Chapter 2 part 1

Question 1

Coding

Answer 1

The systematic assignment of numbers or letters to items to classify and organize them, such as sequence codes, block code, group codes and mnemonic code

Question 2

Control account

Answer 2

The general ledger account corresponding to a subsidiary ledger

Question 3

Subsidiary ledger

Answer 3

contains detailed data for any general ledger account with many individual subaccounts

Question 4

general ledger

Answer 4

Contains summary-level data for every asset, liability, equity, revenue an expense account

Question 5

Source data automation

Answer 5

Devices capture transaction data in machine-readable form at the time and place of their origin

Question 6

Turnaround documents

Answer 6

Company output sent to an external party, who often adds data to the document, and then are returned to the company as an input document

Question 7

Data processing cycle

Answer 7

The operations performed on data to generate meaningful and relevant information are referred to collectively

Question 8

Sequence codes

Answer 8

Items are numbered consecutively to account for all items

Question 9

Block code

Answer 9

Blocks of numbers are reserved for specific categories of data

Question 10

Group codes

Answer 10

Which are two or more subgroups of digits used to code items, are often used in conjunction with block codes

Question 11

mnemonic codes

Answer 11

Letters and numbers are interpreted to identify an item

Question 12

What are the guidelines that result in a better coding system?

Answer 12

Be consistent with its intended use, allow for growth, be as simple as possible to minimize costs, and be consistent with the company’s organizational structure and across rh company’s divisions

Question 13

Chart of accounts

Answer 13

A list of the numbers assigned to each general ledger account