Page 6 - Lesson Note

In this system final statement is
prepared by computer with
help of software.

Sourcing of Accounting Software
India is one of software making country. So, accounting softwares are easily available
in Indian Market. But it is more important to know what is your need of accounting
software.

Generally, Tally accounting software is used in India which is easily available in
market.

Accounting Softwares
(1) Readymade Software: Readymade Software are the software that are developed
not for any specific user but for the users in general. Some of the readymade
softwares available are Tally, Ex, Busy. Such softwares are economical and ready to
use. Such softwares do not fulfill the requirement of very user.
(2) Customised Software: Customised software means modifying the readymade
softwares to suit the specific requirements of the user Readymade softwares are
modified according to the need of the business Cost of installation, main tenance
and training is relatively higher than that of readymade user. There packages are
used by those medium or large business enterprises in which financial transactions
are some what peculiar in nature.
(3) Tailor-made Software: The softwares that are developed to meet the
requirement of the user on the basis of discussion between the user and developers.
Such softwares help in maintaining effective management information system. The
cost of these softwares in very high and specific training for using these packages is
also required.
Generic Considerations Before Sourcing Accounting Software
(i) Flexibility: a computer software system must be flexible in respect of data
handling and report preparing.
(ii) Maintenance Cost: The accounting software must be such which has less
maintenance cost.
(iii) Size of organisation: The accounting software must be according to need and
size of organisation.