Get premium membership and access revision papers, questions with answers as well as video lessons.
Accounting Information Systems Question Paper
Accounting Information Systems
Course:Bachelor Of Commerce
Institution: Kca University question papers
Exam Year:2010
UNIVERSITY EXAMINATIONS: 2009/2010
FIRST YEAR EXAMINATION FOR THE DEGREE OF BACHELOR OF
COMMERCE
CMS 302-A: ACCOUNTING INFORMATION SYSTEMS (Sunday)
DATE: AUGUST 2010 TIME: 2 HOURS
INSTRUCTIONS: Answer question ONE and any other TWO questions
QUESTION ONE
a) Enumerate the steps involved in an accounting process (5 Marks)
b) KCA Limited was incorporated in May 2010. Selected transactions for the month of May were as
follows:
May 2010
4 Entered a contract to survey consumer reaction to USIU Limited. An advance payment of
Kshs 1,000,000 was made by the company.
5 Entered a contract to design a paper tissue box for Big D Paper Products Corp
15 Completed a research project on consumers’ reaction to stainless steel razor blades for the
Ever Shining Limited. A report was submitted and cash payment of Kshs 200,000 was
received for services rendered.
15 Paid IT Department Limited Kshs 10,000 for computer time used to analyze data for the
report submitted to Ever Shining Limited.
25 Made a formal presentation of the paper tissue box to the management of Bid D Paper. The
design was accepted and an invoice for Kshs 80,000 was issued.
31 Paid salaries for the month Kshs 18,000
31 Received a bill from the telephone company for telephone and communication services for
the month, Kshs 10,000
31 Received payment of Kshs 80,000 from Big D Paper.
2
Required,
i) Determine if each of the above transactions is an accountable event. If so, identify the
journal to be used and show the accounting entry. (5 Marks)
ii) Determine if the transaction should be posted to a subsidiary ledger, if so, post the ledger
entry and balance them off to each respective final account. (5 Marks)
c) Describe the reasons for initiating systems analysis within an organization (5 Marks)
d) Explain auditor participation in system development process (5 Marks)
e) Highlight the qualities that would make a successful system upon implementation. (5 Marks)
QUESTION TWO
a) As the Financial Accountant, should you always acquire a low-cost computer equipment? Which
other factors will inform your decision when undertaking a computer equipment purchase to
automate your department? (10 Marks)
b) Describe the work of an auditor when conducting a specifications review during a systems design
phase. (10 Marks)
QUESTION THREE
a) Explain how a company’s cost accounting system can help it achieve its manufacturing goals.
(10 Marks)
b) Explain 5 (five) principles of business process reengineering. (10 Marks)
QUESTION FOUR
c) Identify and describe the factors influencing an organization’s control environment (10 Marks)
b) Describe the objectives that accountants seek to realize through Internal Control Systems (5 Marks)
c) Critically analyze the following statement: “Internal Control Policies and procedures are intended to
provide reasonable but not absolute assurance that management’s objectives are attained” (5 Marks)
QUESTION FIVE
a) Briefly describe the four transactional cycles (6 Marks)
b) Identify major threats in the revenue cycle and evaluate the adequacy of various control procedures
for dealing with those threats. (10 Marks)
d) Identify three objectives of an information system audit. (6 Marks)
More Question Papers
Popular Exams
Return to Question Papers