This is a conceptually based/user-oriented book that stresses meaningful learning over rote memorization. More specifically, the text focuses on the relationships between business events and financial statements. The primary objective is to develop students who can explain how any given business event will affect the income statement, balance sheet, and the statement of cash flows. Did the event cause assets to increase, decrease, or stay the same? Similarly, what was the effect on liabilities, equity, revenue, expense, gains, losses, net income, and distributions? Furthermore, how did the event affect cash flows? These are the big picture relationships that both accounting majors and general business students need to understand to function effectively in the business world. The text contains numerous innovative features that are designed to facilitate the students' comprehension of the events affect statements paradigm.
Chapter 1 Elements of Financial Statements
Chapter 2 Accounting for Accruals
Chapter 3 Accounting for Deferrals
Chapter 4 The Recording Process
Chapter 5 Accounting for Merchandising Business
Chapter 6 Internal Control and Accounting for Cash
Chapter 7 Accounting for Accruals-Advanced Topics: Receivables
and Payables
Chapter 8 Asset Valuation: Accounting for Investments and
Inventories
Chapter 9 Long-Term Operational Assets
Chapter 10 Accounting for Long-Term Debt
etc.