Purposes of an accounting system include all of the following except:
A) Interpret and record the effects of business transactions.
B) Classify the effects of transactions to facilitate the preparation of reports.
C) Summarize and communicate information to decision makers.
D) Dictate the specific types of business transactions that the enterprise may engage in.

Question

Quizplus · Accepted Answer

An accounting system is designed to record and report the financial transactions of a business. It is not designed to dictate the specific types of business transactions that the enterprise may engage in.

Purposes of an Accounting System Include All of the Following