Using Accounting Software Flashcards
6 cards from real AAT L2 practice questions. Tap to flip, then mark Knew It or Still Learning — missed cards come back until you master them.
Read the first 6 Using Accounting Software flashcards as text
A journal entry in accounting software is typically used for:
Answer: Non-routine transactions such as year-end adjustments, error corrections, and transfers
Journals are used for non-routine transactions that cannot be processed through the standard modules (sales, purchases, bank). Examples include year-end accruals and prepayments, depreciation entries, error corrections, and transfers between accounts.
When processing a petty cash payment in accounting software, the entry is made through:
Answer: The bank payments module using the petty cash bank account
Petty cash is treated as a separate bank account in accounting software. Payments from petty cash are processed through the bank payments function, selecting the petty cash account as the bank account and the appropriate expense nominal code.
A customer account in accounting software stores:
Answer: The customer's details, outstanding invoices, credit notes, and payment history
A customer account in accounting software maintains a complete record including contact details, credit terms, all invoices raised, credit notes issued, payments received, and the current outstanding balance. This forms the individual account in the sales ledger.
To restore a backup of accounting data, you would typically:
Answer: Use the software's restore function to load a previously saved backup file
Accounting software includes backup and restore functions. A backup file contains all the accounting data at the point it was saved. The restore function loads this data back into the software, returning it to the state at the time of the backup.
Batch processing in accounting software means:
Answer: Entering a group of similar transactions together before posting them all at once
Batch processing allows multiple similar transactions (e.g., several sales invoices or supplier payments) to be entered together and then posted to the ledgers as a group. This is efficient and allows checking before posting.
When setting up a new supplier in accounting software, which of the following details is essential?
Answer: The supplier's name, address, and default nominal code for purchases
Essential supplier setup information includes the business name, address, contact details, payment terms, default nominal code (to categorise purchases), and VAT registration status. This ensures transactions are recorded correctly and the supplier can be paid.