AIS CHAPTER 1
1 What are the four levels of activity in the pyramid representing the business organization?
Distinguish between horizontal and vertical flows of information.
Business Operations: This is the lowermost level of the pyramid representing a
3 John should first talk to his supervisor about the illegal dumping of toxic materials and try to stop it.
If the manager does not comply with the request, then John should bring this notice to some top
management officials. These officials stating that
2 Explain whether the cost accounting system primarily supports internal or external reporting.
The cost accounting system is one the subsystems of the Conversion Cycle. It monitors the flow of cost
information related to the production. The system produc
2 FRAUD SCHEME
In order to prevent this type of fraud, segregation of duties should be followed. Sole decision of
choosing and approving vendors should not be given to the agent alone. Another manager or
the owner himself should authorize the decision
Accounting Information Systems Chapter 1 Problems
Internal Revenue System- Sexternal user: stakeholder
Inventory control manager- Iinternal user
Board of directors- Iinternal user
Customers- Texternal user: trading partner