Chapter 1
Accounting Information Systems and the Accountant

Accounting Information System (AIS) * the study of the application of information technology to accounting systems * a collection of data and processing information that creates needed information for its user
Data
* raw facts about events that have little organization or meaning – for example, a set of eaw scores on a class examination
Information
* processed data that are useful and meaningful – for example, by sorting, manipulation, aggregating or classifying them
Audit Trail * the path that data follow as they flow through an AIS
Information Overload * the situation where too much information, and especially too much trivial information, can overwhelm its users, possibly causing relevant information to be lost or overlooked
Enterprise Resource Planning (ERP) system * software that integrates information subsystem into one application. An example of such software product is SAP ERP, which combines accounting, manufacturing and human resource subsystems into an enterprise-wide information system
Predictive Analytics * include a variety of methodologies that managers might use to analyze current and past data to help predict future events
Knowledge Workers * workers who produce, analyze, manipulate and distribute information about the business activities
E-business
* conducting business over the internet or dedicated proprietary networks
E-commerce
* a subset of e-business * refers mostly to buying and selling in the Internet
Cloud Computing * way of using business applications over the internet such as the way you use the Internet for your bank account transactions
Sustainability Reporting * focuses on nonfinancial performance measures that might impact an organization’s income, value or future performance
Suspicious Activity Reporting