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Chapter 17 Practice Quiz

Terms in this set (25)

Data mining is the process of _____.

a. testing various hypothesis in large databases
b. transforming raw data into meaningful information
c. storing large amounts of known data
d. discovering unknown patterns in large amounts of data
e. verifying known relationships in large amounts of data
d. discovering unknown patterns in large amounts of data
Which of the following is the cost of physically or electronically archiving information for later retrieval and use?

a. Extraction cost
b. Collection cost
c. Communication cost
d. Retrieval cost
e. Storage cost
e. Storage cost
_____ data mining usually begins with a user telling the data mining software to look and test for specific patterns and relationships in a data set.

a. Specific
b. Supervised
c. Homogenous
d. Unsupervised
e. Heterogeneous
b. Supervised
____ occur in data mining when two or more database elements occur together in a significant pattern in which one of the elements precedes the other.

a. Sequence patterns
b. Affinity patterns
c. Logic clusters
d. Data clusters
e. Association patterns
a. Sequence patterns
By examining customer checkout details, supermarkets have learned that people who are buying beer typically also buy a bag of salty snacks. As a result of this finding, supermarkets often place displays of beer near the chips and pretzel aisle. Which of the following methods of processing information is most likely to have been used for discovering such information?

a. Authenticating
b. Perceptual filtering
c. Bar coding
d. Data mining
e. Optical scanning
d. Data mining
_____ use standardized protocols to describe and transfer data from one company in such a way that those data can automatically be read, understood, transcribed, and processed by different computer systems in another company.

a. Executive information systems
b. Virtual private networks
c. Intranets
d. Corporate portals
e. Web services
e. Web services
The expenses that are incurred in obtaining data that is not available to a company are known as _____.

a. extraction costs
b. acquisition costs
c. investment costs
d. production costs
e. extrapolation costs
b. acquisition costs
The key to sustaining competitive advantage is _____.

a. using information technology that is similar across competing firms
b. using faster computers with more memory and larger hard drives
c. using information technology to continuously improve and support the core functions of a business
d. assigning the core functions of a business to various managers
e. employing the Internet judiciously
c. using information technology to continuously improve and support the core functions of a business
The two critical steps required to make sure that data can be accessed by approved users and no one else are _____.

a. encryption and empowerment
b. delegation and empowerment
c. authentication and authorization
d. authentication and encryption
e. authorization and empowerment
c. authentication and authorization
The term data mining refers to the process of discovering unknown patterns and relationships in large amounts of data.

a. True
b. False
a. True
A user simply tells the data mining software to uncover whatever patterns and relationships it can find in a data set using _____ data mining.

a. homogeneous
b. specific
c. unsupervised
d. heterogeneous
e. supervised
c. unsupervised
According to _____, about every year, computer-processing power will double and its cost would drop by 50 percent.

a. Moore's law
b. Gresham's Law
c. the rule of e-commerce
d. the Peter principle
e. Gordon's law
a. Moore's law
General Remedies is a store that wanted to hold a big sale of its merchandise at very low prices for its existing and new customers. It had the mobile numbers of its existing customers, but to get the numbers of new customers it had to pay a sum of money to a telecommunications company. In the context of the costs of useful information, General Remedies incurred a(n) _____ cost.

a. extrapolation
b. acquisition
c. processing
d. retrieval
e. porting
b. acquisition
The two major types of data mining are _____.

a. affinity and association
b. sequence and affinity
c. random and sequence
d. qualitative and quantitative
e. supervised and unsupervised
e. supervised and unsupervised
The term _____ refers to facts and figures that are in an unusable form.

a. processed data
b. relevant information
c. nonspecific information
d. statistical data
e. raw data
e. raw data
Three kinds of information technology are used by executives, managers, and workers inside the company to access and share information. They are _____.

a. local area networks, extranets, and management control systems
b. expert systems, decision support system, and virtual private networks
c. Internet-accesses, SSL encryption, and intranets
d. social networking sites, local area networks, and portals
e. executive information systems, portals, and intranets
e. executive information systems, portals, and intranets
Which of the following is the cost of turning raw data into useful information?

a. Extrapolation cost
b. Retention cost
c. Maximization cost
d. Processing cost
e. Optimization cost
d. Processing cost
_____ information means transforming raw data into meaningful information that can be applied to business decision making.

a. Communicating
b. Processing
c. Acquiring
d. Extracting
e. Mining
b. Processing
According to the resource-based view of information technology, sustainable competitive advantage occurs when information technology adds value, is different across firms, and is difficult to create or acquire.

a. True
b. False
a. True
Association patterns are also called sequence patterns.

a. True
b. False
b. False
_____ is the process of ensuring that data are reliably and consistently retrievable in a usable format for authorized users, but no one else.

a. Processing information
b. Decryption
c. Protecting information
d. Capturing information
e. Data insulation
c. Protecting information
Data clusters _____.

a. are used to create samples for statistical analyses
b. help identify database elements that are different
c. are data transformed into complex, scrambled digital codes
d. occur when two database elements tend to occur together in a significant way
e. occur when three or more database elements occur together in a significant way
e. occur when three or more database elements occur together in a significant way
Whenever people shop online, as soon as they put an item in a shopping cart, they are offered a series of other items that people who made the same purchase also bought. In the context of data mining, this is an example of a(n) _____ pattern.

a. predictive
b. extrapolative
c. sequence
d. adjacency
e. association
e. association
_____ occurs when two companies convert their purchase and ordering information to a standardized format to enable the direct electronic transmission of that information from one company's computer system to the other company's computer system.

a. Information exchange
b. Transaction channeling
c. Data manipulation
d. Automated processing
e. Electronic data interchange
e. Electronic data interchange
In the context of protecting information, _____ is making sure users are who they claim to be.

a. decryption
b. encryption
c. authorization
d. authentication
e. distinction
d. authentication
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