Which of the Following Statements Is False

question 63

Multiple Choice

Which of the following statements is false?

• A) Most computerized accounting systems use principles from manual systems.
• B) Subsidiary ledgers and special journals are only useful when a business doesn't have a large number of similar transactions.
• C) Even small companies use computerized accounting systems.
• D) Large companies often integrate their accounting system with their automated business systems.

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Definitions:

Direct Materials

Raw materials directly used in the manufacturing process of a product, easily traceable and integral to the finished good.

Direct Labor

The wages and other costs for labor that is directly involved in the manufacturing or production of goods or services.

Operating Income

A measure of a company's profit excluding one-off items and costs not directly related to its core operations, such as interest and taxes.

Net Cash Inflows

The total amount of cash received minus cash outflows over a specific period, indicative of financial health.