Accountancy Part COverview of Computerised Accounting System

Arrange the sequence of data processing in computerised accounting.A.…

Arrange the sequence of data processing in computerised accounting.

A. Output Generation
B. Data Input
C. Processing of Data
D. Storage of Data

Choose the correct answer from the options given below:

Answer & explanation

Correct answer: option 2

The correct answer is Option (2) → B, C, D, A

A computerised accounting system turns accounting data into reports in a fixed cycle. Each step needs the result of the one before it.

B. Data Input — the transaction data (account, code, date, amount) is first entered into the system; nothing can be processed before it is there.
C. Processing of Data — the software then processes the entries: posting, totalling and classifying them.
D. Storage of Data — the processed data is saved in the system’s files or database so that it can be used again.
A. Output Generation — finally, reports such as the journal, ledger, trial balance and financial statements are generated from the saved data.

NCERT (2026-27 edition):
Computerised Accounting System – “Computerised Accounting System refers to the processing of accounting transaction through the use of hardware and software in order to produce accounting records and reports.”

NCERT (2026-27 edition):
Basic flow of Accounting Transaction

Extract from the NCERT textbook

NCERT (2026-27 edition):
Summary – “• In Computerised Accounting System, accounting transactions are processed using computer system. A computer system includes hardware and software. Hardware includes Central Processing Unit (CPU), Random Access Memory (RAM), Monitor (Screen), Keyboard, Mouse, Hard Disk and CD/DVD for mass storage of data and Printer, etc.”