accounting software on every desktop: implications for business education
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Accounting Software on Every Desktop: Implications for Business Education. Carol Yacht, Author Jerome, AZ www.mhhe.com/yacht. Today’s Objective. Use the Accounting Software that is on Every Desktop. Why integrate technology?. - PowerPoint PPT PresentationTRANSCRIPT
Accounting Software on Every Desktop: Implications for Business Education
Carol Yacht, AuthorJerome, AZ
www.mhhe.com/yacht
Use the Accounting
Use the Accounting
Software that is
on
Software that is
on
Every Desktop
Every Desktop
Today’s Objective
Why integrate technology? Because there is a gap between how we teach
and what is done in the business world. Because we need to teach students how
technology has reshaped business.* There is a 75% retention rate with hands-on
practice.
*W. Steve Albrecht, Brigham Young University; Robert J. Sack, University of Virginia; study published by American Accounting Association, 2000. http://aaahq.org/pubs/AESv16/toc.htm
Carol Yacht, Author Accounting Software on Every Desktop February 19, 2005
5% ____________Lecture
10%___________Reading
20%___________Audio-Visual
30%___________Demonstration
50%___________Group Discussion
75%_____________Practice by Doing
90%: Teach Others - Immediate Use
Retention Rates Learning Pyramid*
Carol Yacht, Author Accounting Software on Every Desktop February 19, 2005
*National Training Labs, Institute for Applied Behavioral Science; Bethel, Maine
What are the Critical Technology Skills?
WindowsInternet
EmailWord processing
Spreadsheet Database
PresentationAccounting software
Carol Yacht, Author Accounting Software on Every Desktop February 19, 2005
2005’sTop Technology Issues* Paperless OfficeRadio Frequency Identification (RFID)
www.microsoft.com/BusinessSolutions/scm_chip.aspx Integration of Web-based activitiesData mining and business intelligenceVoice over Internet Protocol (VOIP)Viruses and Internet SecurityDocument management techniques
*Accounting Technology magazine www.webcpa.com/article.cfm?articleid=9497&pg=acctech
Carol Yacht, Author Accounting Software on Every Desktop February 19, 2005
What software does business use?Microsoft Office Suite:
Word Excel Outlook, PowerPoint, Publisher, Access Internet Explorer Small Business Accounting
www.microsoft.com/office/editions/prodinfo/smallbusiness/accounting/default.mspx
Accounting: Quicken, Peachtree, QuickBooks, Microsoft Business Solutions-Great Plains, ACCPAC, Simply Accounting….
Carol Yacht, Author Accounting Software on Every Desktop February 19, 2005
Software Integration
Bus. Educ. courses
Business Technolog
y Skills
Word
Word Processing
PublisherPowerPoint
ExcelAccess
IEDigital tools
Carol Yacht, Author Accounting Software on Every Desktop February 19, 2005
Software Integration
Accounting courses
Accounting
II
AA; CYGLPeachtreeQuickBook
s
Accounting I Excel
Great PlainsMAS 90 & 200 Access
Carol Yacht, Author Accounting Software on Every Desktop February 19, 2005
Accounting Software Market*
*A Strategy for Finding the Right Accounting Software, Journal of Accountancy, September 2003; www.aicpa.org/pubs/jofa/sep2003/johnston.htm
Entry-level software: Businesses with sales of up to $5 million; up to 20 employees; 5 million companies.
Small to medium business software: Business with sales of up to $100 million; up to 100 employees; 516,000 companies.
Small to medium enterprise software: Organizations with revenues up to $500 million; up to 500 employees; 84,000 companies.
Enterprise resource planning software: Organizations with revenues exceeding $500 million; up to 500 employees; about 17,000 companies.
Form-based-- source-document screens for data entry; e.g., purchase orders; sales orders; checks. Cash transactions and bank reconciliation.Customer and Vendor transactions .Numerous reports including financial statements.Payroll accounting option (fee-based service).
Carol Yacht, Author Accounting Software on Every Desktop February 19, 2005
General Ledger Software Design
Carol Yacht, Author Accounting Software on Every Desktop February 19, 2005
User's or Practitioner's
approachPeachtree
GL Cycle
Debit/Credit
Paradigm
General Ledger System G/L
CofA GJ GL
A/R
CRJ SJ
A/P
CDJ PJ
Inventory
CGSJ Valuation
Jobs
Prof. Rep Job Ledger
Payroll
Pay. Jrnl RegistersTax Forms
Carol Yacht, Author Accounting Software on Every Desktop February 19, 2005
45% QuickBooks
35% Peachtree
20% Other
Market Share: QuickBooks/Peachtree/Other*
Carol Yacht, Author Accounting Software on Every Desktop February 19, 2005
*Accounting Technology, December 2002
Peachtree/QuickBooks Pros & ConsPeachtree reinforces traditional
accounting. QuickBooks does not follow the
debit/credit paradigm. Peachtree is double-entry accounting.
QuickBooks is single-entry.Peachtree organizes records by monthly accounting periods.
QuickBooks has one set of data for the entire year.Peachtree is free to schools.
QuickBooks is purchased by schools.Carol Yacht, Author Accounting Software on Every Desktop February 19, 2005
Carol Yacht, Author Accounting Software on Every Desktop February 19, 2005
Peachtree & QuickBooks: CD Peachtree & QuickBooks: CD versionversion
Software 2005 Educational Cost
2005 Retail Cost
Peachtree Free to schoolswww.peachtree.com/training/educational_partnerships.cfm
$399.95
QuickBooks
Educational pricing $259 - $599
www.intuitadvisor.com/education
$199.95 to $1,499.95
Carol Yacht, Author Accounting Software on Every Desktop February 19, 2005
Application Service Providers: Application Service Providers:
Web deliveredWeb deliveredASP 2005 Retail Cost Free Trial Period
ePeachtree
$14.99/month 30 days
www.peachtree.com/epeachtree
QB Online Edition
$19.95/month 30 days
http://oe.quickbooks.com/
Using Spreadsheets in AccountingIn a spreadsheet accounting course, students apply accounting procedures to Excel. Topics include: Excel tutorial - learn basic spreadsheet elements, such
as how to move around, enter data, save, format, use page setup and print.
Accounting projects - use Excel templates to manipulate accounting data; analyze spreadsheets. Reinforce financial and managerial accounting concepts.
Model building - build spreadsheets from scratch. For example, payroll, depreciation, amortization schedules.
Case problems - advanced model-building projects.
Carol Yacht, Author Accounting Software on Every Desktop February 19, 2005
Excel balance sheet
AssetsCash 5,600$ Accounts receivable 2,000 Supplies 575 Prepaid insurance 2,200
Equipment 50,000$ Accumulated depreciation-Equipment 25,000
25,000 Total Assets 35,375$
LiabilitiesAccounts payable 2,300 Notes payable 7,000 Salaries payable 700
Total Liabilties 10,000$
Owner's EquityCapital 25,375
Total Liabilities and Owner's Equity 35,375$
Mike's Surf and SeaBalance Sheet
As of 12/31/03
Carol Yacht, Author Accounting Software on Every Desktop February 19, 2005
Excel income statement
RevenuesService revenue 35,000$
ExpensesSalaries expense 8,700$ Rent expense 1,200 Utilities expense 800 Advertising expense 300 Insurance expense 400 Depreciation expense 5,000 Supplies expense 925
Total Expenses 17,325
Net Income 17,675$
Mike's Surf ShopIncome Statement
for the year ended 12/31/03
Carol Yacht, Author Accounting Software on Every Desktop February 19, 2005
Questions?