The document outlines the system design for managing accounting within Digital Circles, emphasizing the importance of proper financial record-keeping and the need for an accountant due to the owners' lack of expertise. It discusses input requirements, such as detailed transaction data, and output needs including financial statements for tax purposes. Additionally, it describes the system processes, controls, and backup measures to ensure data security and financial accuracy.

1. Digital Circles
System Design
Ellen Magalona
Sir Jonel Uy

2. I. Introduction
A. General System Design
The accounting systems may just buy a program software if owners really doesn’t know
how to handle money, it is available in the National Bookstore but it may require
some assets to be taken out. Options are always available, they may just record
everything and have an accountant to check what they did, or just hire the accountant
and they will not have a single problem with this issues. Today, they are just
handling the accounting part so not all of the record is correct and not every
transaction is recorded.
B. Development Team

3. C. Scheduling Using Gantt Chart
II. Input Requirement
A. Computer Systems
Digital Circles is unfortunately not so digital when it comes to the handling of money. Therefore,
I recommend a proper recording of cash flows in and out, which is not a hobby of the owners.
Due to a sole proprietor ownership, the money received is considered a payment already and the
owners will already use them for their personal expenses without sometimes recording it.
Microsoft Excel is good enough to record small transactions, but a proper journalizing of entries
would be needed but since the owners doesn’t know how, an accountant would be a perfect
recommendation in all of this.
B. Input
The data to record is specific and only the important ones, transaction number, Client- name,
address, contact information, company name, company number, reason for transacting (services
rendered by the owners), cash inflows, cash outflows, journal entry to debit and credit,
explanation, discount percentages.
C. Other input
Other inputs to be record is date, TIN number, date recorded, date transacted, date payment, date
of declaration, type of money.
If there is taxation in the part of the owners, date of declaration, issued date, date of payment,
amount, percent, DTI number, TIN number, Audited by. Financial forms and statements is also
27-Sep 17-Oct 6-Nov 26-Nov 16-Dec 5-Jan
Implementation
Development
Systems Design
Systems Analysis
Preliminary Investigation

4. needed. So, if you have an accountant, everything will be much easier. Since this is only in the
accounting part, details about the services not including the payment is not needed.
III. Output requirements
In the accounting part of Digital Circles, as simple as receipts and financial statements and you
are good to go. Financial statements will determine the assets, liabilities and capital of the
owners. But Digital Circles are mainly about services, so clients may not need any kinds of this
forms, because they are not in the form of investing neither producing tangible products that the
client will be most concern about. They would only want the intellectual ideas and intangible
services from Digital Circles. But still, if owners will have to declare their taxes and SALN, they
would need, Statement of Financial Position, Statement of Cash Flows, and Statement of
Comprehensive Income.
IV. Systems Processes with CASE Tools.
A. Processes
Digital Circles rendered services to the client, and will record all possible information that is
available and useful data to record a financial statement. The information will be transferred to
the hired accountant and he/she will do the balancing of figures in the financial statement.
B. Flowchart

5. C. ER Diagram

6. V. System Controls and Backup
A. The Computer comes with a password and a special username to separate the files
only to accounting department so they will not see the files from the owners who
provide ideas to customers. Or if the accountant is not required to meet the owner
personally they just email the files.
B. Every file has a backup in a hard drive and the accountant is required to back up
files in other country web server.