What is the double-entry system, and how does it work?

Q: Why transactions is complex?

A: The transaction is referred to the complete agreement, which is between the purchaser as well as the…

Q: What is physical location exchanges?

A: Exchanges:  An open and coordinated marketplace for various financial instruments like stocks,…

Q: How do automated authorization procedures differ from manual authorization procedures?

A:

Q: What's the related cost of implementing database system?

A: This question explains about  the related cost of implementing database system.

Q: What are the key limitations of an internal control system?

A: Internal Control: A mechanism to maintain the goals of an entity in terms of organizational…

Q: Explain how an IT environment affects the segregation of functions.

A: Segregation of Duties (SoD) is a set of controls and policies intended to ensure accuracy and keep…

Q: Explain the call-put parity relation and how it is justified?

A: call-put parity relation 1. It shows the prices of calls and puts , consistency of underlying…

Q: What are the differences between a centralized and decentralized network?

A: Social Network- The term "social network" refers to internet-based networking with friends, family,…

Q: What are the advantages of the direct write-off method? And Explain Please.

A: Direct write-off method is an effective way for a company’s business to recognize bad debt. Bad debt…

Q: What islockbox system?

A: Banks provide various services to the organizations such as lock box facility, overdraft facility,…

Q: What are the objectives of application controls?

A: An application control consists of compactness and validity checks, identification, authentication,…

Q: What are the disadvantages of a Double Entry System?

A: Double entry system is a method of keeping records of transaction in the books of accounts, where…

Q: What are the three general problems associated with data redundancy?

A:

Q: What does the elimination process accomplish?

A: Intercompany elimination:   Intercompany elimination refers to the process in which the transactions…

Q: What is Mark-up chain?

A: Introduction: Markup is generally shown as a percentage of the cost or the sale price. The term…

Q: Define Double-entry system.

A: Double entry system: Double entry system is a way of accounting or bookkeeping which implies that…

Q: What are the categories of processing controls?

A: Internal Control:   It is a process of assuring the effectiveness and efficiency of the objectives…

Q: What is meant by (a) vouching, (b) tracing, and (c) scanning? What is the difference betweenvouching…

A: Vouching: Vouching is a method by which an auditor traces the transactions to its origin. The…

Q: What is the EBIT?

A: The income generated by a business in the course of normal operations, after deducting the direct…

Q: What is collusion?

A: Auditing: Auditing refers to the process of verifying the correctness and fair presentation of…

Q: What are the benefits and drawbacks of turnkey systems?

A: Here is the Answer

Q: What are the different stages of the Double Entry System?

A: The accounting is a process to identify the business transactions, classify the business…

Q: What is a CMO?

A: A collateralize mortgage obligation (CMO) refers to a type of mortgage-backed security that contains…

Q: what is a validity check?

A:

Q: What are the types of external user?

A: Entity needs to prepare a financial statement for the use of internal and external decisions making.…

Q: what is Reference control ?

A: I assumed as a question, as what is meant by the reference  to cost control?

Q: What is skimming?

A: Skimming: It is the fraudulent process under which the employees of the company steal the cash from…

Q: What is internal control?

A: Internal controls are policies incorporated by the Management to safeguard the assets of the…

Q: What are internal controls?

A: Internal Control: Internal control refers to the plan of a company. Implementation of an effective…

Q: What are the major inputs to the MRP system?

A: The preparation of material requirements planning (MRP) is a method for measuring the materials and…

Q: What is the internal control principle?

A: Internal control means to control and check everything related to management. It ensures that the…

Q: What is the NAV?

A: NAV full form is net asset value The detailed explanation is explained in step 2

Q: what is the procedure used?

A: Journal entry is a basic accounting entry and is the first step in double entry system of…

Q: What are some limitations of using the direct write-off method?

A: In order to increase sales generally business enterprises sales the goods on a credit basis. When…

Q: What information is required in a proxy statement?

A: A proxy statement is a document containing the information the Securities and Exchange Commission…

Q: Explain the double entry mechanism with an illustrative example.

A: The transactions are recorded in the books of accounts initially in the form of journal entries…

Q: What are some limitations of internal controls?

A: