MBA 770 – Accounting Information Systems
February 16, 2011
Question 1 (5 points) – Define an accounting information system.
An accounting information system (AIS) is a system that collects, records, stores, and
processes data to produce information for decision makers.
Question 2 (5 points) – Identify the components of an accounting information system.
There are six components of an AIS: 1) the
who operate the system and perform
various functions, 2) the
, both manual and automated, involved in
collecting, processing, and storing data about the organization’s activities, 3) the
organization and its business processes, 4) the
used to process the organization’s data,
information technology infrastructure
, including computers, peripheral devices, and
network communications devices used to collect, store, process, and transmit data and
information, and 6) the
that safeguard the data in the
Question 3 (5 points) – What is the purpose of source documents? What controls are
embedded in source documents? Give two examples of source documents.
Most businesses used paper source documents to collect data about their business
In fact, they contain the initial record of a transaction that takes place.
are embedded in source documents include purchasing pre-numbered source documents or
having the system automatically assign a sequential number to each new transaction.
numbering simplifies verifying that all transactions have been recorded and that none of the
documents has been misplaced.
The two examples of source documents are a sales order and
delivery ticket or bill of lading.
Question 4 (5 points) – What is a system flowchart? What is a program flowchart? How are
these two interrelated?
A system flowchart depicts the relationships among the input, processing, and output of
an accounting information system.
A system flowchart begins by identifying the inputs that
enter the system and their origins.
A program flowchart illustrates the sequence of logical
operations performed by a computer in executing a program.
These two are interrelated because
a program flowchart describes the specific logic to perform a process shown on a system
Question 5 (5 points) – A) Identify four source data controls
Source data controls include ATMS used by banks, point-of-sale (POS) scanners used in
retail stores, bar code scanners used in warehouses, forms design,
cancellation and storage of