Class 11 Accountancy - Chapter Computerised Accounting System NCERT Solutions | ‘Accounting software is an integra
‘Accounting software is an integral part of the computerised accounting system’ Explain. Briefly list the generic considerations before sourcing an accounting software.
The following factors are usually taken in considerations before sourcing accounting software.
(i) Flexibility: Flexibility is the first and most important thing while selecting the accounting software. The flexibility must be there in data entry and the availability and design of various reports expected from it.
(ii) Cost of Installation and Maintenance: The choice of the software obviously requires consideration of organisation ability to afford the hardware and software. A simple guideline to take such a decision is the cost benefit analysis of the available options and the financing opportunities available to the firm.
(iii) Size of Organisation: The size of organisation and the volume of business transactions do affect the software choices. Small organisations, e.g., in non-profit organisations, where the number of accounting transactions is not so large, may opt for a simple, single user operated software. While, a large organisation may require sophisticated software to meet the multi-user requirements, geographically scattered and connected through complex networks.
(iv) Ease of Adaptation and Training Needs: Some accounting software is user friendly requiring a simple training to the users. However, some other complex software packages linked to other information systems require intensive training on a continuous basis. The software must be capable of attracting users and if it requires simple training, should be able to motivate its potential users.
(v) Utilities/MIS Reports: The MIS reports and the degree to which they are used in the organisation also determine the acquisition of software. e.g., software that requires simply producing the final accounts for cash flow/ratio analysis may be ready-to-use software. However, the software, which is expected to produce cost records, needs to be customized as per user requirements.
More Questions From Class 11 Accountancy - Chapter Computerised Accounting System
- Q:-
Describe the various types of accounting software along with their advantages and limitations.
- Q:-
State the four basic requirements of a database applications.
- Q:-
‘Computerised Accounting Systems are best form of accounting system’. Do you agree? Comment.
- Q:-
Name the various categories of accounting package.
- Q:-
Define a computerised accounting system. Distinguish between a manual and computerised accounting system.
- Q:-
Database is implemented using ........
- Q:-
A sequence of actions taken to transform the data into decision useful information is called.......
- Q:-
The framework of storage and processing of data is called as ........
- Q:-
Give examples of two types of operating systems.
- Q:-
Give two examples each of the organisations where ‘ready-to-use’, ‘customised’, and ‘tailored’ accounting packages respectively suitable to perform the accounting activity.
Popular Questions of Class 11 Accountancy
- Q:-
Name any two types of commonly used negotiable instruments.
- Q:-
Why is it necessary to record the adjusting entries in the preparation of final accounts?
- Q:-
State the meaning of incomplete records?
- Q:-
What is ‘Depreciation’?
- Q:-
Briefly state how the cash book is both journal and a ledger.
- Q:-
State the meaning of a trial balance?
- Q:-
Define accounting.
- Q:-
State the different elements of a computer system.
- Q:-
Why is it necessary for accountants to assume that business entity will remain a going concern?
- Q:-
State the need for the preparation of bank reconciliation statement?
Recently Viewed Questions of Class 11 Accountancy
- Q:-
Why is it necessary for accountants to assume that business entity will remain a going concern?
- Q:-
Why is it important to adopt a consistent basis for the preparation of financial statements? Explain.
- Q:-
Complete the following sentences with appropriate words:
(a) Information in financial reports is based on .....................
(b) Internal users are the ..................... of the business entity.
(c) A ..................... would most likely use an entities financial report to determine whether or not the business entity is eligible for a loan.
(d) The Internet has assisted in decreasing the ..................... in issuing financial reports to users.
(e) ..................... users are groups outside the business entity, who uses the information to make decisions about the business entity.
(f) Information is said to be relevent if it is ......................
(g) The process of accounting starts with ............ and ends with ............
(h) Accounting measures the business transactions in terms of ............ units.
(i) Identified and measured economic events should be recording in ............ order. - Q:-
Recording of transaction in the Journal is called:
(i) Casting
(ii) Posting
(iii) Journalising
(iv) Recording - Q:-
A purchase of machine for cash should be debited to:
(i) Cash account
(ii) Machine account
(iii) Purchase account
(iv) None of these - Q:-
What are ‘provisions’? How are they created? Give accounting treatment in case of provision for doubtful Debts.
- Q:-
What are the possible reasons for keeping incomplete records?
- Q:-
Use of common unit of measurement and common format of reporting promotes;
a. Comparability
b. Understandability
c. Relevance
d. Reliability - Q:-
The journal entry to record the sale of services on credit should include:
(a) Debit to debtors and credit to capital.
(b) Debit to cash and Credit to debtors.
(c) Debit to fees income and Credit to debtors.
(d) Debit to debtors and Credit to fees income. - Q:-
The journal entry to record payment of monthly bill will include:
(a) Debit monthly bill and Credit capital.
(b) Debit capital and Credit cash.
(c) Debit monthly bill and Credit cash.
(d) Debit monthly bill and Credit creditors.
- All Chapters Of Class 11 Accountancy
- All Subjects Of Class 11