Type:
Solution Manual
Resource:
Core Concepts of Accounting Information Systems
Edition:
14th Edition
Author(s):
Mark G. Simkin James L. Worrell Arline A. Savage
Core Concepts of Accounting Information Systems, 14th Edition by Simkin, Worrell and Savage
Core Concepts of Accounting Information Systems Fourteenth Edition
Mark G. Simkin, Ph.D. Professor Department of Information Systems University of Nevada James L. Worrell, Ph.D., CPA, CISA, SIA Associate Professor Department of Accounting & Finance University of Alabama at Birmingham Arline A. Savage, Ph.D., CA (SA) Professor and Chair Department of Accounting & Finance University of Alabama at Birmingham
Solutions Manual Test Bank Sample Syllabi Prepared by Paula S. Funkhouser
Core Concepts of Accounting Information Systems, 14th Edition by Simkin, Worrell and Savage
Core Concepts of Accounting Information Systems Table of Contents CHAPTER 1
Accounting Information Systems and the Accountant
CHAPTER 2
Accounting on the Internet
CHAPTER 3
Information Technology and AISs
CHAPTER 4
Accounting and Data Analytics
CHAPTER 5
Integrated Accounting and Enterprise Software
CHAPTER 6
Introduction to Internal Control Systems and Risk Management
CHAPTER 7
Computer Controls for Organizations and Accounting Information Systems
CHAPTER 8
Accounting Information Systems and Business Processes: Part I
CHAPTER 9
Accounting Information Systems and Business Processes: Part II
CHAPTER 10
Cybercrime, Fraud and Ethics
CHAPTER 11
Information Technology Auditing
CHAPTER 12
Documenting Accounting Information Systems
CHAPTER 13
Developing and Implementing Effective Accounting Information Systems
CHAPTER 14
Database Design
CHAPTER 15
Organizing and Manipulating the Data in Databases
CHAPTER 16
Database Forms and Reports
Core Concepts of Accounting Information Systems, 14th Edition by Simkin, Worrell and Savage
Core Concepts of Accounting Information Systems Semester Schedule Week
Read Chapter Prior to Class
1
1
Accounting Information Systems and the Accountant
2
2
Accounting on the Internet
3
3
Information Technology and AISs
4
4 5
Accounting and Data Analytics Integrating Accounting and Enterprise Software
5
6
Introduction to Internal Control Systems and Risk Management
6
7
Computer Controls for Organizations and Accounting Information Systems
7
8 9
Accounting Information Systems and Business Processes: Part I Accounting Information Systems and Business Processes: Part II
8
Chapter Title
Mid-Term Exam
9
10
Cybercrime, Fraud and Ethics
10
11
Information Technology Auditing
11
12
Documenting Accounting Information Systems
12
13
Developing and Implementing Effective Accounting Information Systems
13
14
Database Design
14
15
Organizing and Manipulating the Data in Databases
15
16
Database Forms and Reports
16
Final Exam
Core Concepts of Accounting Information Systems, 14th Edition by Simkin, Worrell and Savage
Core Concepts of Accounting Information Systems Quarter Schedule Week
Read Chapter Prior to Class
1
1 2
Accounting Information Systems and the Accountant Accounting on the Internet
2
3 4
Information Technology and AISs Accounting and Data Analytics
3
5 6
Integrating Accounting and Enterprise Software Introduction to Internal Control Systems and Risk Management
4
7
Computer Controls for Organizations and Accounting Information Systems Accounting Information Systems and Business Processes: Part I Accounting Information Systems and Business Processes: Part II
8 9 5
Chapter Title
Mid-Term Exam
6
10 11
Cybercrime, Fraud and Ethics Information Technology Auditing
7
12 13
Documenting Accounting Information Systems Developing and Implementing Effective Accounting Information Systems
8
14 15
Database Design Organizing and Manipulating the Data in Databases
9
16
Database Forms and Reports
10
Final Exam
Core Concepts of Accounting Information Systems, 14th Edition, by Simkin, Worrell and Savage
Chapter 1 ACCOUNTING INFORMATION SYSTEMS AND THE ACCOUNTANT Discussion Questions 1-1. The answer to this question will vary with each university’s location. However, it is likely most students will reveal that their parents are employed in non-manufacturing jobs. Instructors may wish to emphasize that the large numbers of service sector employees and knowledge workers reflect a trend. 1-2. This question encourages students to think about some of the information reporting limitations imposed by the traditional accounting general ledger architecture. Other business activities (or business events) that do not require journal entries include (1) obtaining a line of credit, (2) issuing purchase requisitions or purchase orders, (3) signing contracts, (4) hiring a new executive, and (5) sending financial information to investors or bank loan personnel. Instructors may wish to point out that important information about a company’s business activities may be included in an annual report outside the financial statements. The management letters and footnotes in annual reports may reveal much about a company’s future prospects. Managers have access to much more information than what is published in financial reports. Whether or not they would like to have access to more non-financial information, or if they would prefer that the accounting information system capture data about business events rather than accounting transactions, is debatable. It may also be a function of the accounting system in a particular company. Investors may wish to have more information available to them but the downside is that too much information can be just as problematic as too little information. 1-3. The financial accounting systems we have known for more than 500 years are changing dramatically as a result of advances in information technology and financial accounting software. For example, databases allow accountants to collect and store all the data (accounting transaction data and non-financial data) about a business activity or event in one system, allowing those needing such information to retrieve it quickly, efficiently, and specifically in any format they wish. Financial data can also be more easily linked to nonfinancial data because of database technology. Thus, it is likely that financial reporting will undergo tremendous change in the next few years as we learn to use technology, including artificial intelligence, more effectively in the design of AISs. ERP systems are another example of the information age's impact on financial accounting. Now, organizations capture more financial and non-financial data and produce more information than ever before. This allows companies to integrate their information systems, better forecast everything from raw materials requirements to finished product production, and to perform more sophisticated analyses of important business functions. For instance, sales can be examined at many different levels and organized according to criteria such as geography, customer, product, or salesperson.
SM 1.1
Core Concepts of Accounting Information Systems, 14th Edition, by Simkin, Worrell and Savage
One of the most important changes in AISs is the way these systems will gather financial information in the future. Although many of these systems will continue to capture data in traditional batch mode or at POS sites, we expect newer systems to collect more of it on mobile devices—for example, cell phones, PDAs, and digital cameras. Because more employees and working at home these days, “digital commuting” may be another trend. 1-4. The objective of a company’s financial statements is to communicate relevant financial information to such external parties as stockholders, investors, and government agencies. Issuing financial statements in XBRL formats contributes to this objective by making such financial data more searchable, comparable, informative, and therefore useful. Also, because XBRL enables companies to use standard tags to identify specific accounting values, the language itself imposes a greater degree of standardization in the informational content of the reports. Finally, XBRL helps government agencies gather financial data that are more consistent, easier to understand, self-checking, and more quickly communicated. Chapter 2 contains more about XBRL, including the idea that the language also enables its users to verify accounting relationships as assets = liabilities + stockholder equity. 1-5. The questions asked here about suspicious activity reporting (SAR) require opinions from students. Regarding the first question, which asks if SAR activity should be a legal matter, there is little room for disagreement because so much of SAR is mandated by federal legislation such as the Annunzio-Wylie Anti-Money Laundering Act of 1992, the Bank Secrecy Act of 1996, and the Patriot Act of 2001. Although there are statistics on the number of SAR filings, less is known about how much of what appears to be suspicious are in fact violations of federal statutes. 1-6. The example given in the question demonstrates one way in which computerization has refined cost estimation and thus has impacted managerial accounting. However, IT has impacted almost every area of managerial accounting (and decision making). Consider, for example, the emergence of such concepts as just-in-time systems, computer integrated manufacturing systems, manufacturing resource planning systems, target costing, and activity based costing – all of these require IT to support managerial decision making. Forecasting and budgeting are other areas of managerial accounting impacted by advances in technology, as are the many applications of spreadsheet software, decision support systems, and expert systems. Universities are also impacted by the many advances in IT. You might have students type “university use of scorecards” in their favorite browser to discover the many uses this tool offers to administrators in an academic environment. The search results show a variety of uses at such universities as The Ohio State University, CSU-Stanislaus, Clemson University, Colorado State University, San Jose State University, and others. For example, the University of Denver adapted a version of the Balanced Scorecard to evaluate their Student Life Assessment Plan (SLAP), which focuses on Learning Outcomes. San Jose State University uses a Scorecard to evaluate and continuously improve their online programs. 1-7. The AICPA website lists hundreds of potential assurance services for CPAs to offer. These include Trust Services and Information Integrity, Guidance on Audit Data Analytics, XBRL Assurance Services, and Systems and Organization Controls for Cybersecurity, SM 1.2