
What do you understand by Accounting Information System ?
What do you understand by Accounting Information System ?
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What do you understand by Accounting Information System ?
What do you understand by Accounting Information System ?
Accounting information systems collect and process transaction data and communicate the financial information to interested parties. In other words, an information system is a formal process for collecting, processing the data into information, and distributing it to users.
It is generally a computer-based method for tracking accounting activity in conjunction with the help of technology. The resulting statistical reports can be used internally by management or externally by other interested parties including investors, creditors and tax authorities.
The different sub components in AIS include Budgeting and Planning, Expenses Management, Revenue Management, Cash and Treasury Management, Accounting software, Electronic Banking, Activity-based Management, Payroll etc.
The key elements that compose the typical Accounting Information System are People, Procedure and Instructions, Data, Software, Information Technology Infrastructure, Internal Controls.
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