Accounting Information Systems and Auditing (ACF211)
Class notes
ACF 211 NOTES PART 1/5
10 views 0 purchase
Course
Accounting Information Systems and Auditing (ACF211)
Institution
Lancaster University (LU)
Book
Accounting Information Systems, Global Edition
Lecture notes study book Accounting Information Systems, Global Edition of Marshall Romney, Paul Steinbart - ISBN: 9781292353364, Edition: 15th edition, Year of publication: - (ACF 211 notes)
Test Bank For Accounting Information Systems, 15th Edition by Romney, Steinbart, Summers, Wood all chapters.
Test Bank For Accounting Information Systems, 15th Edition by Romney, Steinbart, Summers, Wood all chapters || Complete Solution.
[TEST BANK] ACCOUNTING INFORMATION SYSTEMS, 15TH EDITION BY ROMNEY, STEINBART, SUMMERS, WOOD QUARANTEED PASS 2024/2025
All for this textbook (47)
Written for
Lancaster University (LU)
Lancaster University
Accounting Information Systems and Auditing (ACF211)
All documents for this subject (1)
Seller
Follow
andreaschrr
Content preview
ACF 211 – EXAM NOTES Part 1
ACF 211 – Session 2 – Data, information and business processes
1) Distinguishing Between Data and Information
Data are facts collected, recorded, and stored in the system
A fact could be a number, date, name, and so on.
For example:
2/22/14 ABC Company, 123, 99, 3, 20, 60
2) Distinguishing Between Data and Information (cont)
The previous slide just showed data, if we organize the data within a context
of a sales invoice, for example, it is meaningful and considered information.
3) Decision Quality
Information helps us make ‘better’ decisions. A ‘better’ decision is one
that improves the outcomes for the organization based on its own goals
and objectives.
Too much information causing information overload can reduce decision
quality.
Information Technology (IT) is used to help decision makers more
effectively filter and condense information.
Note that an IT system should be designed with decision quality at its
heart
4) Value of Information
Information is valuable when the benefits exceed the costs of gathering,
maintaining, and storing the data.
Benefit (i.e., improved decision making) Minus Cost (i.e., time and resources
used to get the information) = value of information
Value of information = Benefit - Cost
, 5) What Makes Information Useful?
There are seven general characteristics that make information useful:
Relevant:
Information needed to make a decision (e.g., the decision to extend
customer credit would need relevant information on customer balance
from an A/R aging report)
Reliable:
Information free from bias
Complete:
Does not omit important aspects of events or activities
Timely:
Information needs to be provided in time to make the decision
Understandable:
Information must be presented in a meaningful manner
Verifiable:
Two independent people can produce the same conclusion
Accessible:
Available when needed
6) Information Needs and Business Processes
- Business organizations use business processes to get things done. A
business process is a set of related, coordinated, and structured
activities and tasks performed by people, machines, or both to achieve
a specific organizational goal.
- Key information needed for effective decisions often come from these
business processes.
7) Basic Business Processes
The benefits of buying summaries with Stuvia:
Guaranteed quality through customer reviews
Stuvia customers have reviewed more than 700,000 summaries. This how you know that you are buying the best documents.
Quick and easy check-out
You can quickly pay through credit card or Stuvia-credit for the summaries. There is no membership needed.
Focus on what matters
Your fellow students write the study notes themselves, which is why the documents are always reliable and up-to-date. This ensures you quickly get to the core!
Frequently asked questions
What do I get when I buy this document?
You get a PDF, available immediately after your purchase. The purchased document is accessible anytime, anywhere and indefinitely through your profile.
Satisfaction guarantee: how does it work?
Our satisfaction guarantee ensures that you always find a study document that suits you well. You fill out a form, and our customer service team takes care of the rest.
Who am I buying these notes from?
Stuvia is a marketplace, so you are not buying this document from us, but from seller andreaschrr. Stuvia facilitates payment to the seller.
Will I be stuck with a subscription?
No, you only buy these notes for $5.30. You're not tied to anything after your purchase.
