the legal ethical and technological conerns paper
The Legal, Ethical, and Technological Concerns Paper
For as long as businesses have existed, so has accounting. With time, it has become more complicated and detailed, but it is still a process of keeping financial accounts in order. Through accounting, or financial reporting, a system is set up to keep track of, maintain and audit the financial proceedings. Because accounting and financial reporting of a business is so important for its accuracy and in general, a lot of ethical, technological and legal concerns are involved. In this paper, we will look identify and explore the concerns of each of these.
What does it mean to be …show more content…
Second concern that is of huge importance is technological concern for the accounting and financial reporting. Security within the computerized program is limited and if the database system is poorly protected, it will leave room for unauthorized personnel to access the financial information that could potentially result in devastating results and loss of potential projects. Furthermore, the constant changing technology and necessary training are also of a big concern. “Computerized accounting system may become outdated over time. The functionality of an older system is limited compared to updated software”, (Frost, Small Business, March 28, 2014). Because of this, companies are always exposed to more costs and the cost of training of their employees. And lastly, one big concern that companies risk when ti comes to technological concerns, is entering the information into the system incorrectly thus further causes confusing on all of the financial reports by the generated system. Without a doubt, extreme caution is necessary when working with the technology systems and constant updates and training.
The third concern of the accounting and financial…