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How many components are found in an AIS?

An Accounting Information System (AIS) typically consists of five major components:

1. People: The individuals who use and maintain the system, including accountants, managers, and external auditors.

2. Procedures: The policies and processes used to collect, process, and report financial information.

3. Data: The financial information that is collected, stored, and processed by the system.

4. Software: The computer programs and applications used to process and manage financial information.

5. Hardware: The physical devices and equipment used to store and process financial information, such as servers, workstations, and printers.

These components work together to provide the necessary information for financial decision-making and compliance reporting.

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