TAILIEUCHUNG - Lecture Financial accounting (10th edition): Chapter 6 - Pratt, Peters

Chapter 6 - The current asset classification, cash, and accounts receivable. In this chapter students will be able to: Describe the current asset classification and its role in financial analysis and control; explain the techniques used to manage, account for, and control cash; define accounts receivable and indicate how the allowance method is used to value accounts receivable on the financial statements. | 2 Chapter 6: The Current Asset Classification, Cash, and Accounts Receivable 3 Describe the current asset classification and its role in financial analysis and control. Learning Objective 1 4 Current Asset Classification Figure 6-1 The operating cycle A current asset is defined as any asset that is intended to be converted into cash within one year or the company’s operating cycle, whichever is longer. 5 Relative Size of Current Assets 6 Measures Using Current Assets – Current Ratio 7 Limitations of the Current Assets Classification As noted by Leopold A. Bernstein: “The current ratio is not fully up to the task [of assessing short-term liquidity] because it is a static or “stock” concept of what resources are available at a given moment to meet the obligations at that moment.” Due to these limitations, cash flow data from the statement of cash flows is increasingly being used by creditors and investors to evaluate solvency. 8 Current assets are assets which a. can be used .

• Kế toán - Kiểm toán
• Financial accounting
• Lecture Financial accounting
• Kế toán tài chính
• Financial statements
• Accounts receivable
• Current asset classification
• Issues in financial accounting
• Accounting standards
• Financial reporting
• Financial Accounting Standards Board
• Fundamental financial accounting
• Lecture Fundamental financial accounting concepts
• Financial statement
• Accounting cycle
• Accounting for accruals
• Accounting system
• Accounting activities
• Financial accounting practice
• Accounting information system
• Accounting terminology
• Reporting financial results
• Evaluating liquidity
• Business firms
• The financial reporting reform
• Accounting information
• Management accounting
• Accounting equation
• Accounting systems
• Decision making
• External financial reporting
• Accounting for business
• Lecture Accounting for business
• Financial accounting reports
• Statement of financial performance
• Accrual accounting systems
• Statement of financial position
• Mastering financial accounting essentials
• Financial accounting essentials
• Accrual accounting
• Income statement
• Accounting conventions
• Internal control
• Accounting for cash
• Accounting for receivables
• Computing uncollectible accounts expense
• Long term debt
• Accounting for long term debt
• Paper F3
• Revision kit 2016
• Accounting Financial
• Accounting Financial Review
• Financial Review accounting exam
• Study text 2016
• Language of business
• Double entry accounting system
• Credit terminology
• Merchandising businesses
• Accounting for merchandising businesses
• Accounting for inventories
• Cash discounts
• The accounting cycle
• International financial reporting standards
• Completing the accounting cycle
• Accounting worksheet
• Classified balance sheet