Which of the Following Statements Is NOT True About Information

question 21

Multiple Choice

Which of the following statements is NOT True about information technology's impacts on business firms?

• A) It helps firms expand in size.
• B) It helps firms lower the cost of market participation.
• C) It helps reduce internal management costs.
• D) It helps reduce transaction costs.

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Definitions:

Journal Entry

The record of a financial transaction in an accounting system whereby debits and credits are made to various accounts to maintain balance.

Petty Cash

A small amount of cash kept on hand for making immediate payments for small expenses.

Cash Over and Short

An account that records discrepancies between physical cash and recorded amounts due to errors or theft.

Journal Entry

A record of a financial transaction that includes the date of the transaction, the affected accounts, the amounts, and a brief description.