Accrual accounting is the method of accounting which measures the position and performance of the company by identifying and recording the economic events on the basis of its occurrence The common idea for identifying the economics events in this manner is to match the revenues with the expenses, and it is also known as matching principle (Miihkinen, 2014). In cash basis of accounting, the revenues are recorded in the income statement when transactions are done through cash and expenses are recorded when the customer pays the cash. In the accrual basis, transactions are recorded by considering matching principle.
A bank statement is also known as accounting statement, as it provides a review of all financial transactions which are done by the bank. This statement also assists in reconciliation process as it provides reasons for the difference between the balance of pass book and accounting records. This difference occur due to timing difference of recording transaction like overdraft interest, bank charges and other related transactions. It will also provide if there are manipulation by accountant in bank transactions with the difference in balance.
A delinquent account is not determined if the company is not having the system of tracking the accounts. The tracking is done with the information of clients when they purchase or pay the bills. In a situation where the client does not make payment of the amount for what they buy in 30 days, then the company will take actions against them (Weil, Schipper and Francis, 2013).
If the client will not pay the amount in 30 days, so the company takes the first step of reminding the client that they are late in making the payments. In a situation where the client pays the money on the second or third day after the company’s reminder then matter will be closed. However, if the payment is still not made by the client after the reminder of the company then the legal action will be taken against them.
Managerial authorities are responsible for ensuring that every visitor and the workers are work properly and freely and takes part in the university’s activities or not. It is important for the university that it has to obey the terms of legislation Immigration, Asylum and Nationality Act 2006, along with the home office’s policies and regulations (Edwards, 2013). The University’s compliance with the law will be checked, probably in unannounced visits direct to the employing institutions, by the Home Office. The act of immigration made in 2016 it is new criminal offence it made for the illegal working, and the law is having their own wideness and rights for the illegal working and the criminal offence.
The Code of Ethical Practice conveys the duties and responsibilities which are a really important aspect of financial services industry. The main objective of this code is to help counsellors to act efficiently and secure the responsibilities and rights of their customers, social groups and the society.
It has two sections-
- Code of Ethics: Ethical values are set up by code of ethics to guide financial services industry (Henderson and et al 2015).
- Code of Practice: It renders assistance to its members regarding proper behaviour and helps them to obey its ethical standards.
This policy presides over reconciling and monitoring financial information those are necessary for an efficient internal control environment. Guidance is offered by the policy so as to review and analyse income & expenditures and payroll reports. The policy must ensure that the information transferred to, contained in, and reported from the financial systems is correct, absolute and must be recorded on a timely basis (Macve, 2015). The information can be used for making better and fair financial decisions; and departments can easily identify and immediately report fraud, robbery, violations, and other misbehaviour to the appropriate authorities.
In personal environment naming files and folders are rules which allow the tilting of folders, documents and accounts in a reliable and rational method. Through this method, accurate records can be discovered, recognised and retrieved from a filing system in according to trends and fashion, and then after stored in a suitable secure location (Miihkinen, 2014). Naming records consistently, logically and in a predictable way will distinguish similar records from one another at a glance, and by doing so will facilitate the storage and retrieval of data. Reliability and better application of logical standards as a result benefit in securing storage and the capability to trace and access best information.
User of Spreadsheet is required by the policy to execute and retain internal controls above Spreadsheets corresponding with their specific use, financial significance of the account or process with which the Spreadsheet is associated and its complexity
The uses of Spreadsheets can commonly divide into three categories:
- Financial Reporting--Spreadsheets is used to identify financial records and transactions which are later posted to the general ledger, in the aspect of supporting financial information and disclosures, and plays a vital role in controlling the financial reporting process, monitoring or reconciliation of major accounts (Hoitash and Hoitash, 2017).
- Analytical--Spreadsheets are used to manage and support financial decision making procedure.
- Operational—the user of spreadsheet also helps in tracking and verifying of workflow to maintain effective processes, like naming and registering of open claims, outstanding statements or any other information.
Edwards, J.R., 2013. A History of Financial Accounting (RLE Accounting) (Vol. 29). Routledge.
Henderson, S., Peirson, G., Herbohn, K. and Howieson, B., 2015. Issues in financial accounting. Pearson Higher Education AU.
Hoitash, R. and Hoitash, U., 2017. Measuring Accounting Reporting Complexity with XBRL. The Accounting Review.
Macve, R., 2015. A Conceptual Framework for Financial Accounting and Reporting: Vision, Tool, Or Threat?. Routledge.
Miihkinen, A., 2014. The routledge companion to accounting, reporting and regulation.
Weil, R.L., Schipper, K. and Francis, J., 2013. Financial accounting: an introduction to concepts, methods and uses. Cengage Learning.