Accounting Information Systems

Topics: Database, Management, SQL Pages: 15 (4831 words) Published: August 25, 2013
Accounting Information Systems FINAL STUDY

Chapter 7
The accounting cycle begins with a transaction by the customer to purchase a product and ends with the closing of accounts for the next period in the accounting cycle The methods for accounting for the accounting cycle are through Journals, Ledgers and Trial balances and financial statements. AIS use numeric or alphanumeric codes to record, classify, store and retrieve financial data There are 4 types of codes they are Mnemonic codes, sequence codes, block codes and group codes An exception report lists exceptional conditions

Characteristics of a good report are useful, convenient format, easy to identify and consistent The chief concern for data collection is accuracy, timeliness, and cost effectiveness A business process is a collection of activities and workflows in an organisation that create value A business event does not affect the financial statement but it is still important to the business A sales process begins with the customer order and ends with the collection of cash Bankruptcy results from inadequate cashflows not negative income Forecasting helps in the management planning function

If a company has charged a customer too little for goods it would issue a debit memorandum Firms try to improve their customer relationship management (CRM) Processing sales transactions allows for business outputs such as financial reports an example of a report is the accounts receivable ageing report which allows management to write off accounts receivable which may not be received Accounts payable management is companies keeping track of amounts that the company owes Vendors are partners in the supply chain

The purchase requisition indicates the purchase order
Discrepancy reports ensure that there are checks on the actual quantities and amounts on the purchase order Much of the sales and Purchasing Process are electronic e.g. bar codes, video signals, magnetic ink characters etc. RFID tags can be used to manage inventory

Business process outsourcing is an integral part of AIS and allows companies to save money by outsourcing their work to other companies or people for cheaper Business without boundaries mean that the businesses are not always located in one position but are spread out offshoring means moving businesses offshore Business process management (BPM) software allows the business to collect corporate data, knowledge and business rules into a business system to improve core business processes. Tutorial Questions

P 7-17
a) Having an online store means that when selling the product the involvement of individual employees that were previously involved in the retail aspect are removed. The transaction would simply go from the customer straight to the store and would instead involve credit card checks and a confirmation email of the purchase. Instead of customers picking out their own inventory, inventory systems would be needed to ensure that the inventory available can be provided to the customer. b) The details for the customer and sales transaction for the retail store are collected upon the transaction of the customer coming in to the store and purchasing the product. In the online environment the customer provides the address, billing information, email and other details before receiving the product c) The business can collect information regarding the customer’s preferences in choosing colour and other information about the product. The customer can provide information on improving the product d) ?????????????? ASK TEACHER

p 7-19
7.19
1)
Purchase
1. The office purchases all equipment except computer equipment, software and plant purchase additions 2. They office is supervised by Pete Reese who directly reports to the vice president of finance of the university Payment

1. Various departments campus ,annually fill out hard copy for the requisition forms when there is a need for equipment or supplies 2. Forms are forwarded...
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