Tech in Finance

Question 1

Spreadsheets

Answer 1

Spreadsheets can be used in the finance department to produce graphs and charts of financial information.
The formulae function within the spreadsheet can be used to carry out instant calculations accurately. Formulae will also amend calculations automatically when the spreadsheet is updated.
‘What if’ scenarios can be carried out using spreadsheets set up with
IF statements and appropriate formulae.
Information held within a spreadsheet can be easily secured using a password.
Time can be saved in the finance department by using spreadsheet templates for financial statements and spreadsheets can be easily amended or edited.

Question 2

SAGE software –

Answer 2

SAGE is a software package that is used by many businesses to manage and process financial information. The finance department can use it to:
- generate invoices
- manage payroll
- complete tax returns

Question 3

BACS payments

Answer 3

BACS payments allow a company to transfer money securely and quickly between bank accounts. They are used by the finance department to pay staff wages or to pay suppliers.

Question 4

EFTPOS

Answer 4

Electronic funds transfer point of sale (EFTPOS) is an electronic method of paying for goods exactly where you purchase them. This can be done through:
- debit card
- credit card
- contactless
- app payments such as Apple Pay and Google Pay
This is advantageous for the finance department as there is less cash within the business, leading to greater security.

Question 5

Internet banking

Answer 5

Internet banking will save the company time as it reduces the need for employees to take trips to the bank.
Fund transfers can be made instantly and more conveniently as they are completed through phone apps or by using computers.
Finance departments can also use online banking to import banking information into their accounting software. Increased computer security is required to safely process information and banking can only be processed if the technology is working.