Old and New Government Accounting Distinguished

OLD AND NEW GOVERNMENT account statement SYSTEM DISTINGUISHED OLD NEWAccounting Entries * Manual * Maintains numerous special journals with several wide columns * Computerized * Simplified and updated accounting system committee on Audit journalizes the appropriation and allotment released by the plane section of cypher & Management No longer journalizes the appropriation and allotment released by the plane section of Budget & Management Bureau of Treasury Accounting rules & regulations pertaining to cash trading operations, collections, remittances and disbursements atomic number 18 issued by the COA, jointly or with the concurrence of Department of Finance and the Department of Budget & Management. Bureau of Treasury maintains the registry of NCA & Replenishments (RENREP) for control & monitoring of NCA shore transfers released by the Department of Budget & Management. Government Agency * Does not journalize the vizor of Cash Allocation (NCA) it receives which in effec t, identifies the share of execution in the income of the field government. * Journalizes its appropriations and allotments. * Now journalizes the Notice of Cash Allocation (NCA) it receives which in effect, identifies the share of mission in the income of the national government. * No longer journalize its appropriations and allotments instead it shall maintain the ff. registry of Allotments and Obligations- Personal Services (RAOPS), Registry of Allotments and Obligations- charge and some other Operating Expenses (RAOMO), Registry of Allotments and Obligations- Capital Outlay (RAOCO), Registry of Allotments and Obligations- Financial Expenses (RAOFE). Basis of Accounting * Expenses * Income and revenue Accrual & Cash Basis shall be taken up in the accounts of that year recognized when earned except in case of taxes, where revenues that bear unrealized at the close of the fiscal year shall not be recognized Modified Accrual Basis recognized when incurred & reported in the F/S shall be recognized on accrual land except for transactions where accrual basis is impractical or when other methods are required by law memory board All income accruing to the agencies shall go down to the General Fund of the government and all money collected on any tax levied for a special purpose shall be treat as Special Fund. Adopts one fund concept and that is the General Fund Chart of Accounts & Coding Structure * Six-digit account numbering system * on that point are contingent accounts. * Expenditures charged to capital outlay are classify as expenses. * Three-digit account numbering system * There are no longer contingent accounts. * Expenditures charged to capital outlay are classified advertisement as expenses. Books of Original Entries Journal of Collections & Deposits, Journal of Disbursements, Journal of Checks, Issued, Journal & outline of Obligations & Journal of Bills are being used no longer used, just now the General Journal shall be used namely (1) Cash acknowledge Journal, (2) Cash Journal, (3) Check Disbursements Journal and (4) Cash Disbursements Journal Trial match Four-money column listings of all general ledger accounts used in the operations of the agency, whether, the accounts are with or without balance Two-money column Financial Expenses Recognized as components of Maintenance & Other Operating Expenses (MOOE) Shall be separately classified from Maintenance & Other Operating Expenses (MOOE) Contingent Accounts Used to record claims for accounts in quarrel No longer be used, all financial transactions shall be recorded using the appropriate accounts Corollary Entry & Negative Journal Entries beingness used Discontinued Journals used Cash Journal and General Journal are used unneurotic with the ledgers by both books. With the implementation of the computerized agency accounting system, only the General Journal shall be used together with the ledgers by both books.