7. Why has the use of magnetic tapes as a storage medium declined in recent years? What are their primary uses currently?
8. Discuss both the tangible and intangible benefits of realtime processing.
9. Distinguish between positive and negative confirmations.
10. What is the purpose of analytical reviews in the audit of revenue cycle accounts?
11. Explain the open invoice system. What effect might it have on confirmation responses?
12. What financial statement misrepresentations may result from an inconsistently applied credit policy? Be specific.
13. Give three examples of access control in a POS system.
14. What makes POS systems different from revenue cycles of manufacturing firms?
15. Is a POS system that uses bar coding and a laser light scanner foolproof against inaccurate updates? Discuss.