No human intervention or management EDI System Purchases System EDI Translation

No human intervention or management edi system

  • No School
  • AA 1
  • 39

This preview shows page 31 - 39 out of 39 pages.

No human intervention or management
Image of page 31

Subscribe to view the full document.

EDI System Purchases System EDI Translation Software EDI Translation Software Communications Software Communications Software Other Mailbox Other Mailbox Company A’s mailbox Company B’s mailbox Sales Order System Application Software Application Software Direct Connection VAN Company A Company B
Image of page 32
Control Considerations for Computer-Based Systems
Image of page 33

Subscribe to view the full document.

Reengineering Using the Internet Typically, no formal business agreements exist as they do in EDI. Most orders are made with credit cards . Mainly done with e-mail systems, and thus a turnaround time is necessary Intelligent agents are needed to eliminate this time lag. Security and control over data is a concern with Internet transactions.
Image of page 34
Control Considerations for Computer-Based Systems Authorization - in real-time systems, authorizations are automated: programmed decision rules must be closely monitored. Segregation of Functions - some consolidation of tasks by the computer; protect the computer programs--coding, processing and maintenance should be separated.
Image of page 35

Subscribe to view the full document.

Control Considerations for Computer-Based Systems Supervision - in POS systems, the cash register’s internal tape or database is an added form of supervision. Access Control - magnetic records are vulnerable to both authorized and unauthorized exposure and should be protected. Must have limited file accessibility Computer programs must be safeguarded and monitored
Image of page 36
Control Considerations for Computer-Based Systems Accounting Records - rest on reliability and security of magnetically stored data. The accountant should be skeptical about accepting the accuracy of hard-copy printouts of journals and ledgers. Backup is a concern for direct access files, and the system needs to ensure that backup of all files is continuously kept.
Image of page 37

Subscribe to view the full document.

Microcomputer-Based Accounting Systems Used by small firms and some large decentralized firms Allow one or few individuals to perform entire accounting function Most systems are divided into modules general ledger inventory control payroll cash disbursements purchases and accounts payable cash receipts sales order
Image of page 38
Microcomputer Control Issues Segregation of Duties - tend to be inadequate and should be compensated for with increased supervision , detailed management reports , and frequent independent verification Access Control - access controls to the data stored on the computer tends to be weak; methods such as encryption and disk locking devices should be used Accounting Records - computer disk failures cause data losses; external backup methods need to be implemented to allow data recovery
Image of page 39
  • Fall '19
  • invoice

What students are saying

  • Left Quote Icon

    As a current student on this bumpy collegiate pathway, I stumbled upon Course Hero, where I can find study resources for nearly all my courses, get online help from tutors 24/7, and even share my old projects, papers, and lecture notes with other students.

    Student Picture

    Kiran Temple University Fox School of Business ‘17, Course Hero Intern

  • Left Quote Icon

    I cannot even describe how much Course Hero helped me this summer. It’s truly become something I can always rely on and help me. In the end, I was not only able to survive summer classes, but I was able to thrive thanks to Course Hero.

    Student Picture

    Dana University of Pennsylvania ‘17, Course Hero Intern

  • Left Quote Icon

    The ability to access any university’s resources through Course Hero proved invaluable in my case. I was behind on Tulane coursework and actually used UCLA’s materials to help me move forward and get everything together on time.

    Student Picture

    Jill Tulane University ‘16, Course Hero Intern

Ask Expert Tutors You can ask 0 bonus questions You can ask 0 questions (0 expire soon) You can ask 0 questions (will expire )
Answers in as fast as 15 minutes