Exam 7: Accounting Information Systems

When posting from special journals, each individual debit and credit entry of similar transactions is entered in the general ledger.

The purchases journal is used to record purchases of merchandise on credit.

The main difference in the sales journal under the perpetual and periodic inventory system is:

Most transactions for merchandising businesses fall into four groups: sales, purchases, cash receipts, and cash disbursements.

A company records its transactions and events in four special journals and a general journal. The company completed the following transactions a through j. Identify the journal in which each transaction should be recorded. a. Sold merchandise for cash. ________ b. Collected on a customer's account. ________ c. Paid the monthly electric bill. ________ d. Purchased office supplies on credit. ________ e. Sold merchandise on credit. ________ f. Paid a creditor on account. ________ g. Received returned merchandise for credit. ________ h. Purchased merchandise on account. ________ i. Received proceeds from a note issued to the bank. ________ j. Returned damaged merchandise to the supplier. ________

Which of the following is not a special journal:

The sales journal is used for recording:

______________capture information from source documents and enable its transfer to the system's information processing component.

Off-the-shelf accounting software is not adequate to meet the needs of small businesses.

Information processors capture information and enable its transfer to the system's information processing component.

Trimble Company began business on July 1. They use the perpetual inventory method. The following transactions involving purchases and cash disbursements occurred during July. July 4 Purchased \ 25,000 of merchandise inventory on credit from the Fort City Company, terms 2/10,/30. Invoice dated July 1. July 5 Purchased \ 12,000 of merchandise inventory on credit from the Phoenix Company, terms 2/10, n/30. Invoice dated July 2. July 8 Purchased \ 3,000 of office supplies for cash from Gleason Co. Check no. 1267. July 10 Purchased \ 36,000 of office equipment on credit from Office Minder, terms n/60. Invoice dated July 3. July 22 Paid the amount due for the merchandise purchased from Fort City Company. Check no. 1268. Co. Check no. 1269. a. Use the purchases journal and the cash disbursements journal provided to record these transactions. b. Prepare a schedule of accounts payable as of July 31. There were no accounts payable on July 1.

The segment return on assets:

Input devices include:

Farthington Soccer Supplies purchases merchandise from a supplier on credit, terms 2/10, n/30 for $15,300. Assume the company uses a perpetual inventory system, and records purchases using the gross method. When recording the purchase transaction in its purchases journal, Farthington would enter:

Flavor Ice Cream received a payment of $7,800 from a credit customer within the discount period. Identify the journal the transaction would be recorded in:

Jamison Company uses special journals to record transactions. All of the companies listed below supply inventory to Jamison except McGarry Co. that supplies equipment. Use the purchases journal given below to answer the following questions: A) Foot and crossfoot the journal for accuracy. b) When Jamison compares the general ledger Accounts Payable account to the Accounts Payable ledger, it notices that the general ledger control account is $10,000 more than the schedule of Accounts Payable. What is the most likely cause and how should it be corrected?

______________are the part of the accounting information system that provide the means to take information out of the system and make it available to users.

A record that contains detailed information on specific accounts with a common characteristic and is support for a controlling account is a(n):

List the five basic components of accounting information systems and give an example of each.