Matching Questions 126. Identify the accounting information system principle indicated in letters a–e that applies to each of the situations below by entering the appropriate letter next to the...

_____ 1.

International Company has designed its accounting information system to be adaptable to changes in technology, the business environment, and the needs of decision makers.

_____ 2.

International Company has world-wide operations that must handle thousands of different products, so the accounting information system is fairly complex to conform to its activities, personnel, and structure.

_____ 3.

International Company's accounting information system has policies to ensure that financial reports will be reliable, assets are safeguarded, and relevant laws and regulations are complied with.

_____ 4.

International Company's accounting information system can be improved markedly for a cost of about $10,000,000 and the company intends to complete the upgrade because the benefits outweigh this cost.

_____ 5.

International Company has designed its accounting information system so that key managers can obtain the information they need to make decisions relating to new products, sales, and controlling costs.