Final answer:
The statement is true; Transaction processing systems provide vital information to managers in various functional areas, helping them make informed decisions based on real-time data and performance metrics.
Step-by-step explanation:
The statement, 'Transaction processing systems typically provide information to managers in the functional areas,' is true. Transaction processing systems (TPS) are fundamental systems used within organizations to collect, store, manage, and process all data pertaining to transactions. Managers in functional areas such as finance, operations, human resources, and marketing rely on the accuracy and real-time processing capabilities of these systems to make informed decisions.
A TPS can provide critical information such as sales orders, payroll data, receipts, and purchases, enabling managers to track business activities and assess performance within their departments. For example, in inventory management, a TPS could give managers up-to-date information on stock levels, which is crucial for maintaining optimal inventory and fulfilling customer orders efficiently. In the financial area, these systems facilitate the processing of transactions and contribute significantly to the accuracy of financial reporting and budgeting.
Thus, TPSs are instrumental in serving the information needs of managers across various functional areas of an organization, aiding in operational control and transaction handling that are essential for the smooth running of a business.