The Contribution of Computerized Accounting System in the Performance of Selected Credit Cooperative
The Philippine Code of 2008 (RA 9520), Article 23 defined Credit Cooperative as one that promotes and undertakes savings and lending services among its members. It generates a common pool of funds in order to provide financial assistance and other related services to its members for productive and provident purposes.
Accounting is the backbone of business. It is the method on which financial information is gathered, processed and summarized into financial statements and reports. It provides information used for decision making.Every business has numerous processes. Some simple, others complex and cumbersome. But as the business grows, acquires new customers, enters new markets and keeps pace with constant changes in statutory regulations the company will need to maintain highly accurate and up-to-date accounting, inventory and statutory records. Credit Cooperative undertakes savings and lending services among its members, the accounting transaction involve in the credit cooperative are complex and vary from one credit coop to the other.
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There is where accounting and computerized accounting system will find its necessity.Computerized accounting helps simplify, integrate, and streamline all the business processes, cost-effectively and easily. In this generation, computers are being used by industries, companies, schools and cooperatives. Particularly credit cooperative use computers in making their task easier and convenient and to produce more reliable outputs. The usage of Computerized Accounting System (CAS) in business like cooperative are prevalent. Computerized Accounting System is designed to automate and integrate all business operations such as sales, finance, purchases, inventory and manufacturing.It has the ability to handle huge volumes and transaction without compromising on speed or efficiency.
Computerization can be the most basic yet efficient process cooperative can demand in every department. Being accountants, it is common to commit a mistake or errors in recording the accounts because of its similarities. However the Computerized System can lead us into one question, what is the contribution of Computerized Accounting System in the performance of selected Credit Cooperative.We are the 3rd year students of College of Cooperatives taking the course of Bachelor in Cooperatives with an option in Financial Management and Accounting undertake research and our research title is “The Contribution of Computerized Accounting System in the Performance of Selected Credit Cooperatives in Bulacan. ” THE OBJECTIVES OF THE STUDY B. In doing this research, our objectives are:
- To discuss what is a computerized accounting system (CAS) and its role, importance, limitations, benefits and drawbacks of computerized accounting system (CAS) that gives cooperatives the latest and greatest functionality of CAS. To identify factors which influence the users in using the CAS and how it can affect to the flow of work in the individual departments.
- To cite ways wherein cooperatives can minimize or solve their existing business problems and what type of information a cooperative need from the CAS in order to answer business or management questions and make economic decisions.
- To determine the value adding attributes of the CAS, evaluate the parameters of the effectiveness of the software tools and how these software tools provide quality to the business conduct and therefore to the success of the business. To increase the overall understanding in the current software utilization trend and to build theories on how credit cooperative could maximize the potential.
- To create a more secure environment to the business owners/managers for their financial and central information collection among credit cooperatives.
- To be able employees to assess the system and control the cash flow of the business to prevent and handle situations of flaud, internal theft and making changes to the budget to suit financial plans. To cite requirements in the institutioning computerized accounting system in cooperatives.
THE PURPOSE AND SIGNIFICANCE OF THE STUDY
The importance of the study is to deliver the ideas that computerized accounting system has a big contribution to a business and also to cooperative.
Computer has enhanced the technical knowledge and operations and has been various accessed the latest information. It helps people especially accountants to make their task easier with less time and avoid errors in entering the accounts and transaction, from manual to a computerized one.