A computerized accounting system will not allow anyone to enter data that puts the accounting equation out of balance.This control is primarily designed to prevent ________.

Question

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A computerized accounting system is designed to prevent errors in recording and updating financial accounting information by ensuring that the accounting equation remains in balance. The accounting equation states that assets must equal liabilities plus equity. If the equation is out of balance, it means that there is an error in the data entered into the system. By preventing this situation from occurring, the system ensures the accuracy and reliability of the financial information.

A Computerized Accounting System Will Not Allow Anyone to Enter