Question

What is computerised accounting system? Give the advantage and disadvantage of computerised accounting system?

Answer 1

Computerised accounting systems are software programs that are stored on a company's computer, network server, or remotely accessed via the Internet.

Advantages of Computerised Accounting Software

• Speed :-Using computerised accounting software, the whole procedure of planning accounts becomes faster. Supervisors don’t need to wait for a long time or days for the important report. Statements and reports can be created on a couple of clicks.
• Accounting Information:-Using accounting system turns out to be simple for other people who access accounting information outside the workplace, safely. This is especially valid if web-based accounting software is being used.
• Visual Format:-Checking your records using a PC, allow you to exploit the advantage to see your information in various formats. You can see information in tables and use various types of charts.
• Up-to-date Information:-Accounts adjustment will be automatically updated whenever accounting information and records will be entered or stored.
• Backup:-Backup all of your information is easy with automated accounting. You can keep a printed copy of all your yearly accounting in the form of printouts and parallel backup which can be complex in manual accounting.

Disadvantages of Computerised Accounting Software

• Expense:-Basically, every part of a computerised accounting system is expensive. PCs are more costly than paper records, and the software required for your accounting information includes a further expense which must be renewed or updated yearly.
• Security and Performance:-Computerised accounting software is unsecured for cybersecurity issues. Cloud-based software stores your organization’s data remotely, where it can be hacked. Your system might be infected with a virus that destroys all data. PCs also crash occasionally.
• Implementation:-Manual records are simple to set up and can be more adaptable than computerised accounting. You will probably require some underlying help setting up an accounting system. Your accountant or software supplier will usually charge you for this service.
• Training:-To guarantee effective and proficient use of the computerised accounting software, up to date knowledge of software or hardware is needed. This requires unique training and cost to teach the staff.

hope it helps..

Answer 2

Computerised accounting systems are software programs that are stored on a company's computer, network server, or remotely accessed via the Internet.

Advantages

• Speed :-Using computerised accounting software, the whole procedure of planning accounts becomes faster. Supervisors don’t need to wait for a long time or days for the important report. Statements and reports can be created on a couple of clicks.
• Visual Format:-Checking your records using a PC, allow you to exploit the advantage to see your information in various formats. You can see information in tables and use various types of charts.
• Backup:-Backup all of your information is easy with automated accounting. You can keep a printed copy of all your yearly accounting in the form of printouts and parallel backup which can be complex in manual accounting.

Disadvantages

• Expense:-Basically, every part of a computerised accounting system is expensive. PCs are more costly than paper records, and the software required for your accounting information includes a further expense which must be renewed or updated yearly.
• Implementation:-Manual records are simple to set up and can be more adaptable than computerised accounting. You will probably require some underlying help setting up an accounting system. Your accountant or software supplier will usually charge you for this service.
• Training:-To guarantee effective and proficient use of the computerised accounting software, up to date knowledge of software or hardware is needed. This requires unique training and cost to teach the staff.