chap11.ppt 218KB May 20 2010 09:29:46 PM

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Chapter 11

The Accounting

The Accounting

Information System

Information System

MANAGEMENT INFORMATION SYSTEMS 8/E

Raymond McLeod, Jr. and George Schell


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What is Data Processing?

What is Data Processing?

Manipulation or transformation of symbols

Manipulation or transformation of symbols

for the purpose of increasing their

for the purpose of increasing their

usefulness.

usefulness.

Data processing (DP) and transaction

Data processing (DP) and transaction

processing (TP) are often used

processing (TP) are often used

interchangeably.

interchangeably.


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Accounting Information

Accounting Information

Systems (AIS)

Systems (AIS)

Gathers data describing a firm’s activity

Gathers data describing a firm’s activity

Transforms data into information

Transforms data into information

Makes information available to users inside

Makes information available to users inside

and outside the firm

and outside the firm


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Environment

Environment

A Model of an Accounting Information

A Model of an Accounting Information

System

System

Information

Information

Data

Data

Management

Management

Data

Data

processing

processing

software

software

Transform

Transform

Accounting

Accounting

Information

Information

System

System

Databas Databas

e e

Output

Output

physical

physical

resources

resources

Input

Input

physical

physical

resources

resources

Environment

Environment


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Data Processing Tasks

Data Processing Tasks

1. Gather data

1. Gather data

Each transaction is documented

Each transaction is documented

What happened?

What happened?

When did it happen?

When did it happen?

How much (volume, value)?

How much (volume, value)?

Transactions describe

Transactions describe


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2.

2.

Manipulate data

Manipulate data

Classify (use codes)

Classify (use codes)

Sort

Sort

Calculate

Calculate

Summarize

Summarize

Data Processing Tasks [cont.]

Data Processing Tasks [cont.]


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3. Store data

3. Store data

Describes each transaction

Describes each transaction

Represents most of the database

Represents most of the database

Data Processing Tasks [cont.]

Data Processing Tasks [cont.]


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4. Document preparation

4. Document preparation

Triggers

Triggers

»

By an action

By an action

»

By a time schedule

By a time schedule

Hardcopy or on-screen

Hardcopy or on-screen

Data Processing Tasks [cont.]

Data Processing Tasks [cont.]


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Characteristics of the AIS

Characteristics of the AIS

Performs necessary tasks

Performs necessary tasks

Standard procedures

Standard procedures

Detailed data

Detailed data

Historical focus

Historical focus

Provides minimal problem-solving

Provides minimal problem-solving

information

information


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Sample AIS

Sample AIS

The Distribution System

The Distribution System

Users

Users

Manufacturers

Manufacturers

Wholesalers

Wholesalers

Retailers

Retailers

General in nature

General in nature

Used in many different types of firms

Used in many different types of firms

Retailers

Retailers

Manufacturing

Manufacturing

Service

Service


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DFDs

DFDs

Data flow diagram

Data flow diagram

Document a system in a hierarchical manner

Document a system in a hierarchical manner

Data flows, processes, environmental elements

Data flows, processes, environmental elements

Context level is overall system within

Context level is overall system within

environment

environment


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Customers

Customers

Management

Management

Distribution

system

Suppliers

Suppliers

Materials

Materials

stockroom

stockroom

Sales orders Sales orders Rejected Rejected sales sales order order notices notices Invoices Invoices Statements Statements

Payments by customers Payments by customers

Commitments Commitments Purchases orders Purchases orders Shipments Shipments Supplier invoices Supplier invoices Supplier statements Supplier statements

Payments to suppliers Payments to suppliers

Stock Stock Other reports Other reports Budget Budget reports reports Balance Balance sheet sheet Income Income statement statement

A Context Diagram of the

A Context Diagram of the

Distribution System

Distribution System


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Customers

Customers

Sales OrdersSales Orders

Rejected sales order notices Rejected sales order notices

Invoices Invoices Statements Statements Payments by customers Payments by customers Receivables ledger data Receivables ledger data

1.

Fill

Orders

Inventory ledger data Inventory ledger data

Payables ledger data Payables ledger data Other reports

Other reports Budget reports Budget reports

Received Received itemsitems

Purchasing data

Purchasing data CommitmentsCommitments

Purchase Orders Purchase Orders

2.

Order

replenish-ment

stock

Shipments Shipments

Supplier invoices

Supplier invoices

Suppliers

Suppliers

A Figure 0 Diagram of the

A Figure 0 Diagram of the

Distribution System

Distribution System

3.

Maintain

general

ledger


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Customers

1.3 1.3 Billing Billing 1.1 1.1 Order Order Entry Entry 1.4 1.4 Accounts Accounts receivable receivable 1.2 1.2 Inventory Inventory Sales orders Sales orders

Rejected sales Rejected sales

order notices order notices

Accepted orders Accepted orders

Filled items Filled items

Purchasing data Purchasing data Received Received items items InventoryInventory ledger data ledger data Receivables ledger data

Receivables ledger data Billed orders

Billed orders

S ta te m en ts S ta te m en ts Invoices Invoices Completed Completed ordersorders P ay m en ts b y cu st o m er s P ay m en ts b y cu st o m er s

3 3 2

2

A Figure 1 Diagram of

A Figure 1 Diagram of

the

the

Systems that Fill

Systems that Fill

Customer

Customer

Orders

Orders


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Purchasing data

Purchasing data CommitmentsCommitments

SuppliersSuppliers

Supplier invoices Supplier invoices

Materials

Materials

stockroom

stockroom

StockStock 2.2

Receiving

Issued purchase

Issued purchase

order data

order data

Filled

Filled

purchase

purchase

orders

orders

Shipments

Shipments

Received itemsReceived items

Purchase orders

Purchase orders

Received

Received

purchases

purchases

2.1 Purchasing

A Figure 2 Diagram of the Systems that Order Replenishment Stock

A Figure 2 Diagram of the Systems that Order Replenishment Stock

1

1

1


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3.1

Update general ledger

Receivables ledger data Receivables ledger data

Inventory ledger data Inventory ledger data

Payables ledger data Payables ledger data

General ledger records General ledger records

Updated general ledger records Updated general ledger records

General

General

ledger

ledger

Management report data Management report data

3.2

Prepare management

reports

Other reports Other reports Budget reports Budget reports

Balance sheet Balance sheet Income statement

Income statement ManagementManagement

A Figure 3 Diagram of the Systems That

A Figure 3 Diagram of the Systems That

Perform General Ledger Processes

Perform General Ledger Processes

1

1

1

1

2


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Fill Customer Orders

Fill Customer Orders

Order entry

Order entry

Sales order form

Sales order form

Inventory

Inventory

Process sales

Process sales

Process receipts

Process receipts


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CustomersCustomers Sales ordersSales orders Edit rejectsEdit rejects Sales Sales

order order edit edit ejects ejects Sales Sales order order edit edit ejects ejects

1.1.1

Edit order

data

Rejected Rejected sales order sales order noticesnotices Edited Edited orders orders Customer Customer

credit filecredit file

Customer

Customer

credit filecredit file

Credit data Credit data 1.1.2 1.1.2 Computer Computer creditcredit checkcheck 1.1.2 1.1.2 Computer Computer creditcredit checkcheck Edited and checked orders

Edited and checked orders

Credit Rejects

Credit Rejects

Sales Sales

order order credit credit rejects rejects Accepted Accepted ordersorders 1.1.3 Log in

orders

Order data

Order data

Completed orders

Completed orders Mark1.1.4

filled orders Date filed Date filed Order log Order log

A Figure 1.1 Diagram of the Order Entry System

A Figure 1.1 Diagram of the Order Entry System

1.2

1.2

1.3


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Backorder Backorder file file Backorder Backorder file file 1.2.1 Check the balance on hand 1.2.1 Check the balance on hand 1.2.2 Check 1.2.2 Check 1.2.3 Add received items 1.2.3 Add received items 1.2.4 Provide 1.2.4 Provide Item Item records records Backorder Backorder records

records InventoryInventory file file Inventory Inventory file file Items Items available available Updated Updated item item records records Inventory Inventory file additions file additions Inventory Inventory records records Received Received items items Inventory Inventory ledger ledger data data

A Figure 1.2 Diagram of the Inventory System

A Figure 1.2 Diagram of the Inventory System

1.1 1.1 3 3 2 2 Accepted Accepted orders orders


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Billing

Billing

Invoice

Invoice

Note:

Note:

»

1. Customer data

1. Customer data

»

2. Item data

2. Item data


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1.3.1

Obtain

customer

data

Customer

Customer

file

file

1.3.2

Prepare

invoices

Filled

Filled

items

items

Customer data

Customer data

Invoice

Invoice

data

data

Billed orders

Billed orders

Invoices

Invoices

A Figure 1.3 Diagram of the

A Figure 1.3 Diagram of the

Billing System

Billing System

1.2


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Accounts Receivable

Accounts Receivable

Four separate triggers

Four separate triggers

Today's sales

Today's sales

Today's payments

Today's payments

Time to send statements

Time to send statements


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Billed orders

Billed orders

Accounts

Accounts

receivable

receivable

file

file

Accounts

Accounts

receivable

receivable

file

file

Receivables

Receivables

ledger data

ledger data

Receivables

Receivables

records

records

to delete

to delete

New receivables

New receivables Receivables recordsReceivables records

1.4.3

Prepare

statements

Statement records

Statement records

A Figure 1.4 Diagram of the

A Figure 1.4 Diagram of the

Accounts Receivable

Accounts Receivable

System

System

1.4.1 Add new receivables

1.4.4 Provide general ledger data

1.4.2 Delete paid

3

3

1.3


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Order Replenishment

Order Replenishment

Stock

Stock

Purchasing

Purchasing

Emerging technologies

Emerging technologies

»

EDI

EDI

»

ISDN

ISDN


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Supplier

Supplier

file

file

Supplier

Supplier

file

file

Outstanding Outstanding purchasepurchase order files order files Outstanding Outstanding purchasepurchase order files order files 2.1.1 Select suppliers

Purchasing data

Purchasing data

Past performance data

Past performance data

Inventory

Inventory

and supplier data

and supplier data

Purchase order Purchase order data data 2.1.2 Obtain verbal commitments Suppliers Suppliers 2.1.3 Prepare purchase orders

Commitments

Commitments

Purchase Orders Purchase Orders Issued purchase Issued purchase order data order data Incurred Incurred Obligations Obligations Purchase Purchase order records order records Purchase records Purchase records

to close out

to close out

A Figure 2.1 Diagram of the Purchasing System

A Figure 2.1 Diagram of the Purchasing System

1 1 2.2 2.2 2.3 2.3 Purchase


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A Figure 2.2 Diagram of the Receiving System

A Figure 2.2 Diagram of the Receiving System

Suppliers Suppliers Purchased Purchased items file items file Purchased Purchased items file items file 2.2.1 process receipts Materials Materials stockroom stockroom 2.2.1 Notify other systems 2.1 2.1 2.1 2.1 2.3 2.3 1 1 Purchased Purchased item data item data Issued Issued purchase purchase order order data data Shipments Shipments Stocks Stocks Receipt Receipt information information Received items Received items

Filled purchase orders Filled purchase orders

Received purchases

Received purchases


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Accounts Payable

Accounts Payable

The firm pays suppliers when:

The firm pays suppliers when:

1.

1.

Stock was ordered (P.O. file copy)

Stock was ordered (P.O. file copy)

2.

2.

Stock was received (Received purchases file)

Stock was received (Received purchases file)

3.


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Paid Payables RecordsPaid Payables Records Paid Supplier Paid Supplier Data Data

Accounts

Accounts

payable

payable

file

file

Accounts

Accounts

payable

payable

file

file

Received

Received

purchases

purchases

file

file

Received

Received

purchases

purchases

file

file

Paid

Paid

payables

payables

file

file

Paid

Paid

payables

payables

file

file

Suppliers

Suppliers

Suppliers

Suppliers

Invoice and

Invoice and

statement

statement

file

file

Invoice and

Invoice and

statement

statement

file

file

Received Received Purchases Purchases Incurred Incurred Obligations Obligations New Payables New Payables data data Payables Payables Records

Records Payables LedgerPayables Ledger

Data Data Receipt Receipt Data Data

Payments to Suppliers

Payments to Suppliers

Supplier Invoices Supplier Invoices

Invoice Data

Invoice Data

Payables Payables Records to Records to delete delete

A Figure 2.3 Diagram of the Accounts Payable

A Figure 2.3 Diagram of the Accounts Payable

System

System

Payment Payment data

data Supplier statementsSupplier statements

2.3.4 Provide general ledger data

2.3.3

Delete paid

payables

2.3.1 Set up supplier payables records 2.3.2 Make supplier payments 2.1 2.1 2.2 2.2 3 3


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AIS is the Foundation System

AIS is the Foundation System

The AIS must be implemented first

The AIS must be implemented first

MIS

MIS

DSS

DSS

ES

ES

Depends on a

well-designed AIS


(30)

Summary

Summary

AIS maintains financial records of the firm

AIS maintains financial records of the firm

Data processing components

Data processing components

Data gathering

Data gathering

Data manipulation

Data manipulation

Data storage

Data storage

Document preparation

Document preparation

AIS Subsystems

AIS Subsystems


(1)

Supplier

Supplier

file

file

Supplier

Supplier

file

file

Outstanding Outstanding purchasepurchase order filesorder files Outstanding Outstanding purchasepurchase order files order files 2.1.1 Select suppliers

Purchasing data

Purchasing data

Past performance data

Past performance data

Inventory

Inventory

and supplier data

and supplier data

Purchase order Purchase order data data 2.1.2 Obtain verbal commitments Suppliers Suppliers 2.1.3 Prepare purchase orders 2.1.4 Close out purchase orders

Commitments

Commitments

Purchase Orders Purchase Orders Issued purchase Issued purchase order data order data Incurred Incurred Obligations Obligations Purchase Purchase order records order records

Filled purchase Orders

Filled purchase Orders

Purchase records

Purchase records

to close out

to close out

A Figure 2.1 Diagram of the Purchasing System

A Figure 2.1 Diagram of the Purchasing System

1 1 2.2 2.2 2.2 2.2 2.3 2.3 Purchase Purchase Order Order history file history file Purchase Purchase Order Order history file history file Removed purchase Removed purchase order records order records 11-25


(2)

A Figure 2.2 Diagram of the Receiving System

A Figure 2.2 Diagram of the Receiving System

Suppliers

Suppliers

Purchased Purchased items file items file Purchased

Purchased

items file

items file

2.2.1 process receipts

Materials

Materials

stockroom

stockroom

2.2.1 Notify

2.1

2.1

1

1

Purchased Purchased item data item data

Issued Issued purchase purchase order order data data

Shipments Shipments

Stocks Stocks

Receipt Receipt information information

Received items

Received items

Filled purchase orders Filled purchase orders


(3)

Accounts Payable

Accounts Payable

The firm pays suppliers when:

The firm pays suppliers when:

1.

1.

Stock was ordered (P.O. file copy)

Stock was ordered (P.O. file copy)

2.

2.

Stock was received (Received purchases file)

Stock was received (Received purchases file)

3.

3.

Invoice

Invoice


(4)

Paid Payables RecordsPaid Payables Records Paid Supplier Paid Supplier

Accounts

Accounts

payable

payable

file

file

Accounts

Accounts

payable

payable

file

file

Received

Received

purchases

purchases

file

file

Received

Received

purchases

purchases

file

file

Paid

Paid

payables

payables

file

file

Paid

Paid

payables

payables

file

file

Invoice and

Invoice and

statement

statement

file

file

Invoice and

Invoice and

statement

statement

file

file

Received Received Purchases Purchases Incurred Incurred Obligations Obligations New Payables New Payables data data Payables Payables Records

Records Payables LedgerPayables Ledger

Data Data Receipt Receipt Data Data Supplier Invoices Supplier Invoices Payables Payables Records to Records to delete delete

A Figure 2.3 Diagram of the Accounts Payable

A Figure 2.3 Diagram of the Accounts Payable

System

System

Payment Payment data

data Supplier statementsSupplier statements

2.3.4 Provide general ledger data

2.3.3

Delete paid

payables

2.3.1 Set up supplier payables records 2.1 2.1 2.2 2.2 3 3


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AIS is the Foundation System

AIS is the Foundation System

The AIS must be implemented first

The AIS must be implemented first

MIS

MIS

DSS

DSS

ES

ES

Depends on a

well-designed AIS


(6)

Summary

Summary

AIS maintains financial records of the firm

AIS maintains financial records of the firm

Data processing components

Data processing components

Data gathering

Data gathering

Data manipulation

Data manipulation

Data storage

Data storage

Document preparation

Document preparation

AIS Subsystems

AIS Subsystems