Efnisyfirlit

• Cover Page
• Half Title page
• Title Page
• Copyright Page
• Contents
• Acknowledgements
• Series Preface
• Preface
• Guide to the Book
• 1 Introduction to Accounting
• 1.1 Introduction
• 1.2 Accounting information systems
• 1.3 Information needs of stakeholders
• Types of stakeholders
• 1.4 Types of entity
• Sole traders
• Partnership
• Limited company
• 1.5 Legislation
• 1.6 Underlying accounting concepts
• Historical cost concept
• Money measurement concept
• Business entity concept
• Time interval concept
• 1.7 Fundamental accounting concepts
• Going concern
• Accruals (matching) concept
• Consistency
• Prudence
• Substance over form
• Materiality
• 1.8 The statement of principles
• 1.9 Audit and corporate governance
• External audit
• Internal audit
• 1.10 Summary
• Recommended reading
• Useful websites
• 2 Recording transactions
• 2.1 Introduction
• 2.2 The accounting equation
• Worked Example
• 2.3 T-accounts, debits and credits
• Worked Example
• 2.4 Balancing the accounts
• Worked Example
• 2.5 The trial balance
• Worked Example
• 2.6 More T-accounts
• Worked Example
• 2.7 Summary
• Recommended reading
• 3 The Statement of Financial Position
• 3.1 Introduction
• 3.2 The basic statement of financial position
• 3.3 Understanding the terminology
• 3.4 The accounting equation
• 3.5 Preparing a statement of financial position
• 3.6 Company statements of financial position
• 3.7 Published statements of financial position
• 3.8 Limitations of the statement of financial position
• 3.9 Summary
• Reference
• Recommended reading
• Useful websites
• 4 The income statement
• 4.1 Introduction
• 4.2 The basic Income statement
• 4.3 Understanding the terminology
• 4.4 Preparing an Income statement
• Worked Example
• Worked Example
• Worked Example
• 4.5 Service organizations
• 4.6 Company income statements
• Worked Example
• 4.7 Published income statements
• 4.8 Limitations of the income statement
• 4.9 Summary
• Reference
• Recommended reading
• Useful websites
• 5 Current assets: Valuation of inventory, bad debts and bank reconciliations
• 5.1 Introduction
• 5.2 Inventory
• Valuing inventory in the financial statements
• The cost of inventory
• Different assumptions in costing raw materials
• 5.3 Receivables
• Bad debts
• Doubtful debts
• General provisions for doubtful debts
• Receivables in published accounts
• 5.4 Bank
• Bank reconciliations
• The importance of bank reconciliation
• Manipulation of the bank figure in the financial statements
• 5.5 Summary
• Recommended reading
• Useful websites
• 6 Adjustments to accounts I: Accruals and prepayments
• 6.1 Introduction
• Cash versus accrual
• 6.2 What is an accrual?
• 6.3 Accounting treatment for accruals
• 6.4 What is a prepayment?
• 6.5 Accounting treatment for a prepayment
• 6.6 Relating accruals and prepayments to real company accounts
• 6.7 Summary
• Recommended reading
• Useful websites
• 7 Ajustments to accounts II: Non-current assets and depreciation
• 7.1 Introduction
• 7.2 Valuing non-current assets on the Statement of Financial Position
• 7.3 Depreciation
• 7.4 Calculating depreciation
• The straight line method
• Reducing balance method
• When should each method of depreciation be used?
• 7.5 Accounting for the sale of a non-current asset
• Calculating the gain or loss on the sale of a non-current asset
• Relating depreciation to real company accounts
• 7.6 Summary
• Recommended reading
• Useful websites
• 8 Cash flow statements
• 8.1 Introduction
• 8.2 The importance of cash
• 8.3 Cash versus profit
• Timing differences
• Depreciation
• Changes in the working capital requirements
• 8.4 The purpose of the cash flow statement
• 8.5 Presentation of the cash flow statement
• Cash flows from operating activities
• Cash flows from investing activities
• Cash flows from financing activities
• 8.6 Interpreting cash flow statements
• Is the company able to pay a dividend?
• What Is the level of spending on non-current assets?
• Has the company raised new finance?
• Why Is the company showing a negative cash flow from operating activities?
• 8.7 Cash flow budgets
• 8.8 Summary
• Recommended reading
• 9 Interpretation of accounts
• 9.1 Introduction
• 9.2 Users of financial statements
• 9.3 The interpretation process
• 9.4 Ratio analysis
• 9.5 Interpreting published financial statements
• Notes to the accounts
• Gross profit percentage (GP%)
• Net (operating) profit percentage (NP%)
• Return on capital employed (ROCE)
• Current ratio
• Quick ratio
• Asset turnover
• Inventory turnover period
• Trade receivables turnover period
• Trade payables turnover period
• Investment ratios
• Earnings per share (EPS)
• Dividend cover
• Price/earnings ratio (P/E ratio)
• Market capitalization
• 9.6 Other analytical measures
• 9.7 Limitations of ratio analysis
• 9.8 Summary
• References
• Recommended reading
• Useful websites
• Glossary of Terms
• Answers to Questions
• Chapter 1
• Reflective questions
• Activity
• Review questions
• Chapter 2
• Reflective questions
• Activity
• Review questions
• Chapter 3
• Reflective questions
• Activity
• Review questions
• Chapter 4
• Reflective questions
• Activity
• Review questions
• Chapter 5
• Activity
• Review questions
• Key Themes
• Case studies
• Chapter 6
• Reflective questions
• Activity
• Review questions
• Chapter 7
• Reflective questions
• Activity
• Review questions
• Key Themes
• Case Study
• Chapter 8
• Reflective questions
• Activity
• Review questions
• Key Themes
• Case Study
• Chapter 9
• Reflective questions
• Activities
• Review questions
• Case study
• Index