|MaGC Proprietary Tools
The Accounting Entry Matrix or AEM© is another important tool developed in-house by MaGC®. The AEM© finds application in the accounting manuals developed by MaGC. The Accounting Entry Matrix in its basic form is a tabular representation of all possible accounting entries that arise in the course of day to day accounting in an organization. The AEM© identifies different possible transactions and for each transaction provides:
- The type of accounting entry to be passed namely, receipt voucher, payment voucher, journal voucher
- The account heads to be debited and the account heads to be credited
- The supporting voucher based on which the accounting entry is passed
- The primary books of account which are affected by that entry
The AEM© is specific to that organization and includes only those transactions which occur in that organization. The AEM© in its basic form is a ready reckoner to the accountant. It is the entire accounting manual in a capsule. The accountant need not read through pages of running text to find out quick solutions to his day to day accounting problems. The AEM© is very useful for the internal auditor who verifies the transactions during vouching.
The AEM© has proved to be big hit with government clients particularly local bodies who are in the process of transition to double entry accrual accounting.
Click here for a sample Accounting Entry Matrix.