ACCOUNTING INFORMATION SYSTEM – REVENUE CYCLE PART I

a) Develop a scenario for a retail business and provide a brief description of the business and its activities

b) Use a simple diagram to illustrate the processes for the revenue cycle (process flow diagram)

c) For each process i) State the objective of the process ii) Identify the risks ie what may go wrong, in each process iii) Outline the controls which can mitigate such risks

d) Draw a diagram showing the activities in each of the above processes for the revenue cycle (detailed process flow diagram) and provide a brief description of the activities in each process

e) Impose on the detailed process flow diagram the documents generated / used for each activity and note the data on them (data flow diagram)