Which of the following defines a transaction file?
A) The equivalent of a subsidiary ledger in a manual system
B) A file that has one record for each inventory item
C) The equivalent of a journal in a manual system
D) The equivalent of a reference file in a manual system

Question

Quizplus · Accepted Answer

A transaction file is the equivalent of a journal in a manual system. It contains records of all individual transactions that have occurred within a specified period, typically used for generating financial statements and reports. It is different from a reference file (D), which contains information that is used for reference but not for recording transactions, and from a master file (B), which contains detailed information on individual inventory items or customers.

Which of the Following Defines a Transaction File