Categorias: Todos - coding - judgement - bookkeeping - information

por Andrew Sykes 11 anos atrás

489

CH2 Transaction Processing in the AIS

The content delves into the intricate processes involved in accounting beyond the basic act of bookkeeping. It emphasizes the importance of identifying and recording transactions, and the subsequent communication of this information for decision-making purposes.

CH2 Transaction Processing in the AIS

CH2 Transaction Processing in the AIS

Human Judgement and IT

Estimating amounts and interpreting accounting rules
Recognizing recordable transactions
Designing Source Documents

Coding Systems

Mnemonic Codes

Help people remember the meaning of the code. An example would be course prefixes at a university such as Acct.

Hierarchical Codes

Each digit/block of digits conveys important information to people who know the code.

Block Coding

Numbers are assigned in blocks; each block is reserved for a particular kind of account. For example, all current assets may start with a "1", while equity accounts might start with a "5".

Sequential Coding

Numbers items in a sequence

Accounting and Bookkeeping

Bookkeeping

Recording Transactions

Accounting

Accounting is more than just bookeeping. It goes into concerning itself with identifying those transactions and communicating information for decision making.

Accounting Cycle

Prepare a post-closing trial balance
Close the temporary accounts to RE
Prepare financial Statements

Income Statement

Statement of OE

Balance Sheet

Statement of Cash Flows

Prepare an adjusted trial balance
Record adjusting entries and post to the general ledger accounts
Prepare an unadjusted trial balance
Post from journal to general ledger accounts
Record transactions in journal
Analyze transactions
Obtain information