Advantages of a Computerised Accounting System

A Computerised Accounting System offers several genuine benefits over a purely manual system, which is why most businesses of any reasonable size — across Andhra Pradesh and elsewhere — have adopted it:

• Speed. Recording, posting and reporting all happen far faster than by hand, because the computer performs the repetitive mechanical work.
• Accuracy. Once a transaction is correctly entered, the software carries it through every calculation and posting without arithmetic error, removing an entire class of manual mistakes.
• Reliability and consistency. The same transaction is always posted the same way, following the rules programmed into the software, so the treatment of similar transactions does not vary from one clerk or one day to another.
• Up-to-date (real-time) information. Management can check the current cash position, debtors, creditors or stock value at any moment, rather than waiting for month-end balancing.
• Quality and variety of reports. The same underlying data can be presented in many different report formats — trial balance, ledger, cash flow statement, ageing analysis of debtors, or graphical summaries — at no extra recording effort.
• Legibility. Printed vouchers and reports remove the problem of illegible handwriting that can affect manual registers.
• Efficient storage and retrieval. Years of records occupy very little physical space and can be searched or retrieved in seconds.
• Scalability. The system can handle a growing volume of transactions far more easily than a manual system, which needs proportionately more clerical staff as the business grows.
• Security features. Password-protected logins and different access levels for different users help control who may view or alter the accounts. …