$1.$ Managers strive for an accounting system that offers maximum benefits at a minimum cost, known as a good cost$/$benefit relationship.

$2$ points

A$)$ True

B$)$ False

$2.$ A combination of personnel, records, and procedures that a business uses to provide financial data is known as:

$2$ points

A$)$ Source documents

B$)$ An accounting information system

C$)$ Output

D$)$ Input

$3.$ A good accounting information system includes all of the following features except:

$2$ points

A$)$ A favourable cost$/$benefit relationship

B$)$ Control

C$)$ Inflexibility

D$)$ Compatability

$4.$ In a manual system, processing includes journalizing transactions, posting the accounts, and preparing the financial statements.

$2$ points

A$)$ True

B$)$ False

$5.$ In a computerized accounting system, the posting to the general accounts ledger is done automatically.

$2$ points

A$)$ True

B$)$ False

$6.$ Design of an accounting system begins with the:

$2$ points

A$)$ Previous year's financial statements

B$)$ Using a firewall

C$)$ Opening trial balance

D$)$ Chart of accounts

$7.$ A special journal is an accounting journal designed to record one specific type of transaction.

$2$ points

A$)$ True

B$)$ False

$8.$ A subsidiary ledger is a group of accounts that provides supporting details on individual balances, the total of which appears in a general ledger account.

$2$ points

A$)$ True

B$)$ False

$9.$ If special journals are used, the purchase of merchandise for cash would be recorded in the cash payments journal.

$2$ points

A$)$ True

B$)$ False

$10.$ The account that is credited for every transaction entered in the purchases journal is:

$2$ points

A$)$ Accounts receivable

B$)$ Cash

C$)$ Accounts payable

D$)$ Sales discounts