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sima002
Level 2

Advantages & Disadvantages of Automated Accounting

What are the advantages and disadvantages of computerized accounting?

Solved
Best answer December 15, 2020

Best Answers
john-pero
Community Champion

Advantages & Disadvantages of Automated Accounting

Let me start with one advantage that can also be a disadvantage.

 

Computerized accounting gives you the ability to manage volumes of data compared even to a digital spreadsheet and replaces multiple paper ledger books.

 

However, if you lose sight of what your answer(s) should look like, you run the risk of generating bad data due to bad data or initial account setup.

 

Back in the days of IBM 360's and card readers, one errant character in a line of code would ruin your night's work. We called that GIGO, or "garbage in garbage out" and it holds true for accounting and even, or especially at the checkout line at your local store. 

 

That being said, an individual does not need to be a rocket scientist to keep the books for a business, in fact rocket scientists would take forever, triplicating each minor detail. But without the basic grasp of grammar school math learned WITHOUT  a calculator, one can make simple mistakes along the way even with a computer at hand. 

 

Correlate it to a built in spell checker in your computer or even your phone, if you don't pay attention to what you type tjisiswgaguoyget, lol

 

View solution in original post

1 Comment
john-pero
Community Champion

Advantages & Disadvantages of Automated Accounting

Let me start with one advantage that can also be a disadvantage.

 

Computerized accounting gives you the ability to manage volumes of data compared even to a digital spreadsheet and replaces multiple paper ledger books.

 

However, if you lose sight of what your answer(s) should look like, you run the risk of generating bad data due to bad data or initial account setup.

 

Back in the days of IBM 360's and card readers, one errant character in a line of code would ruin your night's work. We called that GIGO, or "garbage in garbage out" and it holds true for accounting and even, or especially at the checkout line at your local store. 

 

That being said, an individual does not need to be a rocket scientist to keep the books for a business, in fact rocket scientists would take forever, triplicating each minor detail. But without the basic grasp of grammar school math learned WITHOUT  a calculator, one can make simple mistakes along the way even with a computer at hand. 

 

Correlate it to a built in spell checker in your computer or even your phone, if you don't pay attention to what you type tjisiswgaguoyget, lol

 

View solution in original post

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