The Technique Amounts to Transcription

Transcription totaling techniques become important as transaction volumes grow. journaling and posting
both involve copying data from one place to another; often this information is almost identical both for
journaling and posting. A total of one writing system has been designed to reduce the clerical function of
journal creation and posting in a manual system. Figure 4-6 illustrates a whiteboard that is often used in
manual systems. a whiteboard is designed to allow simultaneous recording of several documents that
are arranged extraordinarily and stored on a special board. in preparing payroll, for example, Arabs
prepare current income statements and examine each employee, payroll register, and update the
cumulative income record for each employee. Through the use of a blackboard it is possible to prepare
all three things, which contain identical data, in one writing. the payroll list is placed on the stake on the
board first and covered with carbon paper. Next, a group of payment checks and statements of opinion
placed on the stake on carbon paper and payroll.

the appropriate income record for the first employee is selected and entered between the first check
and payroll list. When the payroll clerk completes the income statement, the data will be simultaneously
recorded on the income record and payroll register due to proper carbon placement. This one writing
technique eliminates the need to write the same data in two additional notes. one-writing techniques
can be used wherever this is feasible operationally. Other possibilities include invoicing, accounts
payable, cash receipts and cash disbursements. Another advantage of a one-writing system is that they
ensure consistent information; for example, because what happened to the check has been corrected, it
is not necessary to prove a line that can be compared to other media

Bookkeeping Without a Ledger

bookkeeping system without a ledger is a form of data processing in which the original document that is
archived rather than written is written ("posted") to other media. The archives of the source document
function as (and therefore physically replace) separate ledgers. accounts receivable and accounts
payable systems are usually very suitable for bookkeeping applications without ledgers. in a strict sense,
bookkeeping without a ledger does not involve 'posting'. this is only possible under rather limited
conditions. without posting means that the checking account will not be periodically sent to the
customer. Thus, a non-accounting system is more appropriate for situations where industry practice is to
pay invoices rather than monthly checking accounts. further restrictions Regarding payments to
accounts: if payments are made with the right amount of invoices, a system without bookkeeping can be
cost effective due to the minimum clerical effort required (see figure 4-7 for a diagram of this ideal
situation) if partial payments on accounts are common , or sales and wage returns and other invoice
adjustments are common, bookkeeping without ledgers will require large modifications and posts and
will only differ slightly from the normal system. for example, if a partial payment is made, the Payment
must be posted to the relevant invoice or a special partial payment slip must be prepared and placed in
the invoice file. In addition, a memorandum must be made in the "paid in" file. a situation where
bookkeeping without a ledger has traditionally functioned very efficiently is where there is periodic
billing for a fixed small amount. this situation is common for monthly and periodic magazines that charge
small amounts regularly.

bookkeeping systems without ledgers have few advantages and hence less control than normal postal
systems. numerical control of the initial list document and batch and subdivision control of the archive to
maintain a reasonable batch size are important steps to replace the second (excess) record shortage of
transactions. if a factor is lost, Wrong archive or posted incorrectly there will be no second record to
assist in finding the error.

careful document flow design is essential for strong control. To illustrate, look at Figure 4-7 cash receipts
and related news in the archive by date. If a customer complains that the payment is not credited to his
account, one can take the payment date stated by the customer by efficiently searching the records for
evidence of the transaction. if the news follow the archive by the date of this situation will become much
more boring. Of course, archiving both with customer dates and accounts is preferred, but this involves a
form of transcription that is exactly what the system without ledgers wants to avoid.

computer processing

when a computer is used to process transactions it is possible to have two different ways to process
accounting transactions. this method is batch processing and direct processing. Conceptually batch
processing is very similar to a manual accounting system. This transaction archive is accumulated as a
transaction archive. This transaction archive is an equivalent computer from a journal in a manual system
which is a collection of similar transactions. Transaction records are usually printed to provide
documentation entered into the accounting system. The transaction archive is then posted to the ledger
by a computer program.