Information technology

o

B
...
Business intelligence

o

D
...
Customer relationship management

3
...
Transaction processing system

o

B
...
Decision support system

o

D
...
Production control system

4
...
Increased efficiency

o

B
...
Better customer service

o

D
...
Which of the following is NOT a challenge of using information systems?

9

o

A
...
Cost

o

C
...
All of the above

Section B: Short Answer Questions (20 marks)
Answer each question in a few sentences
...
What is the difference between a transaction processing system and a
management information system?
2
...
What are the four main challenges of managing information systems?
4
...

1
...

2
...

3
...

Answers:
Section A:
1
...
C
3
...
D
5
...
A transaction processing system (TPS) is a type of information system that
collects and processes data from business transactions
...

2
...


o

Predictive DSSs: Use statistical models to forecast future outcomes
...


3
...


o

Cost: The cost of developing, implementing, and maintaining information
systems
...


o

Change: The rapid pace of change in technology can make it difficult to
keep information systems up-to-date
...
Some of the benefits of using cloud computing for information systems include:
o

Reduced costs: Cloud computing can help businesses reduce the costs of
developing, implementing, and maintaining information systems
...


o

Improved reliability: Cloud computing providers offer high levels of
reliability and uptime
...


Section C:
1
...


o

Management information systems (MISs): Provide managers with reports
and summaries of data from TPSs
...


o

Expert systems: Use knowledge bases to provide expert advice
...


o

Customer relationship management (CRM) systems: Manage customer
relationships and interactions
...
* Improving decision-making: By providing managers with access to
accurate and timely information * Better customer service: By providing businesses with
the tools and information they need to better serve their customers
...
Which of the following is NOT a component of an information system? (a)
Hardware (b) Software (c) People (d) Processes
2
...
Which of the following is NOT a benefit of using a business information system?
(a) Improved efficiency (b) Reduced costs (c) Improved decision-making (d)
Increased complexity

12

4
...
Which of the following is a type of cloud computing? (a) Infrastructure as a
service (IaaS) (b) Platform as a service (PaaS) (c) Software as a service (SaaS)
(d) All of the above
Answers:
1
...
(a) Transaction processing system (TPS)
3
...
(d) All of the above
5
...
Define the term "information system
...
What are the three main types of information systems?
3
...
What are the two main types of data warehousing?
5
...
An information system is a set of interrelated components that work together to
collect, process, store, and distribute information to support decision-making,
problem-solving, and control
...
The three main types of information systems are transaction processing systems
(TPS), management information systems (MIS), and decision support systems
(DSS)
...
The benefits of using a business information system include improved efficiency,
reduced costs, improved decision-making, and increased competitiveness
...
The two main types of data warehousing are operational data stores (ODS) and
data warehouses
...
The three main types of cloud computing are infrastructure as a service (IaaS),
platform as a service (PaaS), and software as a service (SaaS)
...
Discuss the importance of business information systems in the modern business
world
...
BIS can help businesses to improve their decision-making,
reduce costs, improve customer service, and gain a competitive advantage
...
BIS can provide managers with access to real-time data and
analytics that can help them to make better decisions about everything from pricing and
marketing to product development and inventory management
...
By automating tasks and streamlining
processes, BIS can help businesses to save money on labor and other costs
...

BIS can also help businesses to improve customer service
...
For example, a BIS can be used to create a customer self-service
portal where customers can track their orders, view their account information, and get
support
...
By using BIS to
improve their operations and customer service, businesses can differentiate themselves
from their competitors
...

Overall, BIS are essential tools for modern businesses of all sizes
...


15

PAPER # 5

**Section A: Multiple Choice Questions (20 marks)**

**1
...
What is the primary purpose of a Management Information System (MIS)?**
a) To support daily operations
b) To provide strategic decision support
c) To manage human resources
d) To create marketing materials

**3
...
What is the key advantage of cloud computing for businesses?**
a) Increased data security
b) Decreased accessibility
c) Scalability and flexibility
d) Lower initial costs

**5
...
Define the concept of Information Technology (IT) and provide an example of its
application in business
...
It plays a
crucial role in enabling businesses to streamline their operations and make informed
decisions
...


**7
...
(15
marks)**

**Answer:**

Data security is crucial in Business Information Systems because:

- **Confidentiality:** It ensures that sensitive data is only accessible to authorized
personnel, preventing data breaches
...

- **Availability:** It ensures that data is available when needed, preventing downtime or
service interruptions
...

- **Customer Trust:** Data breaches can damage a company's reputation and erode
customer trust
...


17

**8
...
(20 marks)**

**Answer:**

The Systems Development Life Cycle (SDLC) consists of the following stages:

1
...
The project team is assembled, and initial budgets and
timelines are set
...
**Analysis:** During this phase, the existing system is evaluated, and the needs and
requirements of the new system are identified
...


3
...
It also includes user interface
design
...
**Implementation:** Here, the system is built, and the software is developed
...


5
...
Updates and improvements are made as necessary
...
It helps minimize risks, control costs, improve
project management, and ensure that the final system meets the business's needs and
goals
...
Differentiate between a Management Information System (MIS) and a Decision
Support System (DSS)
...
(15
marks)**

**Answer:**

18

A Management Information System (MIS) and a Decision Support System (DSS) serve
different purposes:

- **MIS:** It focuses on providing information to support routine operational activities
and managerial decision-making
...
An example is an inventory tracking system in a retail business
...
DSS provides advanced analytics and modeling tools to
evaluate different decision scenarios
...


**10
...

- **Cost-Efficiency:** Cloud computing eliminates the need for significant upfront
investments in hardware and infrastructure
...

- **Automatic Updates:** Cloud service providers handle system maintenance and
updates, reducing the burden on businesses
...


**Disadvantages:**
- **Data Security Concerns:** Storing data in the cloud raises security and privacy
issues
...

- **Limited Control:** Businesses have less control over their data and infrastructure
when using cloud services
...

- **Costs Over Time:** While cloud services can be cost-effective initially, long-term
costs can add up, especially if usage increases significantly
...
Which of the following is NOT a component of an information system?
(a) Hardware (b) Software (c) People (d) Processes
2
...
Which of the following is an example of a transaction processing system?
(a) Enterprise resource planning (ERP) system (b) Customer relationship management
(CRM) system (c) Decision support system (DSS) (d) Expert system
4
...
The term "big data" refers to:
(a) Large volumes of data that are difficult to process with traditional methods (b) Data
that is collected from a variety of sources (c) Data that is used to make better decisions
(d) All of the above
Section B
Short Answer Questions (20 Marks)
1
...


20

2
...
What are the different challenges that businesses face when implementing
information systems?
4
...

5
...

Section C
Long Answer Questions (30 Marks)
1
...
What are the factors that the company should consider before
making a decision?
2
...
Describe how
the company can use big data to achieve this goal
...
A company is facing security challenges with its information systems
...
(d)
2
...
(a)
4
...
(d)
Section B
1
...
Information systems are important to
businesses because they can help them to:

21

o

Improve efficiency and productivity

o

Reduce costs

o

Improve customer service

o

Gain a competitive advantage

2
...


o

Management information systems (MIS): MIS provide managers with
reports and summaries of information to help them make decisions
...


o

Expert systems: Expert systems are used to solve complex problems by
providing users with access to the knowledge and expertise of experts
...
Some of the challenges that businesses face when implementing information
systems include:
o

High costs

o

Technical complexity

o

Resistance to change

o

Security and privacy concerns

4
...

Information systems can also help managers to identify problems, develop
solutions, and evaluate the results of their decisions
...
The ethical implications of using information systems include:

22

o

Privacy concerns: Businesses need to be careful to protect the privacy of
their customers and employees
...


o

Discrimination concerns: Businesses need to avoid using information
systems to discriminate against individuals or groups
...
The factors that a company should consider before implementing a new ERP
system include:
o

The size and complexity of the company's operations

o

The company's budget

o

The company's needs and requirements

o

The availability of qualified personnel to implement and maintain the
system

o

The risks associated with implementing a new system

2
...
Which of the following is NOT a component of an information system? (a)
Hardware (b) Software (c) People (d) Data
2
...
Which of the following is a type of management information system (MIS)? (a)
Executive information system (EIS) (b) Sales force automation (SFA) system (c)
Enterprise resource planning (ERP) system (d) All of the above
4
...
Which of the following is a challenge of using technology in business? (a)
Security risks (b) Privacy concerns (c) Resistance to change (d) All of the above
Answers:
1
...
(a) Payroll system
3
...
(d) All of the above
5
...
What is the difference between data and information?
2
...
What are the benefits of using a decision support system (DSS)?
4
...
What are the ethical considerations involved in the use of information
technology?
Answers:
1
...
Information is data that has been processed and
organized so that it has meaning and value
...
The three main types of information systems are transaction processing systems
(TPS), management information systems (MIS), and decision support systems
(DSS)
...
The benefits of using a decision support system (DSS) include improved
decision-making, increased efficiency, and reduced costs
...
The challenges of implementing a new information system in a business include
resistance to change, security risks, and privacy concerns
...
The ethical considerations involved in the use of information technology include
privacy, security, and intellectual property rights
...
Discuss the importance of business information systems in the modern business
world
...
Analyze the impact of emerging technologies, such as artificial intelligence (AI)
and big data, on business information systems
...
Business information systems are essential for businesses of all sizes in the
modern business world
...
Business information systems can
also help businesses to gain a competitive advantage
...
Emerging technologies, such as artificial intelligence (AI) and big data, are
having a significant impact on business information systems
...
Big data is being used to collect
and analyze large amounts of data to gain insights that can improve decisionmaking
...
Actual exam questions and answers may vary based on your course
material and curriculum
...
BBA Exam Paper
2
...
Exam Paper with Answers
4
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Business Administration
6
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Information Systems Management
8
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Business Studies
10
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BBA Curriculum
12
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Exam Preparation
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Business School
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Business Analysis
18
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Answer Key
20
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Business Information Technology
22
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Business Information Systems Questions
24
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Business Information Systems Solutions
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Business Information Systems Test
28
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BBA Exam Answers
30

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