Chapter 4 Accounting Systems & Business Processes ACCOUNTING INFORMATION SYSTEMS The Crossroads of...

Chapter 4Chapter 4Accounting Systems Accounting Systems & Business Processes& Business Processes

ACCOUNTING INFORMATION SYSTEMSACCOUNTING INFORMATION SYSTEMSThe Crossroads of Accounting & ITThe Crossroads of Accounting & IT

Business Processes & the Accounting System

Accounting spans business processes in the value chain.

Transaction Cycles

Each transaction cycle is expanded to show the transactions in the cycle.

Create Invoice activity for Espresso Coffee using DFDs.

Data Flow Diagrams (DFDs) use four symbols:

Agent = Square

Data Flow = Arrow

Data Store (Table) = Open Rectangle

Event or Process = Rounded Rectangle

DFD Example

Reading a DFD

Who does What, When, Where & How?

Step 1 Identify the agents (internal and external).

Step 2 Identify events.

Step 3 Identify database tables.

Step 4 Trace the data flows.

DFD Exercise

For a bank ATM transaction, identify the following:

1.Agents

2.Events

3.Data stores

Guidelines for Well-Designed DFDs

DFD: 3 Common Errors

Joey’s DFD

What changes would you request?

DFD Exercise

The following data flow diagram has three agents (A1, A2, A3), two processes/events (P1, P2), and two database tables (T1, T2).

Identify and list the errors that you see in the DFD.

How Do I Build a DFD (Level 0)?

Steps 6-10: Repeat steps 1-5 to create a level-1 DFD.

Level-1 DFD

Chapter 4 Accounting Systems & Business Processes ACCOUNTING INFORMATION SYSTEMS The Crossroads of...

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