UNIVERSITY OF THE EAST - CALOOCAN CAMPUS

College of Business Administration

SY 2021 - 2022
BSA 3103 - Accounting Information System

NAME Joeneil L. Damalerio CLASS 20161123666

ID:
BSMA 2E 11/08/2021
SECTION DATE

Module No. : 1 Activity No.: 1

Topic : Accounting Information Systems: An Overview

Short Answer

1. Describe how AIS adds value to an organization by providing accurate and timely
information.

Information provided by AIS gives an organization to have an effective quality decision

making and efficient decisions for example, by reducing some cost because of a decision
making the organization does. AIS delivers what’s the management needs and answers
the questions they have to have a brilliant decision that may give the organization more
profits or benefits. Having a precise information is a big advantage for the company that
may influence or entirely change the strategy or the goal of an organization and such
information is provided by proper applications of a well-designed Accounting Information
System.

2. Describe the six components of an Accounting Information System (AIS).

People - The people in an AIS are the system users. An AIS helps the different
departments within a company work together.

Procedures And Instructions - The procedure and instructions of an AIS are the methods
it uses for collecting, storing, retrieving, and processing data. These methods are both
manual and automated.

Data – All the pertinent financial information to a organization’s business practices.

Software - the computer programs used to store, retrieve, process, and analyze the
company's financial data.

Information Technology Infrastructure - hardware used to operate the accounting

information system.

Internal Control - the security measures it contains to protect sensitive data. These can
be as simple as passwords or as complex as biometric identification.

3. Within the value chain of an organization there are five primary activities and four
support activities. Describe how an accounting information system fits into the
value chain of an organization. Where does it add value?

Value chain is the different activities within the organization that provides value to the
customers whereas primary activities who provides direct value to them while the support
activities that makes the primary activities effective and efficient. The AIS keeps these
activities monitored and shows the holes that is needed to be fixed also AIS is a acting
supervisor that give information to the authorities on what is happening in the overall
activity.