ACCOUNTING INFORMATION SYSTEMS

Accounting Information Systems



Accounting Information System

Concept of System of Information Accounting

An accounting information system includes the methods, procedures and resources used by an entity, to keep control of financial activities and summarize them in a form useful to decision-making. Accounting information can be classified into two broad categories:

The accounting or financial accounting outsourcing

Accounting costs or internal accounting

Financial accounting: displays the information provided to the general public, and not involved in the management of the company, such as shareholders, creditors, customers, the suppliers, financial analysts, among others, although this information is also of great interest to managers and directors of the company. This accounting provides information on the company's financial position, their liquidity and the profitability of the company. Cost accounting: study relations costs, profits, volume of production, the degree of efficiency and productivity, and enables the planning and control of production, making decisions on prices, the budget and policy of the capital. This information does not normally spread to the public. While financial accounting has as its objective, to provide the public generic information about the economic and financial situation of the company, and cost accounting aims to provide information essential to the various departments, managers and planners to carry out their functions (Berger, 2008).

Purpose and nature of accounting information

The purpose of accounting is to provide financial information about an economic entity. Administrative decision-makers need this company's financial information to make a skilled planning and control the activities of the organization. The role of the accounting system of the organization is to develop and communicate this information. To achieve these objectives can be done using computers, as well as records manuals and reports printed (Eisenberg, 2007). Elements of systems for information

The computer equipment

It is the hardware required for the information system can work.

Human resources

It interacts with the system, which consists of people who use the system, feeding data or using the results it generates.

The programs (software)

That executed by the computer and produce differing results.

The telecommunications

They are basically hardware and software; facilitate the transmission of text, data, images and voice in the form electronically. Procedures include policies and rules of operation, both in the functional part of the process of business, as the mechanisms for an application to work in the company.

Process of improvement

When the customer comes for the service, the order taker use to write the order, and make a job card for the relevant service for which the customer is coming for the service the Price Book for the job. There is sometimes a discrepancy between what the Price Book shows and what the customer says they quoted for that particular work. When completed, the Job Card passed to the workshop foreman who assigns the job to a technician. When the job completed, the technician initials the Job Card and give it back to the workshop foreman, who returns it to the office. The office assistant writes out an invoice and collects payment from the customer; cash, EFTPOS and credit card are acceptable forms of ...