The Principles of Developing an Accounting Information System Do Not

question 128

Multiple Choice

The principles of developing an accounting information system do not include

• A) usefulness.
• B) flexibility.
• C) cost effectiveness.
• D) elimination of human involvement.

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Definitions:

Proxy Statement

A document containing the information the Securities and Exchange Commission requires companies to provide to shareholders so they can make informed decisions about matters that will be discussed at an annual shareholder meeting.

Corporate Performance

An evaluation of a company’s ability to achieve its business goals and objectives, often measured through financial metrics, operational efficiency, and market position.

Stock Options

Financial derivatives that give the holder the right, but not the obligation, to buy or sell a stock at a set price within a specified period.

Tax Treatment

The specific way tax laws are applied to an individual's, company's, or transaction's income, assets, or activities.