New Government Accounting System In The Philippines (NGAS)

Introduction

Accounting is an successful tool of management in assessing the functionality of the different agencies of authorities. The functionality of the general public professionals would rely at most, on economic studies generated by the use of accounting methods.

Cognizant of this need to have, a new accounting program needs to be designed that would support the different companies to strike on economic targets, and at the exact same time be recognized by all consumers of monetary reports.

With sunsystems hk , the Fee on Audit (COA), beneath the new 1987 Structure, promulgated the New Govt Accounting Program in the Philippines (NGAs) for use by all govt companies.

The shift to NGAs was produced in reaction to the pursuing require:

1. Adoption of an accounting method that is in conformity with the Intercontinental Accounting Specifications.

two. Computerization of the accounting systems to create stories that will be easy to recognize by the standard general public.

3. Preparing of regular and routinary financial reviews.

4. The use of the generated monetary studies as equipment of management in choice generating.

Authorities Accounting – Defined

Beneath Part 109, of the Presidential Decree (PD) no. 1445, defines Govt Accounting as 1 that encompasses the procedure of analyzing, classifying, summarizing and communicating all transactions that are concerned in the receipt and disbursement of all authorities funds and homes, and deciphering the results thereof. In pursuant to this definition, objectives were set to protect many places in authorities functions.

Targets of Govt Accounting

one. To produce appropriate economic data about previous and present transactions of authorities.

2. To serve as basis for determination creating for long term functions

three. To serve as the control system for the receipt, disposition and utilization of govt funds and qualities

4. To come up with economic reviews pertaining to the final results of functions of various federal government companies that are for dissemination to the general public.

Summation

The require for timely preparing of fiscal studies in federal government is needed to consider the overall performance of the various agencies of govt. The consequence of the reports would indicate the locations that may nevertheless need to have advancement, as properly as appear up with the budgetary requirements for these companies if essential.

Public officers are administrators of funds, that are entrusted to them by the national authorities. The financial stories would evidently display if the organizations are attaining what is mandated of them. These reviews would also show the extent in the use of agency assets and sources, as well as the need to have for extra infusion of cash if essential

The accounting data would display how the resources of government were utilized. This would also expose the inflow and outflow of money and the require for stiffer fund management and control, if required.

On Accounting Duty

This fiscal duty emanates from the Structure and its governing laws, policies and promulgation. The mandate as prescribed under the stated Structure of the Philippines phone calls for the trying to keep of the standard accounts, as well as the promulgation and submission of fiscal reviews that would include the operations of federal government.

The government officers that are mandated to discharge the earlier mentioned-said Accounting obligations are the Fee on Audit (COA), the Division of Funds and Administration (DBM) and the Bureau of Treasury (BTr) – to discharge the features of govt in consonance with its motivation to all Filipinos.