INFORMATION SYSTEM FOR

ACCOUNTS
&
FINANCIAL MANAGEMENT
By:-Amit Gupta
1309
Accounting Information Systems

The oldest and most widely used information

system in business

– Records and reports business transactions and economic events.

– Produces financial statements.

–
Forecasts future conditions .
Accounting Information Systems
Typically consists of:
– Order processing
– Inventory control
– Accounts receivable
– Accounts payable
– Payroll
– General ledger systems
Financial Management Systems

Supports business managers and professionals making decisions

concerning:

– The financing of a business.

– The allocation and control of financial

resources within a business.
 Major financial management system categories:

– Cash Management
 Collects information on all cash receipts and disbursements on
a real-time or periodic basis.

– Investment Management
 Helps the financial manager make buy, sell, or hold decisions
for each type of security
 Helps the financial manager develop the optimum mix of
securities in order to minimize risk and maximize return
– Capital Budgeting
 Involves evaluating the profitability and financial impact of
proposed capital expenditures
 Allows financial managers to analyze long-term expenditure
proposals for plant and equipment.

– Financial Forecasting & Planning

 Evaluate the present and projected financial performance of the
company
 Help determine financing needs and analyze alternative methods
of financing
 Explore what-if and goal-seeking questions