FINANCIAL+MANAGERIAL ACCOUNTING
FINANCIAL+MANAGERIAL ACCOUNTING
17th Edition
ISBN: 9781323409169
Author: Miller
Publisher: PEARSON
Question
Chapter C, Problem 1QC
To determine

Accounting Information System (AIS): It is a computer-based system used by decision makers to collect, organize, and report large amounts of accounting information in order to fulfill the current requirements of present business scenario.

To find: The benefits of effective accounting information system

Expert Solution & Answer
Check Mark

Answer to Problem 1QC

Compatibility

Explanation of Solution

Explanation for incorrect answer:

  • Option a is incorrect as flexibility is about where organization manages with unexpected changes in the business activities along the passage of time.
  • Option b is incorrect as accounting information system provides relevant information towards effective decision making. This help to reduce the future uncertainties.
  • Option d is incorrect as compatibility develops harmony between the employees and organizational structure.

Explanation for correct answer:

  • Option a is correct as the control system helps the accounting process towards preventing accounting data from frauds and errors.
Conclusion
Hence, the correct answer is option c.

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Chapter C Solutions

FINANCIAL+MANAGERIAL ACCOUNTING

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