Computerized accounting system: The computerized accounting system is the system that is used by the business to recording the financial transaction in electronic form. Computerized accounting systems are widely used by large companies, in the present era, this system is used by even smallest companies. Computerized accounting systems have the following three main advantages over the manual system. This system helps to simplify the record-keeping process, Generally, computerized systems are more accurate than the manual system, and It supports the management in the decision-making process. To explain: If computerized accounting system use controlling accounts to verify the accuracy of the subsidiary accounts.

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Covered member’s independence is impaired with respect to an attest client. What is a covered member for a CPA? What are the sources of liability for an auditor who violates the rules of professional conduct in an audit engagement?

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Chapter 5, Problem 8DQ

To determine

Computerized accounting system:

The computerized accounting system is the system that is used by the business to recording the financial transaction in electronic form. Computerized accounting systems are widely used by large companies, in the present era, this system is used by even smallest companies. Computerized accounting systems have the following three main advantages over the manual system.

This system helps to simplify the record-keeping process,

Generally, computerized systems are more accurate than the manual system, and

It supports the management in the decision-making process.

To explain: If computerized accounting system use controlling accounts to verify the accuracy of the subsidiary accounts.

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