All of the Following Are Characteristics of Every Accounting Information

question 67

Multiple Choice

All of the following are characteristics of every accounting information system except it is a system

• A)that collects transaction data.
• B)that processes transaction data.
• C)that communicates financial information to decision makers.
• D)of data storage hardware for the chart of accounts.

---

Definitions:

Total Amount

The complete sum or aggregate of quantities, such as the final amount due for payment or the sum total of assets.

Simple Interest

Interest calculated only on the initial amount of money deposited or loaned, not on any interest accrued over time.

Ordinary Interest

Interest calculated based on a 360-day year, often used in banking for loans and savings.

Exact Interest

Interest calculated based on the actual number of days in a year or a specific time period, often used in financial transactions.