Accounting Information Systems
Instructor’s Solutions
Manual
Accounting Information x
Systems
15th Edition x
Marshall B. Romney x x
Professor Emeritus, Brigham Young University
x x x x
Paul John Steinbart
x x
Professor Emeritus, Arizona State University
x x x x
Scott L. Summers
x x
Brigham Young University
x x
David A. Wood x x
Brigham Young University
x x
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Copyright (c) 2021 Pearson Education, Inc.
, Accounting Information Systems
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Copyright (c) 2021 Pearson Education, Inc.
, Accounting Information Systems
chapter 1 x
accounting information x
systems: An overview
x x x
Suggested xAnswers xto xDiscussion xQuestions
1.1 The xvalue xof xinformation xis xthe xdifference xbetween
xthe xbenefits xrealized xfrom xusing xthat xinformation
xand xthe xcosts xof xproducing xit. x Would xyou, xor xany
xorganization,xever xproduce xinformation xif xits xexpected
xcosts xexceededxits xbenefits? xIf xso, xprovide xsome
xexamples. xIf xnot, xwhy?
Most xorganizations xproduce xinformation xonly xif xits
xvaluexexceeds xits xcost. x However, xthere xare xtwo
xsituations xwhere xinformation xmay xbe xproduced xeven xif
xits xcost xexceeds xits xvalue.
a. It xis xoften xdifficult xto xestimate xaccurately xthe
xvalue xof xinformation xand xthe xcost xof xproducing
xit. xTherefore, xorganizations xmay xproduce
xinformation xthat xthey xexpect xwill xproduce
xbenefits xin xexcess xofx
its xcosts, xonly xto xbe
xdisappointed xafter xthe xfact.
b. Production xof xthe xinformation xmay xbe xmandated xby
xeither xa xgovernment xagency xor xa xprivate
xorganization. xExamples xinclude xthe xtax xreports
xrequired xby xthe xIRS xand xdisclosure xrequirements
xforx
financial xreporting.
1.2 Can xthe xcharacteristics xof xuseful xinformation xlisted
xin x
Table x1-1 xbe xmet xsimultaneously? xOr xdoes xachieving
xonex mean xsacrificing xanother?
Several xof xthe xcriteria xin xTable x1.1 xcan xbe xmet
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, Accounting Information Systems
xsimultaneously. x For xexample, xmore xtimely xinformation
xis
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