Importance of IT in Accounting - PowerPoint PPT Presentation

1 / 23
About This Presentation
Title:

Importance of IT in Accounting

Description:

Importance of IT in Accounting Introduction Expansion of Business Increases the number of transactions. Manual Accounting Unmanageable. – PowerPoint PPT presentation

Number of Views:145
Avg rating:3.0/5.0
Slides: 24
Provided by: LSP46
Category:

less

Transcript and Presenter's Notes

Title: Importance of IT in Accounting


1
Importance of IT in Accounting
2
Introduction
  • Expansion of Business Increases the number of
    transactions.
  • Manual Accounting Unmanageable.
  • Introduction of Computers in Business Database
    Technology gradually replaced manual accounting
    with computerized accounting.

3
Computer and its Characteristics
  • Computer is a device that accepts data, stores
    data, processes data as desired, retrieves the
    stored data as and when required and prints the
    result in desired format.

4
Computer and its Characteristics
  • Computer is a device that accepts data, stores
    data, processes data as desired, retrieves the
    stored data as and when required and prints the
    result in desired format.
  • Speed
  • Storage
  • Accuracy
  • Diligence
  • Versatility
  • Communication
  • Processing Power

5
Computerized Accounting
  • The computerized accounting uses the concept of
    databases.
  • For this purpose an accounting software is used
    to implement a computerized accounting system.
  • It does away the necessity to create and maintain
    journals, ledgers, etc., which are essential part
    of manual accounting.
  • Tally, Cash Manager, Best Books, etc.

6
Components of Computerized Accounting Software
  • Preparation of Accounting Documents Computer
    helps in preparing accounting documents like Cash
    Memo, Bills and invoices etc., and preparing
    accounting vouchers.
  • Recording of Transactions Business transactions
    can be recorded with the help of computer
    softwares.

7
Components of Computerized Accounting Software
  • Preparation of Trial Balance and Financial
    Statements After recording of transaction, the
    data is transferred into Ledger account
    automatically by the computer. Trial Balance is
    prepared by the computer to check accuracy of the
    records. With the help of trial balance the
    computer can be programmed to prepare Trading,
    Profit and Loss account and Balance Sheet.

8
Need and Requirements of Computerized Accounting
  • Numerous Transactions.
  • Instant Reporting.
  • Reduction in Paper work.
  • Flexible Reporting.
  • Accounting Queries.
  • On-line Facility.
  • Scalability.
  • Accuracy.
  • Security.

9
Limitations of Computerized Accounting
  • Cost of Installation.
  • Cost Training.
  • Self Decision Making.
  • Maintenance.
  • Dangers for Health.

10
Internet and Resources for Business
11
(No Transcript)
12
(No Transcript)
13
(No Transcript)
14
(No Transcript)
15
(No Transcript)
16
(No Transcript)
17
(No Transcript)
18
(No Transcript)
19
(No Transcript)
20
(No Transcript)
21
(No Transcript)
22
(No Transcript)
23
Thank You
Write a Comment
User Comments (0)
About PowerShow.com