John A., CPA Tracy's Accounting For Dummies, 4th edition PDF

By John A., CPA Tracy

ISBN-10: 0470246006

ISBN-13: 9780470246009

ISBN-10: 047039269X

ISBN-13: 9780470392690

Examine the fundamentals of sensible accounting simply and painlessly with Accounting For Dummies, 4th version, which gains new info on accounting equipment and criteria to maintain you modern. With this consultant, you could keep away from accounting fraud, reduce confusion, maximize earnings, and make feel of accounting fundamentals with this plain-English advisor on your accountant’s language. know how to regulate stock, record source of revenue and costs for public or deepest businesses, evaluation revenue margins, examine company strengths and weaknesses, and deal with budgets for a greater final analysis.

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D. in accounting and becoming an accounting professor. , and spent the rest of my career in that capacity. These days, the starting salaries for new assistant professors of accounting are well into six digits! 29 30 Part I: Opening the Books on Accounting Chapter 2 Financial Statements and Accounting Standards In This Chapter ᮣ Fleshing out the three key financial statements ᮣ Noting the difference between profit and cash flow ᮣ Finding answers in the financial statements ᮣ Knowing who sets accounting standards I f you read Chapter 1, you got a very brief introduction to the three primary business financial statements: the income statement, the balance sheet, and the statement of cash flows.

Each of these information packets is called an account — so, a balance sheet has a composite of asset accounts, liability accounts, and owners’ equity accounts. Company’s Name Balance Sheet at End of Most Recent Year (Dollar amounts in thousands) Assets $1,000 Cash Receivables from sales made on credit $800 Inventory of unsold products, at cost $1,560 Long-term operating assets, at cost less cumulative amount charged off to depreciation expense $1,840 Total assets $5,200 Liabilities and Owners’ Equity Figure 2-2: Basic information components of the balance sheet.

A balance sheet could be whipped up anytime you want, say at the end of every day. In fact, some businesses (such as banks and other financial institutions) need daily balance sheets, but most businesses do not prepare balance sheets that often. Typically, preparing a balance sheet at the end of each month is adequate for general management purposes — although a manager may need to take a look at the business’s balance sheet in the middle of the month. In external financial reports (those released outside the business to its lenders and investors), a balance sheet is required at the close of business on the last day of the income statement period.

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Accounting For Dummies, 4th edition by John A., CPA Tracy


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