Discussion Post Requirements Read the feedback to your own major postings and reply to it throughout the week

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Discussion Post Requirements Read the feedback to your own major postings and reply to it throughout the week. Respond in one of the following ways: • • • • • • • Ask a probing question. Share an insight from having read your peer’s post. Offer and support an opinion. Validate an idea with your own experience. Make a suggestion. Minimum of 200 words per post 4 post in total Post 1 – Bush L Prenumbered documents are any official form that you are legally bound to use for a given business document. They are numbered sequentially, so that each has its own individual number. On the other hand, a conversion cycle can be defined as a collection of processes which converts or transforms the input resources to finished products, which can be used for sale. Even though conversion cycle exists in all organizations, it is more prominent in manufacturing companies where raw materials and inventories will be converted to finished products or services, meant for sale. It also involves physical processes and information activities, resulting in the production of finished goods and services for sale. There are many access control techniques implemented by the conversion cycle. Important assets, like inventory or cash, can be manipulated or controlled by accessing its source documents. The type of access controls imposed on various assets depends on the nature of product and also the process of production. Certain assets are given direct access while other assets are given only indirect access and this is done using access controls. In the conversion cycle, important documents like materials requisition, employee time card, etc. are prenumbered as it provides indirect access control over assets. Once the production is done, the accounting department can trace back the workflow through the use of work orders, cost sheets, movie tickets, work-in-process file, finished goods inventory file, etc. Prenumbering of all the critical documents involved in the production process and referencing these in the workin-process file enables the accounting department to track every item of finished goods stock to its source. This also assists in detecting errors in production process and enables smooth recording. Post 2 – Griffith D Activity-based costing can be used to switch the management of business activities from a custodial task to a continuous improvement activity. Activity-based costing is “a method of allocating costs to products and services to facilitate better planning and control” (Hall, 2019). Unlike a traditional accounting system, which allocates costs for the products. With the ABC method, costs are assigned based on activity with their share of resources used in those activities. “Activity-based costing allows managers to assign costs to activities and products more accurately than standard costing permits” (Hall, 2019). Managers get “more accurate costing of products/ services, customers, and distribution channels” (Hall, 2019). Through the ABC method, managers will have the ability to see which products are the most and least profitable. Being able to track these can also illustrate which customers are profitable and to what capacity. Critics of Activity-based costing say that it creates, “bureaucracies within organizations that conflict with the lean manufacturing philosophies of process simplification and waste elimination” (Hall, 2019). Another critique of the activity-based costing system is it is time consuming and perhaps tedious. However, I feel if managers use the activity-based costing method, they can create a system of assigning costs that will easily track and consistently report this information uniformly creating an environment that promotes continued improvement. The activity-based costing system would also help to eliminate waste by recognizing areas that are using products inefficiently. All of these tasks that managers help to convert the whole system to run more efficiently. Post 3 – Cook S The input for the general ledger is provided by the journal voucher. The entires providing adjustments, day to day transaction entires and closing journal entries are all reconciled by the medium of journal voucher into the general ledger. According to our text, "The journal voucher provides information to the financial reporting system" (Hall, 2019). The journal vouchers are one of the sources of financial information. The misstated information in the journal vouchers can cause severe consequences for an organization. The erroneous journal voucher will be recorded into the general ledger which would result in incorrect general ledger balances. According to our text, "The financial statement summarized the accounting information of the company during a given period" (Hall, 2019). The information in these reports can be traced back to journal vouchers. These reports provide important information to various stakeholders and also are required by law. Recording of erroneous journal vouchers would directly affect the financial reports and provide incorrect information to the stakeholders. This may lead to the following consequences which are litigation against the company for providing wrong information by investors, penalty by regulatory body for non-compliance with laws, and suit for claim of damages for any loss incurred by any stakeholder due to correct information. Obviously this should be avoided in order for the company to have the correct information and correct financial reports. Overall, journal vouchers play an important role in the correct financial reporting of a firm. An erroneous journal voucher will result in litigation and significant financial losses for the firm. Post 4 – Perkins C A report is a formal channel for conveying information to managers of an organization. A management report may be a physical document or a digital document. The objectives of the report are to reduce the level of uncertainty associated with a problem facing the decision maker and to influence the decision maker’s behavior in a positive manner. If the report lacks information content and is without value it will fail to accomplish the two objectives. Programmed reports are management reports that provide information that solve problems that the user of the report has anticipated. One such report is the scheduled report. The MRS produces a scheduled report based on a previously established time frame. The time frame varies depending on the type of report. There are many reports that are scheduled, such as the payroll action report which would be produced weekly or however often payroll is ran. For a report to be functional it needs to have seven attributes; relevance, summarization, exception orientation, accuracy, completeness, timeliness, and conciseness. For a scheduled report to be effective in the decision-making process, the information contained in the report needs to be relevant to the decision being made. If the information is irrelevant, it can be a waste of resources and possibly a distraction to the manager that is making the decision. For example, the manager that needs the information contained in the labor distribution report does not need to have the projected cash flow information included on the same report. Different reports are designed for different decisions that need to be made.