7

Logical database structure for Accounting Information System

Introduction
An accounting information system (AIS) is a system of collection, storage and processing of
financial and accounting data that is used by decision makers. An accounting information system
is generally a computer-based method for tracking accounting activity in conjunction ith
information technology resources. !he resulting statistical reports can be used internally by
management or e"ternally by other interested parties including investors, creditors and ta"
authorities. !he actual physical devices and systems that allos the AIS to operate and perform
its functions.
A big advantage of computer-based accounting information systems is that they automate and
streamline reporting. #eporting is major tool for organi$ations to accurately see summari$ed,
timely information used for decision-making and financial reporting.
!he accounting information system pulls data from the centrali$ed database, processes and
transforms it and ultimately generates a summary of that data as information that can no be
easily consumed and analy$ed by business analysts, managers or other decision makers. !hese
systems must ensure that the reports are timely so that decision-makers are not acting on old,
irrelevant information and, rather, able to act %uickly and effectively based on report results.
&onsolidation is one of the hallmarks of reporting as people do not have to look through an
enormous number of transactions. 'or instance, at the end of the month, a financial accountant
consolidates all the paid vouchers by running a report on the system.
!he system(s application layer provides a report ith the total amount paid to its vendors for that
particular month. )ith large corporations that generate large volumes of transactional data,
running reports ith even an AIS can take days or even eeks.
In this e assume that mike is opening the business for goods of hich he needs the logical
database design of accounting information system
!he re%uirements analysis for this database led to the folloing si" entities and their uni%ue
identifiers are as follos
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*ntity *ntity +ey
&ustomer &ustomer,id
Inventory Item,-umber
.rder .rder,-umber
Sales Shipment,-umber
*mployee *mployee,Id
/ayroll /ayroll,id
0atabase snapshot shoing the relationship of the table
1ere the relation beteen customer and Item can be multiple as multiple customers can purchase
multiple items and the same time multiple items can be purchased by single customer
Customer
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2
-
-
-
!he folloing assertion can describe the database in more details.
2. *ach customer may place many orders, but only one customer may place a particular
order.
3. Sales table can have multiple orders of the same customer.
4. In an order table multiple items of the same type can e"ists.
5. In a payroll table multiple employees ill be there and the data of the single employee
can be multiple times.
!he relationship beteen .rder table and Item table can also multiple relationships as in one
order there can be multiple items.
CREATE TABLE [dbo].[Customer](
[Customer_Id] [int] IDENTITY(1,1) NT N!LL,
[Customer_N"me] [#"r$%"r](1&&) N!LL,
[Customer_Cit'] [#"r$%"r]((&) N!LL,
[Credit_Limit] [de$im")](1*, &) N!LL,
[+")es_YTD] [de$im")](1*, &) N!LL,
[+")es_,erson] [#"r$%"r](1&&) N!LL,
CN+TRAINT [,-_Customer] ,RI.ARY -EY CL!+TERED
(
[Customer_Id] A+C
)/IT0 (,AD_INDE1 2 33, +TATI+TIC+_NREC.,!TE 2 33, I4NRE_D!,_-EY 2 33,
ALL/_R/_LC-+ 2 N, ALL/_,A4E_LC-+ 2 N) N [,RI.ARY]
) N
CREATE TABLE [dbo].[In#entor'](
[Item_Number] [int] IDENTITY(1,1) NT N!LL,
Plac
es
Order
Item
Inventory
7
[Item_N"me] [#"r$%"r](1&&) N!LL,
[5t'] [int] N!LL,
[Cost_,er_!nit] [de$im")](1*, &) N!LL,
[Cost_,ri$e_,er_!nit] [de$im")](1*, &) N!LL,
CN+TRAINT [,-_In#entor'] ,RI.ARY -EY CL!+TERED
(
[Item_Number] A+C
)/IT0 (,AD_INDE1 2 33, +TATI+TIC+_NREC.,!TE 2 33, I4NRE_D!,_-EY 2 33,
ALL/_R/_LC-+ 2 N, ALL/_,A4E_LC-+ 2 N) N [,RI.ARY]
) N [,RI.ARY]
CREATE TABLE [dbo].[rder](
[rder_Number] [int] IDENTITY(1,1) NT N!LL,
[Cust_Id] [int] NT N!LL,
[Cust_rder_No] [#"r$%"r](6&) N!LL,
[rder_D"te] [d"tetime] N!LL,
CN+TRAINT [,-_rder] ,RI.ARY -EY CL!+TERED
(
[rder_Number] A+C
)/IT0 (,AD_INDE1 2 33, +TATI+TIC+_NREC.,!TE 2 33, I4NRE_D!,_-EY 2 33,
ALL/_R/_LC-+ 2 N, ALL/_,A4E_LC-+ 2 N) N [,RI.ARY]
) N [,RI.ARY]
4
+ET AN+I_,ADDIN4 33
4
ALTER TABLE [dbo].[rder] /IT0 C0EC- ADD CN+TRAINT [3-_rder_Customer]
3REI4N -EY([Cust_Id])
RE3ERENCE+ [dbo].[Customer] ([Customer_Id])
4
ALTER TABLE [dbo].[rder] C0EC- CN+TRAINT [3-_rder_Customer]
CREATE TABLE [dbo].[+")es](
[+%i7ment_no] [#"r$%"r](1&&) NT N!LL,
[Item_No] [int] NT N!LL,
[rder_No] [int] NT N!LL,
[Cust_No] [int] NT N!LL,
CN+TRAINT [,-_+")es] ,RI.ARY -EY CL!+TERED
(
[+%i7ment_no] A+C
)/IT0 (,AD_INDE1 2 33, +TATI+TIC+_NREC.,!TE 2 33, I4NRE_D!,_-EY 2 33,
ALL/_R/_LC-+ 2 N, ALL/_,A4E_LC-+ 2 N) N [,RI.ARY]
) N [,RI.ARY]
4
+ET AN+I_,ADDIN4 33
4
7
ALTER TABLE [dbo].[+")es] /IT0 C0EC- ADD CN+TRAINT [3-_+")es_Customer]
3REI4N -EY([Cust_No])
RE3ERENCE+ [dbo].[Customer] ([Customer_Id])
4
ALTER TABLE [dbo].[+")es] C0EC- CN+TRAINT [3-_+")es_Customer]
4
ALTER TABLE [dbo].[+")es] /IT0 C0EC- ADD CN+TRAINT [3-_+")es_In#entor']
3REI4N -EY([Item_No])
RE3ERENCE+ [dbo].[In#entor'] ([Item_Number])
4
ALTER TABLE [dbo].[+")es] C0EC- CN+TRAINT [3-_+")es_In#entor']
4
ALTER TABLE [dbo].[+")es] /IT0 C0EC- ADD CN+TRAINT [3-_+")es_rder] 3REI4N
-EY([rder_No])
RE3ERENCE+ [dbo].[rder] ([rder_Number])
4
ALTER TABLE [dbo].[+")es] C0EC- CN+TRAINT [3-_+")es_rder]
CREATE TABLE [dbo].[rder_Line_Items_in#entor'](
[rder_No] [int] NT N!LL,
[Item_No] [int] NT N!LL,
[5t'_rdered] [int] N!LL,
[+")es_,ri$e] [de$im")](1*, &) N!LL
) N [,RI.ARY]
4
ALTER TABLE [dbo].[rder_Line_Items_in#entor'] /IT0 C0EC- ADD CN+TRAINT
[3-_rder_Line_Items_in#entor'_In#entor'] 3REI4N -EY([Item_No])
RE3ERENCE+ [dbo].[In#entor'] ([Item_Number])
4
ALTER TABLE [dbo].[rder_Line_Items_in#entor'] C0EC- CN+TRAINT
[3-_rder_Line_Items_in#entor'_In#entor']
4
ALTER TABLE [dbo].[rder_Line_Items_in#entor'] /IT0 C0EC- ADD CN+TRAINT
[3-_rder_Line_Items_in#entor'_rder] 3REI4N -EY([rder_No])
RE3ERENCE+ [dbo].[rder] ([rder_Number])
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ALTER TABLE [dbo].[rder_Line_Items_in#entor'] C0EC- CN+TRAINT
[3-_rder_Line_Items_in#entor'_rder]
CREATE TABLE [dbo].[+")es_Line_Item_in#entor'](
[+%i7ment_No] [#"r$%"r](1&&) N!LL,
[Item_No] [int] NT N!LL,
[5't_+%i77ed] [int] N!LL
7
) N [,RI.ARY]
4
+ET AN+I_,ADDIN4 33
4
ALTER TABLE [dbo].[+")es_Line_Item_in#entor'] /IT0 C0EC- ADD CN+TRAINT
[3-_+")es_Line_Item_in#entor'_In#entor'] 3REI4N -EY([Item_No])
RE3ERENCE+ [dbo].[In#entor'] ([Item_Number])
4
ALTER TABLE [dbo].[+")es_Line_Item_in#entor'] C0EC- CN+TRAINT
[3-_+")es_Line_Item_in#entor'_In#entor']
4
ALTER TABLE [dbo].[+")es_Line_Item_in#entor'] /IT0 C0EC- ADD CN+TRAINT
[3-_+")es_Line_Item_in#entor'_+")es] 3REI4N -EY([+%i7ment_No])
RE3ERENCE+ [dbo].[+")es] ([+%i7ment_no])
4
ALTER TABLE [dbo].[+")es_Line_Item_in#entor'] C0EC- CN+TRAINT
[3-_+")es_Line_Item_in#entor'_+")es]
CREATE TABLE [dbo].[Em7)o'ee](
[Em7)o'ee_Id] [int] NT N!LL,
[Em7)o'ee_N"me] [#"r$%"r](1&&) N!LL,
[Em7)o'ee_Address] [#"r$%"r](1&&) N!LL,
[Em7)o'ee_Desi8n"tion] [#"r$%"r](1&&) N!LL,
[Em7)o'ee_Ro)e] [#"r$%"r](1&&) N!LL,
[Em7)o'ee_D9] [d"tetime] N!LL,
[Em7)o'ee_+t"tus] [#"r$%"r](1&) N!LL,
CN+TRAINT [,-_Em7)o'ee] ,RI.ARY -EY CL!+TERED
(
[Em7)o'ee_Id] A+C
)/IT0 (,AD_INDE1 2 33, +TATI+TIC+_NREC.,!TE 2 33, I4NRE_D!,_-EY 2 33,
ALL/_R/_LC-+ 2 N, ALL/_,A4E_LC-+ 2 N) N [,RI.ARY]
) N [,RI.ARY]
CREATE TABLE [dbo].[,"'ro))](
[Em7)o'ee_+")"r'] [de$im")](1*, &) N!LL,
[Em7)o'ee_ID] [int] NT N!LL,
[No_o:_D"'s_/or;ed] [int] N!LL,
[+")"r'_,"id] [de$im")](1*, &) N!LL,
[+")"r'_.ont%] [#"r$%"r](1&) N!LL,
[T"<_Dedu$ted] [de$im")](1*, &) N!LL,
[,3_Amount] [de$im")](1*, &) N!LL
) N [,RI.ARY]
4
7
+ET AN+I_,ADDIN4 33
4
ALTER TABLE [dbo].[,"'ro))] /IT0 C0EC- ADD CN+TRAINT [3-_,"'ro))_Em7)o'ee]
3REI4N -EY([Em7)o'ee_ID])
RE3ERENCE+ [dbo].[Em7)o'ee] ([Em7)o'ee_Id])
4
ALTER TABLE [dbo].[,"'ro))] C0EC- CN+TRAINT [3-_,"'ro))_Em7)o'ee]
References
0atabase design basics. (n.d.). 0atabase design basics. #etrieved 6ay 2, 3727, from
http899office.microsoft.com9en-us9access91A7233535:2744.asp"
;ehani, -. (377<). !he 0atabase =ook8 /rinciples and practice using 6yS>?. 2st ed., Summit,
-@.8 Silicon /ress
Investopedia A Introduction to Accounting Information System B - See more at8
http899onlineaccountingblog.shoebooks.com.au9372297C9749accounting-information-systems-
introduction-and-components9Dsthash.kocg"m@s.dpuf
!eorey, !.E ?ightstone, S. and -adeau, !.(377F) Database Modeling & Design: Logical Design,
5th edition, 6organ +aufmann /ress. IS=- 7-23-<CF4F3-F