Examine Table 2-1 and discuss how the various information needs would be collected and reported by a company’s AIS.

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Table 2-1 Overview of S&S's Business Processes, Key Decisions, and Information Needs Business Processes Acquire capital Acquire building and equipment Hire and train employees Acquire inventory Advertising and marketing Sell merchandise Collect payments from customers Pay employees Pay taxes Pay vendors Key Decisions How much? Find investors or borrow funds? If borrow, best terms? Size of building? Amount of equipment? Rent or buy? Location? How to depreciate? Experience requirements? How to assess integrity and competence of applicants? How to train employees? What models to carry? How much to purchase? How to manage inventory (store, control, etc.)? Which vendors? Which media? Content? Markup percentage? Offer in-house credit? Which credit cards to accept? If offer credit, what terms? How to handle cash receipts? Amount to pay? Deductions and withholdings? Process payroll in-house or use outside service? Payroll tax requirements Sales tax requirements Whom to pay? When to pay? How much to pay? Information Needs Cash flow projections Pro-forma financial statements Loan amortization schedule Capacity needs Building and equipment prices Market study Tax tables and depreciation regulations Job descriptions Applicant job history and skills Market analyses Inventory status reports Vendor performance Cost analyses Market coverage Pro-forma income statement Credit card costs Customer credit status Customer account status Accounts receivable aging report Accounts receivable records Sales (for commissions) Time worked (hourly employees) W4 forms Costs of external payroll service Government regulations. Total wage expense Total sales Vendor invoices Accounts payable records Payment terms