This potential error is eliminated through the automated mathematical system which never makes a mistake, making the accuracy very advantageous. This advantage in turn saves the company money as mistakes create a chain reaction, making it very difficult to fix. The limitation of human errors is one of the best advantages that come with computerised accounting systems. A second benefit of using a computerised accounting system would be that is saves the company a considerable amount of money. Lower cost can be brought about through computerised accounting systems as it is far more efficient.
Therefor they work hard to show best possible results. Good results lead to satisfied customers and even increase in customers. Franchising also allows franchisor to avoid employee related problems that can be pretty costly and stressful, as people are employed by the franchisee. 3. Administrative: Entering new market by franchising actually brings smaller central organizations, which means that there is more cost effective labour force, more effective recruitments, less papers and stress for the company.
The IT allows us to process a greater level of work in a shorter period of time, which leads to business being more efficient and productive. When using IT for completing administrations tasks it allows us to correct and amend documents efficiently with no need to start the document from the scratch. It also allows us to change layout and look of document right away. One of the benefits of information technology is also the capability to store a large amount of information. Section 2 – Understand how to manage electronic and paper-based information 1.
Excel can get pretty complicated but if your computer literate it help you get around the program easier than if you where computer illiterate. Also some businesses use computers for inventory up-keep, to see how many more products they need to purchase and how many products they have sold. Computers are a big help to keep track of packages being shipped across the United States. When it comes to the arts industry a lot of people don’t expect that computers are a big asset and very rewarding at the end. By being computer literate it gives you a chance t advertise your art work online, it also helps you contract art galleries to convince them to purchase or display your art work.
the general ledger include cash, account payable, accountant receivables and common stock. In the subsidiary ledger consists of customers and creditors. The purpose of the control account is to keep the general ledger free of unnecessary information yet have the correct balance for the financial statements. The advantages of using the subsidiary ledgers it keeps account information up to date and holds account information in one transaction another advantage is that it does not have unnecessary information in the journey only what is need it frees up the ledger. It also help pin point errors by focus more on one personal account other than any different ones.
[15 marks] The operational strengths are seen in the following ways: 1. Lower operating cost and higher income The operation cost is lower in this case study as they did not require a big shop to pay rental, they are only operating from a small storage unit on the fringe of town. Their labor cost is only among the delivery drivers, Maria and Marcus only, they save cost in paying for store keeper, stock keeper, cashier and shop security guards. They save cost on packaging by salvaging cardboards boxes that are various sizes. A financial system was modified by Marcus to handle the financial system makes it easier for them to calculate their income and do their accounting easily.
What are the possible risks of working with a single vendor? Some of the advantages derived from working with a single vendor are: • They will have little or no compatibility problems • New features can be easily integrated • Technical issues can be easily traceable and ask the vendor for guidance and consulting • Easier to train the staff how to use it • Faster deployment of the system Some risks of working with a single vendor: • Overdependence: If the vendors system crashes, your whole operations may suffer • Little variety in the technological resources 3. What were the important business factors which management used to evaluate Oracle’s database offerings? The business factors used to evaluate Oracle’s offerings were: • Compatibility with the components of the current system, the “legacy systems” • Ease of use • Flexibility • How they can operate and interact the different activities and areas of the company • Allow to consolidate into one central system 4. Why was it important that a vendor’s products be able to integrate with “legacy systems?” It was important
The accrual method works best for these businesses because revenues and expenses can be balanced at the end of every reporting period. They simply need to refer back to the account when cash is paid and make an adjustment entry. The accrual method is most notable for its accuracy in reporting transactions. Accountants must adhere to what is known as the generally accepted accounting principles or GAAP. The accrual method is GAAP compliant because it follows the revenue recognition principle which states that each financial transaction must be reported in the accounting period in which it occurs.
Computers have eliminated the need for pencils, ledgers, and calculators. With computer software and hardware it has become easier and simpler for the accountants to maintain records of the information so they can avoid most of the mistakes that were commonly made. Over the past few years’ computer software and hardware have presented a considerable amount of efficiency and effectiveness, which has changed completely the accounting phase. Peachtree Peachtree is a computerized accounting system that enables users to enter entries to subsidiary ledgers, ledgers, and journals all at the sometime. Rather than posting cash disbursements in different ledgers and journals, Peachtree permits the information to be entered once in the proper journal then it will apply the entry everywhere else.
You can save much money by shopping online because you don’t have to drive to stores. When you don’t drive, you don’t have to pay for gas and parking. It might not seem like too much but it can be costly if you visit the stores many times. And it can be extra when you have to drive to looking for parking lot that is crowded. You can have more money by saving the cost from transportation and get more items when shopping online.