Question

how are transactions recorded in a computerized accounting information system?

Answer 1

Ans:

Computerised accounting System: A computerised accounting system is an accounting information system that processes the financials transactions and events to produce reports as per user requirement.

it is based on the concept of database and has two basic requirements

A) Accounting Framework: it consist of set of principles coding and grouping structure of accounting.

B) Operating Procesure: It is well defined operating procedure blended suitably with the operating environment of the organisation.

The use of computers in any database oriented application has four basic requirement as mentioned below:

Front end Interface: it is an interactive link or a dialog between the user and database -oriented software through which the user communicates to the back end database.

Back-end Database : It is the data storage system that is hidden from the user and responds to the requirement of the user to the extent the user is authorised to access.

• Data Processing : It is a sequence of actions that are taken to transform the data into decision useful information.

• Reporting System: It is an integrated set of objects that constitute the report. The computerised accounting is also one of the database-oriented applications wherein the transaction data is stored in well-organised database.