In the computerized accounting system, closing balances are carried forward to the next period, automatically.

Question

State whether the following statements are true or false with reason:

In the computerized accounting system, closing balances are carried forward to the next period, automatically.

Answer 1

This statement is True. 

Just like a manual accounting system, closing balances are not to be carried forward for the next period, in a computerized accounting system. As per the program it is automatically carried forward.