Financial Accounting: An Integrated Statements Approach, 2nd Edition

• New Chapter OrganizationChapter 2 is now “Basic Accounting Concepts.”
  Chapter 3 has been renamed “Accrual Accounting Concepts.” Chapter 6 is now
  “Inventories” (formerly Chapter 8). Chapter 7 (formerly Chapter 6) has been re-
  named “Sarbanes-Oxley, Internal Control, and Cash” to reflect the new emphasis
  on Sarbanes-Oxley. Chapter 8 is “Receivables” (formerly Chapter 7). The chap-
  tershave been reorganized and renamed to facilitate an improved learning pro-
  gression.


• New charts, tables, and illustrationsNumerous summary charts and tables have
  been added, along with new illustrative diagrams and infographics. Margin nota-
  tions reflective of the “Integrated Financial Statement Framework” are included
  for each journal entry. The new charts, tables, and illustrations effectively sum-
  marize important material for students to assist with visualizing accounting
  processes and concepts. The “Integrated Financial Statement Framework” margin
  notations facilitate student understanding of the impact of each transaction on the
  financial statements. This reinforces the integrated financial statement emphasis in
  the early chapters of the text.

xx Preface

• In Chapter 8, “Receivables,” the discussion of the direct write-off method now pre-
  cedes the discussion of the allowance method. Both methods have been signifi-
  cantly revised and expanded to include more examples, summary charts, and two
  new end-of-chapter exercises comparing the methods. This is a more student-
  friendly presentation, moving from simple to complex. Method comparisons also
  help students to discern the advantages and disadvantages of each method.

RETAINED FEATURES

• International Coverage!An “International” margin item is included where ap-
  propriate to describe global issues related to business and accounting, exposing
  students to the considerations and complexities of international concepts as they
  relate to accounting today. Accounting does not function in a vacuum—everything
  that happens in a company’s accounting department is connected with every other

FROM PAGE 165

Dec. 31 Supplies Expense 2,040

Supplies 2,040

31 Insurance Expense 100

Prepaid Insurance 100

31 Unearned Rent 120

Rent Revenue 120

31 Wages Expense 250

Wages Payable 250

31 Accounts Receivable 500

Fees Earned 500

31 Depreciation Expense 50

Accumulated Depreciation—Office Equipment 50

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