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Chapter 1 Why Is Financial Accounting Important?
1.1 Making Good Financial Decisions about an Organization
1.2 Incorporation and the Trading of Capital Shares
1.3 Using Financial Accounting for Wise Decision Making
Chapter 2 What Should Decision-makers Know So That Good Decisions Can Be Made about an Organization?
2.1 Creating a Portrait of an Organization That Can Be Used by Decision Makers
2.3 The Need for Generally Accepted Accounting Principles
2.4 Four Basic Terms Found in Financial Accounting
Chapter 3 In What Form Is Financial Information Actually Delivered to Decision Makers Such as Investors and Creditors?
3.1 The Construction of an Income Statement
3.2 Reported Profitability and the Principle of Conservatism
3.3 Increasing the Net Assets of a Company
3.4 Reporting a Balance Sheet and a Statement of Cash Flows
Chapter 4 How Does an Organization Accumulate and Organize the Information Necessary to Prepare Financial Statements?
4.1 The Essential Role of Transaction Analysis
4.2 The Effects Caused by Common Transactions
4.3 An Introduction to Double-Entry Bookkeeping
4.5 The Connection of the Journal and the Ledger
Chapter 5 Why Must Financial Information Be Adjusted Prior to the Production of Financial Statements?
5.1 The Need for Adjusting Entries
5.2 Preparing Various Adjusting Entries
5.3 Preparing Financial Statements Based on Adjusted Balances
Chapter 6 Why Should Decision Makers Trust Financial Statements?
6.1 The Need for the Securities and Exchange Commission
6.2 The Role of the Independent Auditor in Financial Reporting
6.4 The Need for Internal Control
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