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Chapter Summary

Section 7.1: Define and Describe Components of AIS​

  • AIS has five components: People, Procedures, Data, Software, IT Infrastructure
  • All components must work together effectively
  • Luxembourg AIS must support PCN, eCDF, FAIA, digital invoicing
  • Systems must comply with Luxembourg regulations

Section 7.2: Describe Purpose of Special Journals​

  • Special journals record specific transaction types (sales, purchases, cash receipts, cash disbursements)
  • More efficient than general journal for repetitive transactions
  • Better organization and control
  • Must support PCN and VAT tracking in Luxembourg

Section 7.3: Analyze and Journalize Using Special Journals​

  • Sales Journal: Credit sales
  • Purchases Journal: Credit purchases
  • Cash Receipts Journal: Cash received
  • Cash Disbursements Journal: Cash paid
  • Posting: Individual items to subsidiary ledgers, totals to general ledger
  • Must track VAT by rate in Luxembourg

Section 7.4: Prepare Subsidiary Ledger​

  • Subsidiary ledgers provide detail for general ledger control accounts
  • Accounts Receivable subsidiary: Individual customer accounts
  • Accounts Payable subsidiary: Individual supplier accounts
  • Must reconcile: Subsidiary total = Control account balance
  • Must support PCN and audit requirements

Section 7.5: Career Paths in Accounting and IT​

  • Accounting Systems Analyst
  • ERP Implementation Specialist
  • Accounting Software Developer
  • IT Auditor
  • Business Intelligence Analyst
  • Compliance Technology Specialist
  • High demand in Luxembourg due to eCDF, FAIA, digital requirements

Section 7.6: Luxembourg Accounting Software Landscape​

  • Sage BOB: Luxembourg-specific, full compliance
  • Odoo: Open-source with Luxembourg localization
  • QuickBooks, Xero: International with Luxembourg setup
  • Excel: Custom solutions for small businesses
  • Selection criteria: PCN compliance, eCDF, FAIA, VAT tracking

Section 7.7: Luxembourg eCDF and FAIA Requirements​

  • eCDF: Mandatory electronic filing for VAT returns and annual accounts
  • FAIA: Computerized audit file (XML, OECD SAF-T) when requested
  • Systems must support both
  • Critical for Luxembourg compliance
  • Penalties for non-compliance

Section 7.8: Digital Invoice Requirements and Fiscal Cash Registers​

  • Digital invoices: Accepted formats (PDF, XML, UBL, Peppol)
  • Fiscal cash registers: Required for restaurants, retail
  • Must integrate with accounting systems
  • Must support VAT compliance
  • Must maintain audit trails