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

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Todays Objective
Use the Accounting Software that is on Every
Desktop
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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/to
  c.htm

Carol Yacht, Author
Accounting Software on Every Desktop
February 19, 2005
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Retention Rates Learning Pyramid
National Training Labs, Institute for Applied
Behavioral Science Bethel, Maine

Carol Yacht, Author
Accounting Software on Every Desktop
February 19, 2005
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• What are the Critical Technology Skills?
• Windows
• Internet
• Email
• Word processing
• Spreadsheet
• Database
• Presentation
• Accounting software

Carol Yacht, Author
Accounting Software on Every Desktop
February 19, 2005
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2005sTop Technology Issues

• Paperless Office
• Radio Frequency Identification (RFID)
• www.microsoft.com/BusinessSolutions/scm_chip.aspx
  
• Integration of Web-based activities
• Data mining and business intelligence
• Voice over Internet Protocol (VOIP)
• Viruses and Internet Security
• Document management techniques
• Accounting Technology magazine
  www.webcpa.com/article.cfm?articleid9497pgaccte
  ch

Carol Yacht, Author
Accounting Software on Every Desktop
February 19, 2005
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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/smallb
  usiness/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
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Software Integration
Publisher PowerPoint
Word Processing
Word

• Bus. Educ. courses

IE Digital tools
Business Technology Skills
Excel Access
Carol Yacht, Author
Accounting Software on Every Desktop
February 19, 2005
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Software Integration
Accounting I
Excel
AA CYGL Peachtree QuickBooks

• Accounting courses

Accounting II
Access
Great Plains MAS 90 200
Carol Yacht, Author
Accounting Software on Every Desktop
February 19, 2005
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Accounting Software Market

• 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.

A Strategy for Finding the Right Accounting
Software, Journal of Accountancy, September 2003
www.aicpa.org/pubs/jofa/sep2003/johnston.htm
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• 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
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General Ledger Software Design
Carol Yacht, Author
Accounting Software on Every Desktop
February 19, 2005
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General Ledger System
Carol Yacht, Author
Accounting Software on Every Desktop
February 19, 2005
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Market Share QuickBooks/Peachtree/Other
Accounting Technology, December 2002
Carol Yacht, Author
Accounting Software on Every Desktop
February 19, 2005
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Peachtree/QuickBooks Pros Cons

• Peachtree 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
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Peachtree QuickBooks CD version
Software 2005 Educational Cost 2005 Retail Cost
Peachtree Free to schools www.peachtree.com/training/educational_partnerships.cfm 399.95
QuickBooks Educational pricing 259 - 599 www.intuitadvisor.com/education 199.95 to 1,499.95
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Application Service Providers Web delivered

ASP 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/
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Using Spreadsheets in Accounting

• In 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
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Excel balance sheet
Carol Yacht, Author
Accounting Software on Every Desktop
February 19, 2005
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Excel income statement
Carol Yacht, Author
Accounting Software on Every Desktop
February 19, 2005
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Questions?