1. Identifying financial transactions - Identifying financial transactions and recording them in the books of accounts by applying the principle of accounting is a manual process carried out by unauthorised person or on the basis of accounting manual.
2. Recording - The process of recording transaction in the books of original entry, posting them in the ledger accounts are carried out manually under the manual process . In the computerised process, transactions are recorded and remaining functions are performed without any further process.
3. Classification - In the manual process, transactions are recorded in the books of original entry and are posted to the ledger accounts. In computerised accounting the posting process is carried out by internal sorting of data.
