会计学原理-英文版-第21版--第一章Accounting-in-Bussiness.ppt

AccountinginBusiness Chapter1 AccountinginBusiness C1 ImportanceofAccounting C1 Forexample thesalebyAppleofaniPhone Keepachronologicallogoftransactions Preparereportssuchasfinancialstatements UsersofFinancialInformation C1 Accountingiscalledthelanguageofbusinessbecauseallorganizationssetupanaccountinginformationsystemtocommunicatedatatohelppeoplemakebetterdecisions Accountingservesmanyuserswhocanbedividedintotwogroups externalusersandinternalusers OpportunitiesinAccounting Accountinginformationisinallaspectsofourlives Whenweearnmoney paytaxes investsavings budgetearnings andplanforthefuture weuseaccounting Ethics AKeyConcept C3 Thegoalofaccountingistoprovideusefulinformationfordecisions Forinformationtobeuseful itmustbetrusted Thisdemandsethicsinaccounting Ethicsarebeliefsthatdistinguishrightfromwrong Theyareacceptedstandardsofgoodandbadbehavior FraudTriangle C3 Threefactorsmustexistforapersontocommitfraud opportunity pressure andrationalization Envisionawaytocommitfraudwithalowperceivedriskofgettingcaught Failstoseethecriminalnatureofthefraudorjustifiestheaction Musthavesomepressuretocommitfraud likeunpaidbills GenerallyAcceptedAccountingPrinciples GAAP C4 Financialaccountingisgovernedbyconceptsandrulesknownasgenerallyacceptedaccountingprinciples GAAP GAAPaimstomakeinformationrelevant reliable andcomparable Relevantinformationaffectsdecisionsofusers Reliableinformationistrustedbyusers Comparableinformationishelpfulincontrastingorganizations InternationalStandards C4 Intoday sglobaleconomy thereisincreaseddemandbyexternalusersforcomparabilityinaccountingreports Thisdemandoftenariseswhencompanieswishtoraisemoneyfromlendersandinvestorsindifferentcountries DifferencesbetweenU S GAAPandIFRSaredecreasingastheFASBandIASBpursueaconvergenceprocessaimedtoachieveasinglesetofaccountingstandardsforglobaluse InternationalAccountingStandardsBoard IASB Anindependentgroup consistingofindividualsfrommanycountries issuesInternationalFinancialReportingStandards IFRS InternationalFinancialReportingStandards IFRS Identifypreferredaccountingpractices ConceptualFrameworkandConvergence C4 PrinciplesandAssumptionsofAccounting C4 Generalprinciplesarethebasicassumptions concepts andguidelinesforpreparingfinancialstatements Generalprinciplesstemfromlong usedaccountingpractices Specificprinciplesaredetailedrulesusedinreportingbusinesstransactionsandevents Specificprinciplesarisemoreoftenfromtherulingsofauthoritativegroups AccountingPrinciples C4 CostPrincipleAccountinginformationisbasedonactualcost Actualcostisconsideredobjective MatchingPrincipleAcompanymustrecorditsexpensesincurredtogeneratetherevenuereported FullDisclosurePrincipleAcompanyisrequiredtoreportthedetailsbehindfinancialstatementsthatwouldimpactusers decisions AccountingAssumptions C4 Proprietorship Partnership andCorporation Herearesomeofthemajorattributesofproprietorships partnerships andcorporations C4 Sarbanes Oxley SOX CongresspassedtheSarbanes OxleyActtohelpcurbfinancialabusesatcompaniesthatissuetheirstocktothepublic SOXrequiresthatthesepubliccompaniesapplybothaccountingoversightandstringentinternalcontrols Thedesiredresultsincludemoretransparency accountability andtruthfulnessinreportingtransactions C4 Dodd FrankWallStreetReformandConsumerProtectionAct TheActwasdesignedto promoteaccountabilityandtransparencyinthefinancialsystem putanendtothenotionof toobigtofail protectthetaxpayerbyendingbailouts andprotectconsumersfromabusivefinancialservices TransactionAnalysisandtheAccountingEquation TheAccountingEquation ExpandedAccountingEquation A1 P1 TransactionAnalysis Transaction1OnDecember1 ChasTaylorpersonallyinvests 30 000cashinFastForwardanddepositsthecashinabankaccountopenedunderthenameofFastForward Theaccountsinvolvedare 1 Cash asset 2 OwnerCapital equity P1 TransactionAnalysis Transaction2FastForwarduses 2 500ofitscashtobuysuppliesofbrandnamefootwearforperformancetestingoverthenextfewmonths Theaccountsinvolvedare 1 Cash asset 2 Supplies asset P1 TransactionAnalysis Transaction3FastForwardspends 26 000toacquireequipmentfortestingfootwear Thisisanexchangeofoneasset cash foranotherasset equipment Theequipmentisanassetbecauseofitsexpectedfuturebenefitsfromtestingfootwear Theaccountsinvolvedare 1 Cash asset 2 Equipment asset P1 TransactionAnalysis Transaction4Taylordecidesmoresuppliesoffootwearandaccessoriesareneeded Theseadditionalsuppliestotal 7 100 butasweseefromtheaccountingequation FastForwardhasonly 1 500incash TaylorarrangestopurchasethemoncreditfromCalTechSupplyCompany Theaccountsinvolvedare 1 Supplies asset 2 AccountsPayable liability P1 TransactionAnalysis Transaction5Inoneofitsfirstjobs FastForwardprovidesconsultingservicestoapowerwalkingclubandimmediatelycollects 4 200cash Theaccountsinvolvedare 1 Cash asset 2 Revenues equity P1 TransactionAnalysis Transaction6and7FastForwardpays 1 000rentandthebiweekly 700salaryofthecompany sonlyemployee Theaccountsinvolvedare 1 Cash asset 2 Expenses equity P1 TransactionAnalysis Transaction8FastForwardprovidesconsultingservicesof 1 600andrentsitstestfacilitiesfor 300toapodiatricservicescenter Thecenterisbilledforthe 1 900total Thistransactionresultsinanewasset calledaccountsreceivable fromthisclient Theaccountsinvolvedare 1 AccountsReceivable asset 2 Revenues equity P1 TransactionAnalysis Transaction9Thepodiatriccenterpays 1 900toFastForward10daysafteritisbilledforconsultingservices Theaccountsinvolvedare 1 Cash asset 2 AccountsReceivable asset P1 TransactionAnalysis Transaction10FastForwardpaysCalTechSupply 900cashaspartialpaymentforitsearlier 7 100purchaseofsupplies leaving 6 200unpaid Theaccountsinvolvedare 1 Cash asset 2 AccountsPayable liability P1 TransactionAnalysis Transaction11TheownerofFastForwardwithdraws 200cashforpersonaluse Theaccountsinvolvedare 1 Cash asset 2 Withdrawals equity SummaryofTransactions P1 FinancialStatements Thefourfinancialstatementsandtheirpurposesare Incomestatement describesacompany srevenuesandexpensesalongwiththeresultingnetincomeorlossoveraperiodoftimeduetoearningsactivities Statementofowner sequity explainschangesinequityfromnetincome orloss andfromanyownerinvestmentsandwithdrawalsoveraperiodoftime Balancesheet describesacompany sfinancialposition typesandamountsofassets liabilities andequity atapointintime Statementofcashflows identifiescashinflows receipts andcashoutflows payments overaperiodoftime P2 IncomeStatement Theincomestatementdescribesacompany srevenuesandexpensesalongwiththeresultingnetincomeorlossoveraperiodoftimeduetoearningsactivities P2 StatementofOwner sEquity Netincomefromtheincomestatement Thestatementofowner sequityreportsinformationabouthowequitychangesoverthereportingperiod P2 BalanceSheet Thebalancesheetdescribesacompany sfinancialpositionatapointintime P2 StatementofCashFlows P2 GlobalView BasicPrinciplesNeitherU S GAAPnorIFRSspecifiesparticularaccountnamesnorthedetailrequired IFRSdoesrequirecertainminimumlineitemsbereportedinthebalancesheetalongwithotherminimumdisclosuresthatU S GAAPdoesnot Ontheotherhand U S GAAPrequiresdisclosuresforthecurrentandpriortwoyearsfortheincomestatement statementofcashflows andstatementofretainedearnings equity whileIFRSrequiresdisclosuresforthecurrentandprioryear Still thebasicprinciplesbehindthesetwosystemsaresimilar GlobalView TransactionAnalysisBothU S GAAPandIFRSapplytransactionanalysisidenticallyasshowninthischapter Althoughsomevariationsexistinrevenueandexpenserecognitionandotherprinciples allofthetransactionsinthischapterareaccountedforidenticallyunderthesetwosystems ItisoftensaidthatU S GAAPismorerules basedwhereasIFRSismoreprinciples based Themaindifferenceontherulesversusprinciplesfocusiswiththeapproachindecidinghowtoaccountforcertaintransactions UnderU S GAAP theapproachismorefocusedonstrictlyfollowingtheaccountingrules underIFRS theapproachismorefocusedonareviewofthesituationandhowaccountingcanbestreflectit GlobalView FinancialStatementsBothU S GAAPandIFRSpreparethesamefourbasicfinancialstatements Toillustrate acondensedversionofPiaggio sincomestate