Q.Mention any three advantages and two disadvantages of Computerised Accounting.

Computerised accounting offers speed, accuracy and easy report generation (plus reliability and storage), but it also brings high initial cost, risk of data loss/fraud and staff-training needs.

This TS Intermediate 2nd-year Accountancy topic from the Computerised Accounting System chapter asks for the merits and demerits of using accounting software instead of manual books.

Advantages (any three):

1. Speed — large volumes of transactions are processed and totalled instantly.
2. Accuracy — once data is entered correctly, calculations (totals, balances, taxes) are error-free and consistent.
3. Automatic report generation — trial balance, ledgers and final accounts are produced at the click of a button.
4. Reliability and storage — huge data can be stored compactly and retrieved quickly, with up-to-date records at any time.

Disadvantages (any two):

1. High cost — buying software, hardware and periodic upgrades is expensive, especially for small firms. …