Accounting In The Society 
Contents
Introduction …………………………………………………………………………………… Page 1
Roles of accounting ………………………………………………………………………… Page 1
Jobs available in accounting field …………………………………………………… Page 1
Salary …………………………………………………………………………………………….… Page 2
Computerised accounting ………………………………………………………………… Page 2
Source documents …………………………………………………………………………… Page 3
Conclusion ……………………………………………………………………………………… Page 3
Appendix 1 ……………………………………………………………………………………….. Page 4
Appendix 2 ……………………………………………………………………………………….. Page 5
Appendix 3 ……………………………………………………………………………………….. Page 6
Appendix 4 ……………………………………………………………………………………….. Page 7
Appendix 5 ……………………………………………………………………………………….. Page 8
Appendix 6 ……………………………………………………………………………………….. Page 9
Appendix 7 ……………………………………………………………………………………….. Page 10
Appendix 8 ……………………………………………………………………………………….. Page 11
Appendix 9 ……………………………………………………………………………………….. Page 12
Appendix 10 ……………………………………………………………………………………… Page 13
Bibliography …………………………………………………………………………………… Page 14
Accounting In The Society
Investigation Task 2
Introduction
Accounting is the skill of identifying, recording, summarising, reporting and analysing the financial business transactions. The skill is used to manipulate and simplify the financial data for the presentations designed to the organizations and individuals of the society. Without the use of accounting chaos will arise and businesses, organizations and industries will all fail to operate due to the lack of apropos knowledge relating to the running commerce.
Throughout this report I will be discussing the roles of accounting, categorising the availability of jobs in the accounting field, comparing the annual salaries of accountants, analysing the advantages and disadvantages of computerised accounting and discussing the importance of source documents.
Roles Of Accounting
“The language of business” is what accounting is often called as it provides most of the data and information of which owners, managers and investors need to appraise a company’s financial performance. The main role of accounting is to assist attentive parties, both internal and external, to permit informed business judgments and decisions.
The main functions of accounting are; to provide information for better decision making, assist in discharging accountability and help evaluate performance. Accountants have the responsibility to provide information which is timely correct and accurate and present them to users in a simplified manner. Accountants provide these information in reports which are easy to understand by users outside the accounting profession, reports such as; income statements, balance sheets, statement of cash flows, sales forecasts and ageing analysis of debtors are prepared for businesses. With this information, users are enabled to make informed judgments and decisions in their business.
Jobs Available In Accounting Field
There are many jobs in the accounting field which one can apply for with the help of an accounting degree. Jobs across Australia ranging from accountants, accounting assistants, accounting clerks, accounting managers, accounts payable clerks, accounts receivable clerks, audits, bookkeepers, budget analysts, business services directors, certified internal auditors, chief financial officers, credit officers, commercial analysts, comptrollers, controllers, payroll clerks, payroll administrators, staff accountants, tax accountants and tax managers are all associated with an accounting degree. Jobs in the accounting field will always be abundant due to the economically growing world, hence new businesses opening and thus arising demands for jobs in the accounting field.
Salary
Salaries of accountants have dropped dramatically over the past year and only recently have started to rebound and slowly increase, as seen in Figure 1. As of March 2014 the average salary of an accountant is totaled to $83,263 per annum. Different accounting professions come with varied salaries [appendix 1], ranging from the highest paying management subsector with an average of $112, 809 p.a. to the lowest paying accounts payable subsector comprising an average of $55, 318 p.a..
Computerised Accounting
Computerised accounting is a computer run software which enables information on financial transactions from internal and external parties of both small and large businesses to be recorded, stored and analysed. Towards the end of each accounting period of a business, financial reports are automatically generated by the computer. The computerised accounting eliminates paper work making it easier, faster and more efficient to collect store and trail all transactions as they occur.
The main advantages that computerised accounting has over normal systematic accounting are;
Speed, as databases, supplier details and stock records are carried out much quicker than manual human processing
Automatic production of documents, as many credit notes, invoices, purchase orders, printing statements and payroll documents are automatically generated
Accuracy, as there is a minimal possibility of errors due to the need of only one accounting entry for each transaction, rather than 2 or 3 comparing to that of the manual system.
Up to date information, as computers will automatically update accounting records, hence account balance will always be up to date.
Legibility, as printed clear text will be more readable and will thus avoid errors resulted by poor handwriting
Cost and time saving, as the computer programs will reduce staff time preparing reports and reduce audit expenses as the printed records will be neat and timely accurate.
Source Documents
A source document is the original record that is created or received due to a transaction encountered in the business. These documents are significant as they are the clear evidence stating that the transactions have actually ensued and are thus advised to be retained for future references. Source documents include the some of the basic factors of the undertaken transaction such as the date it occurred, to whom the transaction was made, the purpose and the amount. Common source documents can include; bank statements, cheque books, deposit books, cash register tapes, purchase invoices, purchase orders, sales invoices, credit notes and business activity statements [appendixes 2-11].
Conclusion
Accountants are have the significant role of keeping the businesses, organizations and industries running and functioning in societies today due to their attribution. Without the use of accounting all will fail to operate owing to the lack of accurate information about the running commerce. This assignment has helped me build me knowledge on the roles of which accounting has on our everyday lives and how greatly it impacts running businesses. Undertaking this assignment has also made me apprehend the possible jobs of which one can attain in the accounting field, the advance progress of computerised accounting and the advantages associated, in addition to the significance of source documents.
Word count: 911
Appendix 1
Differences in accounting salaries according by bub-sectors
Appendix 2
Source Document: Bank Statement
Appendix 3
Source Document: Cheque Book Appendix 4 Source Document: Deposit Book
Appendix 5
Source Document: Cash Register Tapes
Appendix 6
Source Document: Purchase Invoices
Appendix 7
Source Document: Purchase Orders
Appendix 8
Source Document: Sales Invoices
Appendix 9
Source Document: Credit Notes
Appendix 10
Source Document: Business Activity Statements Bibliography
1. TheFreeDictionary.com. 2014. Personal accountant. [online] Available at: http://legal-dictionary.thefreedictionary.com/Personal+accountant [Accessed: 29 Mar 2014].
2. AccountingCoach.com. 2014. What is a source document? | AccountingCoach. [online] Available at: http://www.accountingcoach.com/blog/what-is-a-source-document [Accessed: 29 Mar 2014].
3. Allaccountingcareers.com. 2014. Accounting Careers | All Accounting Careers. [online] Available at: http://allaccountingcareers.com/accounting-careers [Accessed: 29 Mar 2014].
4. Ask.com. 2014. What Is Computerized Accounting. [online] Available at: http://www.ask.com/question/what-is-computerized-accounting [Accessed: 29 Mar 2014].
5. Boundless. 2014. The Role of Accounting in the Business - Boundless Open Textbook. [online] Available at: https://www.boundless.com/accounting/introduction-to-accounting/overview-of-key-elements-of-the-business/the-role-of-accounting-in-the-business/ [Accessed: 29 Mar 2014].
6. Careers-in-accounting.com. 2014. Careers in Accounting > Job Options. [online] Available at: http://www.careers-in-accounting.com/acoptions.htm [Accessed: 29 Mar 2014].
7. Content.mycareer.com.au. 2014. Accounting Salary Information - Updated Weekly at MyCareer. [online] Available at: http://content.mycareer.com.au/salary-centre/accounting [Accessed: 29 Mar 2014].
8. E-bas.com.au. 2014. What are Source Documents & Why are they Important? | Your Online BAS & Bookkeeping Specialist!. [online] Available at: http://www.e-bas.com.au/bookkeeping-blog/what-are-source-documents-and-why-are-they-important [Accessed: 29 Mar 2014].
9. Flatworldknowledge.com. 2014. The Role of Accounting in Business. [online] Available at: http://www.flatworldknowledge.com/1.0/exploring-business/ch-12-role-accounting-business [Accessed: 29 Mar 2014].
10. Itseducation.asia. 2014. The Advantages of Using Computerised Accounting Software, MYOB, Mind Your Own Business. [online] Available at: http://www.itseducation.asia/computerized-accounting.htm [Accessed: 29 Mar 2014].
11. Miller, S. 2014. The Role of Accounting Company Scorecard in a Firm 's Success. [online] Available at: http://ezinearticles.com/?The-Role-of-Accounting-Company-Scorecard-in-a-Firms-Success&id=1275398 [Accessed: 29 Mar 2014].
12. Quickmba.com. 2014. Source Document. [online] Available at: http://www.quickmba.com/accounting/fin/source-document/ [Accessed: 29 Mar 2014].
13. Saunders.rit.edu. 2014. What is Accounting?. [online] Available at: http://saunders.rit.edu/programs/undergraduate/accounting/what-is.php [Accessed: 29 Mar 2014].
Bibliography: 1. TheFreeDictionary.com. 2014. Personal accountant. [online] Available at: http://legal-dictionary.thefreedictionary.com/Personal+accountant [Accessed: 29 Mar 2014]. 2. AccountingCoach.com. 2014. What is a source document? | AccountingCoach. [online] Available at: http://www.accountingcoach.com/blog/what-is-a-source-document [Accessed: 29 Mar 2014]. 3. Allaccountingcareers.com. 2014. Accounting Careers | All Accounting Careers. [online] Available at: http://allaccountingcareers.com/accounting-careers [Accessed: 29 Mar 2014]. 4. Ask.com. 2014. What Is Computerized Accounting. [online] Available at: http://www.ask.com/question/what-is-computerized-accounting [Accessed: 29 Mar 2014]. 6. Careers-in-accounting.com. 2014. Careers in Accounting > Job Options. [online] Available at: http://www.careers-in-accounting.com/acoptions.htm [Accessed: 29 Mar 2014]. 7. Content.mycareer.com.au. 2014. Accounting Salary Information - Updated Weekly at MyCareer. [online] Available at: http://content.mycareer.com.au/salary-centre/accounting [Accessed: 29 Mar 2014]. 9. Flatworldknowledge.com. 2014. The Role of Accounting in Business. [online] Available at: http://www.flatworldknowledge.com/1.0/exploring-business/ch-12-role-accounting-business [Accessed: 29 Mar 2014]. 10. Itseducation.asia. 2014. The Advantages of Using Computerised Accounting Software, MYOB, Mind Your Own Business. [online] Available at: http://www.itseducation.asia/computerized-accounting.htm [Accessed: 29 Mar 2014]. 11. Miller, S. 2014. The Role of Accounting Company Scorecard in a Firm 's Success. [online] Available at: http://ezinearticles.com/?The-Role-of-Accounting-Company-Scorecard-in-a-Firms-Success&id=1275398 [Accessed: 29 Mar 2014]. 12. Quickmba.com. 2014. Source Document. [online] Available at: http://www.quickmba.com/accounting/fin/source-document/ [Accessed: 29 Mar 2014]. 13. Saunders.rit.edu. 2014. What is Accounting?. [online] Available at: http://saunders.rit.edu/programs/undergraduate/accounting/what-is.php [Accessed: 29 Mar 2014].
Introduction …………………………………………………………………………………… Page 1
Roles of accounting ………………………………………………………………………… Page 1
Jobs available in accounting field …………………………………………………… Page 1
Salary …………………………………………………………………………………………….… Page 2
Computerised accounting ………………………………………………………………… Page 2
Source documents …………………………………………………………………………… Page 3
Conclusion ……………………………………………………………………………………… Page 3
Appendix 1 ……………………………………………………………………………………….. Page 4
Appendix 2 ……………………………………………………………………………………….. Page 5
Appendix 3 ……………………………………………………………………………………….. Page 6
Appendix 4 ……………………………………………………………………………………….. Page 7
Appendix 5 ……………………………………………………………………………………….. Page 8
Appendix 6 ……………………………………………………………………………………….. Page 9
Appendix 7 ……………………………………………………………………………………….. Page 10
Appendix 8 ……………………………………………………………………………………….. Page 11
Appendix 9 ……………………………………………………………………………………….. Page 12
Appendix 10 ……………………………………………………………………………………… Page 13
Bibliography …………………………………………………………………………………… Page 14
Accounting In The Society
Investigation Task 2
Introduction
Accounting is the skill of identifying, recording, summarising, reporting and analysing the financial business transactions. The skill is used to manipulate and simplify the financial data for the presentations designed to the organizations and individuals of the society. Without the use of accounting chaos will arise and businesses, organizations and industries will all fail to operate due to the lack of apropos knowledge relating to the running commerce.
Throughout this report I will be discussing the roles of accounting, categorising the availability of jobs in the accounting field, comparing the annual salaries of accountants, analysing the advantages and disadvantages of computerised accounting and discussing the importance of source documents.
Roles Of Accounting
“The language of business” is what accounting is often called as it provides most of the data and information of which owners, managers and investors need to appraise a company’s financial performance. The main role of accounting is to assist attentive parties, both internal and external, to permit informed business judgments and decisions.
The main functions of accounting are; to provide information for better decision making, assist in discharging accountability and help evaluate performance. Accountants have the responsibility to provide information which is timely correct and accurate and present them to users in a simplified manner. Accountants provide these information in reports which are easy to understand by users outside the accounting profession, reports such as; income statements, balance sheets, statement of cash flows, sales forecasts and ageing analysis of debtors are prepared for businesses. With this information, users are enabled to make informed judgments and decisions in their business.
Jobs Available In Accounting Field
There are many jobs in the accounting field which one can apply for with the help of an accounting degree. Jobs across Australia ranging from accountants, accounting assistants, accounting clerks, accounting managers, accounts payable clerks, accounts receivable clerks, audits, bookkeepers, budget analysts, business services directors, certified internal auditors, chief financial officers, credit officers, commercial analysts, comptrollers, controllers, payroll clerks, payroll administrators, staff accountants, tax accountants and tax managers are all associated with an accounting degree. Jobs in the accounting field will always be abundant due to the economically growing world, hence new businesses opening and thus arising demands for jobs in the accounting field.
Salary
Salaries of accountants have dropped dramatically over the past year and only recently have started to rebound and slowly increase, as seen in Figure 1. As of March 2014 the average salary of an accountant is totaled to $83,263 per annum. Different accounting professions come with varied salaries [appendix 1], ranging from the highest paying management subsector with an average of $112, 809 p.a. to the lowest paying accounts payable subsector comprising an average of $55, 318 p.a..
Computerised Accounting
Computerised accounting is a computer run software which enables information on financial transactions from internal and external parties of both small and large businesses to be recorded, stored and analysed. Towards the end of each accounting period of a business, financial reports are automatically generated by the computer. The computerised accounting eliminates paper work making it easier, faster and more efficient to collect store and trail all transactions as they occur.
The main advantages that computerised accounting has over normal systematic accounting are;
Speed, as databases, supplier details and stock records are carried out much quicker than manual human processing
Automatic production of documents, as many credit notes, invoices, purchase orders, printing statements and payroll documents are automatically generated
Accuracy, as there is a minimal possibility of errors due to the need of only one accounting entry for each transaction, rather than 2 or 3 comparing to that of the manual system.
Up to date information, as computers will automatically update accounting records, hence account balance will always be up to date.
Legibility, as printed clear text will be more readable and will thus avoid errors resulted by poor handwriting
Cost and time saving, as the computer programs will reduce staff time preparing reports and reduce audit expenses as the printed records will be neat and timely accurate.
Source Documents
A source document is the original record that is created or received due to a transaction encountered in the business. These documents are significant as they are the clear evidence stating that the transactions have actually ensued and are thus advised to be retained for future references. Source documents include the some of the basic factors of the undertaken transaction such as the date it occurred, to whom the transaction was made, the purpose and the amount. Common source documents can include; bank statements, cheque books, deposit books, cash register tapes, purchase invoices, purchase orders, sales invoices, credit notes and business activity statements [appendixes 2-11].
Conclusion
Accountants are have the significant role of keeping the businesses, organizations and industries running and functioning in societies today due to their attribution. Without the use of accounting all will fail to operate owing to the lack of accurate information about the running commerce. This assignment has helped me build me knowledge on the roles of which accounting has on our everyday lives and how greatly it impacts running businesses. Undertaking this assignment has also made me apprehend the possible jobs of which one can attain in the accounting field, the advance progress of computerised accounting and the advantages associated, in addition to the significance of source documents.
Word count: 911
Appendix 1
Differences in accounting salaries according by bub-sectors
Appendix 2
Source Document: Bank Statement
Appendix 3
Source Document: Cheque Book Appendix 4 Source Document: Deposit Book
Appendix 5
Source Document: Cash Register Tapes
Appendix 6
Source Document: Purchase Invoices
Appendix 7
Source Document: Purchase Orders
Appendix 8
Source Document: Sales Invoices
Appendix 9
Source Document: Credit Notes
Appendix 10
Source Document: Business Activity Statements Bibliography
1. TheFreeDictionary.com. 2014. Personal accountant. [online] Available at: http://legal-dictionary.thefreedictionary.com/Personal+accountant [Accessed: 29 Mar 2014].
2. AccountingCoach.com. 2014. What is a source document? | AccountingCoach. [online] Available at: http://www.accountingcoach.com/blog/what-is-a-source-document [Accessed: 29 Mar 2014].
3. Allaccountingcareers.com. 2014. Accounting Careers | All Accounting Careers. [online] Available at: http://allaccountingcareers.com/accounting-careers [Accessed: 29 Mar 2014].
4. Ask.com. 2014. What Is Computerized Accounting. [online] Available at: http://www.ask.com/question/what-is-computerized-accounting [Accessed: 29 Mar 2014].
5. Boundless. 2014. The Role of Accounting in the Business - Boundless Open Textbook. [online] Available at: https://www.boundless.com/accounting/introduction-to-accounting/overview-of-key-elements-of-the-business/the-role-of-accounting-in-the-business/ [Accessed: 29 Mar 2014].
6. Careers-in-accounting.com. 2014. Careers in Accounting > Job Options. [online] Available at: http://www.careers-in-accounting.com/acoptions.htm [Accessed: 29 Mar 2014].
7. Content.mycareer.com.au. 2014. Accounting Salary Information - Updated Weekly at MyCareer. [online] Available at: http://content.mycareer.com.au/salary-centre/accounting [Accessed: 29 Mar 2014].
8. E-bas.com.au. 2014. What are Source Documents & Why are they Important? | Your Online BAS & Bookkeeping Specialist!. [online] Available at: http://www.e-bas.com.au/bookkeeping-blog/what-are-source-documents-and-why-are-they-important [Accessed: 29 Mar 2014].
9. Flatworldknowledge.com. 2014. The Role of Accounting in Business. [online] Available at: http://www.flatworldknowledge.com/1.0/exploring-business/ch-12-role-accounting-business [Accessed: 29 Mar 2014].
10. Itseducation.asia. 2014. The Advantages of Using Computerised Accounting Software, MYOB, Mind Your Own Business. [online] Available at: http://www.itseducation.asia/computerized-accounting.htm [Accessed: 29 Mar 2014].
11. Miller, S. 2014. The Role of Accounting Company Scorecard in a Firm 's Success. [online] Available at: http://ezinearticles.com/?The-Role-of-Accounting-Company-Scorecard-in-a-Firms-Success&id=1275398 [Accessed: 29 Mar 2014].
12. Quickmba.com. 2014. Source Document. [online] Available at: http://www.quickmba.com/accounting/fin/source-document/ [Accessed: 29 Mar 2014].
13. Saunders.rit.edu. 2014. What is Accounting?. [online] Available at: http://saunders.rit.edu/programs/undergraduate/accounting/what-is.php [Accessed: 29 Mar 2014].
Bibliography: 1. TheFreeDictionary.com. 2014. Personal accountant. [online] Available at: http://legal-dictionary.thefreedictionary.com/Personal+accountant [Accessed: 29 Mar 2014]. 2. AccountingCoach.com. 2014. What is a source document? | AccountingCoach. [online] Available at: http://www.accountingcoach.com/blog/what-is-a-source-document [Accessed: 29 Mar 2014]. 3. Allaccountingcareers.com. 2014. Accounting Careers | All Accounting Careers. [online] Available at: http://allaccountingcareers.com/accounting-careers [Accessed: 29 Mar 2014]. 4. Ask.com. 2014. What Is Computerized Accounting. [online] Available at: http://www.ask.com/question/what-is-computerized-accounting [Accessed: 29 Mar 2014]. 6. Careers-in-accounting.com. 2014. Careers in Accounting > Job Options. [online] Available at: http://www.careers-in-accounting.com/acoptions.htm [Accessed: 29 Mar 2014]. 7. Content.mycareer.com.au. 2014. Accounting Salary Information - Updated Weekly at MyCareer. [online] Available at: http://content.mycareer.com.au/salary-centre/accounting [Accessed: 29 Mar 2014]. 9. Flatworldknowledge.com. 2014. The Role of Accounting in Business. [online] Available at: http://www.flatworldknowledge.com/1.0/exploring-business/ch-12-role-accounting-business [Accessed: 29 Mar 2014]. 10. Itseducation.asia. 2014. The Advantages of Using Computerised Accounting Software, MYOB, Mind Your Own Business. [online] Available at: http://www.itseducation.asia/computerized-accounting.htm [Accessed: 29 Mar 2014]. 11. Miller, S. 2014. The Role of Accounting Company Scorecard in a Firm 's Success. [online] Available at: http://ezinearticles.com/?The-Role-of-Accounting-Company-Scorecard-in-a-Firms-Success&id=1275398 [Accessed: 29 Mar 2014]. 12. Quickmba.com. 2014. Source Document. [online] Available at: http://www.quickmba.com/accounting/fin/source-document/ [Accessed: 29 Mar 2014]. 13. Saunders.rit.edu. 2014. What is Accounting?. [online] Available at: http://saunders.rit.edu/programs/undergraduate/accounting/what-is.php [Accessed: 29 Mar 2014].