Johnson Products is a small manufacturing firm specializing in custom-order tool and die work.A computerized accounting system would help Johnson Products by:
A)Making key accounting and financial decisions.
B)Helping management identify cash flow and other financial difficulties more quickly.
C)Eliminating the need to prepare financial statements and other reports.
D)Eliminating the need to perform the three middle steps of the accounting cycle.

Question

Quizplus · Accepted Answer

A computerized accounting system would allow Johnson Products to quickly access financial information and identify potential cash flow issues or other financial difficulties. It would not eliminate the need to prepare financial statements and reports, nor would it eliminate any steps in the accounting cycle. While it may assist in making key accounting and financial decisions, that is not the primary benefit for a small manufacturing firm specializing in tool and die work.

Johnson Products Is a Small Manufacturing Firm Specializing in Custom-Order