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Accounting Information Systems I(Bbit 311) Question Paper

Accounting Information Systems I(Bbit 311)

Course:Business Administration

Institution: Kenya Methodist University question papers

Exam Year:2010

TIME : 2 HOURS
INSTRUCTIONS Answer Question ONE and any Other TWO Questions

Question One
a) Define the following terms as used in accounting information system
i) Turn around document
ii) Goal Conflict
iii) Goal Congruence
iv) Information overload
v) Accounting Information System
vi) Event
vii) Transaction
viii) Data processing (8marks)
b) Discuss the importance of documentation when designing an accounting information system (6marks)
c) How can you improve accuracy in an accounting information system (4marks) d) Reports are very important in any organization. Discuss four types of report which can be produced by an Accounting information system (4marks)
e) Identify the AIS design and development stages (6marks)
f) Differentiate between Master file and a transaction file (2marks)

Question 2
a) Discuss the following data processing mode:
i) Batch Processing
ii) Real time processing
iii) Online processing (6marks)
b) Discuss the advantage of using Flow chart when designing processes for an Accounting information system (4marks)
c) Discuss the important of standard in auditing of computerized accounting information system (4marks)
d) Discuss the following types of internal auditing
i) Financial audit
ii) Information systems audit
iii) Operational or management audit (6marks)

Question 3
a) Computerized audits follow a similar sequence of activities. Discuss the stages of computerized auditing (8marks)
b) List examples of threats to Accounting information system security. (6marks) c) In any business there are various activities which take place in any level of management. Explain various business activities and how the AIS has assisted in making work easier in an financial institution (6marks)

Question 4
a) Explain the following terms as used in database of accounting information system
i) Relation database
ii) Hierarchical database
iii) Network database (6marks)
b) The auditor of a company with an Electronic Data Processing (CIS) based accounting system should remember that if the quality of the input is controlled, the output will “look after itself”.
i) Discuss the application of this statement, citing suitable examples. (8marks)
ii) Describe six major procedural controls which the auditor would expect to find in operation, three relating to input and 3 to output. (6marks)

Accounting Information Systems I(Bbit 311) Question Paper

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