Question

Explain ‘Password Security’ and ‘Data Audit’ as security features of Computerised Accounting System:

Hint:

Password security restricts unauthorized access, while data audits enhance accountability and regulatory compliance in Computerised Accounting Systems.

Answer 1

1. Password Security:

• Secures sensitive financial data from unauthorized access.
• Authorizes specific personnel for viewing, editing, or deleting records.
• Strengthens accounting system security by role-based access control.

2. Data Audit:

• Records all modifications to financial data, including user, timestamp, and change type.
• Supports adherence to regulatory mandates.
• Aids in detecting errors, fraudulent activities, or unauthorized alterations.