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In General, Subsidiary Ledgers Are Not Needed in Perpetual Systems

question 48

True/False

In general, subsidiary ledgers are not needed in perpetual systems because the accounting system captures sufficient details to support analyses that decision makers need.


Definitions:

Income Tax

A tax levied by governments on the income generated by businesses and individuals within their jurisdiction.

Household Spending

The total expenditure by households in an economy on consumption-related items over a certain period.

Means-Testing

The procedure to determine eligibility for government assistance or services based on the applicant's financial means or income level.

Inheritance Taxes

Taxes imposed on the value of an estate or property transferred from a deceased person to their heirs.

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