Overview of Computerised Accounting System
Class 12 · Accountancy
3 ideas in Class 12 Accountancy, explained in plain words, with games and quizzes to practise.
Manual versus Computerised Accounting
Part of: Machine accounting
Computerised accounting records transactions with hardware commanded through accounting software, while manual books rely on handwriting and hand totals. Machines bring speed, accuracy, tidy print and timely reports. For example, a trial balance that takes a day by hand appears in seconds on screen.
Why it matters. Choosing the right system decides cost, speed and trust. Knowing the gains also warns where machines cannot help, such as bad inputs.
Key words
- CAS
- : Machine accounting with software.
- Speed
- : Fast totals and reports.
- Accuracy
- : Error-free arithmetic.
- Timeliness
- : Reports ready when needed.
Try it in two minutes
- Add one page of numbers by hand and time it.
- Total the same page on a calculator. Ask: which was faster?
- Print the result neatly. Ask: which copy reads better?
Try at home. List 3 jobs where a shop gains by moving from hand books to software.
Components of CAS
Part of: Machine accounting
A computerised system stands on five parts: people who run it, procedures or steps for each transaction, data or raw facts fed in, hardware like computers and printers, and software from system programs to accounting packages. Hardware alone computes nothing without the other four. For example, sales data moves through billing steps on a computer using accounting software operated by trained staff.
Why it matters. A missing part stalls the whole chain. Blaming machines for bad data or missing steps wastes money on the wrong fix.
Key words
- People
- : Trained users and operators.
- Procedure
- : Steps for each transaction.
- Data
- : Raw facts fed as input.
- Hardware
- : Computers and devices.
- Software
- : System and accounting programs.
Try it in two minutes
- Name 5 fingers as people, steps, data, machines, programs.
- Fold one finger down. Ask: can the hand still grip?
- Feed wrong data and watch reports fail. Ask: which finger failed?
Try at home. Name the 5 parts and give one example of each from a shop.
AIS, Advantages and Limitations
Part of: Systems and limits
An Accounting Information System collects, processes and shares account information for decisions, using the same five parts at a larger scale. Machine books add speed, accuracy, tidy output and easy scaling, but they cannot judge, they repeat bad inputs faithfully, and they face hacking, virus, cost and training needs. Controls like passwords and checks guard the gates.
Why it matters. Blind faith in machines breeds costly shocks. Knowing both powers and limits guides smart spending on software, safety and skills.
Key words
- AIS
- : System sharing account information.
- Scalability
- : Easy growth with volume.
- GIGO
- : Wrong in, wrong out.
- Controls
- : Guards like passwords and checks.
Try it in two minutes
- List 4 powers: speed, accuracy, neatness, growth. Ask: which helps most?
- List 4 limits: no judgment, bad inputs, hacking, cost. Ask: which scares most?
- Add 2 guards: passwords and checks. Ask: what does each guard?
Try at home. Name 2 advantages and 2 limits of machine books for a small shop.
What your child will practise
- AIS, Advantages and Limitations: Desert Puzzle (Clue Puzzle)
- AIS, Advantages and Limitations: Desert Quick Fire (Quick Fire)
- Components of CAS: Jungle Quest (Flip and Match)
- Components of CAS: Space Puzzle (Clue Puzzle)
- Manual versus Computerised Accounting: Ocean Quick Fire (Quick Fire)
- Quiz: AIS, Advantages and Limitations (8 questions)
- Quiz: Components of CAS (8 questions)
- Quiz: Manual versus Computerised Accounting (8 questions)