ICT in the finance department Flashcards
(12 cards)
Online banking
transfer wages into employees accounts
used to pay bills
set up an overdraft without travelling to the bank
Powerpoint
present to staff the profit figures from the previous year
Word
create invoices to send to customers
prepare financial reports
Internet
check share prices
check exchange rates
tax can be paid online to the inland revenue
compare lenders to get the lowest interest rate on a loan
Facetime
finance manager can hold meeting with other managers without leaving the office
send customers invoices
send customers a copy of their receipt
send employees a pay slip by attachment
Spreadsheet
create a cash budget
create a statement of financial position
create an income statement
produces graphs and charts in profit levels
formulae can be used to calculate profit/losses
Advantages of spreadsheet
formulae are amended automatically when the spreadsheet is amended
minimises human errors
formulae can be replicated
easy to edit
conditionally format data
can secure data with passwords
can use templates for financial statements
Costs of using ICT to manage finance
chance of fraud
financial costs of purchasing the technology
financial cost of training your employees
system may crash
Benefits of using ICT to manage finance
records are kept of all transactions
improved control of finance even when the banks are closed
Describe the benefits of online banking
Saves on travel expenses as you don’t have to travel to the bank
Banks can close stores and reduce staffing levels
Online support available at all times
Accessible access to finance 24/7
Describe EFTPOS benefits
Transactions are immediate
Fraud is identified faster
Streamlines customers’ purchases as it enables cashless sales/convenient for customers
Lowers labour costs with automation of transactions at self-checkouts
