Project Summary

Most companies rely on simple spreadsheet software for all of their financial
transactions. Although using it is helpful and efficient compared to manual accounting, it is not a
long-term solution. Various incidents might happen which may affect the collection of data and
cause it to be inaccurate. Setting up the spreadsheet itself also takes a lot of time and effort.
It is clear that a system for reporting all required aspects of accountability functions has
to be included in a well coordinated single system. With this, the proponents were inclined to
improve the tracking their financial transactions through developing an Accounting Information
System (AIS) that would eliminate manual transactions and produce more reliable and accurate
information. The goal was to establish an effective and efficient reporting system that is user-
friendly, easily accessible, and provides needed organizational accountability requirements.
With the goal as the guiding principal, objectives were then developed that include:
 Reducing incorrect business decisions caused by inaccuracy of financial data
 Generate reports on demand
 Continuously updated, accessible, and monitored; include data and information
necessary for reports at all levels of the organization;
 Provide a mechanism for reporting program success;
 Accessible at appropriate organizational levels;
 User friendly interface
System Development

The proposed Accounting Information System for Konohagakure Systems is a newly

improved spreadsheet in which transactions are being processed that would generate financial
reports based on user’s requests. The system can be accessed through specific computers to
avoid leakage or any infiltration. The system will be used and accessed only by the authoritative
personnel such as Company Director, Head Accountant, Accountants, and Stakeholders as
shown in the Diagram in Figure 1. Privileges may be given to administrators, accountants, and
stakeholders whom may need to access the information system. The system is exclusively
designed for the use of the company itself in which other external organizations and systems
cannot interact with it.

Director Head Accountant

Accounting Information
System

Accountant 1 Accountant 2

Stakeholder

Figure 2 illustrates how the system is implemented, including the software, files and
people involved. The diagram shows that the system will check whether the user is authorized
to access the system or whether its name is included in the user database. The authorized
users can login using their credentials. When the user is authorized, he may further view and
utilize the system.

Functions that can be done are based on the permission granted to each user profile.
They may either view or edit the financial data in the system or only the view function is
permitted. The stakeholder is only accessed to generated reports such as balance sheet and
income statement which may help them in decision making. The accountant can update the
financial transactions and generate financial reports. The director is the only authorized
personnel to verify and check created and updated transactions and reports whether they are
accurate and appropriate to the business.

Head Accountant
Log- In
Database
1

Input Transaction
Details

Generate financial
reports
Database
Stakeholders 2
Dynamic Model for User: Log in

Access control was also incorporated in order to protect the financial data from
unnecessary events which may result to inaccuracy. The user inputs the needed credential,
namely: username and password, to login to the system. The credential is will be verified by the
system whether it was included in the database of authorized access. If the user gives the
correct username and password, the user may view or edit the system depending on the
function assigned to him/her. If the user gives the wrong username or password, the system will
show an error message.

Entity Relationship Diagram

Figure 3 illustrates the Entity Relationship Diagram of the proposed accounting

information system. A user can only have one account with a permission granted by the Head
Accountant. The user can view many reports such as balance sheets, income statements, and
statement of changes in equity, statement of cash flows and notes to financial statements.
Balance sheet contains the total assets, total liabilities and total owner’s equity of the company.
Income statement has the total revenue, total expenses, which results to income of the
company. Head Accountants and Accountants can insert one or many appropriate transactions
into the system which will have an effect to the reports being generated.

Accounting System Flow Diagram

Figure 4 displays the Accounting System Flow Diagram the for the flow of inputting
transactions to generating financial statements. The head accountant and accountants are the
ones authorized to enter financial transactions into the system. First was to identify whether the
transaction is financial and accountable. Then, accountants provide the details of the
transactions such as date of transaction, chart of accounts, credit amount, debit amount, and
total amount of the transaction. Then, the transaction is being recorded in the general ledger
and later on posted to the general ledger. Moreover, both head accountant and accountants are
authorized to generate reports from the system. The generated report will be saved in the report
database.
Start
System Feasibility

Advances in computer-based information technology in recent years have led

to variations of systems that managers are now using to create and implement decisions.
By and enormous, these systems are developed from scratch for specific purposes and differ
significantly from standard electronic processing systems. It had also made a great impact in the
accounting perspective in which using accounting information system had form a larger
advantage compared to manual accounting.

The accounting information system can facilitate in making better decisions by delivering

all the necessary data and by modelling the results to the decisions. A decision involves
choosing a course of action from several alternatives and polishing off the corresponding
tasks. Once accurate, up-to-date information has been achieved, selection from alternatives
would be easier.

The company needs records of its transactions for financial and regulatory purposes
furthermore as for locating the causes of problems and taking corrective action. The system
stores documents and communication records and operational data. The trick to exploiting this
recording capability is organizing the info and using the system to process and present it as
useful historical information. This will provide a great benefit to the company in arranging cost
estimates and forecasts and researching how your actions affected the key company indicators.

This system also cost beneficial to the company since Microsoft Excel was the software
used which is commonly used by businesses. The main difference is that it is an improved
version of system. The company will not cost much in applying the system in their business
operations.

System Input, Process, Output

Transaction details such as Accounting Information Income Statement

account titles, date of System processes the Statement of Changes in
transaction, debit and financial data Equity
credit amounts Balance Sheet
Statement of Cash Flows
 Financial Analysis

INPUT PROCESS OUTPUT

Profile of the Proponents

Veronica Andrea C. Casaba

Accounting Director

Lyka Mae D. Dimaano

Head Accountant

Myzelle R. Tagle
Accountant 1

Lara Dianne R. Lopez

Accountant 2

Mc John Lloyd Templo

Stakeholder
 CEO

DANIEL JOHN FALO

COO CFO VP of Marketing VP of VP of IT Accounting

Engineering Director

Controller Search Marketing Programmer System Head Accountant

Director of
Operation Manager Admin

Director of Email Marketing Programmer Accountant 1

Production Manager

Controller Accountant 2

Organizational Chart