2-1 Why is it important to view an AIS as a combination of hardware, software, people , data, and

procedure?

2-2 Why is information technology is important to accountants?

1. Must be compatible and support other components of AIS

2. Accountants often help clients make software and hardware purchases

3. Auditors must evaluate computerized systems

4. Often asked to evaluate the efficiency and effectiveness of existing system

5. IT affects how they work now and in the future

6. Understanding is vital to passing most certification exams

2-3 Why do most AISs try to avoid data transcription?

2-4 Name several types of computer input devices and explain in general terms how each one function

Source documents –provide evidence of the transaction’s authenticity, are the starting point of
the audit trail and can serve as backup in the event that the computer files created from them
are damaged or destroyed.

and data transcription- potential to bottleneck data at the transcription site, embed errors in
the transcribed data, and provide opportunities for fraud, embezzlement or sabotage.

Point-of-Sale (POS) devices- gather and record pertinent data electronically at that time.

 Bar Code Readers- interpret the product universal code

 Universal Product Code (UPC)

Magnetic Ink Character Recognition (MICR) –

Optical Character Recognition (OCR) – uses optical readers to interpret the data found on
source documents

 Mark-sense media – use simple rectangles or ovals as characters that you blacken with
a pensil.

 Turnaround documents – documents that are initially prepared by a company, then

sent to individuals, and finally returned to the organization for further data processing

Plastic Cards with Magnetic Strips- store permanent information and therefore provide input
data when required.

Microcomputer Input Devices- help users input data into their microcomputers
  PDA(Personal Data Assistant) Devices – enable their users to make phone calls as well
as maintain personal data such as address books, appointment calendars and check
registers.

 Biometric Scanners help AISs limit access to legitimate users. Examples of this are
scanners reading fingerprints and irises.

 CPU central prcessing unit- performs the data manipulate[ng task of the computer
system.

2-5 How do you feel about red light ameras? Should cities be allowed to use them? Why or why not?

Red light cameras are amazing, Cities should be allowed to use them,because it helps a lot in enforing
traffic law.

2-6

Primary Memory – store data and program instructions temporarily for immediate processing
and execution.

Microprocessors- manipulate data or execute instruction directly in primary memory

Computers, Processing Speeds and AISs