Identify the accounting information system principle below that applies to each of these situations:
A. Flexibility
B. Compatibility
C. Control
D. Cost-benefit
E. Relevance
1. Global Company has designed its accounting information system so that key managers can obtain the information they need to make decisions relating to new products, sales, and controlling costs
2. Global Company's accounting information system has policies to ensure that financial statements are reliable, assets are protected, and relevant laws and regulations are complied with.
3. Global Company's accounting information system can be improved markedly for a cost of about . However, the incremental benefits from such improvements are not expected to outweigh this cost.
4. Global Company has worldwide operations that must handle several thousand different products, so the accounting information system is fairly complex, encompassing marketing and manufacturing.
5. Global Company has designed its accounting information system to be adaptable to changes in technology, the business environment, and the needs of decision makers
Correct Answer:
Verified
View Answer
Unlock this answer now
Get Access to more Verified Answers free of charge
Q115: Match the following terms with the
Q117: Match the following accounting system components
Q118: A company uses a cash receipts
Q122: Explain the purposes, types, and uses of
Q122: A company uses four special journals:
Q123: The Sun Company completed the following
Q124: What are controlling accounts and subsidiary ledgers?
Q124: Williams Company began business on May
Q125: The following information is available for
Q153: The _ principle requires that an accounting
Unlock this Answer For Free Now!
View this answer and more for free by performing one of the following actions
Scan the QR code to install the App and get 2 free unlocks
Unlock quizzes for free by uploading documents