This paper concentrates on the primary theme of Accounting Information Systems Fraud and Security :t describes the ways in which accounting information systems in the new era of business have changed all aspects of accounting and reporting and discuss the technological challenges that have accompanied in which you have to explain and evaluate its intricate aspects in detail. In addition to this, this paper has been reviewed and purchased by most of the students hence; it has been rated 4.8 points on the scale of 5 points. Besides, the price of this paper starts from £ 40. For more details and full access to the paper, please refer to the site.
Accounting Information Systems Fraud and Security
Write a research paper that describes the ways in which accounting information systems in the new era of business have changed all aspects of accounting and reporting and discuss the technological challenges that have accompanied these changes. The paper should highlight one real world company. At least one of the reference sources must be a Code of Professional Conduct from one of the major certifying agencies i.e. American Institute of Certified Public Accountants or Institute of Management Accountants.
Accounting Information Systems Fraud and Security
Ways in Which Accounting Information Systems Has Changed Accounting and Reporting
For the last one decade, accounting information systems have been the new trends that are being adopted by organizations in a bid to store and manage data. Their role in transforming the way auditing and reporting is done has also been the underlying reason why these technologies are being adopted in the world since they sift data categorizing it to one’s requirement. Accounting information systems also play a special role in gathering, organization and monitoring the accounting practices that have been adopted around the world and their respective requirements. Such monitoring becomes effective since the accounting systems can be developed to perform roles depending on the objectives that one may have.
The underlying objective of running organization revolves around maintaining the spending at a balance with the level of inflows that one makes. Such balances were very hard to maintain a few years ago since individuals had to conduct the mathematics manually. Today, companies can be able to sync their information systems to every avenue of spending to monitor how they are making spending or purchases. For example, it is possible to sync the accounts balances to any form of withdrawals to allow one to have an exact figure of the amount their have and how they are making inflows. This aspect of syncing every aspect of ones inflows and outflows allows one to monitor the costs, cash flows, trends which makes it possible for institution to make quarterly financial statement since they data is available just by the click of a button (George, Jones & Harvey, 2014).
The use of accounting information systems has also made it possible for financial statement and information to be accessible to various parties who may require such data since it is available through various platforms. Today, statements are made available to company’s sites prior to auditing. Such availing of data allows time for the financial information users to synthesize the content of the statements prior to be audited allowing time for consultations to resolve any financial gaps that are not clear to the users.
Technological Challenges of Accounting Information Systems
Despite being a very useful in reporting and gathering information use, accounting information systems are accompanied by their own challenges since these systems are fed information data and they rely just as it has been inputted. In effect, they may not be able to distinguish ambiguities as they rely with the information that has been inputted into them As such it is very easy for a company to give a wrong impressing using the systems since they are very effective in calculating the data and delivering the output using the commands in the software being used. A case of financial fraud as visible at Enron might elaborate that the existence of financial fraud relies on much than just the systems but the figures being used to display financial information (George, Jones & Harvey, 2014).
Just as the American Institute of Certified Public Accountants Code of Professional Conduct notes accounting information systems as opposed to human being are not able to identify any ambiguities that may exist. In essence, individuals are preferred when in carrying out tasks related to financial audits since they are able to use their experience and learned skills to identify the ambiguities and offer their own input based on their experience (American Institute of Certified Public Accountants, 2015). The use of individuals together with the systems as witnessed in companies such as Microsoft that have systems (Microsoft Dynamic) explains why accounting information systems are good complementary tools but they should not used as the end means. Microsoft applies this system in its system but still outsources other services such as auditing from other companies (Jeffrey, 2014).