tailieunhanh - Lecture Financial and managerial accounting (4/e): Chapter 1 - Wild, Shaw, Chiappetta

Chapter 1 - Introducing accounting in business. After you have read this chapter you should be able to: Explain the purpose and importance of accounting; identify users and uses of, and opportunities in, accounting; explain why ethics are crucial to accounting; explain generally accepted accounting principles and define and apply several accounting principles. | Financial and Managerial Accounting Wild, Shaw, and Chiappetta Fourth Edition McGraw-Hill/Irwin Copyright © 2011 by The McGraw-Hill Companies, Inc. All rights reserved. Chapter 1 Introducing Accounting in Business Conceptual Chapter Objectives C1: Explain the purpose and importance of accounting. C2: Identify users and uses of accounting. C3: Explain why ethics are crucial to accounting. C4: Explain generally accepted accounting principles and define and apply several accounting principles. C5: Appendix 1B – Identify and describe the three major activities of organizations. 1- Analytical Chapter Objectives A1: Define and interpret the accounting equation and each of its components. A2: Compute and interpret return on assets. A3: Appendix 1A – Explain the relation between return and risk. 1- Procedural Chapter Objectives P1: Analyze business transactions using the accounting equation. P2: Identify and prepare basic financial statements and explain how they interrelate. 1- Identifies Records Communicates Relevant Reliable Comparable Importance of Accounting Accounting is a system that information that is about an organization’s business activities. C1 1- Identifying Business Activities Recording Business Activities Communicating Business Activities Accounting Activities C 1 1- Financial accounting practice is governed by concepts and rules known as generally accepted accounting principles (GAAP). Generally Accepted Accounting Principles Relevant Information Affects the decision of its users. Reliable Information Is trusted by users. C 4 Comparable Information Used in comparisons across years & companies. 1- Principles and Assumptions of Accounting C 4 Measurement principle (also called cost principle) means that accounting information is based on actual cost. Going-concern assumption means that accounting information reflects a presumption the business will continue operating. Monetary unit assumption means we can express transactions in money. Revenue recognition principle provides guidance on when a company must recognize revenue. Business entity assumption means that a business is accounted for separately from its owner or other business entities. Matching principle (expense recognition) prescribes that a company must record its expenses incurred to generate the revenue. Full disclosure principle requires a company to report the details behind financial statements that would impact users’ decisions. 1- Time period assumption presumes that the life of a company can be divided into time periods, such as months and years. Liabilities Equity Assets = + Expanded Accounting Equation Revenues Expenses Contributed Capital Dividends _ + _ Retained Earnings Liabilities Equity Assets = + A1 1- Financial Statements These financial statements will be used throughout the semester. Income Statement Statement of Retained Earnings Balance Sheet Statement of Cash Flows P2 1- End of Chapter 1 1- This completes our discussion of chapter one. We have introduced many new concepts and procedures. Your homework assignments will help reinforce most of what we have covered in our presentation. If you have difficulty with your homework assignments, you may want to review this presentation again. Good luck.

• Tài chính doanh nghiệp
• Managerial accounting
• Lecture Financial and managerial accounting
• Financial statements
• Managerial decisions
• Accounting activities
• Business activities
• Managerial accounting for managers
• Lecture Managerial accounting
• Profitability analysis
• Decision making
• Operations management majors
• Nonmanufacturing costs
• Classifications of costs
• Kế toán quản trị
• Managerial accounting information
• General cost classifi cations
• Product costs
• Process costing
• Standard costing systems
• Accounting information
• Managerial decision
• Process management
• Financial statement
• Cost concepts
• Managerial accounting basics
• Managerial cost
• Period costs
• Financial accounting
• Dynamic business environment
• Reporting manufacturing activities
• Accounting principles
• Fundamental accounting principles
• Lecture Fundamental accounting principles
• Relevant costing
• Income statement
• Accounting cycle
• Accounting for merchandising operations
• Merchandising operations
• Capital budgeting decisions
• Time value of money
• Income taxes
• After tax cost