Technology

Definition

Technology encompasses tools, systems, and software used to solve problems or achieve specific goals. In managerial accounting, technology enhances data collection, analysis, and reporting processes.

5 Must Know Facts For Your Next Test

1. Automation in technology reduces manual errors in accounting.
2. Cloud-based accounting software allows real-time financial tracking.
3. Big Data analytics helps managers make informed decisions.
4. Blockchain technology ensures transparency and security in financial transactions.
5. Advanced technologies like AI can predict financial trends and anomalies.

Review Questions

• How does cloud-based accounting software benefit managers?
• What role does Big Data play in managerial accounting?
• Why is blockchain important for transparency in financial transactions?

Related terms

Automation:

The use of technology to perform tasks without human intervention.

Big Data Analytics: The process of examining large datasets to uncover patterns and insights.

Blockchain:

A decentralized digital ledger that records transactions securely across multiple computers.