IMPROVING THE ACCOUNTING ORGANIZATION AT MAI NGOC CONSULTING AND TRAINING CO , LTD outline

The organization of good accounting work has a very important and great significance in improving the management efficiency of enterprises, strictly implementing the State's economic and

TOPIC: IMPROVING THE ACCOUNTING ORGANIZATION IN MAI NGOC

TRAINING AND CONSULTING CO., LTD

TABLE CONTENTS

CHAPTER 1: INTRODUCTION 3

1.1 Introduction 3

1.2 Background of the study 3

1.3 Statement of the Problem 3

1.4 Research objectives and questions 4

1.5 The Significance of the study 5

1.6 The Scope of the study 5

CHAPTER 2: LITERATURE REVIEW 6

2.1 Basic theoretical issues about accounting organization in enterprises 6

2.1.1 Overview of the accounting work organization 6

2.1.2 The role of accountants and accounting organizations in the business 7

2.1.3 Accounting information system organization 8

2.2 Related Studies 24

2.2.1 Foreign research projects 24

2.2.2 National research works 25

CHAPTER 3: RESEARCH METHODOLOGY 26

3.1 Research design 26

3.2 Methods of data collection 26

3.3 Research data 26

3.3.1 Secondary data 26

3.3.2 Primary data 27

3.3.4 Data analysis 27

CHAPTER 4: REAL SITUATION ORGANIZATION OF ACCOUNTING AT MAI NGOC ADVISORY AND TRAINING CO., LTD 28

4.1 General of Mai Ngoc Consulting and Training Company Limited 28

4.1.1 Introduction about Mai Ngoc Consulting and Training Company Limited 28

4.1.2 The company's organizational structure 29

4.2 The Real situation of Organization of accounting work at Mai Ngoc Consulting and

Training Co., Ltd 32

4.2.1 Real situation of the accounting apparatus system organization 32

4.2.2 Real situation of the original documentation and recording system organization 32

4.2.3 Real situation of the organization in applying the system of accounting accounts 32

4.2.4 Real situation of the organization of the accounting book system 32

4.2.5 Real situation of making and analyzing accounting reports 32

4.2.6 Real situation of accounting inspection 32

4.2.7 Real situation of the organization of information technology application in accounting 32

4.3 Evaluate the current status of accounting work at Mai Ngoc Consulting and Training Co., Ltd 32

4.3.1 Advantages 32

4.3.2 Existence 32

4.3.3 Causes 32

4.4 Propose solutions to improve accounting work at Mai Ngoc Consulting and Training Co., Ltd 32

4.4.1 Improving the organization of the accounting system 32

4.4.2 Improving the original voucher and record system organization 32

4.4.3 Improving the organization and application of accounting account system 32

4.4.4 Improving the organization of the accounting book system 32

4.4.5 Improving the organization of making and analyzing accounting reports 32

4.4.6 Improving the accounting inspection organization 32

4.4.7 Improving the organization and application of information technology in accounting work 33

CHAPTER 5: CONCLUSION AND RECOMMENDATION 33

5.1 Conclusion 33

5.2 Recommendation 33

CHAPTER 1: INTRODUCTION 1.1 Introduction

This chapter, the researcher focuses on introducing an overview of the research topic, presenting research context based on theory and practical basis, research issues

At the same time, present the research objectives and questions, the significance, scope and limitations of the study

1.2 Background of the study

Accounting organization is one of the important content in the management organization The organization of good accounting work has a very important and great significance in improving the management efficiency of enterprises, strictly implementing the State's economic and financial regime, but also providing accurate, fully and timely information on economic and financial resources to help the manager and operator of the unit to make the right decisions to make good use of assets, the fourth source brings high economic efficiency and creates an efficient operating environment The accounting organization is not simply the organization of a managerial part in an enterprise, but it is also the establishment of factors, conditions as well as relationships that directly or indirectly affect activities accounting activities, ensuring that the organization uses such tools scientifically, reasonably and effectively

Mai Ngoc Consulting and Training Co., Ltd is a private enterprise established in

2017 according to the business registration license number 4601328667, issued by the Thai Nguyen Province Department of Planning and Investment, with the main business line is training and creating accounting, auditing, consulting on company establishment, services of declaration, settlements and financial statements The company's product

is a service so financial management is a relatively heavy responsibility However, it determines the company's destiny and long-term development

1.3 Statement of the Problem

Although Mai Ngoc Consulting and Training Co., Ltd is an enterprise operating

in the field of accounting training, however, due to her young age, the reality shows that although the accounting organization at the company is steps are completed but there are still many shortcomings, not yet built a truly professional process to meet the actual requirements Therefore, accounting information provided is mainly of a reporting

nature, has little practical effect in analyzing the financial situation of the unit With the requirement of both developing the scale and ensuring the quality of training, while mobilizing and usage effectively the contributed resources of the company leaders, it requires organizing the accounting work The company's operations must be scientific and consistent with the company's operating practices Therefore, the issue of perfecting the accounting work at Mai Ngoc Consulting and Training Co., Ltd has practical significance to contribute to improving the quality of financial management and serving the training career better and better

Stemming from the practice of accounting organization activities at Mai Ngoc

Consulting and Training Co., Ltd., I chose the subject "IMPROVING THE ACCOUNTING ORGANIZATION AT MAI NGOC CONSULTING AND TRAINING CO., LTD." as the subject of my graduate thesis to research, to contribute

to solving the problems posed both theoretical and practical about the organization of the accounting work at Mai Ngoc Consulting and Training Co., Ltd

1.4 Research objectives and questions

The research objective of the topic is on the basis of clarifying the theoretical issues about the organization of the accounting work in the enterprise in general and the practice of accounting work at Mai Ngoc Consulting and Training Co., Ltd in particular

to propose solutions to perfecting organization of accounting work at Mai Ngoc Consulting and Training Co., Ltd

To accomplish this purpose, the research tasks set out are:

Systematize and clarify the general theoretical basis of the accounting work in the enterprise in general

Analyze the current status of the accounting work at Mai Ngoc Consulting and Training Co., Ltd., clearly stating the results achieved, the limitations and the main reasons

Give directions and propose solutions to improve the organization of the accounting work at Mai Ngoc Consulting and Training Co., Ltd

In order to accomplish the proposed research objectives, the thesis needs to answer the following two research questions:

(1) What is the real situation of accounting work at Mai Ngoc Consulting and

Training Co., Ltd?

(2) What are the limitations of the accounting organization at Mai Ngoc Consulting and Training Co., Ltd.? Which solution to help improve the accounting organization at Mai Ngoc Consulting and Training Co., Ltd?

1.5 The Significance of the study

The subject has contributed to systematizing the theoretical issues about the organization of the accounting work in the business in general and Mai Ngoc Consulting and Training Co., Ltd in particular

Through the study and assessment of real situation of the accounting organization

at Mai Ngoc Consulting and Training Co., Ltd in particular, the topic offers solutions

to improve the accounting work at Consulting Co., Ltd Mai Ngoc training in particular

1.6 The Scope of the study

The research scope of the subject is the content of the accounting work organization at Mai Ngoc Consulting and Training Co., Ltd in recent years:

 Organize the accounting voucher system

 Organize the accounting account system

 Organize the application of accounting book systems and forms of accounting

 Organize accounting checks

 Organize the accounting apparatus

 Organize the preparation and analysis of accounting reports

 Organize to preserve and archive accounting documents

1 CHAPTER 2: LITERATURE REVIEW

2.1 Basic theoretical issues about accounting organization in enterprises

2.1.1 Overview of the accounting work organization

Accounting is considered an important tool in the operation of a company, a business or any form of business In the age of information technology development,

we have many ways to approach accounting in many different forms Therefore, there are many different definitions of accounting Some of the accounting definitions are given below:

The charter of the State accounting organization clearly states: “Accounting is the work of recording and calculating numerically in the form of value, kind and working time, mainly in the form of value to reflect, check the movement of assets, process and results of production and business activities, use of capital and funds of the State as well

as of each enterprise organization.”

An accepted accounting definition over time is the one presented in the “Reporting

on Basic Accounting Theory” issued by the American Association of Accountants:

“Accounting is the process of recording, measuring, and providing economic information to support the assessments and decisions of information users.”

The American Accounting Principles Board (APB), in Notice 4, defined:

“Accounting is a service Its function is to provide quantitative information about economic organizations, mainly financial information that helps users to make economic decisions.”

The American Institute of Certified Public Accountants (AICPA) has defined:

“Accounting is a service Its function is to provide quantitative information about economic organizations, mainly financial information that helps users to make economic decisions.”

On the basis of the accounting concepts, we can define “Accounting organization”

as follows:

An accounting work organization is understood as a system of methods of coordinating the use of means and techniques as well as the resources of the accounting apparatus showing the functions and duties of the accounting that are: accurately,

accurately and promptly reflect, measure, monitor and information data with the accounting object in the close relationship with other management domains

2.1.2 The role of accountants and accounting organizations in the business

Accounting is an important part constituting the system of economic and financial management tools, playing an important role for financial management in enterprises and the management and operation of the national economy Accounting is the condition and means of checking and controlling all economic and financial activities and making

a particularly important contribution to ensuring that all economic processes of enterprises are effective

Managers use accounting as a science to receive, process, provide and analyze all information about assets, the movement of assets, economic and financial activities on

a regular basis, systematic and customary to provide information for the management process

The role of accountants in business management is clearly shown in the

Vietnamese Accounting Law: “…for business organizations, accounting is an important tool for operating and managing operations and accounting economy and inspect the protection and use of assets, materials and capital to ensure the right to be proactive in production, business and financial initiative”

For business administrators: Accounting serves economic managers Based on accounting information, managers make plans, projects and check the implementation

of projects, plans in place

For objects with indirect benefits such as state management agencies: through inspection and synthesis of accounting data, the State can grasp the business situation, costs and profits of the units, thereby propose policies on taxation, as well as other regimes and policies etc

Organization of the accounting work is one of the contents of the management organization in the enterprise Organizing the accounting work in a way that is adaptable

to the conditions of scale and characteristics of the organization of production and business as well as associated with specific management requirements at the enterprise

is of great importance in improving management efficiency at enterprises, help businesses make more timely, optimal and effective management and business

decisions

The quality of accounting information is considered as one of the important criteria for ensuring the safety and probability of winning business decisions Information of financial accounting and management accounting forms information systems that are useful and necessary for administrators However, in order to have this information system, the accounting working organization must be reasonable and scientific

Organizing the accounting work in accordance with the operation of the enterprise not only saves costs but also ensures the provision of economic information quickly, fully, with quality consistent with for different management requirements

2.1.3 Accounting information system organization

2.1.3.1 Organize the original voucher and record systems

In a business, there are many different departments such as Sales Department, Administration Department, Sales department, Human Resources department These departments always perform economic and financial activities according to their functions regulations Collect, record and synthesize data under their responsibility, provide the accounting department with technical and economic standards norms, cost estimates, material lists, products Prepare assigned statistical reports to send to the accounting department and take responsibility for the accuracy and truthfulness of data Each of these activities is recorded in papers called documents by the accountant, these documents will be transferred to the accountant for processing

Accounting vouchers are documents proving that the arising economic and financial operations are actually completed, all accounting data must be proved by legal accounting vouchers Invalid

Valid accounting vouchers are accounting vouchers that have fully and promptly recorded the elements, criteria and in accordance with the provisions on the method of making each type of voucher In order to fully and promptly receive and provide accounting information arising in an entity, accounting vouchers must comprehensively reflect economic operations arising in the unit

In order to organize the accounting voucher system at an enterprise, it must be based on the system of documents issued by the State, on the requirements of the management of accounting objects, the content of economic transactions

The contents of accounting vouchers must ensure the following main contents: (1) Name and number of the accounting voucher

(2) Date of making voucher

(3) Name and address of the entity or individual making the accounting voucher (4) Name and address of the entity or individual receiving the accounting voucher (5) Contents of arising economic and financial operations

(6) Quantity, unit price and amount of the economic or financial operation recorded in books; the total amount of accounting voucher used for the money collection and payment inscribed in both figures and words

(7) Signature, surname and name of the preparer, approver and persons related to vouchers

The order of process and rotate for accounting vouchers in the units is specified

by the chief accountant, the head of the Finance and Accounting Department, in charge

of accounting, to meet the accounting and financial management requirements of the unit Document processing and rotation is done through the following steps:

Verification of vouchers: upon receiving accounting vouchers, the unit's accountants shall inspect the contents, legality and validity of economic activities recorded in the accounting vouchers policies regulated by the State

Voucher completion: is the collection and classification of vouchers to serve the recording of accounting books, accounting vouchers reflecting economic and financial activities related to assets without fully recording the data Units of measurement, currency unit, accounting need to accurately calculate and fully record the necessary units of measurement, then classify vouchers, synthesize data, make accounting accounts, restore accounting records

Organize the rotation of vouchers: after checking and complete accounting vouchers, they need to be circulated by the organization to relevant departments, units and individuals to serve the accounting of economic information The organization of document rotation must comply with the unit's chief accountant's regulations on the order, time, on the basis of the need to receive information, and the time for receiving and processing information of the division of the unit or individual as prescribed by the chief accountant

Preservation and archiving of accounting documents: accounting vouchers proving the arising economic and financial activities, it is actually completed, proving the accounting data and economic information, hence, after using accounting vouchers, they should be preserved and archived in accordance with the provisions of the Accounting Law

2.1.3.2 Organize the application of the accounting account system

Accounting account is a way of classifying and systematizing economic transactions arising separately for each object of accounting (assets, sources of assets and movement processes of assets, capital sources) and chronological order to serve the management requirements of different types of entities

Accounting account system is a list of accounting accounts used for accounting in enterprises, including: account name, content, structure and accounting methods on accounts To provide sufficient information for management, businesses have to use many different accounts to fully reflect the necessary criteria

Organize the accounting account system or apply the accounting account method

is a typical method of accounting accounting, systematize accounting information The reflection of information through the method of accounting accounts is essentially determining the information model suitable for certain management needs Therefore, the organization of the accounting account system is to build an information model to provide general information about the operations of enterprises Management needs of the unit require a certain information model, this information model is defined on a detailed account system, which the accounting organizer must be responsible for building The organization applying the system of accounting accounts means selecting the accounting accounts issued in the State accounting account system in accordance with the conditions of the enterprise to use and remove the unsuitable accounts condition

of the unit

The accounting account system applied to enterprises (according to Circular No 200/2014 / TT-BTC dated December 22, 2014 of the Ministry of Finance) includes 9 types of accounts in the List of corporate accounting account systems

- Type of 1 account: Short-term assets

- Type of 2 account: Long-term assets

- Type 3 account: Liabilities

- Type 4 account: Equity

- Type 5 account: Revenue

- Type 6 account: Production and business expenses

- Type 7 account: Other income

- Type 8 account: Other expenses

- Type 9 account: Determination of business results

A portfolio of level 1 accounts used for recording that reflects the entire asset and movement of assets in the unit is called the accounting account system Usually, the units do not build an accounting account system by themselves, but only base on the system of accounts that have been built for each field of economic - financial activity to identify the accounting accounts Units need to use to reflect the entire economic - financial situation of their units

Each unit must base itself on the content of economic - financial activities in its unit to determine how the unit must use the account system, then define a list of accounts

in the account system operation That account that the unit needs to use is enough to reflect the entire economic - financial activities arising in the unit, in accordance with the requirements of economic - financial management arising in the unit The units are not allowed to open more level 1 accounts by themselves, if it is necessary to open more level 1 accounts, they must petition the line agency and only open more after the approval of the Ministry of Finance

Applying the accounting account system in accordance with the characteristics of assets, liabilities and equity sources of the unit This ensures that each accounting object has an account that reflects the current situation and the fluctuations of that object, meeting the requirements of managing each unit Organize and regulate the types of accounts level 2, level 3 in accordance with detailed accounting requirements of objects and management requirements of the unit, ensuring each unit has a separate account system Responding to the requirement to classify economic operations according to each accounting object, helping the manager to grasp the existing situation and changes of each specific accounting object

Organizations applying the accounting account system in enterprises need to

adhere to the following principles:

- The accounting account system applied at the unit must ensure coverage of the entire economic and financial activities of the unit, as well as the management and use of resources in accordance with the State's policy and regime

- Enterprises need to flexibly open level 1 and level 2 accounts in accordance with the issued accounting regime

- The account system must be simple to use, easy to do, easy to check, control, and meet the requirements of the entity's management

- Record recording content, structure and scope of account on accounting accounts must be in accordance with regulations, in accordance with the characteristics and requirements of each branch and field for each unit, ensuring faculty is consistent with the regulations of the State accounting system has been issued

- Applying the organization of the accounting account system, the organization

on the computer must meet the management requirements that are to provide and use information accurately, in a timely manner and in accordance with the requirements of the institution accounting degree

Enterprises shall base themselves on the system of accounting accounts issued by Ministry of Finance or approved by Ministry of Finance to apply to enterprises to detail levels (level 2, level 3, or level 4) in accordance with the Planning, cost estimates made and required to provide information of corporate governance accounting

Details of account levels are based on the following requirements:

- Derived from the request to provide management accounting information for each management level

- Accounts that have a relationship with each other need to ensure consistency in symbols, levels,

- The details of the account must not falsify the content, structure and method of recording of the account

2.1.3.3 Organize the accounting book system

Accounting books are used to record, systemize and store all economic and financial operations that have arisen according to economic contents and in

chronological order related to enterprises

Enterprises must comply with the regulations on accounting books in the Law on Accounting, Decree No 129/2004/ND-CP dated May 31, 2005 of the Government detailing and guiding the implementation of a number of articles of the Law on Accounting in the field of business, documents guiding the implementation of the Law

on Accounting accounting and this accounting regime

Contents of accounting books:

- Date, month and year of entry

- Number and date of the accounting voucher used as a basis for book entry

- Summary of the contents of the arising economic and financial operations

- The amount of the arising economic and financial operation recorded in the accounting accounts

- Opening balance, the amount incurred in the period, the ending balance Each accounting unit has only one accounting book system for an annual accounting period Accounting books include: general accounting books and detailed accounting books

Depending on the applicable accounting form, the unit must open all general accounting books, detailed accounting books and fully and strictly comply with the provisions of the accounting form on content and order and recording method for each accounting book template Compulsory regulations on book models, contents and recording methods for general registers (ledgers, diaries) are required by the State to provide guidance for detailed accounting books, detailed accounting cards

- General accounting books include:

 The Diary is used to record economic and financial transactions arising in each accounting period and in an accounting year in a chronological order and reciprocal relationship of accounts of those transactions Accounting data in the Diary reflect the total incurred on the Debit and Credit parties of all accounting accounts used in enterprises

 The Ledger is used to record economic and financial transactions arising in each period and in an accounting year according to the accounting accounts specified in the

accounting account regime applicable to enterprises Accounting data on the Ledger reflect the general situation of assets, capital sources, the situation and results of production and business activities of enterprises

- Detailed accounting books and cards:

The detailed accounting books and cards are used to record in detail the economic and financial transactions arising in relation to the accounting objects according to the management requirements that the Ledger has not yet reflected The data on detailed accounting books provide detailed information for the internal management of the unit and the calculation and setting of targets in the financial statements and settlement reports

The organization that chooses an accounting form is essentially an organization of

an accounting book system, including the number, denominator design, the relations between types of books with the contents, order and bookkeeping section to record, classify and process information economic and financial services, from original vouchers and accounting book system The opening, recording, closing and correction

of accounting books of the unit must comply with the current regulations on enterprise accounting

The organization of the unit's accounting book system must satisfy the following basic requirements:

- In accordance with the requirements, scope, scale, and operational characteristics of each type of unit

- In accordance with the accountant's qualifications of the unit, management requirements, accounting information requirements

- Comply with the regulations on the regime of opening, recording, closing, managing and archiving accounting books according to the prescribed regime

According to the current accounting regime, businesses can choose to use the following accounting forms:

- General diary accounting form

- Accounting voucher recording form

- Accounting Diary – Ledger form

- Accounting Diary – Voucher form

- Computerized accounting form

a Accounting form General diary

Accounting form General diary uses two types of accounting books, namely the General diary and Ledger:

- General diary: recording economic transactions arising over time, determining the amount and account to be debited or credited to serve the recording of the Ledger

- Ledger: The ledger of the accounting form The General diary is used to record economic transactions arising under the accounting account

The order of recording the accounting books in the General diary entry form is shown in the diagram 2.1:

Diagram 2.1 The order of recording accounting books in the form of General

b Accounting form of Recording vouchers

Basic characteristics of the accounting form of book entry vouchers: the direct

basis for recording the general accounting books is the "recording voucher"

Types of accounting books used in the accounting form of book entry: voucher register book, ledger and detailed accounting books, cards

When adopting a Voucher accounting system, it is important to specify the types

of recording vouchers used in the business Typically enterprises, after choosing which accounts to use, can specify the types of recording vouchers:

- Or, each type of entry voucher has one account against other accounts' debt

- Or, for each type of debit voucher, a reciprocal account has other accounts Thus, how many accounts enterprises use will have the corresponding number of entry vouchers in each period

In case the enterprise does not stipulate the above types of recording vouchers, it

is necessary to have specific regulations, remove the data to avoid duplicating the entry vouchers in the ledger and the entry voucher register

Based on original vouchers or the summary sheet of original documents to make entry vouchers Based on vouchers, record entries in the voucher registers and record entries in the ledger Those who need to monitor in detail will base themselves on each original document to record in detailed books and cards, at the end of the month of making the financial statements

At the end of the period, based on the ledger, make a balance sheet of occurrence amounts with the book entry voucher register, compare the data on the detailed summary table with the general data on the ledger, the accountant will make a financial statement That order is clearly shown in the diagram 1.2:

Diagram 2.2 The order of recording accounting books in the form of recording

vouchers