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Core Concepts of Accounting Information Systems Author: Mark G. Simkin Publish On: Mark Simkin, Jacob Rose, and Carolyn S. Norman's essential text, Core Concepts of Accounting Information Systems, 13th Edition helps students understand basic AIS concepts and provides instructors the flexibility to support how they want to ~[E-BOOK_DOWNLOAD]~ Accounting Information Systems 13th Edition 13th Edition ([Read]_online) Identify the information that passes between internal and external parties and an accounting information system (AIS). 4. Describe the major business processes present in most companies. 5. Explain what an AIS is and describe its basic functions. 6. Estimated Reading Time: 9 mins
Accounting information systems 13th edition pdf free download
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Need an account? Click here to sign up. Download Free PDF. Accounting Information Systems 13th Chapter 1. Nguyễn Qúy. Download PDF Download Full PDF Package This paper. A short summary of this paper. Distinguish data from information, discuss the characteristics of useful in- formation, accounting information systems 13th edition pdf free download, and explain how to determine the value of information.
Explain the decisions an organization makes and the information needed to make them. Identify the information that passes between internal and external parties and an accounting information system AIS.
Describe the major business processes present in most companies. Explain what an AIS is and describe its basic functions. Discuss how an AIS can add value to an organization. Explain how an AIS and corporate strategy affect each other. Scott and Susan invested enough money to see them through the first six months. They will hire 15 employees within the next two weeks—3 to stock the shelves, 4 sales representa- tives, 6 checkout clerks, and 2 to develop and maintain the electronic storefront.
To meet that deadline, they have to address the following important issues: 1. What decisions do they need to make to be successful and profitable? For example: a.
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What information do management and other employees need? How can they gather, store, and disseminate that information? What business processes are needed, accounting information systems 13th edition pdf free download, and how should they be carried out?
What functionality should be provided on the website? A well-designed AIS can solve these issues and provide the information they need to make any remaining decisions. Introduction We begin this chapter by explaining important terms and discussing the kinds of informa- tion that organizations need and the business processes used to produce that information. We continue with an exploration of what an accounting information system AIS is, how an AIS adds value to an organization, how an AIS and corporate strategy affect each other, and the system - Two or more interrelated role of the AIS in the value chain.
components that interact to A system is a set of two or more interrelated components that interact to achieve a goal. achieve a goal, often composed Most systems are composed of smaller subsystems that support the larger system.
For ex- of subsystems that support the larger system. ample, a college of business is a system composed of various departments, each of which is a subsystem.
Moreover, the college itself is a subsystem of the university. goal conflict - When a subsys- Each subsystem is designed to achieve one or more organizational goals.
as a whole. The larger the organiza- contributing to the organiza- accounting information systems 13th edition pdf free download and accounting information systems 13th edition pdf free download more complicated the system, the more difficult it is to achieve goal congruence.
Businesses need to collect several kinds of data, such as the activities that take place, accounting information systems 13th edition pdf free download, the resources affected by the activities, and the people who participate in the activity.
For exam- ple, the business needs to collect data about a sale date, total amountthe resource sold good or service, quantity sold, unit priceand the people who participated customer, salesperson. information - Data that have Information is data that have been organized and processed to provide meaning and im- been organized and processed prove the decision-making process, accounting information systems 13th edition pdf free download.
As a rule, users make better decisions as the quantity and to provide meaning and im- prove decision-making. quality of information increase. However, there are limits to the amount of information the human mind can absorb and information overload - Exceed- process.
Information overload occurs when those limits are passed, resulting in a decline in ing the amount of information decision-making quality and an increase in the cost of providing that information. Information a human mind can absorb and process, resulting in a decline in system designers use information technology IT to help decision makers more effectively decision-making quality and an filter and condense information. For example, Walmart has over terabytes trillions of increase in the cost of providing bytes of data in its data warehouse.
That is equivalent to 2, miles of bookshelves, or about information. Walmart has invested heavily in IT so it can effectively collect, Information technology IT - The store, analyze, and manage data to provide useful information. computers and other electronic The value of information is the benefit produced by the information minus the cost of devices used to store, retrieve, transmit and manipulate data.
producing it. Benefits of information include reduced uncertainty, improved decisions, and improved ability to plan and schedule activities. The costs include the time and resources value of information - The spent to produce and distribute the information. Information costs and benefits can be difficult benefit provided by information less the cost of producing it.
to quantify, and it is difficult to determine the value of information before it has been pro- duced and utilized. Nevertheless, the expected value of information should be calculated as ef- fectively as possible so that the costs of producing the information do not exceed its benefits.
To illustrate the value of information, consider the case of 7-Eleven, accounting information systems 13th edition pdf free download. When a Japanese com- pany licensed the very successful 7-Eleven name from Southland Corporation, it invested heavily in IT.
However, the U. stores did not. Orders are placed and filled three times a day so that stores always have fresh food. In addition, suppliers can access 7-Eleven sales data electronically so that they can forecast demand. This reduces deliveries from 34 to 12 a day, result- ing in less clerical receiving time. What happened to Southland and its 7-Eleven stores in the United States? Profits declined, and Southland eventually had to file for bankruptcy. Table presents seven characteristics that make information useful and meaningful.
TABLE Characteristics of Useful Information Relevant Reduces uncertainty, improves decision making, or confirms or corrects prior expectations. Reliable Free from error or bias; accurately represents organization events or activities.
Complete Does not omit important aspects of the events or activities it measures. Timely Provided in time for decision makers to make decisions. Understandable Presented in a useful and intelligible format. Verifiable Two independent, knowledgeable people produce the same information. Accessible Available to users when they need it and in a format they can use. In addition, all orga- nizations have certain business processes in which they are continuously engaged.
A business business process - A set of relat- process is a set of related, coordinated, and structured activities and tasks that are performed ed, coordinated, and structured activities and tasks, performed by a person, a computer, or a machine a computer or a machine, and that help accomplish a by a person, a computer, or a specific organizational goal.
machine that help accomplish a To make effective decisions, organizations must decide what decisions they need to make, specific organizational goal. what information they need to make the decisions, and how to gather and process the data needed to produce the information. This data gathering and processing is often tied to the ba- sic business processes in an organization. Then they can determine the types of data and procedures they will need to collect and produce that information.
Information about payment terms for transaction - An agreement be- tween two entities to exchange merchandise purchases, for example, will be provided by vendors. ernmental agencies, as well as with internal parties such as management and employees. To get a better handle on the more important interactions with these parties, they prepared transaction processing - Process of capturing transaction data, Figure processing it, storing it for later use, and producing information output, such as a managerial BUSINESS PROCESSES report or a financial statement.
Scott decides to reorganize the business processes listed in Table into groups of related give-get exchange - Transac- transactions. A transaction is an agreement between two entities to exchange goods or ser- tions that happen a great many vices or any other event that can be measured in economic terms by an organization. Examples times, such as giving up cash to get inventory from a sup- include selling goods to customers, buying inventory from suppliers, and paying employees.
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