会计英语 第四版 叶建芳01.ppt

Ye Sun Accounting English,1,会计英语 （第四版）,上海财经大学出版社,普通高等教育“十一五”国家级规划教材 高等院校会计专业方向选修课系列教材,Ye Sun Accounting English,2,INTRODUCTION,Overview of the Course Course Schedule Learning Requirements Evaluation -Discussion -Homework -Quiz -Examination,Ye Sun Accounting English,3,Lesson 1 Review of Accounting,Introduction to accounting concepts,Accounting is a service activity that includes the measurement, recording, summarization, and reporting of economic information to external financial statement users to assist in rational investment, credit, and similar decisions. Accounting is also essential for internal functions of a business.,Accounting information,The accounting process,Decision makers,Economic activities,Actions (decisions),Accounting is an information system. Accounting thinks decision makers with economic activities and with the results of their decisions.,Ye Sun Accounting English,5,Financial statements,The statement of comprehensive income (income statement) summarizes financial performance resulting from income (revenue and gains) less expenses (including losses). The statement of changes in equity reconciles changes in equity (increases are caused by owner investments and net income, while decreases result from owner withdrawals and net losses for sole proprietorship ). The statement of financial position (balance sheet) details assets, liabilities, and equity. The statement of cash flows shows the cash inflows and outflows from operating activities, investing activities, and financing activities.,Ye Sun Accounting English,6,Users of accounting information,Primary users investors and creditors External users & Internal users External users are users outside of the entity examples: banks, government, creditors, unions Internal users are users within the entity examples: Marketing Manager, Accounts Receivable Manager, Accounts Payable Manager,Ye Sun Accounting English,7,International financial reporting standards & GAAP,GAAPs are established by setting bodies after consultation with various interest groups, such as business owners and other professional accounting bodies. There is a growing trend to adopt accounting standards that are in harmony with international accounting standards. ,Ye Sun Accounting English,8,International financial reporting standards & GAAP,Accounting concepts and principles include: business entity monetary unit objectivity principle cost principle going-concern revenue recognition or realization principle time period materiality principle matching principle consistency principle conservatism principle full-disclosure principle,Ye Sun Accounting English,9,Types of accountants,There are three basic types of accountants: Private accountants work for a single employer. Public accountants are available to the public. Government accountants work for local, provincial, and federal government agencies.,Ye Sun Accounting English,10,Fields of accounting,There are four broad fields of accounting: financial managerial taxation accounting-related,Ye Sun Accounting English,11,Forms of organization,Single or sole proprietorship Owner is personally responsible for business debts. Partnership Partners are personally responsible for all partnership debts. Corporation A corporation is a separate legal entity. It is responsible for its own debts.,Ye Sun Accounting English,12,The accounting equation,Business transactions always affect at least two elements in the accounting equation. The accounting equation is: Assets = Liabilities + Owners equity After a transaction is recorded, the accounting equation must be in balance.,Ye Sun Accounting English,13,Using the accounting equation,(1)Recording (2)Reporting (Basic Steps of Accounting Processing) Example 1-2 Page12,Ye Sun Accounting English,14,An example!,Lets analyze some transactions for JJs Lawn Care Service.,On May 1, 2001, Jill Jones deposited $8,000 in the bank to officially start JJs Lawn Care Service.,The Effects of Business Transactions,The Effects of Business Transactions,On May 2, 2001, JJs purchased a riding lawn mower for $2 500 cash.,The Effects of Business Transactions,The Effects of Business Transactions,On May 8, 2001, JJs purchased a $15,000 truck. JJs paid $2 000 down in cash and issued a note payable for the remaining $13 000.,The Effects of Business Transactions,The Effects of Business Transactions,On May 11, 2001, JJs purchased some repair parts for $300 on account.,The Effects of Business Transactions,The Effects of Business Transactions,On May 18, 2001, JJs sold half of their repair parts to ABC Lawns for $150, a price equal to JJs cost. JJs will receive the cash within 30 days.,The Effects of Business Transactions,The Effects of Business Transactions,On May 25, 2001, ABC Lawns pays JJs $75 as a partial settlement of its accounts receivable.,The Effects of Business Transactions,The Effects of Business Transactions,On May 28, 2001, JJs pays $150 of its accounts payable.,The Effects of Business Transactions,The Effects of Business Transactions,On May 29, 2001, JJs recorded lawn care services provided during May of $750. All clients paid in cash.,The Effects of Business Transactions,The Effects of Business Transactions,On May 31, 2001, JJs purchased gasoline for the lawn mower and the truck for $50 cash.,The Effects of Business Transactions,The Effects of Business Transactions,Lets review how JJs transactions affected the accounting equation.,The Effects of Business Transactions,Ye Sun Accounting English,35,Ye Sun Accounting English,36,These transactions impact the Statement of Cash Flows.,These transactions impact the Income Statement.,Balance Sheet !,Ye Sun Accounting English,37,Ethics in accounting,Accountants mu