Accession Number:

AD0769281

Title:

Reliability in Complex Inventory Accounting Systems: A Sensitivity Analysis.

Descriptive Note:

Master's thesis,

Corporate Author:

NAVAL POSTGRADUATE SCHOOL MONTEREY CALIF

Personal Author(s):

• Kinley,Frederic Henry Michael
• Carter,James O'Neill

Report Date:

1973-09-01

Pagination or Media Count:

205.0

Abstract:

The thesis investigates the sensitivity of the reliability of the data generated by a complex inventory accounting system to changes in various internal and external factors effecting the subject accounting system. The subject system is represented by a computer simulation model of the inventory accounting subsystem of a hypothetical firm. Sensitivity tests were performed on the computer model to investigate its responsiveness to various changes in both external and internal factors. The results of these sensitivity tests are analyzed with respect to their impact on the reliability of the data which makes up ending inventory account balances generated by the model. A dual quantitative method of measuring account balance reliability is also proposed and evaluated. A recommendation is made that the simulation technique be field tested for possible later status as a generally accepted auditing procedure. Author

Descriptors:

• *AUDITING
• INVENTORY CONTROL
• STANDARD DEVIATION
• PROBABILITY DENSITY FUNCTIONS
• GRAPHICS
• INFORMATION SYSTEMS
• THESES
• FORTRAN

Subject Categories:

• Administration and Management
• Manufacturing and Industrial Engineering and Control of Production Systems

Distribution Statement:

APPROVED FOR PUBLIC RELEASE