Page 14 - Management Information System_Neat

Error detection is performed by one set of control mechanisms, error correction is
performed by another Some commonly used error detection procedures are checking the data for
appropriate font (text, numbers, etc), checking for aberrations (values that are too low or too
high), and checking for missing data, invalid data, and inconsistent data. Missing data refers to
fields that are missing a mandated data value. For example, if the number of hours worked by a
part-time employee is missing on a payroll form; that is a missing-data error.

Invalid data is data that is outside the range .For example, if the number of hours worked by a
part-time employee is 72 hours per week instead of the 1120 hours, then we have invalid data

Inconsistent data means that the same data item assumes different values in different places
without a valid reason. For example, if payroll records show that an employee worked 25 hours
per day.

4. Processing:-

Processing involves the use of journals (books of primary entry) and, registers to provide a
chronological record of inputs. Journals are used record financial accounting transactions, and
registers are used to record other types of data not directly related to accounting. Some of the
more common journals that are kept are as follows:

 Sales journal-used to keep records of sales.
 Purchase journal-to keep records of purchases.
 Cash book-to keep records of cash received and disbursed.
 Accounts receivable book-to keep records of debtors.
 Accounts payable book-to keep records of creditors.

5. Storage:-

The computer stores various records in files.There are several type of files which are classified as
transaction file and master file. A transaction file is a collection transaction input
data.Transaction files usually contain data that are of temporary nature. A master file contains
data that are of a more permanent nature or of continuing interest. For exarnple,credit sales file is
a chronologic record of sales on account.There may be several on account sales made to a single
customer during a period. However, the total amount standing due in the name of the customer
cannot be ascertained unless these transactions are processed.The process of posting sales to the
accounts receivable ledger summarizes credit sales to the customer.

Output:-

Variety of outputs can be generated from a TPS which can be used for various purposes.
These outputs are in the form of documents.Some of these outputs can be used as inputs for
further processing. For example, customer invoice is an output of the order-entry application
system but the same invoice can be used as input for processing customer account. Some
common outputs of a TPS are trial balance, profit and loss account, balance sheet,etc. Besides
various reports can be prepared for planning and control at operational level.