TM Office Supplies, Inc., is a wholesale distributor of office supplies. It sells pencils and pens, paper goods (including computer paper and forms), staplers, calendars, and other items, excluding furniture and other major items such as copy machines that you would expect to find in an office. Sales have been growing at 5 percent per year during the past several years. Mr. Marina, the president of TM Office Supplies, recently attended a national office supplies convention. In conversations during that convention, he discovered that sales for TM Office Supplies’ competitors have been growing at 15 percent per year. Arriving back home, he did a quick investigation and discovered the following: TM Office Supplies’ customer turnover is significantly higher than the industry average. TM Office Supplies’ vendor turnover is significantly lower than the industry average. The new market analysis system was supposed to be ready two years ago but has been delayed for more than one year in systems development. A staff position, reporting to the president, for a person to prepare and analyze cash budgets was created two years ago but has never been filled. Mr. Marina has called on you to conduct a systems survey of this situation. You are to assume that a request for systems development has been prepared and approved. The information system at TM Office Supplies is much like that depicted in Chapters 10 through 16. Make and describe all assumptions that you believe are necessary to solve any of the following: a. What are the specific tasks of this systems survey? b. Indicate specific quantifiable benefits and costs that should be examined in assessing the economic feasibility of any solutions that might be proposed. Explain how you would go about quantifying each benefit or cost. c. Propose and explain three different scopes for the systems analysis. Use a context diagram to describe each scope alternative. Hint: What subsystems might be involved in an analysis?

BuyFind

Accounting Information Systems

11th Edition
Ulric J. Gelinas + 3 others
Publisher: Cengage Learning
ISBN: 9781337552127
BuyFind

Accounting Information Systems

11th Edition
Ulric J. Gelinas + 3 others
Publisher: Cengage Learning
ISBN: 9781337552127

Solutions

Chapter
Section
Chapter 17, Problem 5P
Textbook Problem

TM Office Supplies, Inc., is a wholesale distributor of office supplies. It sells pencils and pens, paper goods (including computer paper and forms), staplers, calendars, and other items, excluding furniture and other major items such as copy machines that you would expect to find in an office. Sales have been growing at 5 percent per year during the past several years. Mr. Marina, the president of TM Office Supplies, recently attended a national office supplies convention. In conversations during that convention, he discovered that sales for TM Office Supplies’ competitors have been growing at 15 percent per year. Arriving back home, he did a quick investigation and discovered the following:

  • TM Office Supplies’ customer turnover is significantly higher than the industry average.
  • TM Office Supplies’ vendor turnover is significantly lower than the industry average.
  • The new market analysis system was supposed to be ready two years ago but has been delayed for more than one year in systems development.
  • A staff position, reporting to the president, for a person to prepare and analyze cash budgets was created two years ago but has never been filled.

Mr. Marina has called on you to conduct a systems survey of this situation. You are to assume that a request for systems development has been prepared and approved. The information system at TM Office Supplies is much like that depicted in Chapters 10 through 16.

Make and describe all assumptions that you believe are necessary to solve any of the following:

  1. a. What are the specific tasks of this systems survey?
  2. b. Indicate specific quantifiable benefits and costs that should be examined in assessing the economic feasibility of any solutions that might be proposed. Explain how you would go about quantifying each benefit or cost.
  3. c. Propose and explain three different scopes for the systems analysis. Use a context diagram to describe each scope alternative. Hint: What subsystems might be involved in an analysis?

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Chapter 17 Solutions

Accounting Information Systems
Ch. 17 - What does TELOS stand for? How is it helpful?Ch. 17 - What is systems selection?Ch. 17 - What does the approved configuration plan specify?Ch. 17 - What are the reasons for using external versus...Ch. 17 - What is a request for proposal (RFP)?Ch. 17 - What are the approaches to obtaining an RFP?Ch. 17 - Why might a company issue an RFP for general...Ch. 17 - What is the difference between a specification and...Ch. 17 - Describe the process used to evaluate vendor...Ch. 17 - What is structured systems design?Ch. 17 - What is systems implementation?Ch. 17 - What are the three major approaches to...Ch. 17 - What is the riskiest approach to systems...Ch. 17 - What two variables should be considered when...Ch. 17 - What is the purpose of testing the entire system...Ch. 17 - Describe the major steps in a post-implementation...Ch. 17 - What are the three types of maintenance...Ch. 17 - What skills do accountants have to contribute to...Ch. 17 - What roles can an accountant play in the...Ch. 17 - Identify and discuss several factors affecting the...Ch. 17 - How might the absence of an organizations...Ch. 17 - In doing a preliminary survey for the proposed...Ch. 17 - Some people on the finance staff of your...Ch. 17 - Because a vendor would never propose a system that...Ch. 17 - A seasoned systems employee was overheard saying,...Ch. 17 - One of the tasks of systems analysis is to choose...Ch. 17 - Discuss the decisions that must be made prior to...Ch. 17 - Indicate who you would include on a systems...Ch. 17 - If the results of the cost/benefit analysis do not...Ch. 17 - Discuss why the knowledge of documentation...Ch. 17 - The Shark Company requests bids from hardware...Ch. 17 - An organization puts itself at a disadvantage by...Ch. 17 - Compare and contrast the efficiency and...Ch. 17 - Assume that you are the manager of an accounts...Ch. 17 - a. Which, if any, category of application systems...Ch. 17 - Refer to the typical contents of a project...Ch. 17 - Periodically, students comment that they are...Ch. 17 - As an accountant working in the internal audit...Ch. 17 - Search the Internet for an ERP failure that...Ch. 17 - Propose ways that the following intangible and/or...Ch. 17 - Give examples, other than those used in this...Ch. 17 - Historically, when one thought about buying an ERP...Ch. 17 - Monday morning, your client, Michele, calls to...Ch. 17 - TM Office Supplies, Inc., is a wholesale...Ch. 17 - For each problem described, list and explain the...Ch. 17 - Assume that you are working with a payroll...

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