ICT in the finance department

Question 1

Online banking

Answer 1

transfer wages into employees accounts
used to pay bills
set up an overdraft without travelling to the bank

Question 2

Powerpoint

Answer 2

present to staff the profit figures from the previous year

Question 3

Word

Answer 3

create invoices to send to customers
prepare financial reports

Question 4

Internet

Answer 4

check share prices
check exchange rates
tax can be paid online to the inland revenue
compare lenders to get the lowest interest rate on a loan

Question 5

Facetime

Answer 5

finance manager can hold meeting with other managers without leaving the office

Question 6

email

Answer 6

send customers invoices
send customers a copy of their receipt
send employees a pay slip by attachment

Question 7

Spreadsheet

Answer 7

create a cash budget
create a statement of financial position
create an income statement
produces graphs and charts in profit levels
formulae can be used to calculate profit/losses

Question 8

Advantages of spreadsheet

Answer 8

formulae are amended automatically when the spreadsheet is amended
minimises human errors
formulae can be replicated
easy to edit
conditionally format data
can secure data with passwords
can use templates for financial statements

Question 9

Costs of using ICT to manage finance

Answer 9

chance of fraud
financial costs of purchasing the technology
financial cost of training your employees
system may crash

Question 10

Benefits of using ICT to manage finance

Answer 10

records are kept of all transactions
improved control of finance even when the banks are closed