Core Concepts of Accounting Information Systems

Reasons 100The Top 10 Information Technologies 101Input Devices 102Central Processing Units 108Output Devices 110Magnetic (Hard) Disks 112CD-ROMs, DVDs, and Blu-Ray Discs 113Flash Memory 114Image Processing and Record Management Systems 114Communication Channels and Protocols 115Local and Wide Area Networks 116ClientServer Computing 118Wireless Data Communications 120Cloud Computing 122Operating Systems 123Application Software 124Programming Languages 125CHAPTER 5 Documenting Accounting Information Systems 139Data Flow Diagrams 144Document Flowcharts 149System Flowcharts 153Process Maps 156Program Flowcharts 159Decision Tables and Decision Trees 160Software Tools for Graphical Documentation and SOX Compliance 162The Importance of End User Documentation 165Policies for end user Computing and Documentation 166CHAPTER 6 Developing and Implementing Effective Accounting Information Systems 179Four Stages in the Systems Development Life Cycle 180Systems Studies and Accounting Information Systems 181Planning for Success 182Investigating Current Systems 183Understanding Organizational Goals 184Systems Survey Work 185Data Analysis 186Evaluating System Feasibility 187Designing System Outputs, Processes, and Inputs 189The System Specifications Report 192Choosing an Accounting Information System 193Outsourcing 196Implementation Activities 198Managing Implementation Projects 199Postimplementation Review 202System Maintenance 202CHAPTER 7 Database Design 215What Is a Database? 216Significance of Databases 216Storing Data in Databases 218Additional Database Issues 220Step 1--Identify Business and Economic Events 223Step 2--Identify Entities 224Step 3--Identify Relationships 225Step 4--Create Entity-Relationship Diagrams 227Step 5--Identify Attributes of Entities 227Step 6--Convert E-R Diagrams into Database Tables 229First Normal Form 231Second Normal Form 232Third Normal Form 233CHAPTER 8 Organizing and Manipulating the Data in Databases 243Database Management Systems 244An Introduction to Microsoft Access 244Creating Database Tables 245Creating Relationships 247Creating Records 250Ensuring Valid and Accurate Data Entry 251Tips for Creating Database Tables and Records 254Creating Select Queries 255Creating Action Queries 258Guidelines for Creating Queries 260Structured Query Language (SQL) 260Sorting, Indexing, and Database Programming 261Online Analytical Processing (OLAP) and Data Mining 261Cloud Databases 262DataWarehouses 263CHAPTER 9 Database Forms and Reports 275Creating Simple Forms 277Using Forms for Input and Output Tasks 280Subforms: Showing Data from Multiple Tables 281Concluding Remarks About Forms 283Creating Simple Reports 283Creating Reports with Calculated Fields 287Creating Reports with Grouped Data 289Concluding Remarks About Reports 291CHAPTER 10 Accounting Information Systems and Business Processes: Part I 301Overview of the Financial Accounting Cycle 302Coding Systems 303Designing Reports 305From Source Documents to Output Reports 306Objectives of the Sales Process 308Inputs to the Sales Process 311Outputs of the Sales Process 312Objectives of the Purchasing Process 314Inputs to the Purchasing Process 315Outputs of the Purchasing Process 318Business Process Outsourcing (BPO) 321Business Process Management Software 322CHAPTER 11 Accounting Information Systems and Business Processes: Part II 333Human Resource Management 334Fixed Asset Management 337Objectives of the Production Process 340Inputs to the Production Process 344Outputs of the Production Process 345Objectives of the Financing Process 346Inputs to the Financing Process 348Outputs of the Financing Process 348Professional Service Organizations 350Not-for-Profit Organizations 351Health Care Organizations 352Why Reengineering Sometimes Fails 355CHAPTER 12 Integrated Accounting and Enterprise Software 363Small Business Accounting Software 364Mid-Range and Large-Scale Accounting Software 367Specialized Accounting Information Systems 367Enterprise System Functionality 369The Architecture of Enterprise Systems 371Business Processes and ERP Systems 374Benefits and Risks of Enterprise Systems 375When Is a New AIS Needed? 378Selecting the Right Accounting Software 378CHAPTER 13 Introduction to Internal Control Systems 391Definition of Internal Control 392Internal Control Systems 3931992 COSO Report 3932013 COSO Report 3952004 ERM Framework 396Using the 2004 ERM Framework 398Good Audit Trail 400Sound Personnel Policies and Procedures 401Separation of Duties 402Physical Protection of Assets 404Reviews of Operating Performance 408COSO Guidance on Monitoring 408Operating Performance vs. Monitoring 4082012 COBIT, Version 5 409Preventive Controls 411Detective Controls 412Corrective Controls 412Requirements of the Sarbanes-Oxley Act 413Cost-Benefit Analysis 413A Risk Matrix 415CHAPTER 14 Computer Controls for Organizations and Accounting Information Systems 425Risk Assessment and Security Policies 427Designing a Security Policy 427Integrated Security for the Organization 427Access to Data, Hardware and Software 429Personnel Policies to Protect Systems and Data 434Additional Policies to Protect Systems and Data 436Input Controls 443Processing Controls 446Output Controls 448CHAPTER 15 Information Technology Auditing 459Internal versus External Auditing 460Information Technology Auditing 461Evaluating the Effectiveness of Information Systems Controls 464Auditing Software 466People Skills 468Testing Computer Programs 469Validating Computer Programs 471Review of Systems Software 472Validating Users and Access Privileges 473Continuous Auditing 474Information Technology Governance 476The Sarbanes-Oxley Act of 2002 476Auditing Standards No. 5 (AS 5) 478Third-Party and Information Systems Reliability Assurances 478Glossary (Available online at http:www.wiley.comcollegesimkin)Index 487