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What is difference between branch accounts and departmental accounts?
Wiki User
∙ 11y ago
Followings are the main differences between branch and department:
1. Branches are separated from the main organization. Departments are attached with the main organization under a single roof.
2. Branches are the outcome of tough competition and expansion of business. Departments are the result of fast human life.
3. Branches are geographically separated. Departments are not separated rather existed under a same roof.
4. Branches are of different types like dependent, independent and foreign. There is no such classification in department because all are common under the same roof.
5. Allocation of branch common expenses does not arise. Allocation of departmental common expenses is a tough job.
6. To find out the net result of the organization, the reconciliation of different branch account is a main job.In departmental accounting, no reconciliation is necessary because there is a central account division
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∙ 11y ago
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Distinguish between branch accounts and departmental accounts?
LocationOne of the primary differences in branch accounting and departmental accounting stems from how the business is structured. Businesses with their own accounting departments use departmental accounting when the accounting process takes place in a central location but is compartmentalized because the business consists of various departments. Each department might have some level of autonomy and might undergo separate audits. Branch accounting is used in industries such as banking where the business consists of branches that are generally independent of one another, even though they are all owned by a parent company or organization. CostOne way branch accounting and departmental accounting differ is the amount of manpower required to perform the jobs. With departmental accounting, most of the accounting procedures can be performed in-house and might be able to use an individual accountant or a small team that oversees the accounting for all departments. B.K. Banerjee, author of "Financial Accounting: Concepts, Analyses, Methods and Uses," notes that maintaining separate books for each department can be expensive. Instead, many companies opt for one group of accountants to maintain all of the books. This cost consideration can also affect businesses using branch accounting because they might need multiple accountants to maintain books in separate branch locations. ResponsibilityThe level of responsibility and oversight is greater with branch accounting than it is with departmental accounting. Lack of centralization requires that each branch keep accurate records of its own. However, this also requires the parent company or organization to keep a watchful eye over the accountant and the branch organization. In departmental accounting, these actions occur within the central organization. Although the need to keep watch over each department remains, it can be easier to do so because it occurs within the parent company. ProfitabilityWhile branch and departmental accounting both help create a financial portrait of the company, with branch accounting, the profitability of each branch can be equally important. Companies can make adjustments as necessary for each branch of their organization. Adjustments can be made within individual departments as well, but profitability is seen within the larger picture of the parent organization's profits, rather than on an individual level.
Independent branch accounts?
It is a branch which had able to prepare its own accounts on its books then we say that is an independent branch. Accounts prepared by it is technically called as independent branch accounts.
What is the difference between departmental accounting and branch accounting?
Followings are the main differences between branch and department:1. Branches are separated from the main organization. Departments are attached with the main organization under a single roof.2. Branches are the outcome of tough competition and expansion of business. Departments are the result of fast human life.3. Branches are geographically separated. Departments are not separated rather existed under a same roof.4. Branches are of different types like dependent, independent and foreign. There is no such classification in department because all are common under the same roof.5. Allocation of branch common expenses does not arise. Allocation of departmental common expenses is a tough job.6. To find out the net result of the organization, the reconciliation of different branch account is a main job. In departmental accounting, no reconciliation is necessary because there is a central account division.
Branch accounts journal entries?
good to sent
How do you calculate loading in branch accounts?
Total Sales + Closing Stock - Opening Stock - Goods Sent To Branch
Distinguish between branch accounts and departmental accounts?
LocationOne of the primary differences in branch accounting and departmental accounting stems from how the business is structured. Businesses with their own accounting departments use departmental accounting when the accounting process takes place in a central location but is compartmentalized because the business consists of various departments. Each department might have some level of autonomy and might undergo separate audits. Branch accounting is used in industries such as banking where the business consists of branches that are generally independent of one another, even though they are all owned by a parent company or organization. CostOne way branch accounting and departmental accounting differ is the amount of manpower required to perform the jobs. With departmental accounting, most of the accounting procedures can be performed in-house and might be able to use an individual accountant or a small team that oversees the accounting for all departments. B.K. Banerjee, author of "Financial Accounting: Concepts, Analyses, Methods and Uses," notes that maintaining separate books for each department can be expensive. Instead, many companies opt for one group of accountants to maintain all of the books. This cost consideration can also affect businesses using branch accounting because they might need multiple accountants to maintain books in separate branch locations. ResponsibilityThe level of responsibility and oversight is greater with branch accounting than it is with departmental accounting. Lack of centralization requires that each branch keep accurate records of its own. However, this also requires the parent company or organization to keep a watchful eye over the accountant and the branch organization. In departmental accounting, these actions occur within the central organization. Although the need to keep watch over each department remains, it can be easier to do so because it occurs within the parent company. ProfitabilityWhile branch and departmental accounting both help create a financial portrait of the company, with branch accounting, the profitability of each branch can be equally important. Companies can make adjustments as necessary for each branch of their organization. Adjustments can be made within individual departments as well, but profitability is seen within the larger picture of the parent organization's profits, rather than on an individual level.
What is difference between a branch office and corporate office?
any kind of difference between branch office and corporate office
What is the difference between mathematics and arithmetics?
there is no difference between Mathematics and Arithmetic because Arithmetic is a branch of mathematics. there is no difference between Mathematics and Arithmetic because Arithmetic is a branch of mathematics.
Independent branch accounts?
It is a branch which had able to prepare its own accounts on its books then we say that is an independent branch. Accounts prepared by it is technically called as independent branch accounts.
What is the difference between a stick and a branch?
a branch is still connected to the tree and a stick is not
What is the difference between departmental accounting and branch accounting?
Followings are the main differences between branch and department:1. Branches are separated from the main organization. Departments are attached with the main organization under a single roof.2. Branches are the outcome of tough competition and expansion of business. Departments are the result of fast human life.3. Branches are geographically separated. Departments are not separated rather existed under a same roof.4. Branches are of different types like dependent, independent and foreign. There is no such classification in department because all are common under the same roof.5. Allocation of branch common expenses does not arise. Allocation of departmental common expenses is a tough job.6. To find out the net result of the organization, the reconciliation of different branch account is a main job. In departmental accounting, no reconciliation is necessary because there is a central account division.
What is difference between a tree limb and a tree branch?
Size. A limb is larger than a branch.
The difference between the Judiciary Branch and the Judicial branch?
Their the same only that judiciary is written Spanish.
What is the Difference between branch and franchise?
branch mean branch direct to main office control but franchise is associate (dealer ship) method.
What is the difference between quantum physics and physics?
Nothing. Quantum is a branch of physics
What is the difference between the legislative branch and the executive branch?
In short:the legislative branch makes the laws of the country- this is called "legislating".the executive branch "executes" the laws- that is, it makes sure that the laws are being followed, or if the law says that the government is supposed to do something, the executive branch is the part that does it.
Who is the executive branch of the US and how is it different from Canada?
the president (government) is the executive branch and the difference is the independance of the legislative branch from executive branch (in Canada the leaders of the legislative branch are the leaders of the executive branch so there is confusion between the two branches)
