MYOB Exercise Report: Evaluating MYOB Software for Direct Imports

This report provides a comprehensive analysis of MYOB software, focusing on its application to the case study of Direct Imports, a distributor and wholesaler. The report begins by outlining the specific functions of MYOB software, such as customer and supplier database management, payroll processing, invoice management, and bank account synchronization. It then delves into the issues associated with manual accounting systems, including time consumption, error proneness, and security risks. The benefits of online accounting software tools are subsequently explored, highlighting time-saving capabilities, reduced errors, and improved financial management. The report further discusses how MYOB software can be utilized in specific economic transactions at Direct Imports, such as sales, purchases, and payments. Finally, it addresses potential risks and limitations that Direct Imports may encounter during the implementation of MYOB. The report concludes by emphasizing the advantages of adopting online accounting software like MYOB for businesses of various sizes.

Running head: MYOB EXERCISE
MYOB exercise
Name of the Student
Name of the University
Author Note

MYOB EXERCISE
Table of Contents
Introduction:...............................................................................................................................2
Discussion:.................................................................................................................................2
Outlining the specific functions of MYOB software:................................................................2
Identifying the issues of a manual accounting system:..............................................................3
Identifying the benefits of using an online accounting software tool:.......................................3
Usefulness of MYOB software in specific economic transactions at Direct Imports:..............4
Risks in implementing MYOB:.................................................................................................5
Conclusion:................................................................................................................................5
References list:...........................................................................................................................7

MYOB EXERCISE
Introduction:
The report is prepared to conduct analysis of case study of Direct Import that is a
distributor and wholesaler and specializes in musical instruments, pro audio and electronic
equipment. For the stock invoicing, the company relied on manual system and such system is
facing the issue and calls for updating so that a high level of service is continued to be
provided. In this regard, the benefits and specific functions performed by MYOB software is
outlined in the report.
Discussion:
Outlining the specific functions of MYOB software:
 MYOB software helps in tracking the database of customer and suppliers and the
database of MS access runs the information on products, inventory, suppliers and
customers.
 The most complex payrolls can be accessed using the MYOB software as all the
reports required by the management can be generated and it also helps in ensuring that
correct amounts are paid to the staffs and updating the management about all the
requirements of tax (Feng 2016).
 Provides assistance in managing the invoices, quotes and statements and making the
acceptance of payments using invoice. Any information that is required to be fed to
the banks is done by the software by syncing credit cards with the bank account.

MYOB EXERCISE
Identifying the issues of a manual accounting system:
 Manual accounting system is time consuming as prior to recording, it is important for
the accountants to locate journals and accountant. It is difficult for the accountant to
review the information and check account balances (McAtamney 2020).
 The process of manual accounting results in occurrence of frequent error and common
errors include recording of backward information, figures transposition and entering
information in account that is not correct.
 Manual accounting is difficult particularly for larger organizations due to the lack of
multiple ledger and journals. There exist the potentiality of duplication of the
information in the manual accounting system. For the business having one accounts
receivable, one payable, fixed assets and payroll makes the accountant to have access
to one journal at one point of time and this results in availabilities of fewer copies of
data (Fakieh et al. 2016).
 One of the greatest disadvantage of manual accounting system is the lack of security
and this causes the employees to have access to some confidential and sensitive
information in paper ledger and journals. This might results in abusing of the financial
information by way of embezzlement and frauds.
Identifying the benefits of using an online accounting software tool:
 One of the important benefits of using an online accounting software tool is time
saving as lots of time is wasted over bookkeeping manually. Using the online
software tool will help in simultaneous recording of back end transactions and
business documents of front end.
 The chance of committing error is reduced as the computerized calculations does not
make errors. Several tasks such as automatic calculation, producing pay slips and

MYOB EXERCISE
calculating pay is made automatic and this reduces the errors which often occurs in
the manual system of accounting.
 Increasingly advanced software is offered at lower prices with the improvement in
technology. Larger as well as smaller organization requires such software as business
are carried out in multiple locations (Kucherenko and Mirontseva 2017).
 Financial records can be maintained and created using computerized bookkeeping
which helps management in continuously monitoring the financial information.
 Cash flow is properly managed using the online software tool as the receivables and
payables can be recorded and tracked easily. In addition to this, Direct imports can
also avoid any overdraft charges and late fees using tool of online accounting
software.
 Various advanced features exist in the tool of online accounting software such as
sophisticated customization and salable databases. The growing demand and needs of
the business can be met by using the features of online software tool (Salim et al.
2016).
Usefulness of MYOB software in specific economic transactions at Direct Imports:
The economic transactions of Direct Imports limited can be carried out and recorded
easily using the software of MYOB. Such transactions include sales, purchase and payment
to suppliers or payment received from customers.
 The pay bill page of the software requires to include the details of each payments. In
for several bills, single payment is made then the individual amount is allocated in the
same window. The transaction of bank can be directly matched to the purchase if
import statements and bank feeds are used (myob.com 2020).

MYOB EXERCISE
 The economic transactions relating to sales made by Direct imports can be recorded
using MYOB software. All the information relating to sales such as track and send
invoices is entered in the sales command centre. All the details of sales are filled in by
adding the header and subtotals. Payment is recorded after the customer pays the total
amount and the invoice will be marked closed in the account right. Details of payment
would be automatically recorded in event of online payment made by the customers
(myob.com 2020).
 Economic transaction such as purchase can be recorded easily using the features of
MYOB software that has purchase command centre to track the money owed by the
business and records the total amount purchased. Track can be used to record the
orders, quotes and bills. All such function would help in seamlessly recording the
information (Yaftian et al. 2017).
Risks in implementing MYOB:
Some risks faced by Direct Import in implementing the MYOB software are as follows:
 Data security is one of the major risks faced by Direct Import while implementing the
software. That is breach of security is one of the risks in implementation of software.
 It is important for the business to protect the knowledge around the configuration,
system and maintenance and the ins and outs of workaround and particular payroll is
understood by few people in the organization.
 Loss of data is another concern in implementing software and this calls for the backup
to be in place.

MYOB EXERCISE
Conclusion:
The report addressing the benefits of online accounting software system ascertains
that the software such as MYOB is useful to the small and large scale business in recording
economic transactions. The shortcomings of manual accounting system is addressed by
updating to the online and cloud computing software such as MYOB. It is required by Direct
Imports to adopt such software to address the existing issues of manual accounting system.

MYOB EXERCISE
References list:
Fakieh, B., Blount, Y. and Busch, P., 2016. SMEs and cloud computing: The benefits to the
national economy and global competitiveness. In Conference: The 13 th European
Mediterranean & Middle Eastern Conference on Information Systems, EMCIS.
Feng, J., 2016, March. Research on Enterprise Internal Control Based on Accounting
Computerization. In 2016 International Conference on Education, Sports, Arts and
Management Engineering. Atlantis Press.
Kucherenko, V.A. and Mirontseva, S.S., 2017. DIFFERENCES BETWEEN MANUAL
AND COMPUTERIZED ACCOUNTING SYSTEM. In Recent Achievements and Prospects
of Innovations and Technologies (pp. 255-257).
McAtamney, P., 2020. IT and software: How CRM software can enhance customer
relationships. Australian and New Zealand Grapegrower and Winemaker, (673), p.80.
MYOB., 2020. Direct Import | Wholesale Distribution | Enterprise Case Studies | MYOB.
[online] Available at: https://www.myob.com/au/enterprise/case-studies/direct-import-
wholesale-distribution [Accessed 23 Mar. 2020].
Puspa, D.F. and Ilona, D., 2019, December. Behavioural Intention to Use MYOB Accounting
Application among Accounting Students. In Journal of Physics: Conference Series (Vol.
1339, No. 1, p. 012126). IOP Publishing.
Salim, E., Zefriyenni, Z., Pratiwi, H., Yenni, F. and Melmusi, Z., 2016. The Influence of
Myob Accounting Softwareonthe Performance of Company Financial Report. Journalof
Bussines and Economic, 1(1), pp.75-84.
Yaftian, A., Mirshekary, S. and Mihret, D.G., 2017. Learning commercial computerised
accounting programmes. Accounting Research Journal.