Accounting Packages Australian Small Businesses

Question: Discuss about the Accounting Packages for Australian Small Businesses. Answer: Introduction It is very important for any business organization to maintain the accounting information system as accounting is an unavoidable aspect which will be useful in monitoring the resources of finance in the organization. In the whole financial framework of the organization the control and the stability have to be implemented which is the necessary criteria. The accounting information systems have been attributed by the literature of management in sustaining the major role of the internal control system (BIT, 2016). Evaluating the quantitative metrics that are in relation to the existing and the predicted economic events has been found to be noticed the key functions of the accounting information systems. It is indicative of the different types of the accounting software that AIS to the fact is considered to be the domain that is wider which also known to be the chief contributor in deriving the financial statement like the balance sheet, the income statement, and the statements of cash f low (bin Mohd Yatim, 2009). The methods of financial data processing will use the software or the packages in making sure of the financial information system that is formidable along with the collection that is reliable and the processing infrastructure. The accounting information system in an organization is essential for the leaders in maintaining the effectiveness of the strategic decisions that are involving the financial parameters. Qualitative Aspects The qualitative aspects that are involved in the accounting information systems are significantly considered to be the functional description of the organization. The internal controls are established by applying the AIS that is specifically useful in making sure of the reliable reports of the accounting, in the protection of the assets, the integration with the company can be improved with along with efficiency (Collins, 2006). According to Collin, the systems are useful in providing the assistance for achieving the various objectives which include the prevention of errors and the fraud detection, protection of the asset, the safeguarding of the accounting transactions, the completeness can be improved, maintains the accuracy and the data reliability (Collins, 2006). For acquiring the sophistication in the organization, it can be enabled by the internal controls in terms of the documentation, distinctive audits that are external and internal, the challenging internal control, provid es security and cost effectiveness. Accounting packages have been developed which are found to enable the controls that are distinct with the investment of the resources of the IT and the competencies that can be served to the control objectives of the organization. The accounting software has inferred the different types of the control such as the control that is preventive, control that is corrective, the general, application control and the detective contro (Hla Teru, 2015)l. The control that is preventive is known to be associated with the measures that are predicting that refers to the elements like controlling of the physical access for the assets and also the qualified personnel that selected. According to the research conducted by the Gunasegaran, Evans and the Quaddus, the issues can be identified with the help of the detective controls that has been not addressed before. The reconciliation of banks, the maintenance of the copies of the calculations that are checked, and p reparing the trial balances of every month would exemplify the detective controls. The framework of the accounting information sustainability is implied by the general control with the help of the management and the stability (Neogy Kumar, 2014). The general control can be exemplified by the control of maintenance, development of the software and its acquisition, along with the security control and the infrastructure. In the accounting framework the problems can be determined with the help of corrective controls which also provides the opportunity in recovering the data that is susceptible in making errors. It can be exemplified by resolving the mistakes in the data entry, storage of the copies of the backup files and for transactions duplication transactions can be made. The main concern of the application control is directed at detecting, preventing and correcting the errors which includes the errors of transaction and fraud. As per Hla and Teru, the application controls are main ly used in the collection of data, making entry processing of the data, storing it and transmission along with the reporting of the instruments. Hence the accounting software significance can be perceived correctly by the contributions that are distinctive made to the organization. Accounting framework significance For maintaining the stability in the resources of the finance is the significance that the accounting framework can have for the organization. In establishing the information of accounting there are various methods that are used by the organizations which have been adopted from the past times. According to the views of the Neogy and Kumar, the method that is commonly accepted was the bookkeeping for the financial transaction record maintenance of the organization. There are various sectors in which the accounting books or the physical form of accounting is being used, though the technology is facilitating the opportunity of supervising the accounting information that is effective like the spreadsheets and the software for accounting (Pulakanam Suraweera, 2010). In the accounting software the necessary features are searched by the business organizations, primarily rather than the selection. The various requirements of the abilities of the software would include the volume handing and the predictability of the finances that are related to the organization. As per Pulakanam and Suraweera, the requirements that are necessary will be including the systems ability for monitoring the numerous bank accounts at the same time, allegations of the foreign currency, ability to line up with the other systems which includes the internet, the CRM provisions, capacity of the stock management, monitoring of the work progress, managing the task, the financial records are monitored separately for every department in the organization and the capability for including the requirements of the payroll that is compromising the leave of the long service, annual leave etc (Pulakanam Suraweera, 2010). Many small business have emerged because of the entrepreneurs have been increasing in the business environment of the Australia. Hence the financial management is considered to be the aspect that is imperative in, such as organization as they have to sustain in the market conditions that ar e competitive. The accounting packages or the softwares that are popularly used in Australia would be accounting for the sophistication since they are known to provide the feasible opportunity for every organization in catering the worries of the financial management at a very reasonable cost (Rahayu, 2012). The examples of the accounting software are as follows the MyOB, Nominal, Xero-online, Reckon One, Sag, and many more. The benefits that a creditable can be retrieved by this accounting software which include the liabilities differentiation, revenue, the sales and expenses and the assets which are known to be the main part of the organizations accounting system. According to Rahayu, the above mentioned factors can be listed down is the kind of scope the software has that are used in the organization and also the services of the integration of the subordinate accounts with the main accounts (Rahayu, 2012). The opportunity of classifying the various accounts is provided by the software that is re lating to the organization which is found to be the indicator of the accounting software reliability as the data related to the finance can be acquired with ease for any future reference. The other task that is considered to be maintained by the software or the packages is the charts of the accounts by using the resources to the minimum extent because the main requirements of the accounting software are the data storage devices, computers and the net connection. As per Shehzad and Ismail, the human resources would be required for maintaining the chart of the accounts a sit is an indicative of the proficiency of the employees that are skilled in record maintenance along with the interpretation of the software requirements effectively. The every field of the data has to be understood by the employees as it is the requirement of the software in making sure that the processing stage of the data is carried out properly. With the abilities of maintaining the extensive financial liabilitie s and the resources data of the organization the accounting packages and the software is known to serve the primary objectives that are sustaining to the control of the organization over the resources of the finance in the organization along with the documentation. The accounting information systems The accounting information systems are limited to the organization AIS and eventually its capability of delivering the performance in relation to the transactions of the account with the payable estimations and the accounts that are receivable, the trial balance and the payroll are considered to be the modules that are functional (Verma et al., 2012). The services related to the packaged accounting software proved as the entity that is functional is resolving the issues that are related to the reports of the accounting and the maintenance of the records of the financial transactions (Verbano et al., 2008). The information technology has been introduced which is known to facilitate the significant prospects such as the affordability, the skills of management, the expertise and the technical background of the problems (Shehzad Ismail, 2014). For the modifications of the existing software or the packages that are used in the organization different factors are responsible for it. These include the resistance of the user, organizations magnitude, the organizations cultural background, IT expertise, its affordability and the credible external consultants availability in providing the software package services. Conclusion Although there are various benefits that are available in using the online applications and the accounting software, a prevalent notion has been found over the aspect of the technology in the IT. The ambiguities that have been noticed in the IT primarily on the formidable issues have been realized by the application of the accounting software. Hence the consultants from the external sources have to prove the enough support to the organizations in relation to the technical expertise. This would be helpful in enabling the employees for knowing the basic training implications and the coordination along with the work relationships sustainability. Hence the accounting software or the packages prove to be the aspect that has promised the business organizations in realizing its potentials and the financial aspects. References BIT. (2016).7 accounting packages for Australian small businesses compared: including MYOB, QuickBooks Online, Reckon, Xero. 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