Transactions in the expenditure Notes
Give cash; get goods or services
Requisition goods and services
Process purchase orders to vendors
Receive goods and services
Receive vendor invoices
Update accounts paya
Relevant Costs for Decision Making
Learning objective 1: Distinguish between relevant and irrelevant costs in decision
Cost that differs across alternatives being considered
Is an avoidable cost
# define MAX 5
printf("\n the queue is full!");
printf("\n\n enter any key to continue:");
Accounting software packages Notes
Many accounting software packages implement the different
transaction cycles as separate modules.
Not every module is needed in every organization, e.g.,
retail companies dont have a production cycle.
Some companies may
DATA STORAGE Notes
Group coding schemes are often used in assigning general
ledger account numbers. The following guidelines should be
The code should be consistent with its intended use, so
make sure you know what users need.
Provide enough dig
Coding techniques Notes
Coding is a method of systematically assigning numbers or
letters to data items to help classify and organize them.
There are many types of codes including:
With sequence codes, items (such as
AIS Transaction Notes
The AIS also interacts with internal parties such as
employees and management.
The interaction is typically two way, in that the AIS sends
information to and receives information from these parties.
A transaction is:
An agreement bet
Data input Notes
The first step in data processing is to capture the data.
Usually triggered by a business activity.
Data is captured about:
The resources affected by the event.
The event that occurred.
The agents who participated
A number of actions can
Data storage Notes
Data needs to be organized for easy and efficient access.
Lets start with some vocabulary terms with respect to data
A ledger is a file used to store cumulative information about
resources and agents. We typically use the
Forms of Business Organization Notes
There are three forms of business organization. They are:
An unincorporated business owned by a single individual.
The law does not distinguish between th
What is Accounting Notes
Accounting is a system of dealing with financial information
that provides information for decision-making.
Accounting is the language of business.
The Five functions of Accounting
1. Gathering financial information.
transactions in the revenue cycle Notes
Other transactions in the revenue cycle include:
Handle customer inquiries
Take customer orders
Approve credit sales
Check inventory availability
Initiate back orders
Pick and pack orders
storage terminology Notes
Now that weve learned some storage terminology, lets
return to the data storage process.
When transaction data is captured on a source document,
the next step is to record the data in a journal.
A journal entry is made for each t
INFORMATION NEEDS AND BUSINESS PROCESSES Notes
Businesses engage in a variety of processes, including:
Buying buildings and equipment
Hiring and training employees
Doing advertising and marketing
Selling goods or services
School of Applied Sciences and Technology
ACCT 4660 MANAGERIAL ACCOUNTING
Exam 3 - 30%
December 14, 2016
TIME: 2.5 HOURS
Make or buy decision
Net present value