As a processing tool in an accounting information system, ERP software is capable of generating outputs in the form of general-purpose financial statements. Which of the following statements is most true?

Question

Quizplus · Accepted Answer

All four common ERP system modules (financial management, procurement, production planning, and sales and distribution) provide information that is used to generate general-purpose financial statements. Therefore, option B is the most true statement. Option A is incorrect because the financial management module alone does not contain all the information needed for financial statements. Option C is also incorrect as there is no need to create a fifth module specifically for financial statement creation as the information needed for financial statements is already present in the four common ERP system modules.

As a Processing Tool in an Accounting Information System, ERP