Chapter 1 Accounting Information Systems and Firm Value Questions and Answers

Chapter 1 Accounting Information Systems and Firm Value Questions and Answers list the primary activities in the value chain inbound logistics, operations, outbound logistics, marketing, and service list the secondary activities in the value chain procurement, information technology, human resources management, and infrastructure inbound logistics the activities associated with receiving and storing raw materials and other partially completed materials and distributed those materials to manufacturing when and where they are needed operations activities that transfers inputs into finished goods and services (e.g., turning wood into furniture for a furniture manufacturer) outbound logistics activities that warehouse and distribute the finished goods to the customers marketing and sales activities identifies the needs and wants of customers to help attract them to the firm's product and, thus, buy them service activities provides the support of customers after the products and services are sold to them (e.g., warranty, repairs, parts, instruction manuals, etc.) firm infrastructure activities are all of the activities needed to support the firm, including the CEO and the finance, accounting, and legal departments human resource management activities include recruiting, hiring, training, and compensating employees technology activities include all of the technologies necessary to support value-creating activities. These technologies also include research and development to develop new products or determine ways to produce products at a cheaper price procurement activities involve purchasing inputs such as raw materials, supplies, and equipment certified information systems auditor (CISA) the CISA designation identifies those professionals possessing IT audit, control, and security skills. Generally, CISA's will perform IT audits to evaluate the accounting information system's internal control design and effectiveness certified information technology professional (CITP) The CITP designation identifies accountants (CPA's) with a broad range of technology knowledge and experience. The CITP designation demonstrates the accountants ability to leverage technology to effectively and efficiently manage information while ensuring the data's reliability, security, accessibility, and relevance. CITP's may help devise a more efficient financial reporting system, help the accounting function go paperless, or consult on how an IT function may transform the business. Certified internal auditor (CIA) the CIA designation is the only globally accepted certification for internal auditors and is the standard to demonstrate their competency and professionalism in the internal auditing field. supply chain management (SCM) refers to the flow of materials, information, payments, and services from raw materials suppliers, through factories and warehouses, all the way to the final customers of the firm's products. Also includes the firms and processes that create and deliver the products. customer relationship management (CRM) way to manage a company's interaction with current and potential customers supply chain management software the software used to connect the focal firm with its suppliers customer relationship management software term that describes the software used to manage and nurture a firm's interactions with its current and potential clients Some would argue that the role of accounting is simply as an information provider. Will a computer ultimately completely take over the job of the accountant? As part of your explanation, explain how the role of accountants in information systems continues to evolve. Accountants have a role as a business analyst. That is, they gather information to solve business problems or address business opportunities. They determine what information is relevant in solving business problems, then create or extract that information and finally analyze the information to solve the problem. An AIS provides a systematic means for accountants to get needed information and solve a problem. While a computer is very good at reliably collecting, processing and producing information, the role of the accountant when serving as a business analyst will continue to be able to assess the problems the business is facing and work to provide information that will address it. How do you become a Certified Information Technology Professional (CITP)? What do they do on a daily basis? A CPA can earn a CITP designation with a combination of business experience, lifelong learning and an optional exam. The CITP designation identifies accountants (CPAs) with a broad range of technology knowledge and experience. On a daily basis, CITPs may help devise a more efficient financial reporting system, help figure out how an information system can provide needed decision-relevant information, help the accounting function go paperless or consult on how an IT function may transform the business.