In Comparing the Operation of a Manual Accounting System with a Computerised

question 55

Multiple Choice

In comparing the operation of a manual accounting system with a computerised system which of the following is incorrect?
Step in the Accounting Manual System Computerised
Cycle

• A)Journalise transactions Manual Automatic
• B)Post to ledger accounts Manual Automatic
• C)Prepare trial balance Manual Automatic
• D)Prepare closing entries Manual Automatic

---

Definitions:

Accounting Equation

The foundational equation in accounting, representing the relationship between assets, liabilities, and owner's equity: Assets = Liabilities + Owner's Equity.

Insurance Policy

A contract between an insurer and a policyholder specifying the terms for payout in the event of loss or damage.

Supplies On Account

Goods or items purchased on credit, where payment is deferred to a future date, typically recorded as a liability until paid.

Debit And Credit

Debit and credit are fundamental categories used in accounting to record and maintain financial transactions, where debit refers to the left side of an account and credit refers to the right side.