Business can benefit by introducing computerised accounting system. But, how would employees feel about this change?
Answers
Answer:
Advantages of Computerised Accounting System:
The main advantages of using a computer accounting program are as follows:
(i) Faster Processing
Computers require far less time than human beings in performing a particular task. Therefore, accounting data is processed faster using a computerized accounting system.
(ii) Accurate Information:
There is less space for error because only one account entry is needed for each transaction unlike repeated posting of the same accounting data in manual system.
(iii) Reliability:
Computer systems are immune to boredom, tiredness or fatigue. Therefore, these can perform repetitive functions effectively and are highly reliable as compared to human beings.
(iv) Easy Availability of Information:
The data can be made available to different users at the same time. This is called data sharing.
(v) Up-to-date Information:
Account balances will always be up to date since the records are automatically updated as and when accounting data is entered or stored.
(vi) Efficiency:
The computer based accounting system ensures better use of time and resources.
Explanation:
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