You are previewing Financial Accounting: A User Perspective 6th Canadian Edition.
O'Reilly logo
Financial Accounting: A User Perspective 6th Canadian Edition

Book Description

Financial Accounting: A User Perspective, Sixth Canadian Edition maintains its unique focus on the users of accounting information while presenting accounting concepts in a traditional framework. Students learn about underlying accounting concepts and accounting systems and get to apply that information from a user perspective. Unlike other books, Financial Accounting uses the analysis of real companies' financial information as the focal point for the user perspective. This unique approach has allowed all students, majors and non-majors alike, to gain the solid understanding of accounting that they will need to succeed in business. The text, paired with WileyPLUS, forms a strong teaching and learning package.

Table of Contents

  1. Cover Page
  2. Title Page
  3. Copyright
  4. About the Authors
  5. About the Contributor
  6. Dedication
  7. Preface
    1. HALLMARK FEATURES OF THIS BOOK
    2. ACKNOWLEDGEMENTS
    3. CONCLUDING REMARKS
  8. Brief Table of Contents
  9. Table of Contents
  10. chapter 1: OVERVIEW OF CORPORATE FINANCIAL REPORTING
    1. WHAT IS A BUSINESS?
    2. WHAT IS ACCOUNTING?
    3. FORMS OF ORGANIZATION
    4. USERS OF FINANCIAL STATEMENTS
    5. DEVELOPMENT OF ACCOUNTING STANDARDS
    6. BUSINESS ACTIVITIES
    7. H&M ANNUAL REPORT
    8. SUMMARY
  11. chapter 2: ANALYZING TRANSACTIONS AND THEIR EFFECTS ON FINANCIAL STATEMENTS
    1. USER RELEVANCE
    2. THE BASIC ACCOUNTING EQUATION
    3. TRANSACTION ANALYSIS AND THE BASIC ACCOUNTING EQUATION
    4. FINANCIAL STATEMENTS
    5. USING RATIOS TO ANALYZE FINANCIAL STATEMENTS
    6. SUMMARY
  12. chapter 3: PROCESSING DATA THROUGH THE ACCOUNTING SYSTEM
    1. USER RELEVANCE
    2. DOUBLE-ENTRY ACCOUNTING SYSTEMS
    3. UNDERSTANDING THE ACCOUNTING CYCLE
    4. TRANSACTIONS
    5. RECORDING IN JOURNAL, LEDGER, AND TRIAL BALANCE
    6. PREPARING FINANCIAL STATEMENTS AND CLOSING ENTRIES
    7. SUMMARY
  13. chapter 4: REVENUE RECOGNITION AND STATEMENT OF EARNINGS
    1. USER RELEVANCE
    2. CASH-TO-CASH CYCLE
    3. REVENUE RECOGNITION
    4. STATEMENT OF EARNINGS FORMAT
    5. PERFORMANCE MEASUREMENT
    6. SUMMARY
  14. chapter 5: THE STATEMENT OF CASH FLOWS
    1. USER RELEVANCE
    2. WHY ANOTHER FLOW STATEMENT?
    3. UNDERSTANDING THE STATEMENT OF CASH FLOWS
    4. PREPARING THE STATEMENT OF CASH FLOWS
    5. INTERPRETING CASH FLOW INFORMATION
    6. SUMMARY
    7. READING AND INTERPRETING PUBLISHED FINANCIAL STATEMENTS
  15. chapter 6: CASH, SHORT-TERM INVESTMENTS, AND ACCOUNTS AND NOTES RECEIVABLE
    1. USER RELEVANCE
    2. CASH
    3. SHORT-TERM INVESTMENTS
    4. ACCOUNTS RECEIVABLE
    5. NOTES RECEIVABLE
    6. STATEMENT ANALYSIS CONSIDERATIONS
    7. CURRENT RATIO
    8. QUICK RATIO
    9. SUMMARY
  16. chapter 7: INVENTORY
    1. USER RELEVANCE
    2. EXAMPLES OF INVENTORY
    3. VALUATION CRITERIA
    4. ACQUISITION COSTS
    5. INVENTORY SYSTEMS
    6. COST FLOW ASSUMPTIONS
    7. INVENTORY ISSUES FOR MANAGEMENT
    8. INVENTORY ESTIMATION
    9. STATEMENT ANALYSIS CONSIDERATIONS
    10. SUMMARY
    11. APPENDIX
  17. chapter 8: CAPITAL ASSETS—TANGIBLE AND INTANGIBLE
    1. USER RELEVANCE
    2. CAPITAL ASSET RECOGNITION
    3. HOW ARE CAPITAL ASSETS VALUED?
    4. DEPRECIATION CONCEPTS
    5. DEPRECIATION METHODS
    6. CORPORATE INCOME TAXES
    7. CHOICE OF DEPRECIATION METHOD
    8. CHANGES IN DEPRECIATION ESTIMATES AND METHODS
    9. ADDITIONAL EXPENDITURES ON CAPITAL ASSETS DURING THEIR LIVES
    10. WRITEDOWNS AND DISPOSALS OF PROPERTY, PLANT, AND EQUIPMENT
    11. NATURAL RESOURCES
    12. INTANGIBLE ASSETS
    13. STATEMENT ANALYSIS CONSIDERATIONS
    14. SUMMARY
  18. chapter 9: CURRENT LIABILITIES, CONTINGENCIES, AND COMMITMENTS
    1. USER RELEVANCE
    2. RECOGNITION CRITERIA FOR LIABILITIES
    3. VALUATION METHODS FOR LIABILITIES
    4. CURRENT LIABILITIES
    5. STATEMENT ANALYSIS CONSIDERATIONS
    6. CONTINGENCIES
    7. COMMITMENTS
    8. SUMMARY
  19. chapter 10: LONG-TERM DEBT AND OTHER NON-CURRENT LIABILITIES
    1. USER RELEVANCE
    2. LONG-TERM NOTES AND MORTGAGES
    3. BONDS AND DEBENTURES
    4. LEASES
    5. PENSIONS
    6. OTHER POST-EMPLOYMENT BENEFITS
    7. DEFERRED INCOME TAXES
    8. OTHER INCOME TAX DISCLOSURES
    9. STATEMENT ANALYSIS CONSIDERATIONS
    10. SUMMARY
    11. APPENDIX
  20. chapter 11: SHAREHOLDERS' EQUITY
    1. USER RELEVANCE
    2. FORMS OF ORGANIZATION
    3. CORPORATIONS
    4. SHARES
    5. DIVIDENDS, STOCK SPLITS, AND EMPLOYEE STOCK OPTIONS
    6. STATEMENT OF RETAINED EARNINGS AND STATEMENT OF CHANGES IN EQUITY
    7. FINANCIAL STATEMENT ANALYSIS
    8. SUMMARY
    9. APPENDIX
    10. APPLYING YOUR KNOWLEDGE AND A USER PERSPECTIVE
  21. chapter 12: FINANCIAL STATEMENT ANALYSIS
    1. USER RELEVANCE
    2. OVERVIEW OF FINANCIAL STATEMENT ANALYSIS
    3. RATIOS
    4. NON-MANUFACTURING OR NON-RETAIL COMPANY ANALYSIS
    5. INTERPRETING THE RATIOS
    6. SUMMARY
  22. appendix A: H&M ANNUAL REPORT
  23. appendix B: ACCOUNTING FOR INTERCOMPANY INVESTMENTS
  24. subject index
  25. company index