1. Discuss the differences between internal and external users of information and their needs and demands on an information system.

2. Explain why an organization would install a distributed instead of a centralized computer environment.

3. Discuss the importance of accounting independence in accounting information systems. Give an example where this concept is important. (Use an example other than inventory control.)

4. Classify each transaction as Financial or Non-financial Transaction.

a. Purchase of Products -

b. Update of Supplier file-

c. Quotation to a Customer-

d. Sale of Inventory-

e. Cash Receipts-