...business and commerce, transactions take place on a daily basis. The needs of companies have also been evolving and increasing as more and more business models, sales and distribution channels increased. With the increase in the amount of transactions taking place, and advancements in computer hardware and software, transaction-processing systems have evolved as well. Frist let’s examine what a transaction processing system does. “Transaction processing systems capture and process the detailed data necessary to update records about the fundamental business operations of the organization.” (Stair & Reynolds 2013, pg. 257). The system is responsible for processing various types of transactions including but not limited to sales orders, inventory updates, payroll, accounts payables and receivables. “The result of processing business transactions is that the organization’s records are update to reflect the status of the operation at the time the last processed transaction.” (Stair & Reynolds 2013, pg. 257) The results of the updated records for the organization are so that management is able to understand where the company stands at a specific point of time. Transaction processing systems works with a large amount of data and many times is integrated into an organizations other systems and share common databases. It is able to provide detailed sales reports, payroll reports and inventory status updates. So how far have transaction processing systems evolved...
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...A Distributed Transaction Management Scheme for Multidatabase Systems* Xinfeng Ye, Department of Computer Science, University of Auckland, New Zealand. Abstract finsaction management in a multidatabase sys- tem must ensure global serializability. Local seri- alizable execution is, by itself, not suficient to en- sum global serializability, since local serialisation or- ders of subtmnsactions of global transactions must be the same at all systems. In this paper a distributed tmnsaction management scheme is introduced. The scheme maintains autonomy of the local database systems. It is free from global deadlock, and, guar- antees fairness in the execution of the tmnsactions in the system. 1 Introduction A multidatabase system (MDBS) is a collection of pre-existing autonomous, and possibly heteroge- neous, local database systems (LDBSs). Transac- tions in an MDBS are of two types: Local transactions: Those transactions that only access data m,anaged by a single LDBS. Global transactions: Those transactions that ac- cess data managed by more than one LDBS. Transaction management in the MDBS is hierar- chical. Each LDBS controls the local transactions and the subtransactions of the global transactions at its site, and assures serializable execution at that site. The MDBS software controls the global trans- actions, and assures global serializability. Global serializability guarantees the correct con- current execution...
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...Introducing Transaction Log Files Each SQL Server 2000 database has at least one transaction log file and can have multiple transaction log files spread across a number of disks. Each transaction log file is a separate operating system file and is used by only one database. Each transaction log file generally has the .ldf filename extension (this extension is not required). Each transaction log has a logical filename that is used in Transact-SQL statements and a physical filename that is used by the Windows operating system. Additional file properties include the file ID number, initial file size, file growth increment (if any), and maximum file size. Unlike data files that contain pages, transaction log files contain a series of transaction log records. A sequential log sequence number (LSN) identifies each transaction log record. Regardless of the number of physical log files, SQL Server 2000 treats the transaction log as one continuous log. SQL Server 2000 logically divides each physical transaction log file into a number of virtual log files (VLFs). The number and size of virtual log files are determined dynamically based on the size of each transaction log file. Each transaction log file has at least two VLFs. Each growth increment (if any) is treated as a separate physical file with its own VLFs. The number or size of VLFs cannot be configured or set directly by the database administrator. SQL Server 2000 tries to maintain a small number of virtual file logs because it...
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...Chapter 10 Transaction Management and Concurrency Control Discussion Focus Why does a multi-user database environment give us a special interest in transaction management and concurrency control? Begin by exploring what a transaction is, what its components are, and why it must be managed carefully even in a single-user database environment. Then explain why a multi-user database environment makes transaction management even more critical. Emphasize the following points: • A transaction represents a real-world event such as the sale of a product. • A transaction must be a logical unit of work. That is, no portion of a transaction stands by itself. For example, the product sale has an effect on inventory and, if it is a credit sale, it has an effect on customer balances. • A transaction must take a database from one consistent state to another. Therefore, all parts of a transaction must be executed or the transaction must be aborted. (A consistent state of the database is one in which all data integrity constraints are satisfied.) All transactions have four properties: Atomicity, Consistency, Isolation, and Durability. (These four properties are also known as the ACID test of transactions.) In addition, multiple transactions must conform to the property of serializability. Table IM10.1 provides a good summary of transaction properties. Table IM10.1 Transaction Properties. |Multi-user | |Single-user | |atomicity:...
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...THE BENEFITS OF TRANSACTION COST ECONOMICS: THE BEGINNING OF A NEW DIRECTION Boudreau, Marie-Claude, University of Georgia, Athens, GA, USA, mcboudre@terry.uga.edu Watson, Richard T. University of Georgia, Athens, GA, USA, RWatson@terry.uga.edu Chen, Adela J. W., University of Georgia, Athens, GA, USA, chenjw@uga.edu Greiner, Martina, University of Georgia, Athens, GA, USA, mgreiner@uga.edu Sclavos, Peter, University of Georgia, Athens, GA, USA, psclavos@uga.edu Abstract In this conceptual paper, we argue that the organizational focus on transaction costs needs to be balanced by an attention to transaction benefits, both at the individual and organizational levels. To the transaction characteristics suggested by transaction costs economics, we add four additional ones likely to foster transaction benefits: intensity of knowledge, segmentation of knowledge, dispersion of knowledge, and scarcity of knowledge. The need to maximize transaction benefits while minimizing transaction costs results in the mixing of governance structures, where two (or more) “pure” governance structures are combined. We create a model of the relationships between transaction characteristics, mix of governance structures, transaction costs and benefits, and information systems; from an instantiated version of this general model, we elaborate four propositions. Moreover, with two “real world” examples (Google and JBoss), we illustrate the existence of the proposed transaction characteristics and mixed...
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...Bitcoin Worth as a Transaction Mechanism? February 19, 2014 Eric Gravengaard & Matt Kolbe Recent op-ed and research pieces by analysts have centered on Bitcoin, not as 21st century financial asset, but as a 21st century payments and remittances mechanismi. The underlying technology behind Bitcoin is an amazing invention that makes electronic, non-reversible, financial transactions possible across the Internet. That there is no central counter-party able to freeze funds or reverse transactions is possibly one of Bitcoin's most useful features. What does the demand for transactions mean for the future of Bitcoin prices? In this note we try to value Bitcoin by comparing demand for “on-chain” transactionsii of Bitcoin to other payment mechanisms. A Comparison of Payment Systems Visa Visa is a global payments technology company that connects consumers, businesses, banks and governments in more than 200 countries and territories, enabling them to use digital currency instead of cash and checks. Source http://investor.visa.com/ Visa is the market leader in global electronic payments, transmitting almost $7 trillion in 2013. The majority of this is done by consumers and businesses spending money using credit and debit cards with the Visa logo. Visa’s revenue comes in three major categories: Service Fees, Data Processing Fees, and International Transaction Fees. The sum of those fees, less Client Incentives, is what we are referring to as Visa’s Transaction Revenue in the table...
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...Transaction Processing System of Riordan Manufacturing BSA/310 Transaction Processing System of Riordan Manufacturing Riordan Manufacturing is a global plastics manufacturer who is an industry leader in the field of plastic injection molding. They produce everything plastic from plastic containers, fans, plastic bottles and even heart valves and stents. With the amount of goods being shipped every day a critical information system is the transaction processing system (TPS) to keep track of the inventory in house as well as the products being shipped to the customer. A transaction processing system is one of the most important information systems because it is the building block from which the other systems receive their information. Without a transaction processing system management information systems, decision support systems, and enterprise resource planning, would not have the data needed to analyze to make the correct decisions in their systems. Transaction processing systems are used within a company to monitor and process large amounts of data used on a day to day basis. Companies will use a TPS to when processing orders, purchasing materials, updating inventory and accounts payable and received. After reviewing Riordan’s inventory management, they are using transaction processing system to keep their raw materials updated in the system. At the end of the day the receiving area supervisor will give the log of raw materials and associated shipping...
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...Transaction costs theory and the imperfect markets. Williamson’s successful complementation of the Coases approach of the firm as an alternative to reduce the cost of using the price mechanism, with Herbert Simon’s organizational theory, gave birth to the Transaction Costs Theory (TCT)1. This meant a big step, which evolved the theory of the firm, from its obsolete neoclassical toots and assumptions -of a perfect competitive market and a perfect rationality-, by adding the issues of bounded rationality and opportunism to Coases work2. Williamson opened the path to new ways of conceiving and complementing the theory of the firm in general, and the transactions costs theory in particular. By enabling to the economic theory the enhancing and the building of new connections between cognitive psychology and economics. Connections that have allowed, among other things, the development of a larger view in the roll of the firm, no only as an avoider of costs, but also as a creator of knowledge. All in better accordance with the modern firms logic of making business. In order to understand the transaction costs theory, one has to comprehend that the competitive market structure, is only a reference to be taken into account, when one analyses the observed structure of markets, which are called “imperfect competitive”, For the market is not given under a homogenous form to all economic agents, but is continuously changing under agents decisions and behaviours 3 ....
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...existed on the issue how to analyze them in an appropriate way. The primary goal of the authors is to develop a proper framework for the analysis by setting the main focus on transaction costs. Therefore, they take a look at four different aspects: the demand for financial commodities, the production, their pricing altogether with the pricing of additional services and the influence of governmental regulation on financial intermediaries. They start their survey from a contrary point as the other authors did in recent history by defining financial intermediaries as firms which create specialized financial commodities. On the supposition that the individuals’ earnings over time do not enable the achievement of the desired inter-temporal consumption pattern, demand for financial commodities arises. In this case assets held by the consumers serve as a possibility to rearrange their intra- and intertemporal consumption pattern for maximizing their utility. This leads to two key facts. First, utility is based on consumption at different points in time and second, transaction costs occur by acquiring financial commodities. Accordingly, financial intermediaries are able to facilitate intra- and inter-temporal consumption decisions due to a reduction of transaction costs. In this context reduction of transaction costs is seen as their central task. Concerning the inter- and intra-temporal demand for consumption it is necessary to take a look at the capital asset pricing model (CAPM)...
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...Uniform Electronic Transaction Act and Electronic Signature Abstract The world has evolved from what used to be a “paper world” to now everything being electronic. The vast majority of the population relies on electronic means to conduct their everyday business. We pay our bills online, make purchases online and sometimes even enter into contracts online. No longer do you need a person’s John Hancock to make a contract legally binding. We have transformed into a society where electronic signature (E-Sign) is just a binding as your wet ink signatures. E-Sign and the Uniform Electronic Transactions Act (UETA) are often compared to each other, but in all actuality they are different when it comes to the way consumers are actually treated. The basic purpose of UETA is to support the use of electronic commerce. The primary objective of this act is to establish the legal equivalence of electronic records and signatures with paper writings and manually signed signatures, which ultimately helps remove barriers to electronic commerce. Once difference between the two is that UETA is state and E-Sign is Federal. You can trace the creation of E-Sign back to UETA. Keep in mind that UETA only applies to Article 2 and 2A transactions and as of July 2006, only forty-six states to include the District of Columbia and the U.S. Virgin Islands have adopted UETA (White & Summers, 2010). Due to the fact that all of the states failed to adopt UETA, Congress felt the need to enacted...
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...Fair and Accurate Credit Transactions Act of 2003 The Fair and Accurate Credit Transactions Act also referred to as FACT seeks to amend many areas the Fair Credit Reporting Act fails to address and provide solutions to these issues. The Fair and Accurate Credit Transactions Act of 2003 was passed by congress in November of 2003 and later signed into law by president Bush December 4, 2003. Fact was developed in response to the idea that credit was being issued unfairly and inconsistently. The Act is designed to remove discrepancies and improve the accuracy of the national credit reporting system. The act also addresses identity theft issues and outlines assistance to identity theft victims. It contains provisions enhancing consumer rights in situations involving alleged identity theft, credit scoring, and claims of inaccurate information. It requires use of consumer reports to provide information to consumers who are offered credit on terms that are not on par with the offers the creditor makes to the largest portion of its customers. Companies that share consumer information with partner companies must provide consumers notice and an opt-out for sharing of such information if the information will be used to try to solicit consumers. I believe this legislation to be of most importance to banking and credit consumers. I believe this legislation provides the framework to ensure a more efficient and fair credit system. FACT helps to establish procedures that ensure no one is being...
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...loafers, so he plans on buying a new pair of shoes also. Haynus practices in a state that has adopted the Model Rule 1.8. How does this rule apply to the two business transactions Haynus wants to enter in with his client? Entering into business transactions with a client may place the attorney and client in adversarial positions. The ethical rules are designed to ensure that the attorney representation will not be compromised by a profit motive. Rule 1.8 Conflict of Interest: Current Clients: Specific Rules (a) A lawyer shall not enter into a business transaction with a client or knowingly acquire an ownership, possessory, security or other pecuniary interest adverse to a client unless: (1) The transaction and terms on which the lawyer acquires the interest are fair and reasonable to the client and are fully disclosed and transmitted in writing in a manner that can be reasonably understood by the client; (2) The client is advised in writing of the desirability of seeking and is given a reasonable opportunity to seek the advice of independent legal counsel on the transaction; and (3) the client gives informed consent, in a writing signed by the client, to the essential terms of the transaction and the lawyer's role in the transaction, including whether the lawyer is representing the client in the transaction. A lawyer's legal skill and training, together with...
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...Transaction Authorization PURCHASES SUBSYSTEM. The inventory control function continually monitors inventory levels. As inventory levels drop to their predetermined reorder points, inventory control formally authorizes replenishment with a purchase requisition. Formalizing the authorization process promotes efficient inventory management and ensures the legitimacy of purchases transactions. Without this step, purchasing agents could purchase inventories at their own discretion, being in a position both to authorize and to process the purchase transactions. Unauthorized purchasing can result in excessive inventory levels for some items, while others go out of stock. Either situation is potentially damaging to the firm. Excessive inventories tie up the organization’s cash reserves, and stock-outs cause lost sales and manufacturing delays. Segregation of Duties SEGREGATION OF INVENTORY CONTROL FROM THE WAREHOUSE. Within the purchases subsystem, the primary physical asset is inventory. Inventory control keeps the detailed records of the asset, while the warehouse has custody. At any point, an auditor should be able to reconcile inventory records to the physical inventory. Supervision In the expenditure cycle, the receiving department is the area that most benefits from supervision. Large quantities of valuable assets flow through this area on their way to the warehouse. Close supervision here reduces the chances of two types of exposure: (1) failure to properly inspect the...
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...Transaction analysis Problem # 1 Mr. Abul operates premium service, which has the following assets: Cash tk. 40,000, supplies tk. 2,000, delivery van tk. 30,000 and truck tk. 60,000. The business owes tk. 12,000 for supplies previously purchased. The following transactions occur in the month of March 2004: March 01: Paid office rent for 3 month’s advance tk. 6,000. 02: Purchased delivery van for cash tk. 20,000. 04: Purchased supplies on account tk. 2,500. 06: Purchased supplies for cash tk. 1,000. 10: Service rendered to a customer and immediately collected tk. 6,000 12: Service rendered to a customer on account tk. 13,000. 18: Paid utility expense of the month tk. 1,000 cash. 22: Paid for the supplies purchased on March 04. 31: The owner withdrew tk. 1,800 from the business. Instructions: (a) Compute the Opening capital/equity. (b) Prepare a tabular analysis of the transactions using the following account titles: Cash, Accounts receivable, Prepaid rent, Supplies, Delivery van, Truck, Accounts payable, Y’s capital. Problem # 2 On June 01 2004 Mr. Tanim started an accounting consultancy agency. The following transactions took place in the month of June: 01: Invested tk. 20,000 as capital in the business. 04: Hired a personal secretary at a monthly salary of tk. 4,000. 06: Purchased supplies for tk. 200 cash. 09: Paid...
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...Transaction Exposure When conducting business aboard, cash inflows are affected when a variety of currencies are involved. In the case of Nike’s proposal to expand in India, there are ways to migrate exchange rate risks by exposing the possible risks before they affect the company’s profit margin. One method is the transaction exposure. Transaction exposure is the degree to which the value of future cash transactions that are affected by exchange rate fluctuations. According to Madura, “Transaction exposure can have a substantial impact on a firm’s earnings. It is not unusual for a currency to change by as much as 10 percent in a given year. If an exporter denominates its exports in a foreign currency, a 10 percent decline in that currency will reduce the dollar value of its receivables by 10 percent. This effect could possibly eliminate any profits from exporting” (Thomson South-Western 2006). To assess transaction exposure, Nike will need to estimate its net cash flows in each currency and measure the potential impact of the currency exposure. According to Madura, “To measure its transaction exposure, an MNC needs to project the consolidated net amount in currency inflows or outflows for all its subsidiaries, categorized by currency….Estimating the consolidated net cash flows per currency is a useful first step when assessing an MNC’s exposure because it helps to determine the MNC’s overall position in each currency” (Thomson South-Western 2006). The standard deviation...
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