Month: June 2022

The application of technology solutions in the accounting field will continue to grow in the coming years. As the need for computerized accounting grows, software companies will come through and provide a solid answer to this demand by introducing accounting software, a solution used by bookkeepers, accounting professionals and business owners to process accounting transactions and manage accounts. Manual accounting is complex and time-consuming. However, accounting software as helped simplify these processes by: Automating tasks and keeping manual data entry

Reconciliation is an accounting process that compares two sets of records to check that figures are correct and in agreement. Companies use this process to prevent balance sheet errors on their financial accounts, check for fraud, and to reconcile the general ledger. There is no standard way to perform an account reconciliation. However, generally, double-entry accounting is performed where a transaction is entered into the general ledger in two places. It is the most prevalent tool for reconciliation. Another way of

Outsourcing is the business practice of hiring a party outside a company to perform services or create goods that were traditionally performed in- house by the company’s own employees and staff. This practice is usually undertaken by companies as a cost-cutting measure. Outsourcing with regards to accounting refers to a service which provides a full, accounting department experience for small businesses. An accounting department handles the day-to-day transaction coding, accounts payable, accounts receivable, payroll, management financial reporting and many other services. However, outsourced

An accounting standard is a policy that defines the treatment of an accounting transaction in financial statements. The entire concept of accounting standards is to harmonise accounting policies and practices used by different business entities in order to standardise the numerous accounting methods used for various aspects of accounting. They, therefore, provide guidance for companies to prepare and report useful financial statements in an accurate fashion. Accounting standards exist to define the way economic events are recorded and reported. They