Maxwell Pty Ltd is a manufacturing business that produces its goods via a series of processes. Process costing is a predominant part of the management accountant's role. Maxwell has strong domestic and international competitors. Nevertheless, there is a huge demand for Maxwell products with sustained market shares over the year. Therefore, businesses regularly modify or replace their accounting system to meet the fast-changing industry innovation, demand, and other social contracts. This places the company well in competing with rivals by taking advantage of evolving Accounting IT systems. However, the continuous changes in the Accounting System require substantial resource commitments from Maxwell Pty Ltd similarly to substantial benefits. Some of the typical tasks involved in the changes or replacement of the accounting system at Maxwell include (1) surveying the existing system, and (2) system analysis involving the project manager, system or business analysts, management accountant, and other technical personnel such as system security analysts.

Required:

1. Given the briefing above, discuss the purpose and reasons for surveying Maxwell’s existing system

2. Explain the activities likely to be performed during systems survey and analysis at Maxwell Pty Ltd

3. Discuss the role of a management accountant in modification to Maxwell existing accounting system or replacement of the accounting system. (2 Marks)

Answer rating: 100% (QA)

question 1 Understanding Maxwells current accounting processes identifying areas for improvement and ... View the full answer