About the Authors
Licensing
Acknowledgments
Preface
1: Why Is Financial Accounting Important?
1.1: Making Good Financial Decisions about an Organization
1.2: Incorporation and the Trading of Capital Shares
1.3: Using Financial Accounting for Wise Decision Making
1.4: End-of-Chapter Exercises
2: What Should Decision-makers Know So That Good Decisions Can Be Made about an Organization?
2.1: Creating a Portrait of an Organization That Can Be Used by Decision Makers
2.2: Dealing with Uncertainty
2.3: The Need for Generally Accepted Accounting Principles
2.4: Four Basic Terms Found in Financial Accounting
2.5: End-of-Chapter Exercises
3: In What Form Is Financial Information Actually Delivered to Decision Makers Such as Investors and Creditors?
3.1: The Construction of an Income Statement
3.2: Reported Profitability and the Principle of Conservatism
3.3: Increasing the Net Assets of a Company
3.4: Reporting a Balance Sheet and a Statement of Cash Flows
3.5: End-of-Chapter Exercises
4: How Does an Organization Accumulate and Organize the Information Necessary to Prepare Financial Statements?
4.1: The Essential Role of Transaction Analysis
4.2: The Effects Caused by Common Transactions
4.3: An Introduction to Double-Entry Bookkeeping
4.4: Preparing Journal Entries
4.5: The Connection of the Journal and the Ledger
4.6: End-of-Chapter Exercises
5: Why Must Financial Information Be Adjusted Prior to the Production of Financial Statements?
5.1: The Need for Adjusting Entries
5.2: Preparing Various Adjusting Entries
5.3: Preparing Financial Statements Based on Adjusted Balances
5.4: Chapter Appendix
5.5: End-of-Chapter Exercises