Transcript No Slide Title

Chapter
14-1
Chapter 14:
Accounting on the Internet
Introduction
The Internet and the World Wide Web
XBRL - Financial Reporting on the Internet
Electronic Business
Privacy and Security on the Internet
Chapter
14-2
The Internet and
World Wide Web
Internet Addresses and Software
Intranets and Extranets
The World Wide Web, HTML, and IDEA
Groupware, Electronic Conferencing, and
Blogs
Chapter
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Internet Addresses and
Software
Domain Address
 Also
called a Uniform Resource Locator (URL)
 www.Name.com.uk
Internet Protocol (IP)
 Numeric
address of domain address
 207.142.131.248
 Transmission Control Protocol (TCP)
Chapter
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Intranets and Extranets
Intranets
 Based
on same software as the Internet
 Internal to the organization
 Outsiders are unable to access information
Extranets
 Enable
external users to access intranets
 Utilize passwords or private data communications
channels
Chapter
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The World Wide Web,
HTML, and IDEA
World Wide Web
 Multimedia
portion of the Internet
Hypertext Markup Language (HTML)
 Editing
language
 Used in design of web pages
Hypertext Transfer Protocol (HTTP)
 Communications
pages
protocol used to transfer web
Chapter
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HTML Code
Chapter
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Display of HTML Code
Chapter
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Groupware, Electronic
Conferencing, and Blogs
Groupware
 Allow
users to complete numerous tasks
electronically
 Send and receive e-mail, collaborate on work
tasks, schedule appointments, share files
 Software include Exchange, Groupwise, Lotus
Notes, and Outlook
Chapter
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Groupware, Electronic
Conferencing, and Blogs
Instant Messaging Software
 Remote users
communicate in real time
 Electronic Conferencing
Knowledge Management
 Programs utilized
to distribute expertise within the
organization
Blogs
 Collaboration tool
 Create, share,
and leverage knowledge
Chapter
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XBRL - Financial Reporting
on the Internet
eXtensible Markup Language (XML)
 Similar
to HTML
 Users define their own tags
 XML tags describe the data
eXtensible Business Reporting Language
 Tags
are standardized for business reporting
purposes
Chapter
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XBRL Code
Chapter
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XBRL - Financial Reporting
on the Internet
XBRL Instance Documents and Taxonomies
 Must
understand the standard tags
 Must understand the rules that govern the use of
the tags
Current Status of XBRL
 XBRL
International Consortium
Chapter
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How XBRL Affects
Accountants
Chapter
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XBRL - Financial Reporting
on the Internet
The Benefits of XBRL
 Transmit
financial data in standard format
 Data items are uniquely defined
 Searching for tags is easier (IDEA)
 Data is self-checking
 Automatic and reliable exchange of financial
information
 Companies are not constrained to specific formats
Chapter
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XBRL - Financial Reporting
on the Internet
The Drawbacks of XBRL
 Requires
new users to learn, and conform to, the
standards of the language
 Evolving standards require conformity to
changing specifications
 No requirement for auditors to provide assurance
 Costs of transition
Chapter
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Electronic Business
Definition
 Conduct
of business with computers and data
communications
Categories of Electronic Commerce
 Retail
sales
 E-payments and E-wallets
 Electronic data interchange
 Cloud-computing services
Chapter
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Retail Sales
Overview
 Virtual
stores to sell directly to customers
 Automated AISs
Problems with Internet Retail Sales
 Legitimacy
of web sites
 Reliance upon e-mails
 Reliance upon suppliers
 Click fraud
 Privacy concerns
Chapter
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Business-to-Business
E-Commerce
Definition
 Businesses
buying and selling goods and services to
each other over the Internet
Advantages
 Shortens
time from purchase to delivery
 Expanded variety of vendors
 Reduces processing costs
 Wider availability of real-time data
Chapter
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Electronic Data Interchange
Electronic Data Interchange
 Transmit
information over high-speed data
communications channels
 Automates exchange of business information
Chapter
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Cloud Computing
Processing Services
 Platform
as a Service (PaaS)
Backup Services
 Maintain
copies of critical data
Educational Services
 Research
and using specialized web tutorials
Chapter
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Advantages of Cloud
Computing
Chapter
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Cloud Computing – Backup
Provider Example
Chapter
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Privacy and Identity Theft
Definition
 Using
another person’s personal data that involves
fraud or deception
 Identity Theft and Assumption Deterrence Act of 1998
(ITADA)
Company Prevention
 Use
preventive controls
 Exercise reasonable caution to protect personal
information
Chapter
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Safeguarding Personal Data
Chapter
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Safeguarding Personal Data
Chapter
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Security
Safeguarding electronic resources and limiting
access to authorized users
Access Security – Authentication
you have – plastic card
 What you know – unique information
 Who you are - fingerprints
 What
Chapter
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Spam and Phishing
Spam
 Unsolicited
e-mail messages
 Increasingly costly to organizations
Phishing
 Websites
requesting personal information from
consumers
 Most information is typically stored in AISs
Chapter
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Social Networking
Commercial Utilization
 Public
reaction to launch of new product
 Developing an online presence
Privacy Concerns
 Searching
for “red flags”
 Evaluate employees
 Disqualify job applicants
Chapter
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Firewalls
Purpose
 Guards
against unauthorized access
 Stand-alone devices and/or software
Two Primary Methods
 Inclusion
– Access Control List (ACL)
 Exclusion
Problems
 Denial-of-Service Attacks
 Spoofing
Chapter
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Firewall Example
Chapter
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Intrusion Detection Systems
Passive IDSs
 Create
logs of potential intrusions
 Alert network administrators
Reactive IDSs
 Detect
potential intrusions dynamically
 Log off potentially malicious users
 Program firewalls to block messages from
suspected source
Chapter
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Value-Added Networks
Definition
 Private,
point-to-point communication channels
 Usually created for security purposes
Methods of Creation
 Blank
slate, create from scratch
 Lease secure, dedicated transmission lines
 Create a Virtual Private Network (VPN)
Chapter
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Value Private Networks
Definition
 Similar
to a VAN
 Transmit messages over existing Internet
connections
Creating Secure Data Transmission
 Use
“tunneling” security protocols
 Encrypt transmitted data
 Authenticate remote computer
Chapter
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VAN-based EDI System
Chapter
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Proxy Server
Definition
 Network
server that controls web access
Advantages
 Funnel
internet requests through a single server
 Examine and test requests for authenticity
 Limit employee access to approved websites
 Limit stored information
 Store frequently-accessed web pages (Cache)
Chapter
14-36
Data Encryption
Definition
 Transform
plaintext messages into unintelligible
cyphertext messages
Encryption key
 Mathematical
function dependent upon a large
prime number
 Data Encryption Standard (DES)
Chapter
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Simple Data Encryption
Chapter
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Data Encryption
Secret Key Cryptography
 Users
must keep the key secret and not share the
key with other parties
Public Key Encryption
 Each
party uses a pair of public/private encryption
keys
 SSL and S-HTTP
Chapter
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Digital Signatures and Digital
Time Stamping
Digital Signature
 Encrypted
portion of message
 Digital Signature Standard (DSS)
Digital Certificate
 Certificate
Authority
Digital Time-Stamping Services (DTSSs)
Chapter
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