Kế toán, kiểm toán - Chapter 1: Role and purpose of accounting information systems

PowerPoint Presentation MaterialsAccounting Information Systems:Basic Concepts and Current Issues3rd editionRobert L. HurtChapter 1Role and Purpose of Accounting Information SystemsMcGraw-Hill/Irwin© 2013 The McGraw-Hill Companies, Inc., All Rights Reserved.OutlineExpected outcomesDefinition and importance of AISAIS and the rest of accountingGeneric AIS structureCritical thinkingInformation literacyExpected outcomesDefine “accounting information systems.”Discuss why AIS is an important area of study for future accountants.Compare and contrast AIS with other areas of study in accounting.Explain the structure of most AIS.Locate and evaluate information sources on AIS.Describe the structure and content of the remainder of this text.Definition and importance of AISAn accounting information system is a set of interrelated:ActivitiesDocumentsTechnologiesDesigned to:Collect dataProcess itReport informationTo a diverse group of:Internal decision makersExternal decision makersIn all kinds of organizationsDefinition and importance of AISExamples of activitiesSelling goods and servicesCollecting cashExamples of documentsInvoicesPurchase ordersExamples of technologiesGeneral ledger softwareRelational database softwareActivitiesDocumentsTechnologiesDecision makersOrganizationsAISDefinition and importance of AISExamples of decision makersManagersStockholdersExamples of organizationsMicrosoft Corp.City of Los AngelesLecture break 1-1Form a group of three to five students.As a group, give one additional example of each element.ActivitiesDocumentsTechnologiesDecision makersOrganizationsAISDefinition and importance of AISAIS importanceNeeded in all organizationsGives a “big picture” view of accountingTouches virtually every other area of accountingOffers opportunity for developing critical thinking skillsAIS and the rest of accountingLinks between AIS and other accounting coursesFASB Conceptual Framework (financial)Structure of AIS (auditing)Transaction processing (financial)Business processes (financial, cost, tax, audit)Information technology (financial, cost, tax, audit)AIS and the rest of accountingObjectiveElements of financial statementsQualitative characteristicsAssumptionsPrinciplesConstraintsFASB Conceptual Framework of AccountingAIS and the rest of accountingLecture break 1-2Check out the description of the conceptual framework in Chapter 1. Which terms and ideas do you recognize from your prior study of accounting? Which are unfamiliar?Generic AIS structureInputsProcessesOutputsStorageInternal controlsGeneric AIS structureInputsRaw data that enters the AISSource documentsChecksSales invoicesProcessesSteps in the accounting cycleBusiness processesThe things organizations do to create value for stakeholdersGeneric AIS structureOutputsInformation used for making decisionsGeneral purpose financial statementsTax returnsOther reportsMay be paper-based or electronicStorageMaster filesCustomersInventoryTransaction filesSalesPurchasesJunction filesSales / inventoryPurchases / inventoryGeneric AIS structureInternal control purposesSafeguard assets.Ensure reliable financial reporting.Promote operating efficiency.Encourage compliance with management directives.Internal control examplesAdequate documentationSeparation of dutiesIT passwordsPhysical controlsGeneric AIS structureLecture break 1-3How are the AIS elements demonstrated at your university?Form a group of three to five students to complete this exercise. Be ready to discuss your thoughts with the class.Critical thinkingTwo types of questions in AISDeterministicOne right answerExample: what is the journal entry to record a cash sale of services?Non-deterministicMultiple right answersExample: what internal controls are needed?“Multiple right answers” is not the same as “all answers are correct.”Critical thinkingBloom’s taxonomy One good tool for thinking about critical thinkingSix levels, each requiring more critical thinking than the one before itLevels of Bloom’s taxonomyKnowledgeComprehensionApplicationAnalysisSynthesisEvaluationCritical thinkingKnowledgeRecalling memorized factsComprehensionStating ideas in your own wordsApplicationApplying ideas in a new settingAnalysisBreaking a “big chunk” into smaller piecesSynthesisAggregating smaller pieces into a wholeEvaluationJudging the worth of ideasInformation literacyOne important component of critical thinkingAbility to: Recognize when information is neededFind needed informationUse it for decisionsImportance in AISNon-deterministic questions and issues“Cutting edge” problemsNuances of words and ideasInformation literacyThree broad types of informationSponsored / commercialPopular / practitionerScholarlyFive criteria for evaluating informationAuthorityAccuracyObjectivityCurrencyCoverageThese five criteria come from the University of Maryland University College (UMUC).Information literacyAuthorityWho created the information? With what goal in mind?AccuracyWhere did the information originate? Does it contain errors of fact?ObjectivityIs the information primarily advertising?CurrencyWhen was it created?CoverageDoes it provide sufficient depth?Information literacyLecture break 1-4Check out any article of your choosing in one of the following online journals:Journal of Forensic and Investigative AccountingAccounting TodayJournal of AccountancyFor the article you choose:Prepare a brief summary.Determine the kind of information presented.Evaluate it using the UMUC criteria.Classroom assessmentWe’ve considered the following topics in this lecture:Definition & importance of AISRelationship of AIS to the rest of accountingGeneric AIS structureCritical thinkingInformation literacyIn a manner specified by your instructor:Summarize the main points of one or more topics in your own words.Raise at least one question about something that seems unclear about one or more of the topics.