Download e-book for kindle: Financial Accounting: Tools for Business Decision Making by Kieso, Jerry J. Weygandt, Paul D. Kimmel

By Kieso, Jerry J. Weygandt, Paul D. Kimmel

This winning booklet maintains to supply accountants with an figuring out of the elemental thoughts essential to use accounting successfully. The 6th version deals new discussions on IFRS, together with new codification numbers, examples of IFRS monetary statements, and extra workouts. a glance at more moderen frauds resembling the Bernie Madoff scandal were extra. better discussions of ethics and overseas accounting are provided. The insurance of non-cash goods and their influence on selection making has been elevated. furthermore, accomplished case stories and difficulties aid accountants tie the fabric together.

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Additional info for Financial Accounting: Tools for Business Decision Making (6th Edition)

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Investors How does Disney compare in size and profitability with Time Warner? Creditors Will United Airlines be able to pay its debts as they come due? qxd 7/26/10 1:09 PM Page 7 Users and Uses of Financial Information The information needs and questions of other external users vary considerably. Taxing authorities, such as the Internal Revenue Service, want to know whether the company complies with the tax laws. Customers are interested in whether a company like General Motors will continue to honor product warranties and otherwise support its product lines.

Action Plan • Know which organizational form best matches the business type, size, and preferences of the owner(s). Action Plans give you tips about how to approach the problem. Related exercise material: BE1-1 and Do it! 1-1. Users and Uses of Financial Information The purpose of financial information is to provide inputs for decision making. Accounting is the information system that identifies, records, and communicates the economic events of an organization to interested users. Users of accounting information can be divided broadly into two groups: internal users and external users.

Specific names are given to different types of liabilities, depending on their source. Tootsie Roll may have a note payable to a bank for the money borrowed to purchase delivery trucks. Debt securities sold to investors that must be repaid at a particular date some years in the future are bonds payable. A corporation may also obtain funds by selling shares of stock to investors. Common stock is the term used to describe the total amount paid in by stockholders for the shares they purchase. The claims of creditors differ from those of stockholders.

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Financial Accounting: Tools for Business Decision Making (6th Edition) by Kieso, Jerry J. Weygandt, Paul D. Kimmel


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