3.4 A document flowchart to reflect how ANGIC Insurance Company processes its casualty claims.

ADJUSTER CLAIMS DEPARTMENT DATA PROCESSING

Notice of Loss
START

From
Claimant

Prepare proof
of loss, claim
1 From recored
Proof of Loss Claimant
2
Form
3
4
1 Notice of Loss
Proof of Loss Notice of Loss
2
Form
3 Claim Record
Claim Record
4

Assist Prepare
Claimant with Separate
Form Report 2
Proof of
Loss
To Claimant Adjuster's Report

Adjuster's Report

Prepare Check & Disbursement List

1 Disbursement list
1 Proof of
Proof of 2 2
2 Loss Authorize
Loss Proof of
Claim
3 Loss
Payment
4

To Accounting

1 Adjuster's Report Check

Proof of
Loss

To Claimant
A

To Claimant

3-1
3.5 Becc
a. Prepare a document flowchart that indicates the interaction and use of these
documents among all departments at Beccan Company’s central facility. It should
provide adequate internal control over the receipt, issuance, replenishment, and
payment of tires and supplies. You may assume that there is a sufficient number of
document copies to ensure that the perpetual inventory system has the necessary
basic internal controls.
b. Using the flowcharting conventions discussed in Focus 3.2, critique the instructor
provided CMA solution. List all the ways the CMA solution violates those
flowcharting guidelines.
Adapted from the CMA Exam. Note: the CMA solution shown does not follow the flowcharting
conventions discussed in the chapter. When the authors use this problem they have the students critique
the CMA exam solution (assignment 3.5b), based upon the conventions discussed in Focus 3.2.

3-2
 Accounting Information Systems

3.
3.6 b. Prepare a document flowchart to document the payroll processing system at No-
Wear Products.

No-Wear Products-Payroll

Employees in Functional
Department Payroll

Time Card
Record
Time
Enter Time Data
Record Time Process
Data Enter Payroll
Payroll Changes
Changes

Completed Time Completed Time

Card Card Payroll File

From Human
Resource Dept Payroll Changes

Process
Payroll,
Prepare N
Checks and

Paycheck
Employee

Management
Report
Management

Federal Tax
Report

Stat Tax Report

Goverrnment

3-3