| Complete financial accounting course or tutorial | | | | Costing and budgetary control can be affected |
| covers a range of following topics. It is being | | | | through the computer, the computer will point out |
| evaluated that how computers have affected | | | | the variations from the planned performance. |
| traditional accounting methods and practices. | | | | (v) Production control |
| - Financial Accounting with Double Entry | | | | The computer also helps greatly in production |
| Bookkeeping | | | | planning and control. It is possible that scheduling |
| - Principles of Accounting | | | | of the work may become necessary due to |
| - Basic Book of Accounting - Journal | | | | break downs etc. A new critical path may have |
| - Accounting Ledger | | | | to be worked out. A critical path is the shortest |
| - Accounting Sub Journals - Cash Cook | | | | path to be followed in production to achieve |
| - Subsidiary Accounting Books | | | | production objectives. The computer helps the |
| - Accounting Verification by Trial Balance | | | | management lay down this new critical path. |
| - Banking Transactions Bank Reconciliation | | | | Advantages and disadvantages of a computer |
| Statement | | | | A computer is surely advantageous because of |
| - Depreciation | | | | the high speed of operation and greater accuracy |
| - Rectification Of Accounting Errors | | | | it provides, savings effected by better managerial |
| - Balance Sheet and Profit and Loss Account | | | | control, savings in labor because it is fully |
| - Single Entry Bookkeeping Accounting System | | | | automatic and finally because of its flexibility in |
| - Non Profit Organization Accounting | | | | use. However, there is a considerable capital |
| - Capital and Revenue | | | | outlay with difficulty of obtaining experienced |
| - Reserves and Provisions | | | | analysts and programmers, break down and |
| In a very short span of time, computer has | | | | maintenance troubles and finally fear of |
| grown from a scientific curiosity to an | | | | obsolescence due to rapid development of |
| indispensable tool of modem society. There is | | | | computers. |
| hardly any scientific/technical or business activity | | | | Type of other applications in relation to accounting |
| which is not in one way or the other, affected by | | | | system |
| modern data processing techniques. | | | | WORD PROCESSOR |
| The human mind can handle only a limited number | | | | It is a software package to help in text |
| of things at a time. The digital computer, on the | | | | processing. Words are processed. Processing |
| other hand, can be programmed to compare, | | | | includes insertion, deletion changing, moving words, |
| measure, calculate and evaluate thousands of | | | | paragraphs etc. Word processing is the |
| readings in an extremely short period of time. | | | | preparation of type scripts, using computing |
| The computer industry has become the fastest | | | | facilities for the storage and manipulation of text. |
| growing industry these days. The sale of | | | | For example, word processor has ability to merge |
| mainframe computers is increasing day by day. | | | | name and addresses with standard text so as to |
| The computer industry has been further pushed | | | | give impression that the latter is personalized |
| up by the introduction of mini computer and micro | | | | even in case of circular letter. |
| computers which are small, cheap, reliable and | | | | HiTech Financial Accounting has got features so |
| very light. These are being routinely used for | | | | that you can export its reports to Microsoft |
| process control, production testing, scientific | | | | Word, a word processing and Mail Merge Program. |
| instrument recording, in store check out systems, | | | | You can also write letters to various parties and |
| in automobile test and evaluating systems, and | | | | store the details in the program database. |
| medical monitoring etc. | | | | DATA BASE |
| Computers are now being used extensively in | | | | It is simple collections of information (data) on a |
| office administration to perform the routine clerical | | | | particular subject. Data base file allows you to |
| work. Today, most large and medium sized | | | | manipulate the data in desired form. So, data base |
| organizations are almost totally dependent on their | | | | allows us to work on facts and figures to store |
| computers. Routine uses of computers are given | | | | and manipulate that data in any desired way. For |
| below: | | | | example, from the same basic information trial |
| (i) Accounting, Billing, Inventory Control Software | | | | balance is prepared; trading and profit and loss |
| with MIS, CRM | | | | account may be prepared; list of debtors and |
| Computers are extensively used in accounting and | | | | creditors may be prepared; purchases and sales |
| there are multitude of computer software for | | | | forecast may be made and so on. So, an efficient |
| Accounting, MIS, CRM. HiTech Financial Accounting | | | | data-base management is needed to provide |
| is one such software which has been customized | | | | flexibility in uses of information. |
| for users in many segments in business and | | | | HiTech Financial Accounting uses MS Access and |
| services. | | | | MS SQL server databases for robust database |
| (ii) Payroll and personnel records. | | | | connectivity. |
| Payroll accounting was the first commercial area | | | | SPREAD SHEET |
| to become widely computerized. The calculation of | | | | It is one of the software programs which have |
| wages or salaries involves a number of variables | | | | increased the utility of computer for accounting |
| which relate to the personal details of each | | | | purposes. Spread sheet programs help you to |
| employee, such as gross pay or rate for the job, | | | | draw vertical as well as horizontal columns on a |
| individual deductions, tax liabilities of the employees | | | | large sized paper. Each .column's length and |
| and so on. These facts can be retained in the | | | | breadth can be adjusted according to suitability. |
| computers and processed every month of | | | | Even when columns are once drawn subsequently |
| produce pay slips for the employees. | | | | these can be altered, increased or decreased |
| (iii) Stock control | | | | additional columns can be inserted, existing |
| The computer helps to exercise the type of | | | | columns can be deleted. It is very useful for |
| stock control needed by the organization. It upto | | | | businessmen and professionals. It enables us to |
| dates the sales and purchases records, | | | | study multidimensional data at one sheet and |
| determines optimum re-order levels for different | | | | helps in arriving at logical decisions. For example, if |
| items and prints out the stock lists when desired. | | | | profit and loss account has been prepared for the |
| The system can be so designed that it triggers | | | | year 1989 and you want a comparison with 1987 |
| orders when stock level reaches order point for | | | | figures and 1990 forecast then spread sheet shall |
| various material items; tests those item which are | | | | enable you to provide two additional columns on |
| slow moving or gives list for over stock items. | | | | each side for inserting 1987 actual figures and |
| (iv) Sale accounts records | | | | 1990 forecast estimates. |
| Programming can be done for any sales | | | | HiTech Financial Accounting software can export |
| accounting system. The computer will pin point | | | | its report data to Microsoft Excel Worksheet |
| defaulting debtors, determine the right limit for | | | | which is an advanced spreadsheet application. |
| credit for each debtor and maintain stores ledger. | | | | A series of articles are proposed to be written on |
| (v) Costing and budgetary control | | | | the topics mentioned in this article. |