Question

Match each description with the system principle it best reflects.

a. The principle prescribes the accounting information system to help monitor activities.
b. The principle prescribes the accounting information system to adapt to the unique characteristics of the company.
c. The principle prescribes the accounting information system to change in response to technological advances and competitive pressures.
d. The principle that affects all other accounting information system principles.
e. The principle prescribes the accounting information system to provide timely information for effective decision making.

These are the options.

1. Compatibility principle
2. Control principle
3. Cost-benefit principle
4. Flexibility principle
5. Relevance principle

Answer 1

Answer:

a. The principle prescribes the accounting information system to help monitor activities.    2. Control principle

b. The principle prescribes the accounting information system to adapt to the unique characteristics of the company.     1. Compatibility principle

c. The principle prescribes the accounting information system to change in response to technological advances and competitive pressures.   4. Flexibility principle

d. The principle that affects all other accounting information system principles.   3. Cost-benefit principle

e. The principle prescribes the accounting information system to provide timely information for effective decision making  5. Relevance principle

Explanation:

• The control principle prescribes the orders and commands in an accounting system that has internal control and the manager needs to control and monitor the business activities.

• The relevance principle prescribes the accounting information system is accountable use full informative and friendly and the system must capture data and make a difference in the decision.

• The comparable profile states the accounting information system contrasts with the company's activities and structure and must follow the unique characteristics of the company.

• The flexible principle states that the system should be able to adapt to changes in the company base and needs operation and management.

• While the cost-benefit principle states the relationship between the costs and benefits to the organization users and that financial information is not free.