Accounting Information Systems have emerged as very famous components of modern businesses mainly because they offer beneficial and timely information to management in addition to being cost-effective. Generally, these systems are helpful in book account payables, cash transactions, receivables, and every other accounting function in an orderly manner. The need for an effective accounting information system in an organization is attributed to the huge volume of data handled by accounting departments. Accounting Information Systems provide helpful and timely accounting information because they perform accounting functions automatically rather than manually though the principles are similar. These systems are primarily based on computerized procedures that usually comprise modules known as sub-systems. While they remain an important facet of organizational decision-making, the management may make several incorrect assumptions about these systems.

Ackoff's Management Misinformation Systems:

According to Ackoff (1967), there is a growing pre-occupation with Management Information Systems by operations researchers and management...
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