BAYLOR ACC 3332

ACCOUNTING INFORMATION SYSTEMS

Fall 1994

Dr. Charles E. Davis Office Hours

Blume W 9:00 - 11:00

755-1111 TTh 9:30 - 10:45

Ext. 6138 3:30 - 5:00

By appointment

"The green eyeshade has given way to the green hue of the accountants' cathode-ray-tube terminal. Accounting will never be the same." --William E. Perry

Texts: Accounting Information Systems, 6th Edition, Barry E. Cushing & Marshall B. Romney, Addison-Wesley, 1994. (denoted CR in syllabus).

Systems Understanding Aid for Auditing, 3rd Edition, Alvin A. Arens and D. Dewey Ward, Armond Dalton Publishers, Inc., 1989. (denoted SUA in the syllabus)

Accounting Information Systems Readings - available from Dr. Davis (denoted AIS in syllabus).

Accounting Information Systems PowerPoint Lecture Notes - available from Dr. Davis.

It is also recommended that if you do not own a style manual, you purchase one. One specifically written for accountants is Effective Writing: A Handbook for Accountants (3rd ed.) by Claire May (Prentice-Hall, 1992). This should be available in the Baylor Bookstore.

Points

Grading: Exam #1 100

Exam #2 100

Flowcharting Group Case 25

Westchester Distributing Case Analysis 50

Systems Understanding Aid 75

Peachtree Implementation Project 100

Final Group Case 200

Class Participation 50

TOTAL 700

A >630 points

B+ 609-629 points

B 560-608 points

C+ 539-559 points

C 490-538 points

D 420-489 points

F <420 points

Course Objectives:

The following quote is taken from an AICPA publication concerning computer education in accounting programs:

The first [deficiency] involves computer applications in business. Their [students'] experience with computers has been in a problem-solving mode, using canned packages or programming rather simple mathematical problems. They seem to have very little feel for accounting transaction processing: the concepts of files, transaction updates, editing, reporting and so forth. The second common deficiency was in flowcharting analysis and documentation, not strictly limited to computers but emphasizing computers.

This course should prevent you from exhibiting the above deficiencies on your first job.

This course is designed to expand the information systems knowledge you gained in ISY 3305 into an accounting environment. Particular emphasis will be placed on the design of, and evaluation of controls in, accounting information systems to provide a foundation for auditing those systems. Knowledge of information systems facts and principles is important, but the ability to apply this knowledge in an accounting information systems context is equally, if not more, important. Therefore, this course will stress the application as well as acquisition of accounting information systems knowledge. The course will not stress technical aspects of information systems, as these components are best left in the hands of the technical experts, not the accountants.

As prospective accountants and auditors, this course will provide invaluable information. As auditors, you will likely be called upon to audit accounting information systems. The knowledge gained in this course will assist you greatly in knowing how a system should be designed and controlled. As accountants, you will work daily with your firm's accounting information system, providing inputs and utilizing outputs. This course will help you understand how that system operates and how to identify information that should beavailable to assist in your decision making. As either auditors or accountants, you may be involved with assessing an existing accounting information system and recommending new systems. This course will equip you with tools for the analysis, design and implementation of accounting information systems.

Exams:

There will be two exams during the course as scheduled on the syllabus. These exams will test your ability to apply your knowledge of the concepts covered during the course. Copies of a previous semester's exams are on the HSB computer network. To access these exams, login using your ID and specify that your want information for "ACC3332". Then start Windows and Word. The exams are on the J: drive in the WINWORD directory.

Assignments:

All assignments will be due as noted on the syllabus. These assignments are designed to test your ability to apply the concepts learned in the course. These assignments, unless otherwise indicated, should be completed INDIVIDUALLY and must be turned in at the beginning of the class indicated. Late assignments will not be accepted without prior approval from me, and then, only in extenuating circumstances.

I take the Honor Code very seriously, as you should. All work represented to me as yours should be done solely by you. This means no collaboration with any living source, other than myself, unless the project is specified as a group project. This also means no plagerism from any printed materials. If I have any indication that these conditions have been violated, all those involved will receive an "F" in the course.

Readings and Suggested Problems:

The syllabus details the readings that you are to complete prior to coming to class each day. You should be prepared to participate in class discussions based on all assigned readings. You will also find a list of selected suggested problems that emphasize the main points of each topic. You should try these problems prior to coming to class. As time permits, I will go over the problems in class. You should also be prepared to ask specific questions about any difficulty you are having with a problem. Solutions for these suggested problems are on reserve in the library.

PowerPoint Presentations:

Several lectures will be supplemented with PowerPoint presentations that I have prepared. Most of these slides are contained in your lecture packet. All of these slide shows are on the HSB network on the "J:" drive under ACC3332 in the POWERPT directory.

Class Participation:

There is an element of subjectivity and creativity in systems analysis and design. Therefore, I place high value on class discussion and participation. Remember that it is difficult to participate in class discussions if you have not prepared for the class by completing the reading assignment and looking at the suggested problems. Should volunteers not come forward during these discussions, I will be calling on you to volunteer.

Participation grades will be determined based on class attendance and participation in class discussions. Everyone begins the course with a participation grade of 25. Each absence reduces your participation grade by 2 points. Participation in class discussions can add up to 25 points to your participation grade.

Class Attendance:

It is a University requirement that you attend 75% of the scheduled class meetings in order to pass the class. This means you may miss as many as 7 classes. On the eighth unexcused absence, you will receive an "F" for the course. While I will try to contact you when you approach 7 absences, it is ultimately your responsibility to keep track of your absences.

If you know that you will not be in class and feel that you have a valid reason for an excused absence, this request must be presented to me IN WRITING PRIOR TO THE ABSENCE. At that time I will determine if the absence will be excused. If the absence is excused, it will still count towards your 7 allowable absences; however, you can make up any missed work.

I will be checking attendance at the beginning of each class. If you are late for class, it is your responsibility to see me after class to make sure you are not counted absent. As late arrivals are disrupting to the class, each third tardy will be counted as one unexcused absence.

Office Hours:

Unless something comes up, I will be in my office during the hours listed on the first page of this handout. If these hours are not convenient for you, I will be happy to schedule an appointment at a mutually convenient time. While I will typically be in my office every day, if you want to stop by at times other than my official hours, please call first to make sure that I am available. I encourage you to come by whenever you have a question about the course material or any other questions that I may be able to help you with.

I look forward to an enjoyable semester with you.



    DATE              TOPIC                       READINGS               SUGGESTED PROBLEMS     ASSIGNMENTS DUE   

                                      (CR = Cushing & Romney textbook,   (P = problem, DQ =                       

                                      AIS = ACC3332 course packet, SUA  discussion question)                      

                                         = Systems Understanding Aid                                              

                                               Reference book)                                                    



August 30    Introduction - Why       CR - Chapter 1                                                              

             Study Accounting         AIS - p. 1                                                                  

             Information Systems?                                                                                 



September 1  Transaction Processing   CR - pp. 51-61                                                              

                                      SUA - pp. 7-21                                                              



6            Systems Documentation    CR - pp. 99-102, 113-127          P 3.5, 3.11(b)                            

             Techniques               AIS - pp. 2-3                                                               



8            Flowcharting Lab         CR - pp. A1-A7 (F & C                                                       

                                      Construction Case in appendix)                                              



13           Revenue and              CR - pp. 552, 555-556, 761-770,                         Flowcharting Group  

             Personnel/Payroll        937-949, 997-1000                                       Project             

             Transaction Cycles       SUA - 29-38, 40-41, 56-59                                                   



15           Procurement and          CR - pp. 552-555, 813-821,                                                  

             Production Transaction   877-887, 1000-1004                                                          

             Cycles                   SUA - 42-50, 54-55, 62-68                                                   



20           Coding Schemes,          CR - pp. 79-85                    P 2.1, 2.4            Bring SUA to class  

             Introduction to Systems  AIS - pp. 4-8                                                               

             Understanding Aid                                                                                    



22           Data Processing          CR pp. 61-78                      DQ 2.5, P 2.9                             



27           Control and Accounting   CR - Chapter 12                   P 12.8, 12.11                             

             Information Systems      AIS - pp. 9-22                                                              



29           General Controls         CR - pp. 579-615                  P 13.9, 13.11         Systems             

                                      AIS - pp. 23-30                                         Understanding Aid   



October 4    Application Controls     CR - pp. 615-636                  P13.14, 13.15                             

                                      AIS - pp. 31-33                                                             



6            Westchester              Westchester Distributing Case                           Westchester         

             Distributing Case                                                                Distributing Case   

                                                                                              Writeup             



11           Microcomputer            CR - pp. 194-214                  DQ 5.3, 5.7                               

             Applications in          AIS - pp. 34-51                                                             

             Accounting                                                                                           



13           Exam #1                                                                                              



18           Computer Crime           CR - Chapter 14                   DQ 14.10, P 14.3,                         

                                                                        14.5                                      



20           Introduction to                                                                                      

             Peachtree Accounting                                                                                 

             for Windows                                                                                          



25           Revenue Cycle - An       CR - Chapter 16, pp. 1012-1019,   P 16.2, 16.6, 16.12,                      

             Automated Approach       1029-1036                         20.2                                      



27           Procurement Cycle - An   CR - Chapter 17, pp. 1019-1020    P 17.2, 17.3, 17.4,                       

             Automated Approach                                         20.3                                      



November 1   Personnel/Payroll and    CR - Chapters 18 and 19           P 18.2, 18.13(b),                         

             Production Cycle - An                                      19.2, 19.5, 19.8                          

             Automated Approach                                                                                   



3            Systems Development      CR - pp. 345-352, 356-362,        P 8.3, 9.3                                

             Life Cycle - Systems     387-407, 432-440                                                            

             Analysis and Design                                                                                  



8            Systems Evaluation and   CR - pp. 409-414                  P 8.7                                     

             Selection                AIS - pp. 52-58                                                             



10           Systems Implementation   CR - pp. 440-458                  P 8.9, 10.10                              

             and Conversion                                                                                       



15           Application of Internal                                                          Peachtree           

             Control Concepts                                                                 Accounting for      

                                                                                              Windows Project     



17           Exam #2                                                                                              



22           Group Project Workday                                                                                



24           Thanksgiving                                                                                         



29           Software Piracy          AIS - pp. 59-62                                                             



December 1   Review of Accounting                                                                                 

             Software Packages                                                                                    



6            Engineering Associates   AIS - pp. 63-65                                                             

             Case                                                                                                 



8            Outside presentation to                                                                              

             be scheduled                                                                                         



12                                                                                            Final Group         

                                                                                              Project