YOUR CLIENT HAS BEEN USING A MANUAL ACCOUNTING SYSTEM WITH A PROPER AND EFFECTIVE SYSTEM OF...
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YOUR CLIENT HAS BEEN USING A MANUAL ACCOUNTING SYSTEM WITH A PROPER AND EFFECTIVE SYSTEM OF INTERNAL CONTROL. THEY ARE CONSIDERING A CONVERSION TO AN AUTOMATED ACCOUNTING INFORMATION SYSTEM FOR OPERATING AND REPORTING PURPOSES. THEY ARE NOT SURE IF THERE WILL NOT BE MASSIVE CHANGES TO THE WAY THEY OPERATE THEIR ORGANIZATION, OTHER THAN THE USE OF COMPUTER HARDWARE AND SOFTWARE TO PROCESS ACCOUNTING TRANSACTIONS. THEY ARE ASKING YOU TO EXPLAIN TO THEM THE FOLLOWING: WHAT ELEMENTS OF THE SYSTEM OF INTERNAL CONTROL WILL CHANGE AS THE RESULT OF THE USE OF AN AUTOMATED ACCOUNTING SYSTEM? WHAT ELEMENTS OF THE SYSTEM OF ACCOUNTING CONTROL WILL NOT CHANGE AS THE RESULT OF THE USE OF AN AUTOMATED ACCOUNTING SYSTEM? YOUR CLIENT HAS BEEN USING A MANUAL ACCOUNTING SYSTEM WITH A PROPER AND EFFECTIVE SYSTEM OF INTERNAL CONTROL. THEY ARE CONSIDERING A CONVERSION TO AN AUTOMATED ACCOUNTING INFORMATION SYSTEM FOR OPERATING AND REPORTING PURPOSES. THEY ARE NOT SURE IF THERE WILL NOT BE MASSIVE CHANGES TO THE WAY THEY OPERATE THEIR ORGANIZATION, OTHER THAN THE USE OF COMPUTER HARDWARE AND SOFTWARE TO PROCESS ACCOUNTING TRANSACTIONS. THEY ARE ASKING YOU TO EXPLAIN TO THEM THE FOLLOWING: WHAT ELEMENTS OF THE SYSTEM OF INTERNAL CONTROL WILL CHANGE AS THE RESULT OF THE USE OF AN AUTOMATED ACCOUNTING SYSTEM? WHAT ELEMENTS OF THE SYSTEM OF ACCOUNTING CONTROL WILL NOT CHANGE AS THE RESULT OF THE USE OF AN AUTOMATED ACCOUNTING SYSTEM?
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Answer Explanation I Elements of Internal Control Control Environment The control environment as established by the organizations administration sets the tone of an institution and influences the cont... View the full answer
Related Book For
Operations Management in the Supply Chain Decisions and Cases
ISBN: 978-0073525242
6th edition
Authors: Roger Schroeder, M. Johnny Rungtusanatham, Susan Goldstein
Posted Date:
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