Core concepts of accounting information systems 13 by simkin norman chapter 04

Prepared by Paula Funkhouser
University of Nevada, Reno

Core Concepts of Accounting Information Systems, 13th Edition
Mark G. Simkin ● Jacob M. Rose ● Carolyn S. Norman

Information
Technology and
AISs
Chapter 4

1


Chapter 4:
Information Technology and AISs
• Introduction
• The Importance of Information Technology
to Accountants
• Input, Central Processing Units
and Output Devices
• Secondary Storage Devices
• Data Communications and Networks
• Computer Software
2
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The Importance of IT to Accountants
1.
2.

3.

Must be compatible and support other
components of AIS
Accountants often help clients make
software and hardware purchases
Auditors must evaluate computerized
systems

3
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The Importance of IT to Accountants
4. Often asked to evaluate the efficiency and
effectiveness of existing system
5. IT affects how accountants work now and
in the future
6. Understanding IT is vital to passing most
certification exams

4
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The AICPA’s Top 10 Information
Technologies for 2013
•
•
•

•
•

Managing and Retaining Data
Securing the IT Environment
Managing IT Risk and Compliance
Ensuring Privacy
Managing System Implementations

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The AICPA’s Top 10 Information
Technologies for 2013
• Preventing and responding to computer fraud
• Enabling decision support and analytics
• Governing and managing IT
investment/spending
• Leveraging emerging technologies
• Managing vendors and service providers
6
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Study Break #1
All of the following are reasons why IT is important to
accountants except:
A. Accountants often help clients make IT decisions
B. Auditors must evaluate computerized systems

C. IT questions often appear on professional certifications
examinations
D. The costs of IT are skyrocketing

7
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Input Devices
• Source documents and data transcription
• Point-of-Sale (POS) devices
– Bar Code Readers
– Universal Product Code (UPC)

• Magnetic Ink Character Recognition
(MICR)

8
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MICR Symbols

9
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Input Devices
• Optical Character Recognition (OCR)
– Mark-sense media

– Turnaround documents

• Plastic Cards with Magnetic Strips
• Small-System Input Devices
– PDA Devices

10
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Small-System Input Devices
•
•
•
•
•
•

Keyboards
Computer mice
Touch pads
Joy sticks
Touch screens
Computer pens/styluses

11
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Common Input Devices

12
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Input Devices
• Digital Video Cameras
• Biometric Scanners
– Behavioral systems
– Physiological systems
– Enrollment

13
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Biometric Scanners

14
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Central Processing Units
• Primary Memory
• Microprocessors
• Computers, Processor Speeds and
AISs

15
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Central Processing Units

16
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Output Devices
• Printers
• Video Output
• Multimedia

17
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Secondary Storage Devices
• Primary Memory
– Volatile Memory
– Lost electrical power, lost memory

• Secondary Storage
– Mass Storage or Auxiliary Storage
– Maintain data in permanent files

18
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Format of a Computer Record

19
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Secondary Storage Devices
• Magnetic (Hard) Disks
– Redundant arrays of inexpensive disks (RAIDs)

• CD-ROMs, DVDs, and Blu-Ray Discs (BD)
• Fla

20
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Secondary Storage Devices
• CD-ROMs
– Write-once, read-many (WORM) media

•
•
•
•
•

DVDs
Blu-Ray Discs
Flash memory

Image processing
Record Management Systems
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Study Break #2
The acronyms POS, MIC, and OCR are most closely associated
with:
A. Input devices
B. Processing devices
C. Output devices
D. Communication devices

22
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Study Break #3
Which of these devices is capable of storing the most data?
A. CD-ROM disk
B. DVD disk
C. USB (flash memory) device
D. Magnetic (hard) disk

23
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Data Communications

and Networks
• Communication Channels and Protocols
–
–
–
–

Modem
Integrated Services Digital Network (ISDN)
Digital Subscriber Line (DSL)
Data Communications Protocol

• Local and Wide Area Networks
• Client/Server Computing

24
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Data Communications
and Networks
• Local Area Networks (LANs)

25
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