[amp_mcq option1=”Double Entry System” option2=”Accrual Based System” option3=”Single Entry System” option4=”Cash System” correct=”option3″]<\/p>\n
The correct answer is: C. Single Entry System<\/strong><\/p>\n A single-entry system is an accounting system that records only the financial transactions that affect the cash account. This means that it does not take into consideration outstanding expenses and accrued incomes for computation of profit.<\/p>\n A double-entry system is an accounting system that records all financial transactions in two accounts. This means that for every debit entry, there must be a corresponding credit entry. This system is more accurate than a single-entry system because it provides a more complete picture of a company’s financial position.<\/p>\n An accrual-based system is an accounting system that records revenue when it is earned and expenses when they are incurred, regardless of when cash is received or paid. This system is more accurate than a cash-based system because it provides a more complete picture of a company’s financial performance.<\/p>\n A cash-based system is an accounting system that records revenue when cash is received and expenses when cash is paid. This system is less accurate than an accrual-based system because it does not take into account revenue that has been earned but not yet received or expenses that have been incurred but not yet paid.<\/p>\n","protected":false},"excerpt":{"rendered":" [amp_mcq option1=”Double Entry System” option2=”Accrual Based System” option3=”Single Entry System” option4=”Cash System” correct=”option3″]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[85],"tags":[],"class_list":["post-48214","post","type-post","status-publish","format-standard","hentry","category-accounting","no-featured-image-padding"],"yoast_head":"\n