What is one major limitation of CAS related to technology?

Faster obsolescence of technology requires frequent investment

The correct answer is option 3- Faster obsolescence of technology requires frequent investment.

Following are the advantages of Computerised Accounting System (CAS):

• 1. Timely generation of reports and information in desired format.
• 2. Efficient record keeping.
• 3. Ensures effective control over the system.
• 4. Economy in the processing of accounting data.
• 5. Confidentiality of data is maintained. 

Following are the limitation of CAS software: 

• 1. Faster obsolescence of technology necessitates investment in shorter period of time.
• 2. Data may be lost or corrupted due to power interruptions.
• 3. Data are prone to hacking.
• 4. Un-programmed and unspecified reports cannot be generated.