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PART C: ACCOUNTING AND REPORTING SYSTEMS, CONTROLS AND COMPLIANCE 
 
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is the calculation of the depreciation provision which can be an extremely onerous task if it is done 
monthly and there are frequent acquisitions and disposals and many different depreciation rates in use. 
The particular advantage of using a database for the non-current asset function is its flexibility in generating 
reports for different purposes. Aside from basic cost and net book value information a database with fields 
such as those listed above in the record of each asset could compile reports analysing assets according to 
location, say, or by manufacturer. This information could be used to help compare the performance of 
different divisions, perhaps, or to assess the useful life of assets supplied by different manufacturers. There 
may be as many more possibilities as there are permutations of the individual pieces of data. 
8.3 Spreadsheets 
Spreadsheets
, too, are often used both in financial accounting and cost accounting.
A 
spreadsheet 
is essentially an electronic piece of paper divided into rows and columns with a built-in 
pencil, eraser and calculator. It provides an easy way of performing numerical calculations. 
The intersection of each column and row of a spreadsheet is referred to as a cell. A cell can contain text, 
numbers or formulae. Use of a formula means that the cell which contains the formula will display the 
results of a calculation based on data in other cells. If the numbers in those other cells change, the 
result displayed in the formula cell will also change accordingly. With this facility, a spreadsheet is used 
to create financial models. 
Below is a spreadsheet processing budgeted sales figures for three geographical areas for the first 
quarter of the year. 
 
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