Asked by Egypt Falaah on Jul 13, 2024
Verified
Accounting systems should record
A) all economic events.
B) events that result in a change in assets, liabilities, or shareholders' equity items.
C) only events that involve cash.
D) only events that include revenues, expenses, and cash.
Accounting Systems
A structured process of collecting, recording, summarizing, and reporting financial transactions for a business or organization.
- Obtain an understanding of double-entry bookkeeping and its pivotal effect on the presentation of financial statements.
Verified Answer
PL
Pantelia LamnatosJul 18, 2024
Final Answer :
B
Explanation :
Accounting systems are designed to record events that result in a change in assets, liabilities, or shareholders' equity items. This includes a wide range of transactions beyond just those involving cash or strictly revenues, expenses, and cash.
Learning Objectives
- Obtain an understanding of double-entry bookkeeping and its pivotal effect on the presentation of financial statements.