SOLUTION Manual for Accounting Information Systems 9thEdition by Hall

SOLUTION Manual for b b




Accounting Information Systems 9th
b b b b




Edition by Hall b b




CHAPTER 2 b




INTRODUCTION TO TRANSACTION PROCESSING
b b b



REVIEWbQUESTIONS

1. Thebexpenditurebcycle,bconversionbcycle,bandbrevenuebcycle.

2. Purchases/accountsbpayablebsystem,bcashbdisbursementsbsystem,bfixedbassetsb

system,bandbpayrollbsystem.

3. Thebphysicalbcomponentbincludesbthebacquisitionbofbgoods,bwhilebthebfinancialbc

omponentbincludesbthebrecognitionbofbabliabilitybowedbtobthebsupplierbandbthebtran

sferbofbthebpaymentbtobthebsupplier.

4. Productionbsystembandbcostbaccountingbsystem.

5. Salesborderbprocessingbsystembandbcashbreceiptsbsystem.

6. Sourcebdocuments,bproductbdocuments,bandbturnaroundbdocuments.

7. Specialbjournalsbandbthebgeneralbjournal.

, Chapterb2bPageb37
8. Abgeneralb journalb isb usedb tob recordb nonrecurringb andb infrequentb transactions.

Oftentimes,bgeneralbjournalsbarebreplacedbwithbabjournalbvoucherbsystem.bThebjo

urnalbvoucherbisbusedbtobrecordbabsinglebnonrecurringbandbinfrequentbtransaction

,bandbitbisbusedbasbabspecialbsourcebdocumentbforbthebtransaction.

Thebtotalbofbjournalbvouchersbprocessedbisbequivalentbtobthebgeneralbjournal.

9. Generalbledgerbandbsubsidiarybledger.

10. Abtrailbthatballowsbthebauditorbtobbeginbwithbabsummarybtotalbfoundbonbthebfinancialbs

tatementsbandbtrackbitbbackbtobthebindividualbtransactionsbthatbmake


upbthisbtotal.bConversely,banbauditorbshouldbbebablebtobtrackbtransactionsbtobtheirbfi

nalbimpactbonbthebfinancialbstatements.

11. Thebconfirmationbprocessbentailsbselectingbcustomersbandbcontactingbthembtobd

eterminebwhetherbthebtransactionsbrecordedbinbthebfinancialbstatementsbactuallybt

ookbplacebandbarebvalid.

12. Masterbfiles,btransactionbfiles,breferencebfiles,bandbarchivebfiles.

13. Masterb filesb correspondb tob generalb ledgerb accountsb andb subsidiaryb ledgers.

Examplesbincludebaccountsbreceivablebandbcustomerbsubsidiarybaccounts,bacco

untsbpayablebandbvendorbsubsidiarybaccounts,binventory,betc.bTransactionbfilesbc

orrespondbtobgeneralbandbspecialbjournals.bExamplesbincludebthebgeneralbjourna

l,bsalesbjournals,bcashbreceiptsbjournals,bpayrollbjournals,betc.bReferencebfilesbincl

udeblistsbofbvendors,bdelinquentbcustomers,btaxbtables,bsalesbtaxbrates,bdiscountb

rates,blistsbofbcustomersbgrantedbspecificbdiscounts,betc.bArchivebfilesbarebtypicall

ybcomposedbofbrecordsbthatbhavebbeenbprocessedbbutbarebretainedbforbtheirbhisto

ry.bExamplesbincludebpayrollbtransactions,bsalesbtransactions,betc.

, Chapterb2bPageb38
14. Thebdigitalbauditbtrail,blikebthebpaperbtrail,ballowsbusbtobtracebtransactionsbfrombthebfi

nancialbstatementbbalancebbackbtobthebactualbtransactionbsobwebmay:b(1)bcompa

rebbalances,b(2)bperformbreconciliations,b(3)bselectbandbtracebsamplesbofbentries,

andb(4)bidentify,bpull,bandbverifybspecificbtransactions.
b




15. Cardinalitybreflectsbnormalbbusinessbrulesbasbwellbasborganizationalbpolicy.bForbi

nstance,btheb1:1bcardinalitybinbthebfirstbexamplebinbFigureb2-

16bsuggestsbthatbeachbsalespersonbinbtheborganizationbisbassignedbonebautomobi

le.bIfbinsteadb theborganization’sbpolicybwerebtobassignbabsinglebautomobilebtoboneb

orbmorebsalespeoplebthatbsharebit,bthisbpolicybwouldbbebreflectedbbybab1:Mbrelatio

nship.

16. Entitybrelationshipbdiagramsbrepresentbthebrelationshipbbetweenbentitiesb(resour

ces,bevents,bandbagents)binbabsystem.bDataflowbdiagramsbrepresentbtheblogicalbe

lementsb(i.e.bwhatbisbbeingbdone)bofbabsystembbybillustratingbprocesses,bdatabsour

ces,bdatabflows,bandbentities.bSystembflowchartsbrepresentbthebphysicalbelementsb

beingbusedb(i.e.,bhowbthebtasksbarebbeingbconducted)bbybillustratingbthebrelationshi

pbbetweenbinputbsources,bprogram,bandboutputbproducts.bSystembflowchartsbcanb

alsobrepresentbbothbtheblogicalbandbphysicalbelementsbofbmanualbsystemsbandbal

sobillustratebthebpreparationbandbhandlingbofbdocuments.

17. Cardinalitybrefersbtobthebnumericalbmappingbbetweenbentitybinstances,bandbitbisbab

matterbofborganizationbpolicy.bThebrelationshipbcanbbebone-to-

one,bonetomany,borbmany-to-many.

, Chapterb2bPageb39
18. Anb entityb relationshipb (ER)b diagramb isb ab documentationb techniqueb usedb tobre

presentbthebrelationshipbbetweenbentities.bOnebcommonbusebforbERbdiagramsbisbt

obmodelbanborganization’sbdatabase,bwhichbwebexaminebinbdetailbinbChapterb9.

19. Entitiesbarebphysicalbresourcesb(automobiles,bcash,borbinventory),beventsb(orderi

ngbinventory,breceivingbcash,bshippingbgoods),bandbagentsb(salesperson,bcusto

mer,borbvendor)baboutbwhichbtheborganizationbwishesbtobcapturebdata.


20. Batchbprocessingboccursbwhenbsimilarbtransactionsbarebaccumulatedboverbtimeb

andbprocessedbtogether.bReal-

timebprocessingbcapturesbeachbeventborbtransactionbandbprocessesbitbbeforebeng

agingbinbanotherbtransaction.bIfbtransactionsbarebindependentbofbonebanother,bsu

chbasbthebprocessingbofbdailybcashbreceipts,bthenbbatchbprocessingbisbappropriat

e.bIfbtransactionsbarebdependentbonbonebanother,bsuchbasbcreditbsales,bticketbsale

s,betc.,bthenbrealtimebprocessingbisbmorebappropriate.

21. Abflat-filebmodelbisbonebinbwhichbindividualbdatabfilesbarebnotbrelatedbtobotherbfiles.

Endbusersbinbthisbenvironmentbownbtheirbdatabfilesbratherbthanbsharebthembwithbot

herbusers.bDatabprocessingbisbthusbperformedbbybstandaloneb applicationsbrather

thanbintegratedbsystems.
b




22. No.bAbDFDbshowsbwhichbtasksbarebbeingbperformed,bbutbnotbwhobperformsb them.

Itbdepictsbtheblogicalbsystem.

23. Yes,bAbflowchartbdepictsbthebphysicalbsystembandbillustratesbwhatbtypebofbandbwh

erebabtaskbisbperformedbandbwhobisbperformingbit.