Our goals in this text are to develop your abilities to understand accounting information and to use this information in making economic decisions. To understand accounting information, you also must understand the economic activites that the information describes. In this book, we focus primarily on business activities. However, many of the accounting concepts we discuss also apply to the economic activities of individuals as well as government and nonprofit organizations.
The purpose of accunting is to provide information useful to economic decision makers. Throughout the book, we cast you in many decision-making roles. We have implemented many new elements to provide a greater understanding of how accounting information is used in decision making. Refer to our Walkthrough pages in this preface for a detailed look at the fatures designed to enhance your decision-making skills.
Chapter 1 Accounting: Information for Decision Making
Chapter 2 Basic Financial Statements
Chapter 3 The Accounting Cycle: Capturing Economic Events
Chapter 4 The Accounting Cycle: Accruals and Deferrals
Chapter 5 The Accounting Cycle: Reporting Financial Results
Chapter 6 Accounting For Merchandising Activities
Chapter 7 Financial Assets
Chapter 8 Inventories and the Cost of Goods sold
Chapter 9 Plant Assets and Depreciation
Chapter 10 Liabilities
,etc.