Quickbooks

Running Head: QUICKBOOKS

QuickBooks BA Project Paper

Penn State Harrisburg University

I. INTRODUCTION

Information Technology (IT) is a foundation for conducting business today. It plays a critical role in increasing productivity of firms and entire nation. It is proven that firms who invested in IT have experienced continued growth in productivity and efficiency. Many companies' survival and even existence without use of IT is unimaginable. IT has become the largest component of capital investment for companies in the United States and many other countries.

Accounting/Finance application systems like Peachtree, Net Suite and QuickBooks let you manage your business with a little or no experience. All three application systems allow the users to manage the companies' capital including bookkeeping, inventory, non-inventory & service items, sales orders, purchase orders, and reports. It allows the companies to keep tracking of the financial assets and at the same time have the information the accountant needs. Using the accounting/finance application system, makes it easier to enter and process the data rather than manually enter and process the data.

II. BODY

QuickBooks is an accounting software package which is developed by Intuit, Inc. It was launched in the 90's and since than it is one of the market leaders in accounting software. The software was designed to help the small business owners who had no formal accounting training. Very shortly after the introduction, there was no doubt that the product is going to be a hit. With a deep focus for the non-accountant, and a lower price than the competitor's products, it outsmarted its competitions. Intuit states that the company's mission is to create new ways to manage personal finances and small businesses that are so profound and simple, customers cannot imagine going back to the old way.

QuickBooks created an application that is most commonly used accounting product for small businesses, today. It provides the most comprehensive tools for small business financial management. It is used to track expenses, prepare and send invoices, prepare financial statements, track inventory levels, and many other jobs that small businesses must perform to stay successful. New versions like Simple Start for new businesses and Enterprise version for larger businesses is currently out on the market available to purchase. Besides the desktop software, QuickBooks is offering an online version which is hosted though the online edition.

Simple Start is the so called most simple version. It is designed for users that do not want or need full-fledged accounting software but still want an efficient way to keep track of sales, expenses, and customers. It is designed to help the user see how much money was made in a given month, which invoices have or have not been paid, who are the best customers etc. The "Tax Detail" report which is also available is designed to help the user save time during the tax time. It creates a report that can be handed to the accountant or the figures could be transferred to the return. Typical price for the Simple Start software package is $99.95.

QuickBooks Enterprise Solutions software is the most powerful QuickBooks solution for larger, growing businesses that QuickBooks is currently offering. With the Enterprise Solutions software, one could save thousands in up-front and on-going system costs. Enterprise Solutions has flexibility and the capabilities to meet business's unique needs as it grows. It is much more complex compared to Simple Start but after becoming familiar with it, it said to be very easy to use. The typical price range for this software package for 5 users is around $3,000.

The biggest difference between QuickBooks and other accounting software programs is that QuickBooks does not require the users to understand the accounting procedures but still can manage the business with success. To make it easier for the users with no accounting experience, QuickBooks accounting transactions are recorded using screens that resemble closely a paper form that a firm would usually use to record the transaction. For example, a screen used to record a check resembles a paper check or a customer invoice resembles a paper invoice form. After the information is entered, QuickBooks automatically records the appropriate accounting transaction using the information entered.

Another feature that is offered with QuickBooks is the customization for individual needs. Using the professionally designed templates or build your own templates and customized forms with the QuickBooks Layout Designer, users can create professional looking estimates, invoices, sales receipts etc. to meet the individuals needs. In addition to customizing the look, QuickBooks allows users to turn features on and off, change the color of the interface to make it easier to distinguish between companies, and customize the reports to focus on specific information.

QuickBooks Merchant Service is another feature that is offered, which allows the users to process credit cards with a click of a button. It is the only credit card processing solution that's completely integrated into QuickBooks. It is sold separately and there is no need for additional hardware or software. It saves the user money and makes the job easier by keeping more accurate records. Besides that it also tells the user when payments have been deposited to the bank account and it also allows the user to download merchant fees into QuickBooks.

Being able to access any important information while out of the office has become very important to users. For a monthly fee, QuickBooks Online Edition allows users to access their financial data anytime, anywhere as long as they have online access. Online Edition starts at $19.95/month for basic accounting with as many as three users. The Plus Package includes Online Payroll and all optional features for $39.95/month.

Online Edition Online Edition Plus

Up to 3 users $19.95/mo Up to 3 users $39.95/mo

Up to 10 users $29.95/mo Up to 10 users $49.95/mo

Up to 20 users $49.95/mo Up to 20 users $69.95/mo

On a strategic (Enterprise) level, QuickBooks provides the user with long-range forecasts of the firm's financial

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