Chapter 3-1 The Accounting Information System Chapter 3-2 Financial Accounting‚ Fifth Edition Study Objectives 1. Analyze the effect of business transactions on the basic accounting equation. 2. Explain what an account is and how it helps in the recording process. 3. Define debits and credits and explain how they are used to record business transactions transactions. 4. Identify the basic steps in the recording process. 5. Explain what a journal is and
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ERP Planning (course code : ERP 562) Introduction This course provides a overview of Enterprise Resource Planning Systems‚ Business process reengineering and their impact on organizations. SAP is introduced to illustrate the concepts‚ fundamentals‚ framework‚ general information technology context‚ the technological infrastructure‚ and integration of business enterprise-wide applications. Objectives: This module provides a broad understanding of the functionality and capabilities of
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I. Case Introduction Before Chrysler merged to become DaimlerChrysler AG‚ they were presented with a takeover bid of $55 per share by MGM billionaire Kirk Kerkorian and former Chrysler chairman Lee Iacocca. Kirk Kerkorian was a stockholder in Chrysler and an experienced takeover financier who apparently found Chrysler to be a good buy. Chrysler rejected the offer‚ however‚ stating that the firm was not for sale. Further‚ many Wall Street experts felt that Kerkorian could not come
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Content Content 1 Introduction 1 1.Task one 2 The models and concepts affecting the pricing decisions taken by organisations‚ critically reflecting upon their usefulness 2 2‚ Task two 6 The role of standard costing and variance analysis in management accounting and a critically discussion of the value and limitations of variance analysis as a means of identifying key areas which have contributed to the overall profit figure. 6 3‚ The advantages and disadvantages of introducing an Activity
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reviewing the company’s accounting records‚ Mr. B has come to know that there has been no consistent stock valuation policy in the past for valuing the company’s stocks. This had lead towards an inappropriate impact on the financial reporting in terms of inconsistent profitability and financial position. He has discussed the matter with the chief accountant – Mr. C who told him that the company is in the process of implementation program of related IASs on various accounting issues. As there has
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Chairman Wan always wanted to find out what is the main reason driving its companys operational success. In a nutshell‚ Chairman Wan always believed that the financial result was too good to be true because whenever he has a chance to play golf with one of the Chairman of his competitor company‚ he was told that life as the head of a corporate is becoming unbearable due to competition and increased in the cost of living. Still‚ Mr. Wan kept quiet while congratulating his three wise men for a fantastic
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buyer of an automobile. The concepts of information risk for the buyer of an automobile and for the user of financial statements are essentially the same. They are both concerned with the problem of unreliable information being provided. In the case of the auditor‚ the user is concerned about unreliable information being provided in the financial statements. The buyer of an automobile is likely to be concerned about the manufacturer or dealer providing unreliable information. c.) Compare the
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Chapter 1 Financial Accounting A system through which managers report financial information about an economic entity to a variety of individuals who use this information for various decision making purposes. The process of identifying‚ recording‚ summarizing‚ and reporting economic information to decision makers. Managers of Companies Must Understand 2 Things: 1) Economic Consequence Perspective: Considering and understanding how such events affect the financial statements. 2) User Orientation:
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A. What is the difference between accrual-basis accounting and cash-basis accounting? The difference between the two types of accounting is when revenues and expenses are recorded. In cash basis accounting revenues are recorded when cash is actually received and expenses are recorded when the expenses are actually paid. B. Why would politicians prefer the cash basis over the accrual basis? The accrual basis system deals with deprecation of the value of equipment‚ land and such. Politicians would
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Introduction to Accounting Accounting is a profession used to make financial and business decisions. Billions of dollars exchange hands every day‚ in millions of separate business transactions. These are recorded and reported on using a comprehensive set of guidelines‚ referred to as Generally Accepted Accounting Principles (GAAP). Brief History of Accounting Accounting was born before writing or numbers existed‚ some 10‚000 years ago‚ in the area known as Mesopotamia‚ later Persia‚ and today the
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