Computerised Accounting
Computerised Accounting
This domain tests the features of computerised accounting, accounting software, codification, voucher entry, management information and data security.
Core rules
- Computerised accounting stores transactions in databases and automates posting, balancing and report generation.
- Groups classify accounts; ledgers hold individual balances; vouchers record transactions such as payment, receipt, purchase, sales and journal.
- Codification gives each account a unique code, making retrieval and reporting consistent.
- Backup, access control and an audit trail protect data and support verification.
Worked example
A firm buys goods on credit Rs.25,000 from Suresh. In accounting software, the operator selects a purchase voucher: Purchase A/c Dr Rs.25,000; Suresh A/c Cr Rs.25,000. The software posts the amounts to the purchase ledger and the creditor ledger, updates the trial balance and records the voucher number, date and user. The accounting equation remains balanced automatically, but the operator must still choose the correct voucher type and ledger codes.
Traps
Assuming software prevents all errors; deleting vouchers without an audit trail; failing to back up data; using inconsistent ledger codes; and treating computerised output as reliable without checking source documents.