TAILIEUCHUNG - Lecture Accounting: What the numbers mean (5/e) - Chapter 5: Accounting for and presentation of current assets
After reading this chapter, you should be able to answer the following questions: What is included in the cash amount reported on the balance sheet? What are the features of an internal control system, and why are internal controls important? What is the bank reconciliation procedure?. | CHAPTER 5 ACCOUNTING FOR AND PRESENTATION OF CURRENT ASSETS McGraw-Hill/Irwin ©The McGraw-Hill Companies, Inc., 2002 Learning Objectives What is included in the cash amount reported on the balance sheet? What are the features of an internal control system, and why are internal controls important? What is the bank reconciliation procedure? How are short-term marketable securities reported on the balance sheet? McGraw-Hill/Irwin ©The McGraw-Hill Companies, Inc., 2002 Learning Objectives How are accounts receivable reported on the balance sheet, including the valuation allowances for estimated uncollectible accounts and estimated cash discounts? How are notes receivable and related accrued interest reported on the balance sheet? How are inventories reported on the balance sheet? McGraw-Hill/Irwin ©The McGraw-Hill Companies, Inc., 2002 Learning Objectives What are the alternative inventory cost flow assumptions, and what are their respective effects on the income statement and balance sheet when price levels are changing? What are the effects of inventory errors on the balance sheet and income statement? What are prepaid expenses, and how are they reported on the balance sheet? McGraw-Hill/Irwin ©The McGraw-Hill Companies, Inc., 2002 Learning Objective 1 What is included in the cash amount reported on the balance sheet? McGraw-Hill/Irwin ©The McGraw-Hill Companies, Inc., 2002 Cash and Cash Equivalents Cash includes money on hand in change funds, petty cash, undeposited receipts, and checking and savings accounts Cash equivalents are short-term investments easily convertible to cash Cash management is concerned with maximizing earnings by having as much cash as feasible invested for the longest possible time McGraw-Hill/Irwin ©The McGraw-Hill Companies, Inc., 2002 Learning Objective 2 What are the features of an internal control system, and why are internal controls important? McGraw-Hill/Irwin ©The McGraw-Hill Companies, Inc., 2002 Internal Control System A process .
đang nạp các trang xem trước
