Read the following scenario, and write one or two paragraphs to answer each of t
ID: 3882231 • Letter: R
Question
Read the following scenario, and write one or two paragraphs to answer each of the sub-questions below: Consider a small, but growing, company that distributes kitchen supplies. The customers are primarily small retailers such as kitchen specialty stores, hardware stores, and other types of home retail stores. Managers currently keep track of all customers, orders, and inventory information using a spreadsheet. a.How would a TPS help the managers of this company keep track of orders and b.Identify and discuss two Managerial level Decisions, and Two strategic decisions c. If a TPS was set up to automate the order entry and inventory system, provide two inventory? What would the advantage be in automating this process? that can be made within this company. Explain your reasoning examples of reports that could be produced at the Managerial Level, and one example of a report that could be produced at the Strategic Level. Explain and describe the reports.Explanation / Answer
Answer- a. Transaction Processing System (TPS) is a type of system which usually helps an organization to handle its daily business operations and transactions in an efficient and effective manner by processing and recording each operation.
Advantages in automating the process-
Answer- b. Managerial Level Decision Example- opening of a new branch of the organisation or a large number of employees absenting from the organisation or introducing new product in the market, etc., are the decisions which are normally taken at the higher level.
Strategic decisions are important which affect objectives, organisational goals and other important policy matters.
Answer- c. Managerial accounting reports help small business owners and managers monitor the company's performance and are prepared frequently throughout accounting periods as needed.
Examples-
1. Profit & Loss Statement-
The profit and loss statement, also called an income statement, is a listing of all revenues generated and expenses incurred by a business or department.
This report is one of the most important managerial reports available to managers, as it simply shows the profit or loss generated by the firm's operations.
Profit and loss statements can be generated for whole companies and also can be broken down by department, provided departmental revenues and costs are recorded.
2. Accounts Receivable Aging Report-
3. Operating Budget-
This report is an important tool in monitoring delinquent accounts and determining collection efforts against customers with past-due invoices.
The report is generated by using the due date to determine the age of the invoice.
Managers can place a higher priority on invoices with older values to increase the efficiency of the collection effort.
Related Questions
Navigate
Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.