会计英文教材第一集

INTERMEDIATEACCOUNTING6thEDITIONLannyG.ChasteenRichardE.FlahertyMelvinC.O’Connor2FINANCIALREPORTING3LearningObjectivesDescribethepurposeoffinancialreportingandidentifytheprimaryfinancialstatements.ExplainthefunctionofaccountingstandardsanddescribetheroleoftheFASBinsettingthesestandardsintheUnitedStates.RecognizetheimportancetofinancialreportingoftheSEC,AICPA,AAA,andIRS.4LearningObjectivesRealizethegrowingimportanceandrelevanceofinternationalaccountingissuestothepracticeofaccountingintheUnitedStatesandunderstandtheroleoftheIASCininternationalaccountingstandardsetting.UnderstandthesignificanceoftheFASB’sconceptualframeworkinoutliningthequalitiesofgoodaccountinginformation,definingtermssuchasassetandrevenue,andprovidingguidanceaboutappropriaterecognition,measurement,andreporting.5LearningObjectivesIdentifycareeropportunitiesrelatedtoaccountingandfinancialreportinginthefieldsofpublicaccounting,corporateaccounting,financialanalysis,banking,andconsulting.6DefinitionforAccounting“Accountingisaserviceactivity.Itsfunctionistoprovidequantitativeinformation,primarilyfinancialinnature,abouteconomicentitiesthatisintendedtobeusefulinmakingeconomicdecisions--inmakingreasonedchoicesamongalternativecoursesofaction.”(APB4.40).7•Accountingprovidesavitalserviceintoday’sbusinessenvironment.•Accountingisconcernedprimarilywithquantitativefinancialinformationthatisusedinconjunctionwithqualitativeevaluationsinmakingjudgments.DefinitionforAccountingKeyfeaturesofthisdefinition:8•Accountinginformationisusedinmakingdecisionsabouthowtoallocatescarceresources.•Althoughaccountantsplacemuchemphasisonreportingwhathasalreadyoccurred,thispastinformationisintendedtobeusefulinmakingeconomicdecisionsaboutthefuture.DefinitionforAccountingKeyfeaturesofthisdefinition:9UsersofAccountingInformationAllpartiesinterestedinthefinancialhealthofacompanyarecalledstakeholders.10UsersofAccountingInformationInternalusers,whomakedecisionsdirectlyaffectingtheinternaloperationsoftheenterprise.Externalusers,whomakedecisionsconcerningtheirrelationshiptotheenterprise.Twomajorclassificationsofstakeholders11InvestorsCommunityBoardofDirectorsManagementEmployeesSuppliersEmployeesCreditorsCustomersAnalystsGovernmentMajorInternalandExternalStakeholderGroups12FinancialReportingThebalancesheetreports,asofacertainpointintime,theresourcesofacompany(theassets),thecompany’sobligations(theliabilities),andtheequityoftheowners.Theincomestatementreports,foracertaininterval,thenetassetsgeneratedthroughbusinessoperations(revenues),thenetassetsconsumed(theexpenses),andthenetincome.Thestatementofcashflowsreports,foracertaininterval,theamountofcashgeneratedandconsumedbyacompanythroughoperating,financing,andinvestingactivities.13Accountingestimatesandjudgmentsareoutlinedinthenotestofinancialstatements.FinancialReporting14FinancialStatementRelationshipsBalanceSheet12/31/X0Cash$80,000Other4,550,000Total$4,630,000Liabilities$2,970,000Stock900,000R/E760,000Total$4,630,000StatementofCashFlowsCashFromOp$973,000CashFromInv(1,188,000)CashFromFin245,000NetIncrease$30,000Beg.Cash80,000End.Cash$110,000StatementofRetainedEarningsR/E12/31/X0$760,000NetIncome864,600Dividends(400,000)R/E12/31/X1$1,224,600Revenues$12,443,000Expenses11,578,400NetIncome$864,600IncomeStatementCash$110,000Other4,975,000Total$5,085,000Liabilities$2,860,400Stock1,000,000R/E1,224,600Total$5,085,000BalanceSheet12/31/X115RelativeFrequencyofAuditOpinions(1998)CompaniesUnqualified5,978UnqualifiedWithExplanatoryLanguage1,030Qualified6Noopinion2Adverse0Total7,01616AccountingStandard-SettingOrganizationsFASACFASBFAFSECAcSECAICPAIASCIAPCOtherEITFGASACGASBU.S.Gov't17SecuritiesandExchangeCommission(1934-present)1929stockmarketcrashblamedonnonstandardaccounting.1934SecuritiesActestablishedSECtostandardizeaccounting.Createdtoprotecttheinterestsofinvestorsbyensuringfullandfairdisclosure.GrantedlegalauthoritytodictateGAAP.HastendedtodefersettingGAAPtotheaccountingprofession.18U.S.AccountingStandard-SettingBodiesCommitteeonAccountingProcedures(CAP)Born:1939Died:1959Pronouncements:AccountingResearchBulletins19U.S.AccountingStandard-SettingBodiesAccountingPrinciplesBoard(APB)Born:1959Died:1973Pronouncements:APBOpinions20U.S.AccountingStandardsSettingBodiesFinancialAccountingStandardsBoard(FASB)Born:1973Died:Pronouncements:StatementsofFinancialAccountingStandards21FASACFASBFAFSECAcSECAICPAIASCIAPCOtherEITFGASACGASBU.S.Gov'tAccountingStandard-SettingOrganizations22FinancialAccountingStandardsBoard(1973-present)Sevenfull-timememberscomprisethisindependentbody.IssuesStatementsofFinancialAccountingStandards.DeterminesGAAPby“dueprocess.”Workswithintheconceptualframework.StatementPreparers•FinancialExecutivesInstitute•IMA•IndividualCorpsFASBFASBAuthoritySources--OverviewGov’tRegulators•SEC•StateBoardsofPublicAcct.•AmericanAcct.InstructorsAssociationAuditors•AICPA•StatesocietiesofCPAs•Majorauditfirms2324•Maintainspowertoregulateregistrantcompanies.CongressFASBAuthoritySources--SECSECFASBRegistrantCompanies25FASBAuthoritySources--AICPAP