Which Is Probably the Most Immediate and Significant Effect of Database

question 105

Multiple Choice

Which is probably the most immediate and significant effect of database technology on accounting?

• A)Replacement of the double entry-system.
• B)Change in the nature of financial reporting.
• C)Elimination of traditional records such as journals and ledgers.
• D)Quicker access to and greater use of accounting information in decision-making.

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Definitions:

Capital Cost Allowance

A taxable expense in Canada that allows a business to deduct the cost of a capital asset over time.

Half-Year Rule

A tax rule in some jurisdictions that allows only half the usual depreciation expense deduction in the year that a capital asset is acquired.

Straight-Line

A method of calculating depreciation of an asset which assumes the asset depreciates equally over its useful life.

Tax Basis

The value of an asset for tax purposes, used to calculate capital gains or losses upon disposition of the asset.