WGU D217 Accounting Information Systems

WGU D217 Accounting Information Systems

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Students also studied Terms in this set (249) Western Governors UniversityD 217 Save D217 Accounting Information Syste...226 terms vanessa_harris263 Preview WGU D217 Accounting Information ...163 terms kristineburrow Preview Operations and Supply Chain Mana...245 terms rwdixon1993Preview D215 Au 336 term Sav a financial transactionThe primary input to the transaction processing system is FRS provides information to external users; the MRS provides information to internal users.The major difference between the financial reporting system (FRS) and the management reporting system (MRS) is the whether the transactions are financial or nonfinancial that directly affect the processing of financial transactions The author distinguishes between the accounting information system and the management information system based on the purchase of computerAn example of a financial transactions is log of customer callsAn example of a nonfinancial transaction is the conversion cycleThe transaction processing system includes which of the following the production of useful informationThe goal of data processing is tax authoritiesWhich of the following is an external end user?internal auditingAn appraisal function housed within the organization that performs a wide range of services for management is constituentsWhat factor conceptually distinguishes external auditing and internal auditing?cash disbursementsWhat system is part of the expenditure cycle?physical and financialBoth the revenue and the expenditure cycle can be viewed as having two parts.These key parts are

represent relationships between key elements of both manual and computer systems System flowcharts do which one of the following?ovalWhich symbol is used to represent a data source or destination of documents and reports in a system flowchart?Sales Order ProcessingWhich accounting application is least suited to batch processing?there is a lag between the time when the economic event occurs, and the financial records are updated.In contrast to a real-time system, in a batch processing system processing takes place when the economic event occurs.In contrast to a batch processing system, in a real-time system block codeThe coding scheme most appropriate for a chart of accounts is a mnemonic codeWhen a firm wants its coding system to convey meaning without reference to any other document, it would choose missing or unrecorded documents can be identified. The most important advantage of sequential coding is that Management Reporting System (MRS)Li has implemented a new accounting information system (AIS) to help him manage his construction company. Li uses the information captured by the system to plan each project, forecasting the requirements for raw materials and the cash flow expected. Which AIS subsystem helps Li in planning?Variance reportsWhich information does the management reporting system (MRS) provide?The decision maker wastes resources analyzing outdated information.

Useful information has the following characteristics: relevance, timeliness,

accuracy, completeness, and summarization. What happens if the information is old?The decision maker receives materially wrong information.

Useful information has the following characteristics: relevance, timeliness,

accuracy, completeness, and summarization. What happens if the information is inaccurate?The organization needs to review its credit-granting policies.Which important information does external feedback about the level of uncollected customer accounts indicate to the management information system?Raw material is moved into work-in process.What is a type of data source for the accounting information system (AIS)?It has unique information needs.Why would an organization decide to develop its own custom information system?Inaccurately recording sales and cash receipts transactions in journals and accounts.An objective of internal controls is to mitigate the risk from errors and fraud. What is the primary risk associated with revenue cycle transactions?It is a temporary file using a numeric filing system. What does the letter N in an inverted triangle mean in a system flowchart?Master fileWhich digital computer file contains account data that are updated by transactions and includes the general ledger and subsidiary ledgers?

Parallelogram symbolHow would shipping logs be depicted in system flowchart?This is an on-page connector used to replace flow lines that otherwise would cause excessive clutter on the page.What is the circular symbol labeled A in the system flowchart?Sequential coding supports the reconciliation of a batch of transactions at the end of processing.What is an advantage of sequential codes?Real-time systems process transactions individually when the events occur.Why is there no lag time with real-time systems?Collecting data only onceWhat does efficiency mean in the data collection process?The decision maker does not have enough information in order to act.

Useful information has the following characteristics: relevance, timeliness,

accuracy, completeness and summarization. What happens if the information is incomplete?The decision maker is overwhelmed by the amount of detail in the information.

Useful information has the following characteristics: relevance, timeliness,

accuracy, completeness and summarization. What happens if the information lacks summarization?CompleteAn office manager receives the following marketing fax from a current supplier: "Our company is having a promotion this month for all our main products. Please call for more information." Which characteristic of useful information is missing from this scenario?They are the domain experts, determining the nature of the information required, its source, its destination, and the rules that need to be applied.Why are accountants involved in the information system development team?CDP uses a common data center for all the processing needs of the organization; in DDP, every department has its own processing capabilities.What is the main difference between centralized data processing (CDP) and distributed data processing (DDP)?Transactions processing system (TPS)Sara has started a very successful online company selling custom-made jewelry.One of her competitive advantages is a state-of-art information system that provides visibility within the supply chain. Which one of the information system's subsystems helps Sara manage the customer orders she receives?Organizational departmentsA system flowchart is a graphical representation of the physical relationships among key elements of a system. What do these elements include?It is a temporary file using a chronological filing system/ What does the letter C in an inverted triangle mean in a flowchart?Master fileWhich digital computer file contains account data that are updated by transactions and includes the general ledger and subsidiary ledgers?Parallelogram symbolHow would shipping logs be depicted in a system flowchart?

Bucket-shaped symbolIn a system flowchart, how would a clerk's tasks of entering sales orders be depicted?Master file backupIt is a standard and a necessity to maintain the master file integrity of an organization so that if the current master files become corrupt, destroyed, or plagued with errors, the organization has a recourse. What should the organization have in place in case of such an event?the customer purchase orderWhich document triggers the revenue cycle?accounts payableWhich department is least likely to be involved in the revenue cycle?bill the customerThe purpose of the sales invoice is to supervisionWhich type of control is considered a compensating control for customer payments?the transfer of information among modules occurs automatically.Commercial accounting systems have fully integrated modules. The word "integrated" means that vendorA copy of the purchase order (PO) is sent to the accounts payable.The departments involved in the purchasing process are purchasing, receiving, inventory control and the liability account is decreased.When a cash disbursement in payment of an accounts payable is recorded accounts payable.The greatest risk of misappropriation of funds occurs in receiving.In a firm with proper segregation of duties, adequate supervision as a compensating control is still necessary in purchase of a new plant.The fixed asset system records the cash disbursementsIn a technology enabled payroll system, Personnel, Time Keeping, Payroll, and Accounts Payable connect to which department to pay employees?general ledger compares the labor distribution summary from cost accounting to the disbursement voucher from accounts payable.An important reconciliation in the payroll system is Paychecks are distributed by the employees' immediate supervisor.Which of the following situations represents an internal control weakness?Fully depreciated assets are disposed of immediately. Which of the following is NOT a reasonable control for fixed assets?balances for each account in the chart of accounts What type of data is found in the general ledger master file?comparative balance sheetWhich report is an output of the financial reporting system (FRS)?