Which of the following options best describes TVU's accounting information system (AIS)? Select one:
Q: describe accounting as an information system
A: Accounting as an Information System An Accounting as an information system is the system of storing,…
Q: cial/accounting information in terms of ALSE
A: The given statement is FALSE .
Q: Which of the following is not a component of an accounting system? the input source documents…
A: The Components of an accounting system is : The Input source documents The output reports.
Q: Describe significant accounting policies.
A: Definition: Accounting policies: Accounting policies are the specific principles and rules which…
Q: What are the five elements/components of Accounting Information System? Describe each
A: An accounting information system or framework (AIS) is a design that a business uses to gather,…
Q: information would include ........ .
A: External users are people outsidebusiness entity who use accounting information.external users are…
Q: Which of the following statements is the best definition of an accounting information system? A. A…
A: It is a systems used for collecting, storing, managing, processing, retrieving and reporting of…
Q: What role does an Accounting Information System play in today's accounting?
A: The accounting information system is a way to keep the track of all the business transactions and…
Q: ccounting
A: Account analysis would be delving into the specific line items that make up an account.
Q: how to make accounting eqution grid?
A: Accounting equation says that total assets should always be equals to total liabilities and…
Q: Describe the goals of accounting standards.
A: Accounting standards are authoritative standards for financial reporting and are the primary source…
Q: examples of decisions that can be supported by accounting information
A: Accounting information represents the financial information about the company which is useful for…
Q: Explain the two components of a computerized accounting information system.
A: Computerized Accounting Information System: Computerized accounting information are software…
Q: Answer the following multiple-choice questions. Accounting standard-setters use the following…
A: Accounting standards are used for financial reporting. These specifies how an accounting transaction…
Q: What are the five fundamental principles of accounting information systems?
A: Accounting information systems collect data from different events and associated transactions across…
Q: Some principles should be followed in the development of an accounting information system. Identify…
A: The principles that should be followed in the development of Accounting information systems are…
Q: how you will use accounting information both as an internal and an external user?
A: The accounting is a process to classify and record the business transactions and prepare the…
Q: Discuss about the accounting policies, selection, relevance, reliability, faithful representation…
A: Accounting policies are specific principle procedures and measures that are used to record,…
Q: What are the methods available to the organization to migrate to a system? New accounting…
A: Step 1 Many small businesses start with a basic, inexpensive software package that meets their…
Q: Enumerate some accounting information system input devices and indicate its purpose, including how…
A: Accounting Information system basically involves use of modern computer technology in accounting to…
Q: Identify the following users of accounting information as either an (a) external or (b) internal…
A: External users of accounting information are those persons which are external to the organisation…
Q: W
A: According to AICPA, "accounting is an art of recording, classifying, summarizing in a significant…
Q: Identify the following users of accounting information as either an (a) external or (b) internal…
A: Internal users: Internal users of the financial statement are the inside individuals or the members…
Q: What is the basic principles of Accounting Information Systems (AIS)?
A: Since you have asked multiple questions, we will solve the first question for you. If you want any…
Q: Explain the three basic components of an accounting information system?
A: Accounting information systems: Accounting information system is a system that collects, stores,…
Q: Briefly describe the two fundamental qualities of useful accounting information.
A: Accounting information is data about a business entity’s transactions. From buying inventory and…
Q: Briefly explain the importance of independence of the accounting function in Accounting Information…
A: Accounting Information System: The system which helps to gather, store and process the accounting…
Q: Classify the following activities as part of the identifying (I), recording (R), or communicating…
A: Identifying function: helps the organization to select from its business activities, the…
Q: what is accounting information system (AIS)? List and discuss the three sub system of AIS and…
A: Accounting Information System (AIS) is a one part(subset) of the Management Information System.
Q: The users of accounting information can be classified into internal and external users. Clearly…
A: Accounting information is the information related to the concepts of accounting which are to be used…
Q: Discuss the meaning and needs of accounting standards.
A: Accounting standards:Accounting standards are common set of principles, procedures and standards for…
Q: The following are subsystems of the Accounting Information System, EXCEPTa. Transaction Processing…
A:
Q: Why does the Financial Accounting Standards Board define accounting as information systems?
A: A seven-member independent board consisting of accounting professionals who establish and…
Q: For each of the following, indicate if the statement reflects an input component, output component,…
A: Accounting Information System: It is a structural framework used by business to collect, store,…
Q: What is the function of the Accounting Information System in current accounting?
A: Accounting Information Systems are the systems that help the organizations to record their…
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- Lou Reed is the primary accountant and 1 of 87 employees at The Velvet Underground, a company that manufactures professional grade recording equipment and mixing boards. By the end of their third year, 2017, TVU had already turned a $150,000 profit. At that time, Lou used analytics to estimate promising sales of a new device TVU planned to sell. Unfortunately, the new device did not live up to expected potential. At the end of the following year, 2018, Lou was tasked with using analytics to figure out why the device did not sell well, and how those sales might be improved. Fortunately, in 2019, sales of the device increased, along with all of the company’s other products. Each time Lou utilized analytics, he had to access a number of different databases to find all the data he needed. Velvet Underground’s sales revenue grew from $250,000 in 2018 to $1 million in 2019, prompting Lou to upgrade his QuickBooks software. Which of the following options best describes TVU's integrated…Diamond Computers, which is owned and operated by Dale Diamond, manufactures and sells different types of computers. The company has reported profits every year since its inception in 2002 and has applied for a bank loan near the end of 2021 to upgrade manufacturing facilities. These upgrades should significantly boost future productivity and profitability. In preparing the financial statements for the year, the chief accountant, Sandy Walters, mentions to Dale that approximately $80,000 of computer inventory has become obsolete and a write-down of inventory should be recorded in 2021. Dale understands that the write-down would result in a net loss being reported for company operations in 2021. This could jeopardize the company’s application for the bank loan, which would lead to employee layoffs. Dale is a very kind, older gentleman who cares little for his personal wealth but who is deeply devoted to his employees’ well-being. He truly believes the loan is necessary for the company’s…You have recently been hired as the assistant controller for Stanton Temperton Corporation, which rents building space in major metropolitan areas. Customers are required to pay six months of rent in advance. At the end of 2021, the company’s president, Jim Temperton, notices that net income has fallen compared to last year. In 2020, the company reported pretax profit of $330,000, but in 2021 the pretax profit is only $280,000. This concerns Jim for two reasons. First, his year-end bonus is tied directly to pretax profits. Second, shareholders may see a decline in profitability as a weakness in the company and begin to sell their stock. With the sell-off of stock, Jim’s personal investment in the company’s stock, as well as his companyoperated retirement plan, will be in jeopardy of severe losses. After close inspection of the financial statements, Jim notices that the balance of the Deferred Revenue account is $120,000. This amount represents payments in advance from long-term…
- (Accounting Changes) Aston Corporation performs year-end planning in November of each year before its calendar year ends in December. The preliminary estimated net income is $3 million. The CFO, Rita Warren, meets with the company president, J. B. Aston, to review the projected numbers. She presents the following projected information. Check the below image for projected information. The corporation has never used robotic equipment before, and Warren assumed an accelerated method because of the rapidly changing technology in robotic equipment. The company normally uses straight-line depreciation for production equipment.Aston explains to Warren that it is important for the corporation to show a $7,000,000 income before taxes because Aston receives a $1,000,000 bonus if the income before taxes and bonus reaches $7,000,000. Aston also does not want the company to pay more than $3,000,000 in income taxes to the government.Instructions(a) What can Warren do within GAAP to accommodate the…Williams-Santana, Inc., is a manufacturer of high-tech industrial parts that was started in 2006 by two talented engineers with little business training. In 2018, the company was acquired by one of its major customers. As part of an internal audit, the following facts were discovered. The audit occurred during 2018 before any adjusting entries or closing entries were prepared. A five-year casualty insurance policy was purchased at the beginning of 2016 for $32,500. The full amount was debited to insurance expense at the time. Effective January 1, 2018, the company changed the salvage value used in calculating depreciation for its office building. The building cost $580,000 on December 29, 2007, and has been depreciated on a straight-line basis assuming a useful life of 40 years and a salvage value of $100,000. Declining real estate values in the area indicate that the salvage value will be no more than $25,000. On December 31, 2017, merchandise inventory was overstated by $22,500 due…On March 3, 2016, Zad Company was established to produce and sell plastic products. The company produces a full line of plastic products included customized orders. The Chief Executive Officer of the company is working hard to enhance profitability and liquidity. Recently, you have been hired as the Financial Director of the company. 1. On March 8, 2020, the Chief Financial Officer stated to you that she wishes to reduce the company's investment in current assets since those assets provide little, if any, return to the firm. How would you respond to this statement? 2. On September 17, 2020, the Chief Financial Officer stated to you that as long as the company maintains a positive cash balance, why is it essential to review the firm's cash flows? 3. On January 5, 2021, the Chief Financial Officer wishes to expand the company's operations and are trying to determine the amount of debt financing the company should obtain versus the amount of equity financing that should be raised. The…
- Spyker is a small Nethwelands-based designer and manufacturer of exclusive sports cars, which had its initial public offering in 2004 but delisted from the Amsterdam Stock Exchange in 2013. During the first five years as a publicly listed company, Spyker's annual revenues went down from a maximum of $19.7 million (in 2006) to $6.6 million (in 2009). In these years, Spyker produced 242 new cars (including demonstration cars) and sold 194 cars. At the end of 2009. It held 28 cars in stock. Further, in 2009, the company spent close to $9.8 million on development, which it added to its development asset of $27.3 million, and $14,000 on research. Because Spyker had been loss-making since its IPO, the car manufacturer had $97 million in tax- deductible carry forward losses the end of 2009. Required a. Identify the key accounting policies for this company. b. What are this company’s primary areas of accounting flexibility? (Focus on the key accounting policies.)Horizon Corporation manufactues personal computers. The company began operations in 2012 and reported profits for the years 2012 through 2019. Due primarily to increased competition and price slashing in the industry, 2020's income statement reported a loss of $20 million. Just before the end of 2021 fiscal year, a memo from the company's chief financial officer (CFO) to Jim Fielding, the company controller, included the following comments: "If we dont do something about the large amount of unsold computers already manufactured, our auditors will require us to record a write-down. The resulting loss for 2021 will cause a violation of our debt convenants and force the company into bankruptcy. I suggest that you ship half of out inventory to J.B. Sales, Inc., in Oklahoma City. I know the company's presdient, and he will accept the inventory and acknowledge the shipment as a purchase. We can record the sale in 2021 which will boost our loss to a profit. Then J.B. Sales will simply return…For many years, Janice Virtue had been a professor of Business Ethics in the Faculty of Business at a major Canadian university. In 2018, while continuing to teach one section of Business Ethics, she established Virtue Ltd. (VL) in order to market her numerous publications and online courses involving the application of ethical principles to business situations. While the company experienced a net operating loss of $128,000 in the fiscal period ending December 31, 2018, VL experienced rapidly increasing sales during 2019. Because Janice believed the improvement was indicative of the success to come, VL moved to larger premises that were purchased for $423,000. Of this total, $100,000 related to the land, with the remaining $323,000 allocated to the building. Because the building was to be used exclusively for non-residential purposes, it was allocated to a separate Class 1. In selling the previous premises in 2019, VL experienced an allowable capital loss on the land of $36,000. The…
- Terry House, the controller for MicroTech Software Company, is responsible for preparing the company’s financial statements. He learns that sales for the first quarter of the year have dropped so dramatically that the company is in danger of bankruptcy. As a result, he applies for an accounting position with another software company that competes with MicroTech. During his job interview, Terry is asked why he wants to leave MicroTech. He replies truthfully, “The company’s sales are down another 10% this quarter. I fear they will go out of business.” At that time, MicroTech had not released its sales results to the public. Discuss the ethics of this situation.Delicious Dinners (DD) is a business entity which offers online cooking classes. Customers pay an annual fee to participate in weekly cooking classes. In early 2021 DD made the decision that their existing customer relationship management database could no longer support their business. DD developed a design and plan to create their own CRM software system. During the application and development stage of the new CRM system DD correctly followed GAAP and capitalized $2,000,000. DD completed the project in July 2021. The CRM system worked very well for DD after the completion of the project. In January 2022 DD the CEO of DD proposed that the CRM system the company developed also could be marketed to other online companies. The company has developed a plan to sell annual licenses to other companies for the CRM system for $24,000 per year. In February 2022 DD sold 4 annual licenses for the CRM system that the company developed to other companies. The 4 businesses all paid DD…James Wright is the chief financial officer (CFO) for The Butcher Block, a major steakhouse restaurant chain. As CFO, James has the final responsibility for all aspects of financial reporting. James tells investors that The Butcher Block should post earnings of at least $1 million. In examining the preliminary year-end numbers, James notices that earnings are coming in at $950,000. He also is aware that The Butcher Block has been depreciating most of its restaurant equipment over a five-year useful life. He proposes to change the estimated useful life for a subset of the equipment to a useful life of seven, rather than five, years. By depreciating over a longer useful life, depreciation expense will be lower in the current year, increasing earnings to just over $1 million. It looks like The Butcher Block is going to exceed earnings of $1 million after all. Do you think James Wright’s change in the depreciable life of assets is ethical? What concerns might you have?