This case study is designed to introduce you to using double entry computer accounting…

This case study is designed to introduce you to using double entry computer accounting
software for a small business. It covers many of the common business transactions including
those which have covered in class. This assignment will also include Goods and Services Tax
(GST) calculations as this is embedded in the accounting software, but is not examined.
This assignment is not meant to be a data entry exercise, but you are required to carefully
record each transaction, understand how the software records these transactions in both the
general and subsidiary ledgers and create reports and then analyse and understand these
reports.
Accountants were one of the first professions to use accounting software. XERO is a relatively
new and now widely used software as it has a number of innovative features, such as: –
– The software application is in the ‘cloud’ so it can be accessed anywhere in the world on
any connected device and there is no software to load onto computers;
– The software is updated regularly by Xero, so no updating required by users;
– The software links to other applications easily such as bank accounts – bank transactions
are uploaded automatically when the user logs into the application;
– Written in user friendly language rather than being for ‘accountants.