...Explaining Basic Accounting Concepts and Business University of Phoenix Introduction Accounting has become an indispensible part of today’s economy. It is being used to keep a track of company’s profit or loss, assets, liabilities and owner’s equity. Financial accounting, on the other hand, is to prepare financial reports to external parties such as: investors, creditors, and governmental agencies. However, prior to reporting any information to external users, financial accounting must be completed according to Generally Accepted Accounting Principles guidelines. Identify the hierarchy of sources for generally accepted accounting principles. Generally accepted accounting principles, or GAAP for short, are the accounting rules used to prepare and standardize the reporting of financial statements, such as balance sheets, income statements and cash flow statements, for publicly traded companies and many private companies in the United States (Paul, 2008). The main sources of GAAP are the United States Securities and Exchange Commission (SEC), American Institute of Certified Public Accountants (AICPA), Financial Accounting Standard Board (FASB), Financial Accounting Standards Board (FASB), and the Governmental Accounting Standards Board (GASB). The SEC is a structure for setting accounting standards. The ACIPA created the Accounting Principle Board and serves as an organization to provide CPA services the best professional resources, guidance, and information....
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...Introduction to Accounting Why Study Accounting? Engineering Accounting • Accounting is pervasive • Used in all types of organizations An Overview Richard S. Barr – For-profit companies – Not-for-profit companies – Governmental organizations 1 2 Organizations Accounting Common characteristics: • An objective or group of objectives • A set of strategies to achieve its objectives • Managers • A key element of management • You must understand what is being reported – – • Managers' performance is often measured by accounting data • This data is used for decision making • An organizational structure – • A need for information 3 Accounting Systems 4 Types of Information • Are the primary quantitative information system in most organizations In accounting systems: • Attention-directing – – Types of information – Purposes of accounting systems • Problem-solving – • Scorekeeping – 5 6 1 Introduction to Accounting Purposes of Acctg Systems Accounting Systems • Internal reporting to managers for planning and control • Internal reporting for special decisions, policies, and long-range plans • External reporting Four Standard Types 7 8 Types of Accounting Systems Financial Accounting 1. 2. 3. 4. • Primarily for the external decision maker Financial Tax Management Cost – – – • External reporting follows legal and GAAP requirements • Objective:...
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...NINJA CPA REVIEW® NINJA Notes 2015 Financial Accounting & Reporting Table of Contents The N.I.N.J.A. Framework I. IFRS 8 II. Accounting Changes 19 III. Financial Reporting 20 IV. Bonds & Debt Restructure 38 V. Consolidations 47 VI. Deferred Taxes 50 VII. Derivatives, Hedging, & Translation 52 VIII. Fixed Assets 56 IX. Governmental Accounting 62 X. Personal Financial Statements, Segments, & Interim Reporting 73 XI. Partnership Accounting 76 XII. Inventory 79 XIII. Investments 85 XIV. Leases 87 XV. Current Assets & Liabilities 91 XVI. Not-For-Profit Accounting 93 XVII. Pensions 99 XVIII. Statement of Cash Flows 101 XIX. Stockholders’ Equity 103 2 The N.I.N.J.A. Framework NAIL THE CONCEPTS Watch your CPA Review videos first – before working any assigned homework questions. The CPA Review industry says to watch a section of CPA Review video and then work the accompanying MCQs. This perspective stems from the old-school approach to the paper and pencil exam where you had to sit in a live classroom and learn from an instructor on weekends. Today, there is a smarter way to study. You don’t have to go to a weekend live course. You can fire up the laptop on a Tuesday morning and knock out two hours of material before you even brush your teeth. If you work MCQs in week one over your week one topic, guess what? You will work them again in week 5 or 6 when you review because you will forget what you learned. If you watch a...
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...NINJA CPA REVIEW® NINJA Notes 2015 Financial Accounting & Reporting (Updated as of July 2015) Table of Contents The N.I.N.J.A. Framework I. IFRS 8 II. Accounting Changes 19 III. Financial Reporting 20 IV. Bonds & Debt Restructure 39 V. Consolidations 48 VI. Deferred Taxes 51 VII. Derivatives, Hedging, & Translation 53 VIII. Fixed Assets 57 IX. Governmental Accounting 63 X. Personal Financial Statements, Segments, & Interim Reporting 74 XI. Partnership Accounting 77 XII. Inventory 80 XIII. Investments 86 XIV. Leases 88 XV. Current Assets & Liabilities 92 XVI. Not-For-Profit Accounting 94 XVII. Pensions 100 XVIII. Statement of Cash Flows 102 XIX. Stockholders’ Equity 104 2 The N.I.N.J.A. Framework NAIL THE CONCEPTS Watch your CPA Review videos first – before working any assigned homework questions. The CPA Review industry says to watch a section of CPA Review video and then work the accompanying MCQs. This perspective stems from the old-school approach to the paper and pencil exam where you had to sit in a live classroom and learn from an instructor on weekends. Today, there is a smarter way to study. You don’t have to go to a weekend live course. You can fire up the laptop on a Tuesday morning and knock out two hours of material before you even brush your teeth. If you work MCQs in week one over your week one topic, guess what? You will work them again in week 5 or 6 when you review because you will forget what you learned. If you watch a video in week one and score...
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...Public Sector Accounting............................................................ 1 16 September 2014 ii ProQuest 第 1 个文档，共 1 个 Elements of a Theoretical Framework for Public Sector Accounting ProQuest 文档链接 摘要: The development of a concept of community assets (used to describe government-managed assets of an infrastructural, cultural, or environmental nature) can contribute to the development of a new theoretical framework for public sector accounting and potentially for private sector accounting as well. An important feature of this framework is that recognition of assets based on common property alongside private property lends greater visibility to the communitarian perspective, with its emphasis on shared values and common life, and to social as well as technical concerns. In addition, by distinguishing what management can control from what they cannot control, a concept of community assets as distinct from ordinary fixed assets could permit a fairer system of accountability and clarify the controversial issues of depreciation in the public sector. 链接: Check local library holdings 全文文献: Despite the ancient origins of governmental accounting (Normanton, 1966; Chatfield, 1974) and the size and significance of governmental activity in modern times, the subject was, until recently, ignored by academics and practitioners alike. After a period of unwarranted neglect (see Perrin, 1981), the 1980s witnessed an upsurge of interest in public sector accounting. Its theoretical...
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...Accountancy Jump to: navigation, search Accountancy (profession)[1] or accounting (methodology) is the measurement, statement or provision of assurance about financial information primarily used by managers, investors, tax authorities and other decision makers to make resource allocation decisions within companies, organizations, and public agencies. The terms derive from the use of financial accounts. Accounting is the discipline of measuring, communicating and interpreting financial activity. Accounting is also widely referred to as the "language of business".[2] Financial accounting is one branch of accounting and historically has involved processes by which financial information about a business is recorded, classified, summarised, interpreted, and communicated; for public companies, this information is generally publicly-accessible. By contrast management accounting information is used within an organisation and is usually confidential and accessible only to a small group, mostly decision-makers. Tax Accounting is the accounting needed to comply with jurisdictional tax regulations. Practitioners of accountancy are known as accountants. There are many professional bodies for accountants throughout the world. Many allow their members to use titles indicating their membership or qualification level. Examples are Chartered Certified Accountant (ACCA or FCCA), Chartered Accountant (FCA, CA or ACA), Management Accountant (ACMA, FCMA or AICWA), Certified Public Accountant...
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...A privately held company or close corporation is a business company owned either by non-governmental organizations or by a relatively small number of shareholders or company members which does not offer or trade its company stock (shares) to the general public on the stock market exchanges, but rather the company's stock is offered, owned and traded or exchanged privately. More ambiguous terms for a privately held company are unquoted company and unlisted company. Though less visible than their publicly traded counterparts, private companies have major importance in the world's economy. In 2008, the 441 largest private companies in the United States accounted for US$1.8 trillion in revenues and employed 6.2 million people, according to Forbes. In 2005, using a substantially smaller pool size (22.7%) for comparison, the 339 companies on Forbes' survey of closely held U.S. businesses sold a trillion dollars' worth of goods and services (44%) and employed 4 million people. In 2004, the Forbes' count of privately held U.S. businesses with at least $1 billion in revenue was 305.[1] Cargill, Koch Industries, Bechtel, Publix, Pilot Corp., Deloitte Touche Tohmatsu (one of the members of the Big Four accounting firms), Hearst Corporation, Cox Enterprises, S. C. Johnson, and Mars are among the largest privately held companies in the United States. KPMG, the UK accounting firms Ernst & Young and PricewaterhouseCoopers, IKEA, Trafigura, J C Bamford Excavators (JCB), Lidl, Aldi,...
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...INTRODUCTION United States Generally Accepted Accounting Principles (GAAP) is the standard platform of guidelines that governs the rules of financial accounting utilized in the preparation of financial statements. The US GAAP can be quite flexible in its interpretations and rulings, but the framework of GAAP is based upon certain constraints and principles in the preparation of financial reports. This paper shall endeavor to address the organization of GAAP and some of the specific areas of its governing responsibility. BODY GAAP is defined as a set of accounting patterns that are required to prepare and report the financial statements of public and private companies and non-profit organizations in the United States. It hand down the standards and rules for the aid of accountants so that they can record and prepare a summary of their transactions, for their financial statements. The Governmental Accounting Standards Board (GASB) in the United States is responsible for codifying the rules of GAAP that is referred to as US GAAP. In the United States, the American Institute of Certified Public Accountants (AICPA), The Financial Accounting Standards Board (FASB) and the Securities and Exchange Commission (SEC) provide guidance, assistance, and enforcement of the standard acceptable practices of accounting. GAAP is used to prepare all the financial documents of a company and increase its understandability and faithfulness for the investors. Without GAAP, companies...
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...instead of to license or franchise to other firm and lastly, the existence of MNEs because of relevant cost and the government policies that encourage companies to perform production in other countries. MNEs can be classified into three groups: resource-seeking, market-seeking and efficiency-seeking. Resource-seeking is the search of resources in other country. While companies with market-seeking, they tend to establish subsidiaries. Those subsidiaries play a role as producer of goods to supply the market in the country of parent’s location. As for efficiency-seeking, subsidiary will have their own specialization in producing certain part. With regards to the different arguments for studying international accounting, there are several reasons for studying comparative accounting. It act as a reminder that US and Anglo-Saxon countries are not the...
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...11 Issues Chapter of Reporting, Disclosure and Financial Analysis Questions for Review and Discussion 1. The two main adjustment are likely to be the addition of capital assets and longterm obligations. 2. The main adjustments are likely to be: the addition of depreciation expense and gains or losses from the sale of capital assets and the deletion of amounts spent to acquire capital assets and the proceeds from the sale of capital assets the deletion of long-term debt proceeds and amounts spent to repay long-term debts and the addition of any gain or loss on the retirement of debt and the amortization of any debt premium or discount. 3. The key criterion is financial accountability the primary government either appoints a voting majority of the units governing body or a majority of the units governing body is composed of primary government officials and the primary government is able to impose its will upon the potential component unit or there is the potential for the organization to provide specific financial benefits to, or impose specific financial burdens on, the primary government. 4. Discrete presentation is when one or more component units are reported in separate columns, in addition to those pertaining to the primary government. Blending is when the component units transactions and balances are reported as if they were part of the primary government that is, the component units funds are accounted for just as they were funds of the primary government. Blending is...
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...Tax Law and Accounting Craig ACC 483 June 21, 2010 Jeff Hough Modern taxation comes from a long history of changes in the United States beginning with the Revenue Act of 1861 that was designed to assist with funding the Civil War. This tax was repealed 10 years later. “In 1894 Congress enacted a flat rate federal income tax, which was ruled unconstitutional the following year by the U.S. Supreme Court because it was a direct tax not apportioned according to the population of each state” (Terrell, 2009, History of Tax Law, para. 2). In 1913, the Sixteenth Amendment enacted modern day federal income tax in the United States. Before 1913, the federal government relied on customs duties and excise taxes as its source of income. As America developed the U.S. government needed additional income to sustain its operations. The Sixteenth Amendment consisted of just one sentence: “The Congress shall have the power to lay and collect taxes on incomes, from whatever source derived, without apportionment among the several States, and without regard to any census or enumeration” (Pope, Anderson, & Kramer, 2010, p. 1-3). The implementation of income tax remains one of the most remarkable institutions created in this era. Modern Income Tax Statutes The primary objective of modern tax statutes is to generate revenue to sustain governmental operations. The largest source of federal revenues is individual income taxes. Other sources come from corporate income taxes and Social...
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...Acknowledgements “Criticism, like rain, should be gentle enough to nourish a men’s growth without destroying his roots” Frank A. Clark I would like to thank my academic advisor, Gordon Holyer for his patience and kind guidance through various stages of the project. Through his suggestions and valuable advice the project grew in scope, gained necessary clarity and professional delivery. The benefit and help provided by Gordon Holyer is best summarized in the opening quote above for which I thank him wholeheartedly. Furthermore, I would like to show my appreciation for Vancouver Island University faculty for seamless transition from classroom to work settings. To my Internship Coordinator Nattallie Tessier my sincere gratitude for your tireless commitment and unwavering support. Last but not least, I would like to show appreciation to my Internship Mentor Carrie Linegar for giving me this internship opportunity at BC Wheelchair Basketball Society. I will always remember the experience as wonderful and it was genuine pleasure learning from you. Without of the collective support of all individuals involved I would not have completed this project. Milan Azanjac 565 582 699 Table of Contents Acknowledgements i List of Acronyms iv EXECUTIVE SUMMARY vii SECTION 1 – INTRODUCTION 1 1-1. Company Profile 1 1-2. Goals and Objectives of the Applied Project 1 SECTION 2 – SITUATIONAL ANALYSIS 3 2-1 Environmental Analysis 3 2-1-1. Economic segment 3 2-1-2...
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...Student Name: ID Number: FinaNCIAL aCCOUNTING tHOERY FIN420 Assignment 1 FinaNCIAL aCCOUNTING tHOERY FIN420 Assignment 1 Case 3-8 IASB vs. FASB Conceptual Frameworks Q. Discuss the similarities and differences between the FASB and IASB conceptual frameworks with respect to the definitions of the elements of financial statements. INTRODUCTION At the October 2004 joint IASB-FASB meeting, the Boards agreed to add to their respective agendas a joint project to develop a common conceptual framework—a single framework that both converges and improves upon the existing frameworks of the two Boards. (The Boards had previously discussed a staff proposal for this project at their April joint meeting.) The Boards also agreed that the project should be divided into phases. Initially, the focus will be on objectives, qualitative characteristics, elements, recognition, and measurement. The Boards will give priority to addressing issues that are likely to yield benefits to the Boards in the short term, that is, cross-cutting issues that affect a number of their standards-level agenda projects. Therefore, the first step is to identify and prioritize those cross-cutting issues. Possible examples that the staff have suggested include the meaning and role of reliability; the definition of liability; the meaning of probable; the effect of conditions, contingencies, or other uncertainties; the unit of account; and accounting for contractual rights and obligations...
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... ROLL NO. # 13 ------------------------------------------------- M.PHIL (Semester 2) ------------------------------------------------- ------------------------------------------------- ------------------------------------------------- ------------------------------------------------- MINHAJ UNIVERSITY LAHORE ------------------------------------------------- STRATEGIC MANAGEMENT DEFINATION: “Strategic management can be defined as the art and science of formulating, implementing, and evaluating cross-functional decisions that enable an organization to achieve its objectives”. As the definition implies, strategic management focuses on integrating management, marketing, finance/accounting, production/operation, research and development, information system to achieve organizational success. STAGES OF STRATEGIC MANAGEMENT: The strategic management process consists of three stages: STAGE 1: Strategy Formulation: “Strategy formulation includes developing a vision and mission, identifying organization’s external opportunities and threats, determining internal strengths and weaknesses, establishing long term objectives,...
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...CHAPTER 1 ACCOUNTING: INFORMATION FOR DECISION MAKING OVERVIEW OF BRIEF EXERCISES, EXERCISES AND CRITICAL THINKING CASES Brief Exercises B. Ex. 1.1 B. Ex. 1.2 B. Ex. 1.3 B. Ex. 1.4 B. Ex. 1.5 B. Ex. 1.6 B. Ex. 1.7 B. Ex. 1.8 B. Ex. 1.9 B. Ex. 1.10 Learning Objectives 1, 3, 5 2,5 3,4 5,6 1, 3, 5, 6 5, 6 2, 5, 6 7, 8 5, 7 1 Topic Users of accounting information Components of internal control Inexact or approximate measures Standards for the preparation of accounting information FASB conceptual framework PCAOB COSO Professional certifications in accounting AICPA code of professional conduct Personal benefits of accounting skills Skills Analysis Analysis Analysis, judgment Analysis Analysis Analysis, research Analysis, ethics Analysis Analysis, ethics Analysis Exercises 1.1 1.2 1.3 1.4 1.5 1.6 1.7 1.8 1.9 1.10 1.11 1.12 1.13 1.14 1.15 1.16 Topic You as a user of accounting information Real World: Boeing Company, California Public Employees Retirement System, China Airlines Users of accounting information What is financial reporting? Generally accepted accounting principles Accounting organizations Investment return Accounting terminology Accounting organizations Financial and management accounting Management accounting information Accounting organizations Purpose of an audit Audits of financial statements Ethics and professional judgment Careers in accounting Home Depot, Inc. general information Learning Objectives Skills 1 Analysis, judgment 3, 4 Analysis, research ...
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