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19 Cards in this Set
- Front
- Back
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Accounting Information System |
Collection of interrelated parts. Purpose is to collect data, process it into info, and report the info so it can be used by decision makers. |
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Five Main Parts of the AIS Structure |
Inputs to Processes to Outputs to Storage. And Internal Control |
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Assumptions |
Economic entity Going concern Periodicity Monetary Unit |
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Priniciples |
Historical Cost Realization Matching Full disclosure |
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Constraints |
Cost effectiveness Materiality Conservatism Industry practices |
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Elements of financial statements |
assets, liabilities, and equity revenue, expense gains, losses comprehensive income |
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Qualitative characteristics |
primary: relevance and reliability secondary: comparability and consistency |
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Objective of financial reporting |
to provide info for decisions |
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Five evaluation criteria |
Authority Accuracy Objectivity Currency Coverage |
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Which of Following is not essential to the def. of an AIS? Software Documents Decision makers Financial data |
A: software |
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The FASB conceptual framework links AIS with what other areas of acc? Taxation Auditing Cost Financial |
A: Financial |
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Most AIS comprise ______ parts Two Four Five Some other number |
Five |
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Terms like "master file" and 'transaction file" are most commonly associated with which generic element of the AIS? Inputs Storage Outputs Internal Control |
Storage |
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Which types of info have typically gone through a review process prior to publication? Sponsored and popular Sponsored and scholarly Popular and scholarly Sponsored, popular, and scholarly |
Sponsored and scholarly |
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Which of the Following is an example of an internal control in the AIS? Bank reconciliation Sales order Balance sheet Steps in the accounting cycle |
Bank reconciliation |
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Which of the following is most closely related to the "middle level" of the FASB conceptual framework depicted in Figure 1.1? Preparing an operating budget expensing the cost of a wastebasket reporting investments at their fair market value providing info for decisions |
Expensing the cost of a wastebasket? |
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All of the following are facts about AIS except: They should all involve some form of internal control They always incorporate IT They usually provide general purpose financial statements as outputs They can involve three types of storage files |
They always incorporate IT |
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Which of the following best pairs a generic element of the AIS with a specific example of that element? Input - balance sheet Internal control - general ledger software Internal control - balance sheet Input - general ledger software |
Internal control - general ledger software |
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Which of the following statements shows the strongest level of information competence? Never using Wikipedia to do research Consulting the AICPA Web site for info on fraud examination Investigating an author's professional background Using only scholarly info as the basis for a paper |
? |
