Account 3 Marks Question

Software: It is a general term for the various kind of programs used to operate computer and related devices. Software is a set of instructions on the basis of which a computer operates. Unlike computer hardware, computer software cannot be seen or touched. The hypothetical or imaginary part of the computer which is used with hardware to perform computer applications is known as Software.

Lakh of Decision-making: Computers are only helpful in taking the decision while they can not take decisions on their own. Decision-making is a complex process which requires a lot of understanding, information, intelligence and ability to decide. Computers need to be programmed beforehand in order to become able to take decisions.

The following are three main components of a Transaction Processing System (TPS):

1. Input: A computerised accounting system accepts the complete transaction data as input through the process of data collection, data editing, data validation and data manipulation.
2. Storage: The system stores the inputted data in computer storage media such as hard disk.
3. Output: The stored data, through the process of report generation and query support can be retrieved and processed as and when required for generating an accounting report as output.

The term Tailor-made Software refers to designing and developing user-specific software. These softwares, being user-specific, are not available off-the-shelf but are developed to meet the requirement of the user on the basis of discussion between the user and developers.

Yes, We agree with this statement that 'Computerised Accounting Systems are best form of accounting system'. It becomes very easier to work with Computerised Accounting Systems leading to reduction in the accounting errors. Moreover, the computerised accounting reports are highly reliable, thereby enhances the overall efficiency.

Software: It is a general term for the various kind of programs used to operate computer and related devices. Software is a set of instructions on the basis of which a computer operates. Unlike computer hardware, computer software cannot be seen or touched. The hypothetical or imaginary part of the computer which is used with hardware to perform computer applications is known as Software.

AIS sub-systems: There are four main sub-systems of an AIS namely:

1. Input.
2. Process.
3. Output.
4. Control.

Diagramatically the four sub-systems of AIS can be represented as follows:

Binary (or base-2) a numeric system that only uses two digits- 0 and 1. Computers operate in binary, meaning they store data and perform calculations using only zeros and ones .... In fact, any integer can be represented in binary. Below is a list of several decimal (or "base-10") numbers represented in binary.

Keyboard: It is an input device that is used for input of text or numbers into the computer in the CUI (Character User Interface). Keys placed on the Keyboard are in a special sequence, according to the make up and strength of the human hand. The standard arrangement of alphabetic keys is known as Qwerty Keyboard, its name derived from the arrangement of five keys at the upper left of the three rows of the alphabetic keys.

Utility Software is a set of computer programs used to perform supporting operations in a computer. Utility Software usually focuses on how the computer infrastructure (including the computer hardware, operating system, application software and data storage) operates. Due to this focus, utilities are often technical and targeted at people with an advanced level of computer knowledge.

A Computer contains much more than a Calculator. A Calculator can work only with numbers whereas a Computer can work with both numbers and words. Another difference is that a Calculator is not capable of storing the data, whereas a Computer can store large volume of data in its memory and reproduce any part of it, as and when needed.

Accounting Information System (AIS) is a subsystem of Management Information System (MIS). It is a structure that allows its users to collect and store business or financial data and transform it into information and communicate to its internal and external users. The data so collected, stored and converted into information must be accurate and relevant to its users. Users of the Accounting Information System are management, consultants, CEO, regulatory and tax authorities, employees, etc.