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FNSACC505 Establish and maintain accounting information systems Assignment Help and Solutions, FNS50217 Diploma of Accounting-Academies Australasia

Task 1

For this assessment you must complete the following written activity.

‘Napoleon at Sydney’ is a company that provides the services of installation of Securities Camera in customers’ homes selling a range of Securities Cameras. The firm is currently comprised of Max and Willy. Sales have been increasing steadily and Max and Willy wish to migrate from a manual system to a computerised management information system.

They wish to record sales and receipts, maintain debtor control and keep better track of customers. Instead of only providing cash sales, they will accept credit flexibility obtained through Visa Card, a large credit provider. Visa’s terms are a minimum flat fee per transaction of $1.50 or 2.50% of the value charged.

‘Napoleon at Sydney’ receive orders from clients, if paying by credit card, a check is conducted to make sure that the credit card is not on the list of stolen or cancelled cards. If it is on the list, credit is refused immediately. If not, an invoice is raised, and a Visa receipt is printed for the client to sign. All invoices are posted at the end of the day.

Max and Willy will both draw $3000 a monthly as a salary paying full tax on it. Cheques are drawn and data is processed and posted. A purchasing/accounts payable system is also required with facility for BPAY, payment by direct transfer and cheques.

(Modified from: Trenerry, A. 2003, ‘Accounting System Design’, Pearson Education Australia, Frenchs Forest)

Required:

Prepare a report outlining the Design of the Accounting system to be used by ‘Napoleon at Sydney’.

Areas to include are:

Objectives of Accounting system

System specification

System design

Documentation design

System Testing

Security requirements

Recording processes

Implementation plan

Training Schedules

Compliance

Integrity of system

key principles and practices of budgetary control and implications for accounting systems

Reporting requirements

Reporting Procedures

Evaluation and modification of accounting system

Continuous Improvement

Task 2

Choose the organization you are currently working, or you would like to do work in future or any organization you would consider doing research on. Go through that organization’s AIS; gather as much as information you can and analyze and then write on the followings:

1. Analyze the Organization AIS based on key features of statutory requirements, codes of practice and organisational policy and procedures relating to accounting systems – identify the system requirements

2. Describe the design then show how good it is implemented

3. Give your view if there is any good or bad side of the AIS that you would like to clarify

4. Think of an alternative system for them or any changes you would like to bring or any addition you would like to bring to their current system.

5. In line with your text describe how would you design, implement and monitor the new system.

6. The expected structure of a report and the purpose and contents of each section is shown below.

Task 3

KL-Comic, a bedroom furniture company was established 15 years ago. It started as a single store operating in Sydney and now has outlets in all states and territories of Australia.

KL-Comic’s sales have increased 20% each year for the last three years. The original sales and receivables system has been unable to keep pace with the increasing volume of sales invoices, statements and customer accounts. Processing has been so slow that KL-Comic is starting to fear that its customers will turn to other more efficient suppliers in an increasingly competitive environment.

KL-Comic currently utilises a range of different systems to support its operations. The data held from these systems resides on a number of different databases and in some cases the data resides in more than one database. In many cases, there is no direct integration between the systems, requiring the use of various software programs that transfer data from one system to another.

For example, one software system at KL-Comic is used in the purchasing department, a different system is used in the warehouses to record order arrivals and yet another system is used for customer-product matching. A specially written software program is used to transfer the data from the purchasing department system to the warehouse department.

These systems are maintained by the IT staff of KL-Comic, and in some cases with support provided by external software specialists. While these systems and databases are not typical off the shelf solutions for a company such as KL-Comic, they do allow KL-Comic to use the internet to perform e-commerce services where it can transact with suppliers and customers electronically and online.

Required:

a. Identify three control weaknesses and explain the problems these may cause KL-Comic relating to the revenue cycle.

b. Suggest three ways in which KL-Comic could make their systems more efficient.

Task 4

1. What is the purpose of AASB and are they supported legally? Discuss ethical considerations for the handling of financial reconstruction? Discuss in 150 to 180 words.

2. How would you evaluate alternative systems? Why should you perform a test on the system prior to purchasing? Discuss in 150 to 180 words.

3. Monitoring and reporting of systems is vital in continuous improvement and to ensure compliance considering the key features of financial legislation relating to taxable transactions and reporting requirement. Why? Discuss in 150 to 180 words.

4. Why would an organization review the current systems and processes? What are some of the records an organization might examine as part of this review? Discuss in 150 to 180 words.

5. You have been asked to provide the details of what might be required to satisfactorily record details of sales made at one of the organization’s revenue centers: Discuss in 150 to 180 words.

a. What documents might you need to help you prepare accur recording and storing financial data ate records? List and describe three source documents.

b. List five categories of information which you might need to record.

Task 5

Kogan TVs manufacturers and sells to its distributors and retail chain a variety of TVs and associated devices. It has asked you to advise its management on the efficiency of the administration and accounting systems.

You have advised them on their perpetual inventory system, which uses an established computer accounting package.

All items in the production cycle have minimum stock point levels established. The minimum stock point for finished goods triggers a production order to the plant for more finished goods while a purchase order is produced on the established supplier for any raw materials required.

Each day the Production Control department issues to the Stock Control section a Production Timetable which sets out the number of TVs and DVD players to be produced that day. The Stock Control clerks check that there are enough parts on hand. Items falling below the Stock Minimum are re-ordered by the stock clerk on the relevant type of order. The Stock Control Manager approves the orders.

A summary of Orders Report is produced each day listing all orders raised.

Required:

a. Write the steps involved for the inventory control system for Kogan TVs.

b. Using the relevant symbols, draw a document flowchart for the inventory control system for Kogan TVs.

a. Write the short notes on recording and storing financial data of the inventory control system for Kogan TVs.

b. draw a document flowchart for the inventory control system for Kogan TVs.