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Dear sir,
1. What’s the difference between inputs of payroll system and outputs of payroll system?
2. What is meant by financial management?
3. What is meant by integrated software?
Inputs = information put in, such as hours worked. Outputs = information coming out, such as pay slips.
FM is to do with raising capital (shares and loans), deciding what capital projects to spend it on (buying machinery, building factories etc) and deciding on a dividend policy.
Integrated software: all relevant records are updated from one input of a transaction. So, for a sales transaction, receivables, sales, inventory are all updated together. Most software is now like this, but historically the updating might have needed three computer runs – one for receivables, one for sales accounting, one for inventory.
Joseph has just started his first job in an accountancy department. A qualified senior member of staff
explains to him what the main aim of accounting is. Which of the following options is the correct aim of
accounting?
A To maintain ledger accounts for every asset and liability
B To provide financial information to users of such information
C To produce a trial balance
D To record every financial transaction individually-The answer is B
-Could you please clarify why option B is the answer and not D?Thanks.
I hate this type of question.
I think it hinges on the main AIM of accountancy. Although we might record every asset and liability etc, that is not an aim in itself. Why bother? This is not an aim in itself. The answer is to provide financial information to users of such information.
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