Q1. Bookkeeping -is the process of recording, in chronological order, the daily transactions of a business entity. It forms part of the accounting information system.
Role of Bookkeepers in Business
The role and work responsibility of a bookkeeper in a business organization are the following:
• Collect, identify, analyze and file document.
• Record valid business transactions, in order of occurrence in the book of accounts.
• Responsible for ensuring accurate and complete records of financial business transactions.
• Answer queries raised by internal and external auditors in times of audit or tax auditors.
Difference between an accountant and a bookkeeper
A bookkeeper does the bookkeeping process while an accountant performs the whole accounting process – which involves recording, analyzing, classifying, summarizing, reporting and interpreting the financial information of a business.
A bookkeeper handles recording alone while an accountant has a wider range of responsibility compared to a bookkeeper.
Due to the simple nature of work of a bookkeeper, it made the job position open to anyone who has knowledge and understanding of the bookkeeping process. As such, even non-accounting graduates can become a bookkeeper.
Being an accountant, on the other hand, is a more complex and highly technical profession that can only be performed by accounting graduates or professionals. To be qualified as an accountant, one must have a Bachelor's Degree in Accountancy. For some business or organization, passing the accountancy licensure exam and gain the title, Certified Public Accountant (CPA), is required.
What is an auditor? An auditor is someone who handles the validity and reliability of a company or organization's financial statements.
The auditor's write report at the conclusion that determines the level of accuracy and clarity that the organization has accounted.
Who is a tax agent?
A person who prepares income returns filed by 10 or more taxpayers,
• a practitioner carrying on a professional public practice
Areas where a bookkeeper could handle?
• Record valid business transactions.
• Ensuring accurate and complete records of financial business transactions
Q3. Active listening –Is a way of mindfully and attempting to comprehend the meaning of spoken words by another in a speech it is important because it helps in taking correct data as result of being attentiveness,
Closed question-A closed questioned is answered with either 'yes' or 'no'.
Examples, How old are you?
Open question- a question that cannot be answered with a yes or no but requires a developed response.
Example, how did you feel after the operation?
Q4. Action oriented question-involving practical question to solve a problem.
Example Did Juma manages to solve the mathematic equation?
Problem-solving question- is question meant to provide details of a circumstance.
Examples, what account should this expense fall under?
Encouraging question- they are word meant to inspire with hope, courage, or confidence
Example, Did Jane attend prayers for Juma Anderson son?
Q5. Various Records A Business Must Keep For ATO
1. Capture and registration of records
2. Control/access/tracking of records
3. Usability, reliability and accuracy of records
4. Preservation and storage of records
5. Disposal of records.
Q6. Activities that fall outside the role of a bookkeeper?
• Summarize reports of the business transactions to facilitate professional accountants in preparing financial statements.
• Assist in preparation and filing of tax returns. In small business, bookkeepers are the one who prepares the tax returns.
As a bookkeeper in need professional advice, on how to conduct research? Explain with examples.
1.Confidentiality and privacy
Respondents should be protected by keeping the information given confidential, especially if confidentiality has been promised. In some cases, the respondents may not be concerned about confidentiality but their consent must be sought before revealing any information. Lack of confidentiality and mishandling the information provided may cause respondents physical or even psychological harm. For example, releasing the financial status of the company as bankrupt may stigmatize company operation thus loose credit facilities that could be disadvantageous to it.
2.Physical and psychological harm
A researcher should never undertake research that may cause physical or psychological harm. A researcher should do all the preliminary tests and obtain all the background information to avoid imparting any harm to subjects.
Voluntary and informed consent
The unethical behavior would occur if the researcher failed to disclose the real purpose of the research fearing the subject's refusal to participate.
It is also unethical to get permission from a matter if that permission based on deception as regards the reasons for undertaking research or the intended use of research findings. A subject must be told the truth and be given facts about the research to make an informed decision about participating or not.
Q7. the benefits of feedback sought for professional service
-it helps understand the organization and make the right decision
Q8. established ethical principles for the accounting profession
* Professional Competence and Due Care
* Professional Behavior
Q9. Continuous professional development- refers to the process of tracking and documenting the skills, knowledge and experience that one gain both formally and informally as you work, beyond any initial training. It is a record of what one experience, learn and apply.
The role of continuous professional development?
The CPD process helps one manage her/his development on an ongoing basis. Its primary objective is to help record, review and reflect on what one learn
* When was it published or written?
* What kind of document is it? (Books can provide basic information, journals up-to-
date accounts, government papers detailed policy.
* Is it an advanced or basic item? Is the material in non-printed form?
Q12. Systems bookkeeper should develop if they are not in place for better compliance and information dissemination regarding the financial position of the stakeholders of the company?
Learning the types of bookkeeping systems is essential in identifying which one to adopt and use in keeping the records of business transactions. By studying the different bookkeeping systems, single-entry bookkeeping, double-entry bookkeeping, manual bookkeeping and computerized bookkeeping one will determine the most appropriate system company or client that one serve.
Q2.1.1 By ensuring that correct and accurate data is captured in the book of original entry
By ensuring that client, payment is made on time.
By advising the company to adopt a better system of recording transaction.
.Q2.1.2 Please describe how one should use research skill for developing policy and procedure materials.
By ensuring he/she make wise decision based on the finding of the research
Q2.2. Advice the company to use any financial software that is affordable & reliable.
• Accounting system software
• bookkeeping systems,
• computerized bookkeeping
What are the legislative, statutory, regulatory and industry requirements for bookkeeping activity? Moreover, it importance
Q2.6 They must have good communication skills. If a bookkeeper does not understand something, they've got to be willing to ask for clarification or help. Communication is serious so that one will have a good understanding of what's taking place in the office. A bookkeeper must be interested in continuing their education. They should be dedicated to enhancing their skills with additional classes or self-study and update with the accounting skills your business demands. One must understand how to do proper job costing. It is critical to the success of knowing how much one project cost.
Q2.5 Importnce of information technology
Marketing and Business Growth-The heart of the business success lies in its marketing that enables the management to identify its target audience first and then observe their trends and needs.
Decision Making-Speed and accuracy are at the heart of making the right decision for your business. Every successful organization has to go through a comprehensive market research process that enables management to make the right decision
Customer Support and Satisfaction-Higher level of customer satisfaction are the key to success which cannot be achieved without a real-time customer support process. Business success depends on knowing its customers needs, trends, behaviors and satisfaction level.
Resource Management and Globalisation-Resource management plays a crucial role in business success. When it comes to medium or large organization, it is very hard for the top management to manage all the resources manually. These resources may include tangible, financial or human resources. Information technology has played a vital role in automating such complex problems by introducing user-friendly solutions.
Q2.8 CPD work to improve your skill and inform to HRD department
Training and planning development.
Helps indecision making
Sales records: Sales invoices
Purchase / expense records: Invoice of good purchase/expense
Yearend Income Tax: Net profit
Payments of employees: Salaries expense invoices
PAYG withholding for business payments
Fuel tax credits: expense
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