IT APPLICATION TOOLS IN BUSINESS

OVERVIEW

In modern business accounting transactions are

processed through computers. Usage of computers and
Information Technology (IT) enables a business to
quickly, accurately and timely access the information
that helps in decision-making. This sharpens the
competitive edge and enhances profitability. Computer
systems work with the data which is processed by the
hardware commanded by the user through software.
The manual system of recording accounting transactions
requires maintaining books of ac­counts such as journal,
cash book, special purpose books, and ledger and so on.
From these books summary of transactions and financial
statements are prepared manually.

The advanced technology involves various machines,

which can perform different accounting functions, for
example a billing machine. This machine is capable of
computing discount, adding net total and posting the
requisite data to the relevant accounts.
As a result, the maintenance of accounting
data on a real-time basis became almost
essential. Now maintaining accounting
records become more convenient with the
computerized accounting.