TITLE : FINANCIAL ACCOUNTING. 3RD ED. *

 
PART 1 INTRODUCTION
 
CHAPTER 1 INTRODUCTION TO ACCOUNTING AND ACCOUNTANTS 2
 
BUSINESS ENTITIES AND ACCOUNTING INFORMATION 3
GENERALLY ACCEPTED ACCOUNTING PRINCIPLE5 8
FINANCIAL STATEMENT5 11
 
 
CHAPTER 2 THE CONTENT AND ORGANIZATION OF FINANCIAL STATEMENTS 32
 
CONCEPTS AFFECTING THE CONTENT AND ORGANIZATION OF FINANCIAL
  STATEMENTS 33
THE CLASSIFIED FINANCIAL STATEMENTS 39
ANALYS1S OF THE CONSOLIDATED FINANCIAL STATEMENTS OF APPLE COMPUTER,
  INC. 52
APPENDIX 2-1 UNUSUAL INCOME ITEMS 59
 
 
PART 2 THE ACCOUNTING DATA PROCESSING CYCLE 73
 
 
CHAPTER 3 RECORDING ACCOUNTING DATA 74
 
EVENTS AND TRANSACTlONS 75
THE DOUBLE-ENTRY ACCOUNTING SYSTEM 75
THE ACCOUNTING CYCLE 77
DEMONSTRATION OF THE ACCOUNTING CYCLE 102
 
 
CHAPTER 4 ADJUSTING ENTRIES 127
 
THE CONCEPTUAL BASIS FOR ADJUSTING ENTRIES 128
FOUR CLASSES OF ADJUSTING ENTRIES 129
PREPARATION OF ADJUSTING ENTRIES 132
DEPRECIATION AND INTEREST 136
EFFECTS OF ADJUSTING ENTRIES ON THE FINANCIAL STATEMENTS 139
REVIEW PROBLEMS: ADJUSTING ENTRY CONCEPTS 141
APPENDIX 4-1 AN ALTERNATIVE METHOD OF DEFERRING PREPAYMENTS AND
  ADVANCE COLLECTIONS 148
 
 
CHAPTER 5 COMPLETING THE ACCOUNTING CYCLE 165
 
THE CLOSING PROCESS 166
THE WORKSHEET 169
REVIEW OF THE ACCOUNTING CYCLE 175
ERROR EFFECTS AND ERROR CORRECTION 184
INTERNAL CONTROLS IN THE ACCOUNTING SYSTEM 185
APPENDIX 5-1 REVERSING ENTRIES 184
 
 
PART 3 ACCOUNTING FOR ASSETS 207
 
 
CHAPTER 6 SALES REVENUES AND COST OF GOODS SOLD 208
 
MODIFICATION TO SALES REVENUES 209
ACCOUNTING FOR UNCOLLECTIBLES 214
CONCEPTS UNDERLYING ACCOUNTING FOR COST OF GOODS SOLD 219
PERIODIC AND PERPETUAL INVENTORY ACCOUNTING SYSTEMS 220
COST OF PURCHASES 227
REVIEW PROBLEM: SALES AND PURCHASES 230
 
 
CHAPTER 7 INVENTORY COSTING 247
 
INVENTORY COSTING METHODS 248
ESTIMATING PERIODIC SYSTEM COST OF GOODS SOLD AND ENDING INVENTORY 257
DEPARTURES FROM COST FOR INVENTORY 260
THE EFFECT OF PERIODIC SYSTEM INVENTORY ERRORS ON THE FINANCIAL
  STATEMENTS 262
REVIEW PROBLEM: INVENTORY COSTING METHODS 264
APPENDIX 7-1 THE RETAIL METHOD 267
APPENDIX 7-2 THE PERPETUAL SYSTEM FOR INVENTORY ACCOUNTING 268
 
 
CHAPTER 8 FINANCIAL ASSETS: ACCOUNTING AND CONTROL 288
 
ACCOUNTING FOR CASH 289
ACCOUNTING FOR CREDIT CARDS 298
ACCOUNTING FOR RECEIVABLES 300
ACCOUNTING FOR SHORT TERM INVESTMENTS 304
APPENDIX 8-1 THE STRUCTURE OF SPECIAL RECORDS AND CONTROL OF CASH 311
 
 
CHAPTER 9 OPERATING ASSETS 331
 
PROPERTY, PLANT, AND EQUIPMENT 332
INTANGIBLE ASSETS 351
NATURAL RESOURCES 355
REVIEW PROBLEM: ACCOUNTING FOR OPERATING ASSETS 357
APPENDIX 9-1 ACCOUNTING FOR TRADE INS 362
 
 
PART 4 ACCOUNTING FOR LIABILITIES AND EQUITY 377
 
 
CHAPTER 10 CURRENT LIABILITIES, CONTINGENT LIABILITIES, AND THE TIME
           VALUE OF MONEY 378
 
SECTION A: CURRENT LIABILITIES, CONTINGENT LIABILITIES, AND DEFERRED
  INCOME TAXES 379
CURRENT LIABILITIES 380
CONTINGENT LIABILITIES 386
DEFERRED INCOME TAXES 388
SECTION B: TIME VALUE OF MONEY 390
COMPOUND INTEREST CALCULATIONS 390
FOUR BASIC TIME-VALUE OF MONEY PROBLEMS 395
ACCOUNTING APPLICATIONS OF TIME VALUE OF MONEY ANALYSIS 406
 
 
CHAPTER 11 A LONG TERM LIABILITIES: STRAIGHT LINE INTEREST
           PROCEDURES 428
 
STRAIGHT-LINE AMORTIZATION AND INTEREST EXPENSE 429
LONG-TERM NOTES PAYABLE 430
ACCOUNTING FOR BONDS 435
LEASES 448
APPENDIX 11A-1 SOME TECHNICAL ISSUES IN ACCOUNTING FOR BONDS 451
 
 
CHAPTER 11 B LONG TERM LIABILITIES: EFFECTIVE INTEREST PROCEDURES 463
 
EFFECTIVE INTEREST AMORTIZATION AND INTEREST EXPENSE 464
LONG TERM NOTES PAYABLE 466
ACCOUNTING FOR BONDS 474
LEASES 489
APPENDIX 11B-1 SOME TECHNICAL ISSUES IN ACCOUNTING FOR BONDS 491
APPENDIX 11B-2 STRAIGHT LINE ADJUSTMENT OF THE PREMIUM OR DISCOUNT FOR
               BONDS 495
 
 
CHAPTER 12	OWNERS' EQUITY 509
 
ACCOUNTING FOR CAPITAL STOCK 510
DIVIDENDS AND RETAINED EARNINGS 521
EQUITY IN UNINCORPORATED ENTITIES 529
 
 
PART 5 ADDITIONAL DIMENSIONS OF FINANCIAL REPORTING 547
 
 
CHAPTER 13 THE STATEMENT OF CASH FLOWS 548
 
INFLOWS AND OUTFLOWS OF FINANCIAL RESOURCES 549
THE STATEMENT OF CASH FLOWS 556
USING THE STATEMENT OF CASH FLOWS 566
APPENDIX 13-1 USING A WORKSHEET TO DEVELOP DATA FOR THE STATEMENT OF
              CASH FLOWS 571
 
 
CHAPTER 14  LONG TERM INVESTMENTS, CONSOLIDATED FINANCIAL STATEMENTS,
            AND BUSINESS COMBINATIONS 597
 
ACCOUNTING FOR LONC TERM INVESTMENTS IN COMMON STOCK 598
CONSOLIDATED FINANCIAL STATEMENTS 603
BUSINESS COMBINATIONS 609
APPENDIX 14-1 CONSOLIDATED INCOME STATEMENTS 612
APPENDIX 14-2 COMBINATION BY EXCHANGE OF STOCK: A POOLING OF
              lNTERESTS 617
	
 
CHAPTER 15	FINANCIAL STATEMENT ANALYSIS 630
 
USE OF FINANCIAL STATEMENTS IN MAKING DECISIONS 630
TECHNIQUES FOR EXTRACTINC INFORMATION FROM FINANCIAL STATEMENTS 632
REVIEW PROBLEM: FINANCIAL STATEMENT ANALYSIS TECHNIQUES 657
 
 
CHAPTER 16 ACCOUNTING AND CORPORATE INCOME TAXATION 688
 
OBJECTIVES AND STRUCTURE OF CORPORATE INCOME TAXATION 689
TAXABLE INCOME AND ACCOUNTING INCOME 697
TAXATION AND DECISION MAKINC 708
 
 
SUPPLEMENTARY TOPICS  721
 
 
TOPIC A  ACCOUNTING FOR NONBUSINESS ENTITIES 722
 
FUND ACCOUNTING SYSTEMS 723
MODIFIED ACCRUAL-BASIS ACCOUNTING 725
RECORDING BUDGETS AND ENCUMBRANCES 727
ACCOUNTING STANDARDS FOR NONBUSINESS ENTITIES 730
 
 
TOPIC B ACCOUNTING FOR CHANGING PRICES 735
 
CHANGING PRICES AND THE CURRENT COST CONCEPT 736
UNSTABLE MONETARY UNIT AND THE CONSTANT DOLLAR CONCEPT 739
 
 
TOPIC C ACCOUNTING FOR INTERNATIONAL OPERATIONS 747
 
INTERNATIONAL ECONOMIC ACTIVITY 748
EXCHANGE RATES 748
TRANSACTIONS DENOMINATED IN FOREIGN CURRENCY 749
ACCOUNTING FOR FOREIGN INVESTMENTS 751
INTERNATIONAL ACCOUNTING PRINCIPLES 752
 
 
TOPIC D PERSONAL INCOME TAXATION 757
 
THE STRUCTURE OF INDIVIDUAL INCOME TAXATION 757
SATISFYING THE TAX LIABILITY 761
TAX PLANNINC AND TAX AVOIDANCE 762
 
 
GLOSSARY 767
 
INDEX 777