ACC471-Accounting Information Systems
Using MS Visio to Create a DFD for a Cash Receipt Process
Lab Exercise # 1
Customers
Cash receipt
processing
system
The above context diagram represents the cash receipt processing system for Jordan River Company.
The process is broken down into its major functions as follows:
1. The cashier at Jordan River Company receives the payment (check) from the customer.
2. The cashier prepares a 2-copy cash receipt slip (CRS), and handed a copy to the customer.
3. The checks are sent to the treasurer who endorses the checks and prepares a deposit list (DL)
(Hint: simultaneous processes)
4. The endorsed checks (EC) and deposit slip (DL) are sent to the bank.
5. The second copy of the cash receipt slip (CRS) is used to update the A/R Subsidiary Ledger.
6. Each week a cash receipt report (CRR) and an aged A/R report (AAR) are prepared from the data
in the A/R Subsidiary Ledger.
7. The cash receipt report (CRR) is sent to the management while the aged A/R report (AAR) is sent
to the collection department.
Required: Use MS Visio to create level 0 DFD of the cash receipt processing system at Jordan River
Company.
ACC471-Accounting Information Systems
Using MS Visio to Create a DFD for a Cash Disbursement Process
Lab Exercise # 2
Vendors
Cash
disbursement
system
The above context diagram represents the cash disbursement process for the Arab Investors Company.
The process is broken down into its major functions as follows:
1. The company receives the invoices from the vendors.
2. The invoices are used to record a liability in the Credit Purchases Journal (CPJ).
3. The data in the Credit Purchases Journal (CPJ) is used to update the A/P Subsidiary Ledger.
4. The invoices are sent to the disbursement clerk who prepares the checks to pay the vendors.
5. The checks and invoices are sent to the treasurer who signs the checks and cancel the invoices
(Hint: simultaneous processes).
6. The checks are mailed to the vendors.
7. Another clerk uses the cancelled invoices for recording entries in the Cash Disbursements Journal
(CDJ).
8. At the end of each week the data is posted from the Cash Disbursements Journal (CDJ) to the A/P
Subsidiary Ledger.
Required: Use MS Visio to develop level 0 DFD of the cash disbursement processing system at the Arab
Investors Company.
ACC471-Accounting Information Systems
Using MS Visio to Create a DFD for a Payroll Process
Lab Exercise # 3
Departments
Payroll
processing
system
The above context diagram represents the payroll processing system for Blue Sky Company. The
process is broken down into its major functions as follows:
1. Each day the payroll department receives the employees' time cards (ETC) from the different
functional departments.
2. A clerk in the payroll department enters the ETC data into the payroll record.
3. At the end of each month, the data in the payroll record is used to prepare paychecks and 3
reports: an internal report (IR), a tax withholding report (TWR), and a social security withholding
report (SWR).
4. The internal report (IR) is sent to the management.
5. The tax withholding report (TWR) is sent to The Tax Directorate.
6. The social security withholding report (SWR) is sent to the Social Security Directorate.
7. The Checks are signed by the head of the payroll department.
8. The signed checks are mailed to the bank.
Required: Use MS Visio to develop level 0 DFD of the payroll processing system at Blue Sky
Company.
ACC471-Accounting Information Systems
Using MS Visio to Create a DFD for a Purchasing Process
Lab Exercise # 4
Warehouses
Purchasing
System
The following context diagram represents the purchasing process for the Red Sea Company. The
process is broken down into its major functions as follows:
1. The warehouses send the inventory request forms (IRF) to the purchase department.
2. A clerk in the purchase department enters the inventory request forms IRF data into the Open
Purchase Requests Record (OPRR).
3. A another clerk uses the data stored in the Open Purchase Requests Record and the data stored in
the Approved Vendor List Record (AVLR), to prepare purchase orders (PO).
4. The manager signs the purchase orders (PO).
5. The purchase orders are mailed to the appropriate vendors.
Required: Use MS Visio to develop level 0 DFD of the purchasing system at the Red Sea Company