Resume
Summary Financial Accounting 2
- Cours
- Établissement
- Book
Summary of the course Financial Accounting 2, chapters 1,2,3,4,5,6,7,8,9,10,11&12
[Montrer plus]
Livre connecté
Titre de l’ouvrage:
Auteur(s):
- Édition:
- ISBN:
- Édition:
Plus de résumés pour
-
Intermediate Accounting IFRS 4th Edition Solution Manual by Donald E. Kieso, Jerry J. Weygandt, Complete Chapters 1 - 24, Verified Newest Version
-
Test Bank for Intermediate Accounting IFRS, 4th Edition by Kieso, Weygandt, Warfield All 1-24 Chapters Covered ,Latest Edition, ISBN:9781119607519
-
Test Bank for Intermediate Accounting IFRS, 4th Edition by Kieso, Weygandt, Warfield, All Chapters 1 to 24 complete Verified editon ISBN: 9781119607519
Vendeur
S'abonnernevbijsteren
Avis reçus
Aperçu du contenu
Intermediate accountingIFRS Edition 4th edition
Summary Financial Accounting 2 (Mid term)
1
,Inhoudsopgave
Chapter 1: Financial Reporting and Accounting Standards.............................................................4
1.1 Global Markets............................................................................................................................. 4
1.2 Objective of financial reporting..................................................................................................... 5
1.3 Standard-Setting Organizations................................................................................................... 5
1.4 Challenges financial reporting...................................................................................................... 6
Chapter 2: Conceptual framework for Financial Reporting..............................................................8
2.1 Usefulness conceptual framework............................................................................................... 8
2.2 Qualitative characteristics............................................................................................................ 9
2.3 Basic assumptions of accounting............................................................................................... 10
2.4 Application of the basic principles..............................................................................................10
Chapter 3: The accounting Information System..............................................................................12
3.1Describebasic accounting information system............................................................................12
3.2 Record and summarize basic transactions................................................................................13
3.3 Identify and prepare adjusting entries........................................................................................ 15
3.4 Preparing financial statements................................................................................................... 16
Chapter 4: Income statement and Related information...................................................................17
4.1Uses and limitations financial statement.....................................................................................17
4.2 Content and format income statement.......................................................................................17
4.3 How to report income items........................................................................................................ 18
4.4 Reporting accounting changed and errors.................................................................................22
4.5 Related equity statements.......................................................................................................... 22
Chapter 5: Statement of Financial Position and Cash Flows..........................................................24
5.1Statement of financial position, uses, limitations and content.....................................................24
5.2 Preparation of the statement of Financial Position.....................................................................27
5.3 Purpose, content and preparation statement of Cash Flows......................................................27
5.4 Additional types of information provided.....................................................................................29
Chapter 6: Accounting and the Time Value of Money.....................................................................30
6.1Fundamental concepts related to the time value of money.........................................................30
6.2 Solve future and present value................................................................................................... 32
6.3 Solve future of ordinary and annuity due problems....................................................................32
6.4 Solve present value of ordinary and annuity due problems........................................................33
6.5 Solve present value problems related to deffered annuities, bonds, cash flows........................33
Chapter 7: Cash and Receivables..................................................................................................... 36
7.1 Indicate how to report cash and related items............................................................................36
7.2 Define receivables and explain accounting issues related to their recognition...........................37
2
, 7.3 Explain accounting issues related to valuation of accounts receivable......................................38
7.4 Explain accounting issues related to recognition and valuation.................................................38
7.5 Additional accounting issues...................................................................................................... 39
Chapter 8: Valuation of Inventories................................................................................................... 41
8.1 Describe inventory classifications and systems.........................................................................41
8.2 Identify the goods and costs included in inventory.....................................................................42
8.3 Compare the cost flow assumptions.......................................................................................... 43
8.4 Effects if inventory errors........................................................................................................... 44
Chapter 9: Inventories: Additional Valuation issues.......................................................................44
9.1 Lower-of-cost-or-net realizable value rule..................................................................................44
9.2 Inventory valuation issues.......................................................................................................... 45
9.3 Determine ending inventory....................................................................................................... 46
9.4 Retail inventory method............................................................................................................. 46
9.5 Report analyze inventory........................................................................................................... 47
Chapter 10: Property, Plant and Equipment.....................................................................................47
10.1 PPE and its related costs......................................................................................................... 47
10.2 Accounting problems associated with the capitalization of borrowing costs.............................48
10.3 Accounting issues acquiring and valuing plant assets..............................................................48
10.4 Describe the accounting treatment for cost subsequent..........................................................48
10.5 Accounting treatment for the disposal PPE..............................................................................49
Chapter 11: Depreciation, Impairements and Depletion..................................................................49
11.1 Depreciation concepts.............................................................................................................. 49
11.2 Other depreciation issues......................................................................................................... 50
11.3 Accounting issues related to asset impairment.........................................................................50
11.4 Accounting procedures for depletion of mineral resources.......................................................51
11.5 Accounting for revaluations...................................................................................................... 52
11.6 How to report PPE and mineral resources...............................................................................52
Chapter 12: Intangible assets............................................................................................................ 52
12.1 Characteristics, valuation and amoritization of intangible assets.............................................52
12.2 Accounting for various types of intangible assets.....................................................................53
12.3 Accounting issues for recording goodwill.................................................................................54
12.4 Identify impairment procedures................................................................................................54
12.5 Accounting and presentation for research and development costs..........................................54
3
, Chapter 1: Financial Reporting and Accounting Standards
Learning objectives
1. Describe the global financial markets and their relation to financial reporting
2. Explain the objective of financial reporting
3. Identify the major policy-setting bodies and their role in the standard-setting process
4. Discuss the challenges facing financial reporting
With the globalization in mind, companies are recognizing the need to have one set of financial
reporting standards. In the past, many countries used their own sets of accounting standards. That
protocol has changed through the adoption of a single set of rules, called International Financial
Reporting Standards (IFRS).
IFRS does not come without costs and effort. However, the use of IFRS has brought the following net
benefits to capital markets:
o IFRS was successful in creating a common accounting language for capital markets.
o IFRS adoption helped to reduce investments risk in domestic firms, and attract foreign capital
overseas shares listing, bond issuance, or mergers and acquisitions.
1.1 Global Markets
World markets are increasingly intertwined. The tremendous variety and volume of both exported and
imported goods indicates the extensive involvement in international trade. In addition, due to
technological advances and less onerous regulatory requirements, investors are able to engage in
financial transactions across national borders and to make investment, capital allocation, and
financing decisions involving many foreign companies. As indicated, capital markets are
increasingly integrated, and companies have greater flexibility in deciding where to raise capital. With
the integration of capital markets, the automatic linkage between the location of the company and the
location of the capital markets are loosening. As a result, companies have been expanded choices of
where to raise capital, either equity or debt. The move toward adoption of global accounting standards
has and will continue to facilitate this trend.
Financial statements and financial reporting
Accounting is the universal language of business. The essential characteristics of accounting are (1) the
identification, measurement, and communication of financial information about (2) economic entities
to (3) interested parties. Financial accounting is the process that culminates in the preparation of
financial reports on the enterprise for use by both internal and external parties. Users of these
financial reports include investors, creditors, managers, unions, and government agencies. In contrast,
managerial accounting is the process of identifying, measuring, analyzing, and communicating
financial information needed by management to plan, control, and evaluate a company’s operations.
Financial statements are the principal means through which a company communicates its
financial information to those outside the business. These statements provide a company’s history
quantified in money terms. The financial statements most frequently provided are (1) the statement of
financial position, (2) the income statement, (3) the statement of cash flows, and (4) the statement of
changes in equity. Some financial information is better provided, by means of financial reporting
other than formal financial statements. Examples include the president’s letter or supplementary
schedules in the company annual report, prospectuses, etc.
Accounting and capital allocation
Resources are limited. As a result, people try to conserve them and ensure that they are used
effectively. Efficient use of resources often determines whether a business thrives. Accountants must
measure performance accurately and fairly on a timely basis, so that the right managers and
companies are able to attract investment capital. Capital allocation process:
4
Les avantages d'acheter des résumés chez Stuvia:
Qualité garantie par les avis des clients
Les clients de Stuvia ont évalués plus de 700 000 résumés. C'est comme ça que vous savez que vous achetez les meilleurs documents.
L’achat facile et rapide
Vous pouvez payer rapidement avec iDeal, carte de crédit ou Stuvia-crédit pour les résumés. Il n'y a pas d'adhésion nécessaire.
Focus sur l’essentiel
Vos camarades écrivent eux-mêmes les notes d’étude, c’est pourquoi les documents sont toujours fiables et à jour. Cela garantit que vous arrivez rapidement au coeur du matériel.
Foire aux questions
Qu'est-ce que j'obtiens en achetant ce document ?
Vous obtenez un PDF, disponible immédiatement après votre achat. Le document acheté est accessible à tout moment, n'importe où et indéfiniment via votre profil.
Garantie de remboursement : comment ça marche ?
Notre garantie de satisfaction garantit que vous trouverez toujours un document d'étude qui vous convient. Vous remplissez un formulaire et notre équipe du service client s'occupe du reste.
Auprès de qui est-ce que j'achète ce résumé ?
Stuvia est une place de marché. Alors, vous n'achetez donc pas ce document chez nous, mais auprès du vendeur nevbijsteren. Stuvia facilite les paiements au vendeur.
Est-ce que j'aurai un abonnement?
Non, vous n'achetez ce résumé que pour €5,99. Vous n'êtes lié à rien après votre achat.
Peut-on faire confiance à Stuvia ?
4.6 étoiles sur Google & Trustpilot (+1000 avis)
78998 résumés ont été vendus ces 30 derniers jours
Fondée en 2010, la référence pour acheter des résumés depuis déjà 14 ans