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ACCOUNTING INFORMATION

SYSTEM 1 – AIS20103
Overview of AIS and system concepts

AIS20103 Sept'16
Business resource –
Information vital to the survival of
business organization

Tremendous flows in
and out of
information
Information
environment
Needed by internal
and external users

AIS20103 Sept'16
Flows of Information

Top Management
Budget information &

Performance
Middle Management

information
Instructions

Operations Management

Operations personnel

Day to day operations

AIS20103 Sept'16
Information objectives

To support the
To support the
stewardship To support
firm’s day to
function of decision making
day operations
management

AIS20103 Sept'16
Purpose of AIS

Report
Collect Process
information

AIS20103 Sept'16
AIS components

Information
Software People Procedures technology Procedures Data
infrastructure

AIS20103 Sept'16
Transforming Data

Financial / non- Information


Users decision /
financial system
output
transactions (transform data)

AIS20103 Sept'16
AIS Subsystems

Transaction General Ledger / Management


processing financial reporting system
system (TPS) reporting system (MRS)

AIS20103 Sept'16
With AIS

Information generation

Characteristics of useful information (value


Process of added to decision-making)

Compiling Relevance

Arranging Timeliness

Formatting Accuracy

Presenting Completeness

Summarization

AIS20103 Sept'16