Principles of Accounting (11th edition)

Book Preface

This revision of Principles of Financial Accounting is based on an understanding of the nature, culture, and motivations of today’s undergraduate students and on extensive feedback from many instructors who use our book. These substantial changes meet the needs of these students, who not only face a business world increasingly complicated by ethical issues, globalization, and technology but who also have more demands on their time. To assist them to meet these challenges, the authors carefully show them how the effects of business transactions, which are the result of business decisions, are recorded in a way that will be reflected on the financial statements. Instructors will find that building on the text’s historically strong pedagogy, the authors have strengthened transaction analysis and its link to the accounting cycle.

BRIEF CONTENTS

1 Uses of Accounting Information and the Financial Statements 2
2 Analyzing Business Transactions 48
3 Measuring Business Income 98
4 Completing the Accounting Cycle 142
5 Financial Reporting and Analysis 180
SUPPLEMENT TO CHAPTER 5 How to Read an Annual Report 226
6 The Operating Cycle and Merchandising Operations 266
SUPPLEMENT TO CHAPTER 6 Special-Purpose Journals 302
7 Internal Control 318
8 Inventories 350
9 Cash and Receivables 390
10 Current Liabilities and Fair Value Accounting 430
11 Long-Term Assets 472
12 Contributed Capital 518
13 Long-Term Liabilities 562
14 The Corporate Income Statement and the Statement
of Stockholders’ Equity 614
15 The Statement of Cash Flows 656
16 Financial Performance Measurement 706
17 Partnerships 754
APPENDIX A Accounting for investments 794
APPENDIX B Present Value Tables 808