Securing Higher Grades Costing Your Pocket? Book Your Assignment at The Lowest Price Now!

Telstra, Qantas, McDonald, Starbucks And Toyota: Accounting Information System Add in library

139 Download5 Pages 1,141 Words


1. Segregation of Duties and Telstra

How does the theory apply to purchasing decisions at Telstra?

2. Transaction Processing and Uber

How the theory can be applied to the operation of Uber?

3. Revenue Cycle and Qantas

How Revenue cycle can help us understand revenue generation at Qantas?

4. Expenditure Cycle and McDonalds

How Expenditure Cycle can help us understand purchasing at McDonalds?

5. Payroll Cycle and Starbucks

How Payroll Cycle can help us understand operations at Starbucks?

7. Conversion Cycle and Toyota

How Conversion Cycle can help us understand operations at Toyota?


1. Segregation of duties and Telstra

Telstra is knows as largest company of Australia in telecommunications sector. The company has branches more than 6 nations cross UK, US and Australia.  Since the Telstra is one of the major telecommunication has branches all over the world company purchase network form the local government like in Australia it is NBN and UK it is British telecom

 Purchasing power parity is theory will be helpful in understanding the Telstra purchasing style. Purchasing power parity medium helps the company to understand the difference between the nations and their purchasing style .  One of the major assumptions taken here would be the difference between the country and their difference prices   that has made the company to where it is feasible to do business in that nations or not.

Purchasing power parity is based on the law of price   which  suggest that, identical form of services  sold by the same company in difference prices at different nations because of the two separate market compositions. PPP theory also considers taxation policy  of various nations  in order adjust  the exchange rate.

S=P1/ P2

 Where S= exchange rate of currency

P1= Cost of service, x, in currency 1

P2= Cost of service, x, in currency 2

2. Revenue cycle and Qantas

The revenue cycle of the Qantas depicts that, company has earn more than 16 billion as per it annual report of 2014. Company has large market presence in more than 4 continents. As per the annual report, company has revenue growth worth of 12.09% per year which shows that company has bale maintain it profitability in spite of severe competition in airline industry.

The revenue cycle of the company shows that company has focused specifically in there major strategies like pricing , selling and inventory allocations.

Figure 1: Revenue cycle of Qantas

(Source: Horngren, Harrison and Oliver, 2012, pp-764)

The revenue cycle of the company is very much effective as the company has able to manage it cash position via managing the accounts receivables and accounts payables.  The revenue cycle of the company shows that, Qantas is very recognizes it accounts receivables which is very much attainable via controlling operational functions (Horngren, Harrison and Oliver, 2012).  Company prepares the sales day book in order to understand the credit sales and cash sales.

3. Expenditure cycle and McDonald

McDonalds is one of the largest retail chain restaurants brand in all over the world.  Company has able to control its expenditure very much based on its expenditure cycle theory. The expenditure cycle theory of the McDonalds shows that, company has set budget and benchmarking system for future in order to assess and control it different expenditure all through the years (Kieso, Weygandt and Warfield, 2012). In order to expand their business, company has taken long term loan for which company has pay high interest rates which is decreasing the company profitability.

 Since, the company expenditure cycle is very much based on the recurring set of business activities and related to data processing. One of the primary objective of the expenditure cycle is to minimize the total cost of managing the inventory such bread and other food items. Expenditure cycle of the McDonalds helps the company in decision making of optimal form of inventory management.  Company orders supplies and receive the supplies stores it along with pay for goods supplies.  As per the Expenditure cycle company often follows the EOQ system which also known as the economic ordering quantity.

 The above theory explain that, although McDonalds is using EOQ model which restricted the company cost but company fails control its  loan amount which is hurting the company expenditure cycle.

4. Payroll Cycle and Starbucks

The Payroll Cycle can be effective for Starbucks to have better understanding about their operation. If the pay of the employees is increasing at continuous interval then it can be understood that employees of Starbucks are able to provide quality service and higher productivity. Apart from that, payroll cycle involves three external sources such as banks, government agencies and insurance companies. The HRM department of Starbucks can provide details regarding terminations, hiring and changes in the pay rate due to rise in the pay or salary or promotions. On the other hand, other departments can provide information relating to the hours worked and it can help in understanding the performance of operation of Starbucks. Moreover, the payroll cycle can help in getting effective information about the tax information from the government so that Starbucks can make decision whether to make changes in the price of the products offered or not. Further, the payroll cycle can help in updating the payroll master file, updating tax rates and deductions, validating attendance data and time, schemes for pay, etc (Horngren, Harrison and Oliver, 2012). Therefore, it can be valuable for Starbucks to have better control over their operations and structure the payroll system for their employees.

5. Conversion Cycle and Toyota

The conversion cycle will assist Toyota in knowing the amount of time the business will take in order to sell the inventory and making cash available. The conversion cycle will provide appropriate time that the company will be bearing to convert their assets or inventory into cash. On the other hand, the time will be known through acquiring cash for the product sold on credit to clients. Therefore, Toyota will have a clear picture about how faster they can generate cash or receive payments for their product and services. Thus, it will help Toyota to make decision whether in future they should sell products on credit or not. Apart from that, if conversion cycle shows larger result then it will not be a healthier cycle for Toyota and on the other side if the conversion cycle shows smaller result then the company will receive payment in quick time. Moreover, cash conversion cycle will help Toyota in measuring how efficiently and quickly they can pull out cash from operation. Further, conversion cycle will let Toyota know when they can be able to pay to their suppliers (Kieso, Weygandt and Warfield, 2012). Thus, Toyota will better understand the gap between account receivables and account payable.



Horngren, C., Harrison, W. and Oliver, M. (2012). Accounting. Upper Saddle River, N.J.: Pearson Prentice Hall.

Kieso, D., Weygandt, J. and Warfield, T. (2012). Intermediate accounting. Hoboken, NJ: Wiley.


At, we understand that when students get stuck with tough assignments, they look for affordable services. To assist students with complex assignments, we have built a team of skilled cheap essay writers. has become one stop solution for all students who often look for answers related to their search similar to do my essay at the cheap rate or who can write my essay at affordable prices. Students prefer hiring us as we have the best provisions to render services related to do my essay online at a reasonable rate.

Most Downloaded Sample of Management

278 Downloads 1 Pages 48 Words

Toulin Method Of Argumentation

You are required to write a researched argument essay that convinces persuades the reader of your position / stance. This is an academic, researched and referenced do...

Read More Tags: Australia Arlington Management Management University of New South Wales Management 
202 Downloads 9 Pages 2,237 Words

Consumer Behavior Assignment

Executive Summary The purpose of this report is to elaborate the factors which are considered by individuals before selecting an occupation. Choosing an occupati...

Read More Tags: Australia Arlington Management Management University of New South Wales Management 
368 Downloads 13 Pages 3,112 Words

Internet Marketing Plan For River Island

Introduction With the increase enhancement in the field of technology, it has been considered essential by the businesses to implement such technology in their b...

Read More Tags: Australia Arlington Management Management University of New South Wales Management 
329 Downloads 9 Pages 2,203 Words

Strategic Role Of HR In Mergers & Acquisitions

Executive Summary In a merger & acquisition, role of an HR has emerged as a very critical function. At each stage of merger and acquisition process, HR plays a s...

Read More Tags: Australia Arlington Management Management University of New South Wales Management 
357 Downloads 7 Pages 1,521 Words

Relationship Between Knowledge Management, Organization Learning And HRM

Introduction In this competitive business environment where every business organization is trying to attract the customers of each other, it becomes essential for ...

Read More Tags: Australia Arlington Management Management University of New South Wales Management 
Free plagiarismFree plagiarism check online on mobile
Have any Query?