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Accrual Accounting Concepts

Learning Goals

Describe basic accrual accounting concepts, including

the matching concept.

Use accrual concepts of accounting to analyze, record,

and summarize transactions.

Describe and illustrate the end-of-the-period adjustment

process.

Prepare financial statements using accrual concepts

of accounting, including a classified balance sheet.

Describe how the accrual basis of accounting enhances

the interpretation of financial statements.

Describe the accounting cycle for the accrual basis

of accounting.

Describe and illustrate how common-sized financial

statements can be used to analyze and evaluate a

company’s performance.

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