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LO#1 Understand the purpose of structure models. LO#2 Understand and apply the building blocks for UML Class (structure) Diagrams. LO#3 Describe multiplicities for a UML Class Diagram. LO#4 Understand how to implement a relational database from a UML Class Diagram. LO#5 Describe business rules and various forms of rules.

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Define internal control and explain its importance in the accounting information system. Explain the basic purposes of internal control and its relationship to risk. Describe and give examples of various kinds of risk exposures.

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Chapter 3: Operating Decisions and the Accounting System As noted in the introduction of this chapter, Chipotle Mexican Grill’s philosophy of “Food with Integrity” guides its operating decisions. Food with Integrity entails finding and serving high-quality sustainably and organically raised food. It also includes showing respect for animals, the...

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An adjusting entry is recorded to bring an asset or liability account balance to its proper amount as well as update any related revenue or expense account. Framework for Adjustments Paid (or received) cash before expense (or revenue) recognized Paid (or received) cash after expense (or revenue) recognized

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An account is a record of increases and decreases in a specific asset, liability, equity, revenue, or expense item. The general ledger is a record containing all accounts used by the company. The ledger is a collection of all accounts for an information system. A company’s size anddiversity of operations affect the numberof accounts needed.

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The accounting equation must remain in balance after each transaction. That is, total assets (resources) must equal total liabilities and stockholders’ equity (claims to resources). If all correct accounts have been identified and the appropriate direction of the effect on each account has been determined, the equation should remain in balance.

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LO#1 Describe the roles of the accounting/finance function in business and why those roles require knowledge of technology and business processes. LO#2 Understand the importance of business process documentation. LO#3 Recognize the value of business models. LO#4 Articulate the characteristics of activity models. LO#5 Understand and apply the bu...

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Learning objectives Accounting and bookkeeping Accounting cycle Internal controls Coding systems Human judgment and information technology

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Learning objectives Definition of AIS AIS importance AIS generic structure Information literacy

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BALANCE SHEET – reports the amount of assets, liabilities, and stockholders’ equity of an accounting entity at a point in time. INCOME STATEMENT – reports the revenues less the expenses of the accounting period. STATEMENT OF STOCKHOLDERS’ EQUITY – reports the changes in each of the company’s stockholders’ equity accounts, including the change ...

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