computerized accounting information systems overview l.
Download
Skip this Video
Loading SlideShow in 5 Seconds..
Computerized Accounting Information Systems OVERVIEW PowerPoint Presentation
Download Presentation
Computerized Accounting Information Systems OVERVIEW

Loading in 2 Seconds...

play fullscreen
1 / 32

Computerized Accounting Information Systems OVERVIEW - PowerPoint PPT Presentation


  • 625 Views
  • Uploaded on

Computerized Accounting Information Systems OVERVIEW. Transaction Processing System Architectures. A firm’s transaction processing systems may either be manual or computerized. Computerized Transaction Processing System. T1. T2. T3. T4. T5. T6. T7. D1. D3. D4. D5. D1. D2. D6. M1.

loader
I am the owner, or an agent authorized to act on behalf of the owner, of the copyrighted work described.
capcha
Download Presentation

PowerPoint Slideshow about 'Computerized Accounting Information Systems OVERVIEW' - adamdaniel


An Image/Link below is provided (as is) to download presentation

Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author.While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server.


- - - - - - - - - - - - - - - - - - - - - - - - - - E N D - - - - - - - - - - - - - - - - - - - - - - - - - -
Presentation Transcript
transaction processing system architectures
Transaction Processing System Architectures
  • A firm’s transaction processing systems may either be manual or computerized

IS 423 ชุดที่ 5

computerized transaction processing system
Computerized Transaction Processing System

T1

T2

T3

T4

T5

T6

T7

D1

D3

D4

D5

D1

D2

D6

M1

A1

P1

D9

D8

P2

D2

D3

D7

Display

T8

T9

components of the transaction processing system
Components of the Transaction Processing System
  • What are some examples of inputs?
  • customer orders
  • sales slips
  • invoices
  • purchase orders
  • employee time cards

IS 423 ชุดที่ 5

components of the transaction processing system5
Components of the Transaction Processing System
  • Processing involves the use of journals and registers to provide a permanent and chronological record of inputs.
  • Journals are used to record financial accounting transactions.
  • Registers are used to record other types of data not directly related to accounting.

IS 423 ชุดที่ 5

components of the transaction processing system6
Components of the Transaction Processing System
  • Special journals are used to record similar and recurring transactions.
  • What are examples of special journals?
  • sales journal
  • purchase journal
  • cash receipts journal
  • cash disbursements journal

IS 423 ชุดที่ 5

components of the transaction processing system7
Components of the Transaction Processing System

Source

Documents

Cash

Receipts

Journal

Cash

Disbursements

Journal

General

Journal

Purchases

Journal

Sales Journal

IS 423 ชุดที่ 5

components of the transaction processing system8
Components of the Transaction Processing System
  • Ledgers and files provide storage of data in both manual and computerized systems.
  • Ledgers provide summaries of a firm’s financial accounting transactions.
  • A file is an organized collection of data.
  • transaction file
  • master file
  • reference or table file

IS 423 ชุดที่ 5

components of the transaction processing system9
Components of the Transaction Processing System
  • What is an output?
  • It is any document generated in the system.
  • What are some examples of outputs?
  • trial balance
  • financial reports
  • operational reports
  • paychecks

IS 423 ชุดที่ 5

designing double entry systems
Designing Double-Entry Systems
  • An accounting system must “fit” a particular organization.
  • What must be taken into account in designing an accounting system?
  • the nature and purpose of the organization
  • its structural and functional characteristics
  • its physical layout, products, and services
  • the personnel who operate the system

IS 423 ชุดที่ 5

designing double entry systems11
Designing Double-Entry Systems

Hierarchical Model of an Accounting System

Financial Statements

Chart of Accounts

Cycles Revenue Expenditure Production

Sales

Purchasing

Inventory

Application Systems

Payroll

Property

Accounts Receivable

Standard Journal Entries

Identify accounts affected by each application system

IS 423 ชุดที่ 5

designing double entry systems12
Designing Double-Entry Systems

Hierarchical Model of an Accounting System

Financial Statements

Chart of Accounts

Cycles Finance Financial Reporting

Cash

General Ledger

Application Systems

Consolidation

Standard Journal Entries

Identify accounts affected by each application system

IS 423 ชุดที่ 5

designing double entry systems13
Designing Double-Entry Systems
  • What are the four stages involved in the design of an accounting system?
  • Design a rough classification of accounts, or chart of accounts, and related financial statements and reports.
  • Review this with management and operating personnel.

IS 423 ชุดที่ 5

designing double entry systems14
Designing Double-Entry Systems
  • Finalize statements, chart of accounts, and other reports.
  • Prepare a plan of journalizing and design the necessary business papers and procedures to implement and operate the system.

IS 423 ชุดที่ 5

designing double entry systems15
Designing Double-Entry Systems
  • The chart of accounts is a listing of all asset, liability, revenue, expense, and equity accounts used in an accounting system.
  • It is used to achieve an organization’s objectives for financial reporting and control.

IS 423 ชุดที่ 5

designing double entry systems16
Designing Double-Entry Systems
  • A plan for journalizing and posting transactions involves several steps.
  • Step 1: Analyze the natures of activities within the four basic transaction cycles.
  • Revenue cycle
  • Expenditure cycle
  • Finance cycle
  • Production cycle

IS 423 ชุดที่ 5

designing double entry systems17
Designing Double-Entry Systems
  • It is common to identify a fifth major transaction cycle to group accounts that are not directly affected by transactional activity.
  • The financial reporting cycle does not process transactions involving external parties.

IS 423 ชุดที่ 5

designing double entry systems18
Designing Double-Entry Systems
  • Step 2: Group activities within each major transaction cycle into application systems.
  • An application system processes a logically related set of transactions.
  • Step 3:Develop a complete set of standard or recurring journal entries.

IS 423 ชุดที่ 5

designing double entry systems19
Designing Double-Entry Systems
  • What are standard journal entries?
  • They are pro forma or hypothetical entries that are expected to occur in the normal operation of the system.
  • They should indicate three items.
  • The accounts affected by the entry
  • The source of the entry
  • The date or period of the entry

IS 423 ชุดที่ 5

designing double entry systems20
Designing Double-Entry Systems

Journal and Journal-Entry Relationship

Sales Journal Page 1

Debits Credits

Accounts

Receivable Sales

Date Reference Customers Other Class 1 Class 2 Services Tax

Number 120 121 511 512 520 550

Standard Journal Entry

No. 15 Monthly

DR. 120 Accounts Receivable–Customers

DR. 121 Accounts Receivable–Others

CR. 511 Sales–Class 1

CR. 512 Sales–Class 2

CR. 520 Sales–Services

CR. 550 Sales–Tax

IS 423 ชุดที่ 5

designing double entry systems21
Designing Double-Entry Systems
  • The flow of processing in a manual accounting system is from source documents to journals, journals to ledgers, and from ledgers to financial statements.
  • Multiple transaction techniques become essential as the volume of transactions grows.

IS 423 ชุดที่ 5

designing double entry systems22
Designing Double-Entry Systems
  • What is a one-write system?
  • It is a device that both posts a transaction and journalizes it in the same operation.
  • A writing board is designed to allow simultaneous recording on several documents arranged and held on a special board.

IS 423 ชุดที่ 5

designing double entry systems23
Designing Double-Entry Systems
  • What is ledgerless bookkeeping?
  • It is a form of processing in which source documents are sorted and filed rather than posted to ledgers.
  • The file of source documents replaces a separate ledger.

IS 423 ชุดที่ 5

designing double entry systems24
Designing Double-Entry Systems
  • Accounts receivable and accounts payable systems are typically best suited for ledgerless bookkeeping applications.
  • Ledgerless bookkeeping systems have less redundancy, and therefore less inherent control.

IS 423 ชุดที่ 5

designing double entry systems25
Designing Double-Entry Systems
  • When computers are used to process transactions, two different modes of processing accounting transactions are possible.
  • Batch processing
  • Direct processing

IS 423 ชุดที่ 5

designing double entry systems26
Designing Double-Entry Systems
  • Batch processing is a form of processing in which batches of transactions are accumulated and processed as a group.
  • Direct processing is a form of processing in which individual transactions are processed separately.

IS 423 ชุดที่ 5

designing double entry systems27
Designing Double-Entry Systems
  • What is data validation?
  • It is the process of reviewing transaction details for accuracy and completeness during input.

IS 423 ชุดที่ 5

designing double entry systems28
Designing Double-Entry Systems
  • The basic double-entry accounting model contains just three accounts: assets, liabilities, and equity.
  • Block coding is a way to organize a chart of accounts.
  • It sets aside a “block” or group of sequential account numbers for each major group of accounts.

IS 423 ชุดที่ 5

form design and records retention considerations
Form Design and Records Retention Considerations
  • Accounting-related forms and papers serve several functions.
  • What are these functions?
  • They serve as a physical medium to store and transmit data.
  • They transmit authority and responsibility.
  • They assist employees by indicating what data should be recorded.

IS 423 ชุดที่ 5

form design and records retention considerations30
Form Design and Records Retention Considerations
  • The fundamental consideration in form design is the user.
  • Concerning paper forms, optional design features such as multiple colors, prenumbering, and rigid specifications for size and quality of the paper stock are often desirable.

IS 423 ชุดที่ 5

form design and records retention considerations31
Form Design and Records Retention Considerations
  • Records retention requirements must be considered in the design of an accounting system.
  • Various government and tax regulations set specific guidelines and legal requirements over records retention.

IS 423 ชุดที่ 5

form design and records retention considerations32
Form Design and Records Retention Considerations
  • Records retention must also be considered from the internal viewpoint of information storage and usage.

IS 423 ชุดที่ 5