Financial Accounting: An Integrated Statements Approach, 2nd Edition

chapter

CHAPTER OUTLINE LEARNING GOALS IN-TEXT EXERCISES AND PROBLEMS

The Role of Accounting in Business

The Nature of Business

• Types of Businesses


• Forms of Business


• How Do Businesses Make Money?


• Business Stakeholders

Learning Goal 1: Describe the types

and forms of businesses, how

businesses make money, and business

stakeholders.

Exercises

1-1, 1-2

Business Activities

• Financing Activities


• Investing Activities


• Operating Activities

Learning Goal 2:Describe the three

business activities of financing,

investing, and operating.

What Is Accounting and

Its Role in Business?

Learning Goal 3:Define accounting

and describe its role in business.

Exercises

1-19

Financial Statements

• Income Statement


• Retained Earnings Statement


• Balance Sheet


• Statement of Cash Flows


• Integrated Financial Statements

Learning Goal 4:Describe and

illustrate the basic financial statements

and how they interrelate.

Exercises

1-3, 1-4, 1-5, 1-6, 1-7, 1-8, 1-9,

1-10, 1-11, 1-12, 1-13 (spreadsheet),

1-14 (spreadsheet), 1-15, 1-16,

1-17, 1-18, 1-20 (spreadsheet), 1-21,

1-22, 1-23 (spreadsheet), 1-24

(spreadsheet), 1-25, 1-26, 1-27

Accounting Application Problems

1-1A (spreadsheet), 1-2A, 1-3A

(spreadsheet), 1-4A (spreadsheet),

1-5A (spreadsheet), 1-1B (spreadsheet),

1-2B (spreadsheet), 1-3B (spreadsheet),

1-4B (spreadsheet), 1-5B (spreadsheet)

Accounting Concepts

• Business Entity Concept


• Cost Concept


• Going Concern Concept


• Matching Concept


• Objectivity Concept


• Unit of Measure Concepts


• Adequate Disclosure Concept


• Accounting Period Concept


• Responsible Reporting

Learning Goal 5: Describe eight

accounting concepts underlying

financial reporting.

Exercises

1-28

Horizontal Analysis Learning Goal 6: Describe and
illustrate how horizontal analysis can
be used to analyze and evaluate a
company’s performance.

1