Computerised Accounting — Flashcards

Answer

A computer is an electronic device that accepts data, processes it according to a set of instructions (program), and produces information as output. In accounting, it is used to record, classify, and …

Answer

Computers can process data millions of times faster than humans. For example, a modern computer can perform 100 million calculations per second, which helps in quickly preparing financial statements f…

Answer

Computers can store vast amounts of accounting data—like invoices, ledgers, and financial statements—in a small space. This digital storage allows easy retrieval and reduces the need for physical file…

Answer

Accuracy means the computer performs every calculation with the same high precision. Errors in computerised accounting usually come from incorrect data input or wrong programs, not from the computer i…

Answer

Diligence means a computer does not get tired or lose concentration. It can perform millions of calculations with the same speed and accuracy from start to finish, unlike humans who may make errors wh…

Answer

Versatility means one computer can handle many tasks—like payroll, inventory, tax calculation, and financial reporting—making it efficient and cost-effective for businesses.

Answer

The three main components are: Input Unit (e.g., keyboard, mouse), Central Processing Unit (CPU), and Output Unit (e.g., monitor, printer). These work together to process accounting data.

Answer

The Input Unit allows users to enter accounting data into the computer using devices like keyboards, scanners, or barcode readers. For example, entering a sales invoice into the system.