Transcript ASPs for Accounting

Application Service
Providers for Accounting
The What, Why, and How of
Internet Accounting
Carol Yacht
WBITE/CBEA, February 16, 2002
What are
Application Service Providers?
• Internet-delivered software:
QuickBooks for the Web;
ePeachtree; NetLedger (Oracle
Small Business Suite)
• Accessible anytime, anywhere
by authorized users
• Always current
• Users rent software on a
monthly basis instead of
buying and installing software
on their hard drive
2-39
CD-installed software – lab network or hard drive
Application Service Providers – company’s Web server
 Instead of storing the application and data
on a computer that resides in the classroom
or on students’ computers, Application
Service Providers (ASPs) reside on distant
Web servers.
 When using Application Service Providers
users can work through any Internet
connection. This new way to perform
accounting tasks has advantages and
disadvantages.
3-39
Why use Application Service
Providers?
• Accessible from any Internet
connected computer
• Technology support always
available
• Software affordable  free trial!
• Installation easy  just sign up
with your email address and
password - no computer lab
involvement
• Exposes students to integrated
accounting systems that are
ready for e-commerce and
B2B.
4-39
Drawbacks to Application
Service Providers
• High speed connection
preferred  all processing
done on the Internet
• User becomes vulnerable to
integrity of Web server 
power outages, system
crashes, financial health,
data security.
• Once adopted, expensive to
change to comparable
computer-based software
5-39
ASP Features
Feature List
QB for the Web
ePeachtree
NetLedger
Checking account and
credit card tracking
X
X
X
Bank reconciliation
X
Accounts receivable
X
X
X
Accounts payable
X
X
X
E-mail and fax invoices
X
Number of business
reports and graphs
X
X
40+
100+
100+
Anywhere/anytime access
X
X
X
Automates recurring bills
X
Multi-user ready
X
X
X
Technical support
X
X
X
Free trial version
30 days
30 days
14 days
Cost per month per user
$14.95
$9.99
$99
6-39
Course Possibilities using
Internet-delivered Software
 Financial, Principles, or AIS
course  Free trial period 
30 days, ePeachtree &
QuickBooks for the Web;
14 days Oracle Small Business
Suite (NetLedger)
 Computer Accounting course 
QuickBooks or Peachtree CD
software and one of the ASPs
(QB for the Web; ePeachtree; or
NetLedger).
 Computer Accounting course 
three ASPs (QB for the Web,
ePeachtree, and NetLedger)
7-39
Application Service Provider Specifics
QuickBooks
for the Web
ePeachtree
NetLedger
Type of business
Service
Retail
Retail
Form of business
Sole Proprietor
Sole Proprietor
Sole Proprietor
Accrual or cash
Accrual
Accrual
Accrual
Chart of Accts.
X
X
X
X
X
Content
Account nos.
Transaction detail
X
X
X
Trial balance
X
X
X
Adjusted trial bal.
X
X
X
Post-closing trial bal.
X
X
X
Income Statement
X
X
X
Balance Sheet
X
X
X
8-39
Application Service Provider Specifics (continued)
Content
QuickBooks
for the Web
Cash flow statement
ePeachtree
NetLedger
X
X
Bank reconciliation
X
X
Vendors
X
X
X
Customers
X
X
X
Items of service
X
Inventory
X
X
Sales tax
X
X
Credit terms
X
X
Returns & allowances
X
X
X
Cash transactions
X
X
X
Credit transactions
X
X
X
9-39
Application Service Provider Specifics (concluded)
QuickBooks
for the Web
ePeachtree
NetLedger
Adjusting entries
X
X
X
Closing entries
X
X
X
Beginning-of-year
Transactions
X
X
X
Customizing reports
X
X
X
Customizing graphs
X
Memorizing reports
X
Activity log
X
Copying/Exporting
to Word & Excel
X
X
X
Context-sensitive
Help screens
X
X
X
Content
X
10-39
QB for the Web: Vendor Overview
• On the QB for the Web menu bar, select “Vendors.”
From the drop-down list, select Vendor Overview.
11-39
QB for the Web: Vendor Transactions for a
Service Business
Purchase of Supplies: Enter Bills
Vendor Payments: Pay Bills
12-39
QB for the Web: Enter Bills
• You use the “Enter Bills” screen to record
purchases from vendors.
13-39
QB for the Web: Purchase of Supplies from a Vendor
•
On 10/02/01, received Invoice 66JE and shipment from
Gator Chemicals for the purchase of dry cleaning supplies
that included the purchase of dry cleaning fluid on credit,
Net 30, $300.
•
14-39
QB for the Web: Pay Bills
• On 10/06/01, paid two vendor invoices: Gator
Chemicals, Invoice No. 66JE, $300; and Sales
Products Supply, Invoice EX32, $245; for a total of
$545.
•
15-39
QB for the Web: Transaction List by Vendor
• To check that vendor payments were made, you
can display or print the Transaction List by
Vendor report.
16-39
ePeachtree – Example of “Help” screen
• Help screens explain the details of creating a new
transaction.
17-39
ePeachtree – Vendor Transactions for a Jewelry Store
(merchandising business)
Purchase Register is also the purchase
journal.
Vendor payments and returns are reported
on the Payment Register.
18-39
ePeachtree – Vendor Transactions
• You use ePeachtree’s Purchase Register to record
credit purchases from vendors. ePeachtree’s Purchase
Register is the Purchase Journal.
• Purchase Register transaction:
On October 1, 2001, received Invoice 66JE and
shipment from Jewelry by Jason for the purchase of 20
rings on credit at $50 each, terms 1%, 10 Net 30,
$1,000.
19-39
ePeachtree – Purchase Register
• Here is how ePeachtree records the October 1, 2001
purchase of inventory from a vendor.
20-39
ePeachtree – Purchase Journal
• The Purchase Journal on the next slide
shows four purchases made from vendors
for a total of $3,350. This is the amount
owed to vendors as of October 5, 2001.
21-39
ePeachtree’s Purchase Journal
22-39
ePeachtree – Purchase Register
• The Purchase Register shows a list of the jewelry
store’s purchases, returns and total vendor
transactions.
23-39
ePeachtree – Vendor Payment
• From ePeachtree’s navigation bar, select Vendors, then
payments. Click on the “New” icon.
• On October 6, 2001, paid Jewelry by Jason for Invoice No.
66JE, less the $50 return, and the discount.
24-39
ePeachtree – Payment Register
• ePeachtree’s Payment Register shows vendor
payments and returns.
25-39
NetLedger – Transactions screen
26-39
NetLedger Help screen – How do I add transactions?
27-39
NetLedger – Vendor Transactions
for a merchandising business
• You use the Enter Bills link to record
vendor purchases.
• Vendor transaction:
On October 2, 2001, your jewelry store
received Invoice 66JE and shipment from
Jewelry by Justin for the purchase of six
rings on credit at $50 each, terms 1% 10
Net 30, $300.
28-39
NetLedger –October 2 transaction
• The “Bill” screen shows the purchase of six
rings at $50 each.
29-39
NetLedger: Accounts Payable Register
• The accounts payable register shows the four purchases
and one return made by the jewelry store from October 1
through 5, 2001.
30-39
NetLedger: Vendor Payments
• Transaction:
On October 6, 2001, your jewelry store paid
Jewelry by Justin, Invoice 66JE, for the October 2
purchase, less a discount and the return of
October 4, $247.50.
31-39
NetLedger: Bill Payments
• NetLedger’s “Bill Payments” screen shows the October 6
transaction for payment of Invoice 66JE, less return and
discount.
32-39
NetLedger’s October 31, 2001 Trial Balance
33-39
ASPs Financial Statements
• QuickBooks for the Web, ePeachtree, and
NetLedger include the full range of
financial statements.
34-39
Article about ASPs
“Employing an ASP: Making Your Payroll and Accounting
Painless” by Wayne Kawamoto
http://www.applicationplanet.com/money/accounting.html
35-39
URLs/Publishers for ASPs
 QuickBooks for the Web (Intuit)
www.quickbooks.com/qb4web
 ePeachtree (Peachtree Software)
www.peachtree.com/epeachtree
 NetLedger (Oracle Corp.)
www.oraclesmallbusiness.com/
36-39
Comparison charts
 Compare QuickBooks products
www.quickbooks.com/choosechart.html
 Compare Peachtree products
www.peachtree.com/html/product_matrix.cfm
37-39
Additional ASP Resource
• Computer Accounting Essentials newsletter
and more information:
http://www.mhhe.com/yachtessentials1e
• Syllabi for ASP course:
http://user.gru.net/susancrosson/sept/sept.htm#faculty
(scroll down screen to “Syllabi Suggestions”)
38-39
CD Software & ASP Costs
CD Software or ASP
Cost
QuickBooks educational
site license
50 computers, $599.95;
888-246-8848
Peachtree educational site
license
Free – CD software packaged
with textbooks
QuickBooks for the Web
Free for 30 days; $14.95/mo.
ePeachtree
Free for 30 days; $9.99/mo.
Oracle Small Business
Suite (NetLedger)
Free for 14 days; $99/mo. for
suite
39-39