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Home Finance Accounting Accounting Softwares – Easing the Financial Transactions

Accounting Softwares – Easing the Financial Transactions

Softwares to record both simple and complex accounting transactions are in demand to cater to either large or small firms. Tally and financial softwares are used by many companies for accurate record keeping.

Accounting SoftwaresPHOTO BY FLICKR.COM/GUSTAVO PIMENTA

Accounting Softwares - For All Types of Organizations

Accounting transactions and financial statements are recorded and analyzed in accounting softwares, which can have different types of function modules. Some softwares have only the basic or core modules like accounts payable, accounts receivable, billing, purchase order, sales order, cash book, stock and inventory, etc. While other models have non-core modules such as expenses, reports, timesheets, payroll, debt collection and electronic payment processing. Also, simple as well as complex softwares are manufactured for different types of users. Aimed at home users, personal softwares are simple and budget friendly whereas the low end systems are suited for small businesses. Then, there are systems designed for mid sized companies which allow dealing in multiple currencies and the accounting softwares for large corporations support complex business processes and enterprise resource planning.

Tally Accounting Software - Useful

Accurate entry of business transaction data is essential to prepare precise financial statements and various small to midsized companies use such tally accounting softwares for exact bookkeeping. Data can be archived easily in them and reviewed whenever required. They are also helpful with enterprise resource planning in which effectiveness of all supply chain functions like marketing, sales, raw materials, and inventory can be evaluated. Bookkeeping tasks like keeping a log of all debit and credit deals can be executed easily with this software. Accounting reports like balance sheets, cash flow, retained earnings, profit and loss statements, etc., can be produced easily with them. Generally, trained experts are needed to operate such tally accounting softwares.

Financial Accounting Software

All records that affect the assets and liabilities of an organization such as journals, financial statements, and trail balance are maintained in financial accounting softwares. They aid in keeping track of the profitability and liquidity of any company. They have a journal in which each transaction created is given a code and all details related to it are recorded such as the date, amount of cash, type of transaction and other related information. Each transaction is categorized into different types to facilitate analysis. Trail balance to equalize the debit and credit entries can be conducted in these softwares. Furthermore, various financial reports can be generated that assist stakeholder decision making.

Written by Lucy King

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