BTC1110 Lecture Notes - Lecture 1: Financial Institution, Accounts Receivable, Business Process
6 Jun 2018
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c) Reject the client’s request:
-Loose the client who is of significant value to you
(Just in the case anyway if your value to him is solely)
-Ensures that you will not be asked to be partly of a more significant violation later
4. the most ethical course
Select the best or most ethical alternative considering all the circumstances and consequences
-Placing the pros and cons from the client’s perspective may cause the client to retain your services.
Consequentialist
Desirable outcomes
Non-consequentialist
What is normally right/ wrong (generally agreement)
2. AIS and Business Functions
Collect and store data:
-Organizational activities, resources, personnel
(E.g. making a sale or purchasing raw materials
Repeated frequently)
Transform data into information enabling management
-Support organizational value chain activities
(Leverage resources making money in different part of value chain Need information of what is the
best use of the resources)
-Enables strategic analysis
Provide controls to safeguard assets and data
3. Organization’s business process and lines of business affect the design of its AIS
-An organization’s AIS reflect its business process and its line of business
(a) Manufacturing companies
Set of procedures and documents for the production cycle (RM, WIP)
(b) Government agencies
Track separately all inflows & outflows ensure the legal requirements about the
use of specific funds are followed (funding; expenditure)
(c) Financial institution
Do not need extensive inventory control systems (Large volume; loans& deposits)
(d) Passenger service
companies (E.g. airlines)
Generally receive payments in advance account for prepaid revenue (Extensive
billing & accounts receivable are not needed)
(e) Construction firms
Receive payments at regular intervals (Based on the % of work completed):
Revenue cycles must be designed to track carefully all work performed and the
amount of work remaining to be done
(f) Service companies
X inventory systems; develop and maintain detailed records of the work
performed (E.g. billing)
4. Data processing cycle: “Garbage in, garbage out”
-The errors are allowed into a system that error is processed and resultant erroneous data stored Become output
-More problematic in ERP (Enterprise resource planning Integrated) systems
-Affect many more applications
Document Summary
Loose the client who is of significant value to you (just in the case anyway if your value to him is solely) Ensures that you will not be asked to be partly of a more significant violation later: the most ethical course. Select the best or most ethical alternative considering all the circumstances and consequences. Placing the pros and cons from the client"s perspective may cause the client to retain your services. Non-consequentialist what is normally right/ wrong (generally agreement: ais and business functions (cid:190) Organizational activities, resources, personnel (e. g. making a sale or purchasing raw materials (cid:198)repeated frequently) (cid:190) Support organizational value chain activities (leverage resources (cid:198)making money in different part of value chain (cid:197)need information of what is the best use of the resources) Provide controls to safeguard assets and data: organization"s business process and lines of business affect the design of its ais.
