just need the answer of the question 9.4

9.4 Prepare a physical DFD for:

(a) Process 1.0 at AB Hi-Fi

(b) Process 2.0 at AB Hi-Fi

(c) Process 3.0 at AB Hi-Fi

(d) Process 4.0 at AB Hi-Fi

Textbook page 436-438 Workshop Exercise One Textbook page 436-438 Workshop Exercise One Required: Prepare system documentation identified in exercises 9.1-9.5 below: 9.1 Prepare a context diagram for the revenue cycle at AB Hi-Fi. 9.2 Prepare a level 0 logical DFD for the revenue cycle at AB Hi-Fi. 9.3 Prepare a level 1 logical DFD for: (a) Process 1.0 at AB Hi-Fi (b) Process 2.0 at AB Hi-Fi (c) Process 3.0 at AB Hi-Fi (d) Process 4.0 at AB Hi-Fi 9.4 Prepare a physical DFD for: (a) Process 1.0 at AB Hi-Fi (b) Process 2.0 at AB Hi-Fi (c) Process 3.0 at AB Hi-Fi (d) Process 4.0 at AB Hi-Fi 9.5 Prepare a systems flowchart for: (a) Process 1.0 at AB Hi-Fi (b) Process 2.0 at AB Hi-Fi (c) Process 3.0 at AB Hi-Fi (d) Process 4.0 at AB Hi-Fi Solutions Manual to accompany Accounting Information Systems 4e Brett Considine, Alison Parkes, Karin Olesen, Yvette Blount & Derek Speer by Karin Olesen John Wiley & Sons Australia, Ltd 2013 Chapter 13: Transaction cycle - the general ledger and financial reporting cycle Solution Manual to accompany Accounting Information Systems 3e Discussion Questions 13.2 Flinders Ltd has decided to devolve responsibility for creating new nancial reports from the central IT division to the operational and central nance areas. (a) What controls would you expect to see introduced to ensure that any new reports generated contain reliable data? (LO5) The ability to generate reports should be limited to staff who have undergone training in this area. In addition, any new reports should be reviewed and approved by senior operational staff for both format and data content prior to more general distribution. (b) Which activities in the Produce reports process would be affected? (LO2, LO4) The production of both management and financial reports would potentially be affected. (c) What changes would you expect to see in these activities? (LO4) Process activities related to designing and validating any new report would need to be reestablished to ensure that data and format are valid and reliable. In particular these activities and any documentation used should reflect the fact that non-technical users are generating reports; documentation language and instructions may need to be updated. It may be necessary to include some interaction with IT staff to ensure appropriate data attributes are being selected and incorporated, and that report timings are cognisant of activity timings within the ongoing accounting cycle. (d) What metrics could you use to measure the success of this initiative post implementation? (LO6) Number of complaints from report users/recipients, number of data errors identified in reports. 13.3 Griffith Ltd has just realised that it has a problem with its general ledger data. It posts daily transactional data from subsidiary systems to the general ledger at 10 pm each evening. The resulting general ledger month-end reporting data is made available at 9 am on the rst day of the month. Griffith Ltd is a global organisation with operations in every possible time zone worldwide. (a) What decisions made during the general ledger and nancial reporting cycle would potentially be affected by this data problem? (LO3, LO4) Decision related to the timing of data posting and report generation would be affected. (b) How would those decisions be affected? How would this data problem affect the reported results of the organisation? (LO3, LO4, LO6) Griffith needs to determine which time zone they are operating in and gear their posting and reporting cycles globally around that time zone only. As it stands, there is a possibility that reporting for some time zones may take place before data posting in completed in other time zones, resulting in invalid data being reported. If this mismatch takes place in the management reports then internal decision making could be flawed. If the timing mismatch occurred in the financial reports Griffith may find that they are in breach of corporate reporting requirements, with potentially serious implications. (c) How would this data problem affect other processes at Griffith Ltd? (LO1, LO3, LO4, LO6) Other process may not be directly affected in terms of their operational activities however decision making related to budgets and forecasts may be based on inaccurate data, which could follow through to create issues operationally for other processes. 13.4 Curtin Ltd has a reconciliation problem. The bank reconciliation clerk is unable to reconcile the cash at bank value recorded in the general ledger account with the cash at bank balance disclosed on the bank statements. Curtin Ltd seems to have good controls; it has separated all cash handling and recording functions from the bank reconciliation function, and it prepares a bank reconciliation on a weekly basis. (a) Which internal controls might be missing? (LO5) Curtin should check controls focused around adjusting journals entered in response to prior bank reconciliations, in particular controls related to gaining independent approval of journal entries; and checking the resulting general journal entry inputs. Curtin should also check their controls over postings for totals from subsidiary ledgers to ensure regular reconciliations are being conducted. (b) What documentation would you examine in order to investigate this problem? (LO4) Bank reconciliations, general journal transactions, worksheets and source documents, 13.5 Macquarie Ltd has a new CEO who is keen on improving process efficiency. She has reviewed the process documentation for the prepare budgets process and has asked you to remove the requirement for operational managers to conrm their acceptance of the nalised budget amounts, as it appears to be totally inefficient. (a) Should you agree to remove this budget conrmation activity? Why or why not? (LO1, LO3, LO5) It may be that the new CEO has a different management style to the previous CEO, which would explain this request. In this situation you can't really agree or disagree, it is more a matter of explaining to the CEO why it has been culturally important in the past at Macquarie Ltd for operational managers to buy-in to budget targets. (b) If you would not agree to remove the budget conrmation activity, how would you explain this decision to the CEO? (LO1, LO5)