How to Create an Accounting Flowchart in Google Docs

Warren Buffett highlights that accounting is the language of business. This always reminds us the importance of accounting in every industry and every business. To make us efficient and effective in our accounting, using a flowchart would help us simplify any accounting process, may it be creating a balance sheet, income statement, general ledger, inventory, among others.

1. Determine Your Purpose

One misconception about accounting is that many people would assume it is just about bookkeeping. However, it is more than that. Accounting encompasses all financial transactions of the business, including auditing and taxation. Hence, when you create a flowchart, you must specify your purpose. For example, you can create the accounting process for purchasing goods or for posting sales reports.

2. Focus on Both Visual Presentation and Functionality

A flowchart must not only be presentable; it must also contain the correct and appropriate information for it to serve its purpose. So, while working on the design of your flowchart is good, it would be better if you would also focus on checking whether the step-by-step approach supports the solution in solving a task.

3. Use Appropriate Flowchart Symbols

Symbols play a vital role in flowcharts as they represent specific actions or steps in a process, the sequence of the steps, and the relationship of the processes. Among the commonly used symbols for accounting and finance flowcharts are as follows:

  1. Oval - This represents the start or endpoint of the process.
  2. Arrow - This is a connector that shows the relationship among the representative shapes.
  3. Parallelogram - This refers to an input or output.
  4. Rectangle - This represents a process.
  5. Diamond - This indicates a decision.

4. Be Simple and Direct to the Point

Your company flowchart must be plain and simple so readers can quickly understand the process. Its purpose will be defeated when it is too complex to comprehend. Use easy-to-understand words or phrases, and avoid the excessive use of accounting jargon.

General FAQs

  • What Are the Purposes of Accounting Flowchart?

  • What Are the Types of Flowchart?

  • Can I Create a Flowchart Online?

  • What Are the Online Tools that Can Be Used to Make a Flowchart?

  • What Is the Most Simple Way to Make a Flowchart in Google Docs?

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