Introduction to Accounting

Klappentext `Introduction to Accounting has already stood the test of time, and this new and improved Third Edition will ensure that it remains one of the best, if not the "best ever" introductory textbooks on accounting'- Michael Sherer, University of EssexThe fully revised and updated Third Edition embraces the basic techniques and underlying theoretical concepts in accounting and shows how these are applied in various circumstances. Zusammenfassung Provides an introduction to accounting for students coming to the subject for the first time. This book embraces the basic techniques and underlying theoretical concepts in accounting and shows how these are applied in various circumstances. It provides: fully illustrated and worked examples; student activities; and! end of chapter questions. Inhaltsverzeichnis THE FRAMEWORK OF ACCOUNTING The Accounting Process Suppliers of Accounting Information Financial Accounting and Management Accounting Compared External Users of Accounting Information Principal Accounting Statements THE BALANCE SHEET The Entity Concept Classification of Assets and Sources of Finance The Accounting Equation: A Further Illustration Raising Further Finance The Investment Decision Business Development The Trading Cycle Reporting Changes in Owner¿s Capital Assets = Capital + Liabilities Valuation of Assets PROFIT CALCULATED AS THE INCREASE IN CAPITAL Profitable Activity Profit and Changes In Gross Assets Balance Sheet Presentation: Vertical Format Profits, Losses and Changes In Net Assets Profit Measured By Capital Changes Capital Injections and Withdrawals THE PREPARATION OF ACCOUNTS FROM CASH OR INCOMPLETE RECORDS Accounting Systems and Information Requirements The Matching Concept Gross Profit and Net Profit The Problem of Periodic Profit Calculation The Identification of Revenue: The Realization Concept Matching Expenditure With Revenue: The Benefit Principle The Preparation of Accounts From Cash Records: A Worked Example Clubs and Societies THE DOUBLE ENTRY SYSTEM I The Inital Recording of Transactions Introduction Cash Flows Flows Of Goods And Services THE DOUBLE ENTRY SYSTEM II Ledger Accounts and the Trial Balance Introduction The Interlocking Effect of Transactions Ledger Accounts Books of Prime Entry Control Accounts For Debtors and Creditors The Trial Balance Computerized Accounting Systems Advantages of Double Entry THE DOUBLE ENTRY SYSTEM III Periodic Accounting Reports Periodic Accounts Adjustments To The Trial Balance Stocks (Inventories) Depreciation Disposal of Fixed Assets Prepayments and Accruals Bad Debts The Adjusted Trial Balance ASSET VALUATION, PROFIT MEASUREMENT AND THE UNDERLYING ACCOUNTING CONCEPTS Asset Valuation and Profit Measurement Tangible Fixed Assets Intangible Fixed Assets Stock Valuation Methods Accounting Concepts PARTNERSHIPS Introduction The Partnership Agreement The Creation of A Partnership The Division of Profit Capital and Current Accounts Changes in Membership Change in Profit-Sharing Ratio Dissolution of Partnerships COMPANY ACCOUNTS Formation of Registered Companies The Annual Report Other Sources of Information Share Capital Share Premium Account Share Forfeiture The Rights Issue Loan Capital and Debentures The Appropriation Account Revaluation Reserve Redemption of Debentures Bonus (Capitalization, Scrip) Issue of Shares Reporting Financial Performance (FRS 3) Groups of Companies Goodwill and Intangible Assets (FRS 10) Research and Development (SSAP 13) Limitations of Company Accounts IN...

List of contents

THE FRAMEWORK OF ACCOUNTING
The Accounting Process
Suppliers of Accounting Information
Financial Accounting and Management Accounting Compared
External Users of Accounting Information
Principal Accounting Statements
THE BALANCE SHEET
The Entity Concept
Classification of Assets and Sources of Finance
The Accounting Equation: A Further Illustration
Raising Further Finance
The Investment Decision
Business Development
The Trading Cycle
Reporting Changes in Owner's Capital
Assets = Capital + Liabilities
Valuation of Assets
PROFIT CALCULATED AS THE INCREASE IN CAPITAL
Profitable Activity
Profit and Changes In Gross Assets
Balance Sheet Presentation: Vertical Format
Profits, Losses and Changes In Net Assets
Profit Measured By Capital Changes
Capital Injections and Withdrawals
THE PREPARATION OF ACCOUNTS FROM CASH OR INCOMPLETE RECORDS
Accounting Systems and Information Requirements
The Matching Concept
Gross Profit and Net Profit
The Problem of Periodic Profit Calculation
The Identification of Revenue: The Realization Concept
Matching Expenditure With Revenue: The Benefit Principle
The Preparation of Accounts From Cash Records: A Worked Example
Clubs and Societies
THE DOUBLE ENTRY SYSTEM I
The Inital Recording of Transactions
Introduction
Cash Flows
Flows Of Goods And Services
THE DOUBLE ENTRY SYSTEM II
Ledger Accounts and the Trial Balance
Introduction
The Interlocking Effect of Transactions
Ledger Accounts
Books of Prime Entry
Control Accounts For Debtors and Creditors
The Trial Balance
Computerized Accounting Systems
Advantages of Double Entry
THE DOUBLE ENTRY SYSTEM III
Periodic Accounting Reports
Periodic Accounts
Adjustments To The Trial Balance
Stocks (Inventories)
Depreciation
Disposal of Fixed Assets
Prepayments and Accruals
Bad Debts
The Adjusted Trial Balance
ASSET VALUATION, PROFIT MEASUREMENT AND THE UNDERLYING ACCOUNTING CONCEPTS
Asset Valuation and Profit Measurement
Tangible Fixed Assets
Intangible Fixed Assets
Stock Valuation Methods
Accounting Concepts
PARTNERSHIPS
Introduction
The Partnership Agreement
The Creation of A Partnership
The Division of Profit
Capital and Current Accounts
Changes in Membership
Change in Profit-Sharing Ratio
Dissolution of Partnerships
COMPANY ACCOUNTS
Formation of Registered Companies
The Annual Report
Other Sources of Information
Share Capital
Share Premium Account
Share Forfeiture
The Rights Issue
Loan Capital and Debentures
The Appropriation Account
Revaluation Reserve
Redemption of Debentures
Bonus (Capitalization, Scrip) Issue of Shares
Reporting Financial Performance (FRS 3)
Groups of Companies
Goodwill and Intangible Assets (FRS 10)
Research and Development (SSAP 13)
Limitations of Company Accounts
INTERPRETATION OF ACCOUNTS
The Cash Flow Statement
Introduction
Format
Statement Construction
Some Complexities of The Cash Flow Statement
Interpretation using The Cash Flow Statement
INTERPRETATION OF ACCOUNTS
Ratio Analysis
The Need for Profit and Cash
Principles of Ratio Analysis
Classification of Accounting Ratios
Return on Capital Employed
Profit Ratios
Solvency Ratios
Asset Turnover Ratios
Relationship Between Accounting Ratios
Gearing (or Leverage)
Cash Flow Statement Ratios
Limitations of Accounting Ratios
Linking Together Cash Flow Analysis and Ratio Analysis
DECISION-MAKING
Introduction
Cost Behaviour
Total Costing and Overhead Recovery Rates
Investment Appraisal
Forecast Results
STANDARD COSTING AND BUDGETARY CONTROL
Introduction
Budgetary Control
Preparation of Budgets
Standard Costing
Calculation of Variances
End of chapter questions (After each chapter)
Solutions to activities (After each chapter)

Report

`Introduction to Accounting has already stood the test of time, and this new and improved third edition will ensure that it remains one of the best, if not the "best ever" introductory textbooks on accounting'- Michael Sherer, University of Essex
`I think the book admirably achieves the authors' objective of providing an introduction to accounting which embraces both the basic techniques and the underlying theoretical concepts'- Accounting and Business Research

`...an excellent book which should be compulsory reading for all first year students on accounting degree courses'- Association of Banking Teachers Bulletin

Product details

• Authors: J R Edwards, J R R Edwards, J. R. Edwards, Pru Marriot, Pru Marriott, Pru Edwards Marriott, Marriott Pru, Howard J Mellett, Howard J J Mellett, Howard J. Mellett
• Publisher: Sage Publications Ltd
• Languages: English
• Product format: Hardback
• Released: 17.01.2002
• EAN: 9780761970378
• ISBN: 978-0-7619-7037-8
• No. of pages: 560
• Series: Accounting & Finance; Accounting and Finance Series; Accounting and Finance; Accounting and Finance series
• Subjects: Social sciences, law, business > Business > Business administration; Social sciences, law, business > Business > Miscellaneous; Accounting, BUSINESS & ECONOMICS / Accounting / General, Introductory Accounting