Question

What are the advantages of a computerised accounting system compared with a manual system? (Please consider it is Australian accounting environment) (Please type up your answer)

Answer 1

Advantages of computerised accounting system compared with manual system -

1. Less time consuming.

2. Low possibility of errors.

3. Automated invoices, credit notes and debit notes could be generated in no time.

4. Faster record keeping helps the promoters concentrate more in expanding the business rather than wasting time with manual accounting.

5. Provides instant reports to management which helps in important decision making. Reports like debtors ageing, creditors ageing, stock summary, payroll analysis, taxes, etc really helps in forming important decisions.

6. Simplifies audit as it helps auditor to conduct and conclude the audit fastly.