What is Accounting Information Systems


Accounting information systems (AIS) simplify financial reporting for purposes of making well-informed decisions. They include all the components of the accounting process: people, procedures, data, software, devices and security. The software is on a device like a computer, and the security is incorporated in the software. People put together procedures and enter data into the accounting software.

Types of AIS by Processing Mode
Batch processing systems, online batch systems and online real-time systems are the three types of accounting information systems classified by mode of processing. In batch processing systems, you enter transactions when they occur and periodically process and integrate the transactions into the accounting record by running a batch process either daily or weekly. Online batch systems are the same as batch processing systems, except that you record transactions and process batches using online-based accounting software. When using an online real-time system, the software integrates transactions into the accounting record when you record them. There is no batch processing.

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