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FAQs on Computers in Accounting - 1 Notes - Class 11

1. What is the role of computers in accounting?

Ans. Computers play a crucial role in accounting by automating processes such as bookkeeping, financial statement generation, and data analysis. They improve efficiency, accuracy, and speed in accounting tasks, reducing human error and enabling real-time financial reporting.

2. How can computers help in financial analysis and decision-making in accounting?

Ans. Computers aid in financial analysis and decision-making in accounting by providing tools for data analysis, forecasting, and modeling. They can generate reports and perform complex calculations to support financial analysis, allowing accountants to make informed decisions based on accurate and up-to-date information.

3. What are the advantages of using computers in accounting?

Ans. Using computers in accounting offers several advantages, including increased efficiency and accuracy, reduced manual work, improved data security, faster data processing, and enhanced financial reporting capabilities. It also allows for better data organization, easier access to information, and enables the integration of different accounting systems.

4. Are there any risks or challenges associated with using computers in accounting?

Ans. While computers bring numerous benefits to accounting, there are some risks and challenges to consider. These include the potential for data breaches and cyber-attacks, system malfunctions or failures, reliance on technology, and the need for continuous training and updates to keep up with evolving software and security measures.

5. How does the use of computers in accounting impact job roles and skills required?

Ans. The use of computers in accounting has transformed job roles and skills required. It has reduced the need for manual data entry and increased the demand for individuals with expertise in accounting software, data analysis, and information systems. Accountants now need to possess not only traditional accounting knowledge but also technical skills related to computer systems and software applications.

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