Exam 5: Accounting in ERP Systems

In a company that has an ERP system the accountants talk in terms of "data flows between modules" and "sharing data between modules".Why are the accountants speaking imprecisely? I.e.,why are "data flows between modules" and "sharing data between modules" misnomers if an ERP system is used?

In a manufactured item,the cost of heating the plant would be considered part of the item's raw materials.

With a properly configured and managed ERP system,there are direct links between the company's ____________________ and individual transactions that make up the statements,so that fraud and abuse can be detected more easily.

User authorizations help prevent fraud and abuse by employees paying fictitious vendors.

What is the following? ____________________

The following is an example of Fitter Snacker's Income Statement.

Having ERP will require a company to restrict the number of cost allocation bases.

The capability of viewing summary information and then being able to look at details behind the summary is known as data mining.

List ways in which an ERP system can prevent or minimize fraud in a company.

Why is developing product costs in a large company such a time-consuming task? Why is an integrated system an advantage?

When a company has an ERP system the general ledger is maintained by the ERP system.

In SAP ERP access to general ledger accounts is spread over many modules.

The following is an example of Fitter Snacker's Balance Sheet.

Assume a company records its transactions in an ERP system.On the shop floor,a production run has just been finished and the finished goods are transferred to the warehouse for storage.What would a likely way be to tell the ERP system about this event?

In the SAP ERP system,inputs to the general ledger occur simultaneously with input of business transactions to the various modules.

What is the advantage to credit management in SAP ERP?

The two key pieces of information for a cost analysis is the direct material and the direct ____.

The following SAP screen is an example of document flow.

In a manufactured item,the cost of heating the plant would be considered part of the item's overhead.

How does ERP facilitate "drilling down" to see the details of transaction data?