Introduction:
Today’s fast-paced and ever-changing ways of doing business mean a lot to bookkeepers. The business has transformed beyond the era of buying and selling goods and services with the motive of making a profit. Business interpretation is in the bookkeeping of day-to-day financial transactions to keep track of the business upward or downward performance in other to timely make strategic decisions on operating, investing, and financing activities. Traditional means of bookkeeping has resulted into wastage of valuable time on inefficient manual record-keeping with the use of excel spreadsheets or other accounting systems. Technology advancement is changing the way we do business and it has improved the technique bookkeepers and investors do interpret financial data more promptly and effectively in arriving at the best business decision. Small and big businesses have recognized the impact of integration of bookkeeping automation with the use of artificial intelligence for effectively service delivery to the business community.
What is bookkeeping?
Bookkeeping entails the capturing of data into an accounting system. It is the act of recording, and classifying day-to-day financial transactions in a systematic way, entering them into the appropriate books as they occur so that the financial position of a business can be readily ascertained at any time. The routine tasks of a bookkeeper in ensuring accurate record keeping include: recording of invoices and receipts of customers, bank reconciliation, processing of payroll, payment of taxes, accounts payable and receivable, entry of other operational expenses among others. Bookkeeping is carried out by applying the double-entry principle of debits and credits to prepare financial reports.
Artificial Intelligence for bookkeeping
Bookkeeping automation is charming and friendly. The evolving technology has simplified the burdensome bookkeeping tasks through the elimination of manual mundane financial data processing for effective and efficient business decisions. It has brought a total change to the way we do business by eliminating human intervention around the world. The automation of bookkeeping has relaxed the nerves of bookkeepers and business owners to devote good economic time to business analysis and other managerial functions that will maximize their profit.
Artificial Intelligence (AI) is defined as the advancement of computer systems to perform tasks that require human intelligence such as language conversion, visual insight, speech recognition, and decision making. Broadly, AI provides 3 (three) core business tasks: automating business functions, data analysis and interaction with the users. Bookkeeping artificial intelligence has to make the monotonous work of bookkeepers less boring by reducing the required time to record and track sales receipts, operating expenses entries, bank reconciliation, tax administration and prepare financial statements to situate the business financial performance for effective boardroom decisions. Beyond record-keeping, bookkeeping AI also enable auditors to detect inconsistently transactions, error, and fraud quicker and accurate than human efforts. Read More Bookkeeping 101 and its Importance in Business to Drive Growth
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