Analysis of Cloud Accounting Systems for Goodie Gumdrops: A Report

This report provides a comprehensive analysis of cloud accounting for Goodie Gumdrops, a startup wholesaler. It explores the advantages of cloud-based systems, such as adaptability, accessibility, and efficient data management, while acknowledging the drawbacks, including cost and data security concerns. The report recommends Xero as a suitable cloud accounting solution, highlighting its features like dashboards, easy recording, and financial statement capabilities. It includes financial statements, such as a Profit and Loss Statement, Balance Sheet, and Trial Balance, along with aged payable and receivable details and an inventory item summary. The report also references several sources on cloud computing and accounting software to support its findings and recommendations.

Client Name: Goodie Gumdrops
Your name:
Accounting Information System
Date:
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Executive summary
Cloud based accounting system is more adaptable. Bookkeeping information should be possible
from anyplace on any gadget with a web association, instead of to be sit on one start PC. Cloud
bookkeeping will surrender you to-date and current monetary data that will help you to roll out an
improvement in your business.
Reinforcement
Every one of the information will be spared, if there should be an occurrence of any hardship
however you can't do this with paper records unless you make a duplicate of information.
Efficient
Cloud bookkeeping is time advantageous you can recover information more effortlessly than
information from conventional bookkeeping.
As we know nothing is immaculate, so cloud bookkeeping likewise has a disservice:-
Cost of cloud bookkeeping is useful for huge undertaking, yet it is expensive for private company. On
the off chance that the information is transferred on cloud then it implies you have no influence over
it. It must be served over the world.
One ought to need to require an assurance against information lost through power disappointment,
infections and from programmers. You likewise ensure about the information you go into the
framework will be right, else it can devastate the entire arrangement of information.
Recommendation:-
Despite of all drawbacks, I will recommend Cloud Accounting to “Goodie Gumdrops” because now-a-
days business is moving fast and in this fast moving world we have to adopt new technology. The
organisation like Goodie Gumdrops is a start-up wholesaler and thus, it needs minute monitoring to
attain success in the longer run. The factors like dashboard, easy recording, minimum cost,
appropriate financial statements indicates that Xero will be an effective cloud based accounting
system.
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Financial reports for Goodie Gumdrops
Assumptions:
1. For the purpose of financial transaction, a bank account named Goodie Gumdrops has been
established, where opening balance was 0.
2. All items were purchased @ $10.00 per unit;
3. All items were sold @ $15.00 per unit;
4. In case paid date is missing, it was set as one month credit period, that is for 3rd july the due date
will be 3rd august;
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Profit and Loss Statement:
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Balance Sheet
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Trial Balance:
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Aged payable (details)
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Aged receivable (details)
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Inventory Item Summary
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Reference List
Ma, X. (2015). The adoption of cloud computing for small and medium accounting firm
Mageto, J. (2017). Accounting Softwares in Australia. An Overview.
Powell, R. (2015). Xero founder warns of public growing pains.
Smith, H. (2017). Xero for dummies. John Wiley & Sons.
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