Department of Accounting and Finance

University of North Florida

ACG 4401 - Accounting Information Systems

Summer 1995

PROFESSOR: Jeffrey E. Michelman

Associate Professor of Accounting and MIS

OFFICE HOURS: Monday & Wednesday 11am-12noon. Other hours by appointment.

OFFICE: 2347, Building 10 (646-2630); Home: (249-9462).

Prerequisites: A "C" or better in Intermediate Accounting I (ACG 3103). You will be dropped if this prerequisite has not been successfully met prior to the beginning of the semester.

Required Texts: Accounting Information Systems, 2nd Edition, Gelinas, Ulric, Oram, Allan, and Wiggins, William, 1993, Southwestern.

Practical Approach, Version 3.0, Charles Siegel, 1994, MIS Press.

Recommended Text: Auditing and Systems Objective Questions & Explanations, 6th edition, Gleim & Hillison, Accounting Publications, Inc.

Although the Wall Street Journal is not required for this course it is recommended as we will discuss the role of information systems in the contemporary corporate environment throughout the semester.

In addition, you will be required to purchase diskettes as explained later.

Each student is expected to read this document in its entirety.

The purpose of this course is to explore the relationships among accounting, data and technology as they combine to form accounting information. The course is not designed to focus on computer hardware issues, nor is it intended to explore the intricacies of intermediate accounting. Yet I do expect a working knowledge of the principles of accounting and basic information systems issues. This basic knowledge will be used to accomplish the purpose of this course which is to explore the role of accounting information systems in organizational decision making.

As a result, we will explore the role that accounting information plays in the organizational decision making process. For this reason it is important to recognize that accounting information is not only used to report on organizational activity (financial accounting), but it is used to create certain types of behavior (managerial accounting). Accounting information becomes a powerful tool throughout the organization.

Because of the importance of discussing these concepts, you will be expected to participate in class discussions on a regular basis. Class participation is a function of your willingness to share your ideas with the class in terms of both questions and answers. The class will be comprised of approximately 50% lecture and 50% discussion which will include cases and questions at the end of each chapter. Although class participation is expected, attendance is a minimal expectation. Students are responsible for all material presented in class. Poor performance in this area will generally cost you a full letter grade. In the past I have given points for class participation. This semester it will only be used in borderline situations. If you are sure that you will not be on the borderline you might ignore this, otherwise I would suggest that you take it seriously.1. Examinations

There will be three midterm examinations and a comprehensive final examination. The midterms will be multiple choice/problem/essay/case oriented and will be given in class on June 12, June 28, and July 17. The final examination will be multiple choice. Examinations will test material from the text, end of chapter questions, cases, and any material discussed in class. The examinations will not contain questions on Lotus Approach. You must turn in four blank scan sheets to the instructor, prior to the end of the second week of classes.

2. Projects

Although I will assume that you have been exposed to 1-2-3 before, I will expect you to become immersed in using computer technology, particularly Lotus Approach during the first two weeks of the semester.

Project 1 (150 points) Maureen Wayland recently purchased a large Music Store called Backside Music. Maureen has extensive experience with Lotus 1-2-3 and understands its power. Upon examining the transaction processing capabilities of the company, Maureen became concerned about the way that Payroll was accounted for. As a result, Maureen has asked you to develop a Lotus Approach Payroll system. You must complete this project with one or two other persons-of your choosing-you may not complete it alone. Your assignment is to develop an information system to be used to record payroll transactions. The system must be user friendly, so that Maureen's assistant (Mark) (who has no knowledge of Lotus Approach) can use it. The database must be able to accommodate 30 "records" with twelve characteristics. There are currently 20 employees with plans to hire 10 more. In developing the model, they would like you to suggest what these characteristics should be (Hint: see Chapter 13 of your textbook). The purpose of this assignment is to develop a prototype model for a client-do not think of this as a class project.

Additional Information

1. You must make use of a master file and transaction files where appropriate.

2. Assume that the your prototype is being used first on June 1, 1995 and the there are currently 20 Employees.

3. I would like to see you complete to payroll periods. These each be in a separate transaction table and then should have been combined into the master table as reports are created. I should be able to repeat the process on July 31, 1995. Each period should be entered into a separate transaction table and then combined with the master table to create reports.. We are assuming that this is a "batch processing" environment. As a result, this project requires a minimum of 3 tables.

4. Management would like to be able to create a minimum of 5 data query reports that each contain summary statistics.

The system must include the following "technical features" of Lotus Approach Release 3.0 for windows:

use of radio buttons

use of macros

data entry screens

lookup feature to pull up employee

use of multiple files and worksheets

use of formulas in the cells of the worksheet

turn off all bars, rulers, and tabs

ability to print a list of employees

A major part of your evaluation will entail your ability to use and integrate the data/information to build your model. In this part of the assignment you will be evaluated both on your technical mastery of the Lotus Approach skills and your ability to weave them together into a decision making model. Most importantly, the project must include documentation that will help Maureen and Mark to use the system. This documentation should start from the time that she sits down at the computer and should include explanations for all situations. The amount of documentation required can be reduced through the use of macros and on-screen prompts. Documentation, is probably the single most important part of this project, so do not leave it for the last minute. The intent of this handout is to more clearly explain what is meant by documentation. Documentation includes two parts: 1) user documentation and 2) technical documentation. These should be clearly separated in a single manual. Assume that all users use the UNF computer lab. Your start-up procedures must follow this environment.

User Documentation is intended to create a user friendly environment. This process should begin with the time that computer switch is "turned on," and should include any help necessary to use the system. This documentation can make use of one of the three techniques below with the first being the preferred, but the third being the most important when types 1 & 2 are not available.

1) MACROS

2) On screen prompts

3) Written documentation in the form of a users manual that is professionally prepared

A system that does not meet all of the Lotus Approach requirements but is well documented is better than a system that meets all of the Approach requirements but is not useable by decision makers (in this case Maureen). The written documentation should include copies of sample reports and graphs that Mark can use the model to create.

It is highly recommended that someone who knows "nothing" about Lotus Approach tests your model to see that it works and user documentation is adequate.

Technical Documentation should be aimed at those personnel whose job it is to support the software product (model). This explains how the model is constructed.

All projects should include one copy of the documentation and two copies of the model on a 3.5 inch disk. Only include files on the disk that are relevant for your evaluation. See Exhibit 1 for a mock evaluation sheet, although this sheet should not be included with your completed project. You will be required to present your model to Maureen and her assistant after they have had a chance to review it. In addition, you must complete the enclosed performance evaluation on the group process. The performance evaluation is due at the time the project is turned in and should be completed according to the instructions. Details of this performance evaluation are discussed below.

Note: you should plan to turn in two a disks (an original and a copy) containing any pertinent files and a "professional looking" presentation of your documentation. Disks will not be returned. Note: you must include instructions for printing graphs. Remember to view this as a prototype model that you are trying to sell, rather than as a class project.

Project 2 (200 points) Will involve a detailed systems analysis report for a specific cycle of a specific industry. The report should include how the system is used by management, controls, transaction cycles, flowcharting (and a legend for the symbols) and documentation/ professionalism. The report should include a discussion of the normative (what you expect to find) and the descriptive (what you found from personal interviews and examination of documents.) This will be a group project and you will work with 3-4 other people. With 3-4 cycles in each industry that will mean a total of 9-20 students per industry. The industries include: Revenue, Expenditure, Conversion, and Financial/General Controls. The conversion cycle may not be studied by all groups. You will be asked to evaluate both your performance and that of the other members of the group. Details of this performance evaluation are discussed below.

Part A) (150 points) This will involve the written submission of Part B. Further, you will be evaluated on how well the other cycles fit together. You must use a single word processing system. 75% of your evaluation will be based upon the your individual section and 25% on how the sections tie together. Although you will not be graded on the other teams' projects. You should plan to make three copies of this document: one for the group, one for me, and one delivered to the client on the due date. See Exhibit 2 for a mock evaluation sheet. In addition you must have a signed engagement letter from your organization by Monday June 7, 1995.

Part B) (50 points) This will require a professional group presentation-professional attire required for all class members. This presentation will be completed in front of the class and will take between 15-20 minutes including questions. There is no written component here, although you may choose to give out handouts.

Throughout the group processes members will suggest that you "trust them." I suggest that trust be given cautiously, as your grade depends not only on your performance but theirs. Trust is earned rather than given.

3. Performance Evaluation

Due May 24 and July 31, 1995. You must evaluate all members of your group based upon their contribution to both projects 1 & 2. You should include an evaluation of your own performance. This evaluation should be a percentage score (out of a possible 100) and include your own score. If someone has not put forth the effort required make this clear in the evaluation. An incomplete evaluation will result in an incomplete evaluation of all group members and will be reflected in your individual grade. The evaluation will help me to determine who has done the work. All evaluations are due as assigned above, in a sealed envelope and signed by the evaluator. Be as descriptive as possible as to why you have assigned points.

The entire evaluation can be completed on the single sheet enclosed. See Exhibits 3 & 4. Evaluations will only be viewed by Dr. Michelman, and will only be shared in summary with group members. This encourages you to be as honest as possible. These are advisory only and will not always agree with the final points allocated. A failure to follow these instructions completely will result in a loss of all points for projects one and two. Further a failure to turn in a complete performance evaluations in a timely manner (see policy on late assignments below) will result in a loss of all points for projects one and two.

All materials for this class must be word processed. You should make use of a spell checker where appropriate. Whiteouts and other last minute corrections are not acceptable. The appearance of your document-print quality, page numbers, flowcharts, labels, headings, etc.-are critical aspects of how your projects will be graded. Remember that computer malfunctions are not valid excuses. Accounting is a professional discipline, act accordingly.

4. Class Participation

You will be graded on your willingness to get involved in class discussions. Because this will be used in borderline decisions for the final grade it will clearly be important in differentiating between letter grades. Remember, you cannot participate if you do not attend.

5. Course Grade

Midterm Exam I 150 points

Midterm Exam II 150 points

Midterm Exam III 150 points

Final Exam 250 points

Project 1 100 points

Project 2 200 points

Total 1000 points

Final grades: Project 1 and 2 will not be curved. If curves are necessary with respect to the examinations, they will be calculated at the time the exams are returned Final grades will NOT be curved, but will be assigned as follows:

A >899 points

B >799 points

C >699 points

D >599 points

F <600 points

6. Policy on Late Assignments

Any assignment turned in late will carry a penalty of 25% per day (starting at the beginning of class)-not per class. Assignments are always due at the beginning of class based on the day shown on the syllabus. Successful completion of both projects is a requirement for passing the course. All students are required to get at least a 60% (adjusted) on the final exam in order to receive a C in the course.

7. Policy on Late Withdrawals

The university policy for dropping a course after July 12, 1995 is as follows:

UNF Students are not allowed to drop a course after the official withdrawal date unless there are unusual circumstances which are clearly beyond the student's control. When such cases exist, the student should file a petition with attached documentation. The instructor does not approve or disapprove but assigns a grade of WP or WF. The instructor may also recommend an action to be taken or attach a note explaining unusual circumstances connected with the course. This policy means that the student does not have the right to drop a course after the official university deadline simply because he or she has a passing grade at the time.

8. Policy on Academic Dishonesty

Academic dishonesty of any type is an embarrassment to both the guilty party and every member of this class. As a result, no forms of academic dishonesty will be tolerated. I will take whatever actions are allowed under university policy when I believe that this has taken place.

Cheating - intentionally using or attempting to use unauthorized materials, information, notes, study aids or other devises in any academic exercise. This definition includes unauthorized communication of information during an academic exercise. When in doubt consult me.

Complicity in Academic

Dishonesty - intentional or knowingly helping or attempting to help another to commit an act of academic dishonesty, which includes providing exam information to a later class.

9. Policy on Final Grades

Final grades will not be available from the instructor prior to their distribution by the University. If, however, you would like to have a postcard with your grade mailed to you directly, this will be fine. Grades may be discussed after the following semester has begun.

Class Schedule: Accounting Information Systems - Summer 1995



Date          Topic                                             Assignment             



May 10       Introduction to AIS C1, Information Concepts: An                          

             Organizational Perspective C2,                                            



May 15        Documenting Information Systems  C3               P3-1,2,3,4,5.          



May 17       Computer Lab: 1st Floor Building 15/1104 (8-9:20;                         

9:30-10:50)                                                               



May 22       A Model Information System C4                      P4-1,2,3.              



May 24       Controlling Information Systems: A Control         P5-1,2,3,4, Project &  

             Framework C5                                       PE  1 Due.             



May 29       No Class - Memorial Day Holiday                                           



May 31       Controlling Information Systems: A Control                                

             Framework - Continued                                                     



June 5       Controlling Information Systems: Pervasive         P6-1,3,4,9,10.         

             Controls C6                                                               



June 7       Catch-up and Question and Answer                   Engagement Letter Due  



June 12      Midterm Exam I: Chapters 1-6                                              



June 14      Microcomputers and Networking: Challenges &        P7-1,2,4,7             

             Opportunities for the Accountant C7; Appendix A,                          

             B & C: Computer Hardware; Microcomputers and                              

             Networking: Challenges and Opportunities for the                          

             Accountant C8                                                             



June 19      The Systems Survey C16 & C17;  Structured System   Samson P17-1,3;        

             Analysis C18                                       P18-1,2,3.             



June 21      Software and Hardware Study and System Design C19  Samson P19-1,2,3,4,5.  



June 26      Systems Implementation and Operation C20           P20-5,8.               



June 28      Midterm Exam II: Chapters 7-8, 16-20,  Appendix                           

A, B &C                                                                   



July 3       The Order Entry/Sales (OE/S) System C9; The        Samson P9-1,2,6;       

             Billing/Accounts Receivable/Cash Receipts          P10-1,2,7.             

             (B/AR/CR) System C10                                                      



July 5       The Purchasing/Accounts Payable/Cash               Lifeline Medical       

             Disbursements (P/AP/CD) System  C11; The           P11-1,2,3,4,13;        

             Inventory System C12.                              Samson P12-1,P12-9,    

                                                                12.                    



July 10      The HR Management System (HRMS) C13; The General   Samson P13-1,8,10;     

             Ledger/Financial Reporting (GL/FR) System C14;     Everlast P14-1,8,9;    

             Integrated Production Systems (IPS): Challenges    P15-1,9                

             and Opportunities for the Accountant  C15.                                



July 12      Catch-up & Question and Answer                     Systems Analysis       

Project Due.           



July 17      Midterm Exam III: Chapters 9-15                                           



July 19      Return Exams                                                              



July 24-26   Group Presentations                                                       



July 31      Question and Answer                                PE 2 Due               



August 2     Comprehensive Final Exam                           6:00-7:50pm