What is integrated system?

I mean what is inegrated accounting system and it's advantages and disadvantages.

Integrated systems combine both financial and cost accounts in one system of ledger accounts.

The principal accounts in a system of integrated accounts:

(a) The resources accounts

        (i) Materials control account or stores control account

       (ii) Wages (and salaries) control account

       (iii) Production overhead control account

       (iv) Administration overhead control account

       (v) Selling and distribution overhead control account

(b) Accounts which record the cost of production items from the start of production work through to cost of

sales

       (i) Work in progress control account

       (ii) Finished goods control account

      (iii) Cost of sales control account

(c) Sales account

(d) Income statement

The advantage and disadvantage of integrated systems

(a) The advantage of integrated systems over systems which have separate systems for cost and financial

accounting is the saving in administrative effort. Only one set of accounts needs to be maintained instead

of two and the possible confusion arising from having two sets of accounts with different figures (such as for inventory values and profits) does not exist.

(b) The disadvantage of integrated accounts is that one set of accounts is expected to fulfil two different

purposes.

       (i) Stewardship of the business, and external reporting

      (ii) Provision of internal management information

(c) At times, these different purposes may conflict; for example, the valuation of inventories in an integrated

system will conform to statutory requirements, whereas for management information purposes it might be

preferable to value closing inventories at, say, marginal cost or replacement cost.

(d) In practice, however, computers have overcome these disadvantages and most modern cost accounting

systems are integrated systems, incorporating coding systems which allow basic data to be analysed and presented in different ways for different purposes.

Are you mean al mttakamel arp