...Accounting Business David Caskey University of Phoenix Accounting Business According to a study in 2011, accounting is one of the fastest growing industries in today’s market. Accounting jobs are expected to grow 22% between 2008 and 2018, according to the Bureau of Labor Statistics. That’s much higher than the average of all professional occupations (17%) and translates to almost 280,000 new jobs. (money.cnn.com, 2011) There will always be a need for individuals who work in accounting and because of this a well-run accounting firm has the potential to be not only lucrative but also satisfying. Staffing a firm in this field is very important and to do this there are several options, offering internships, paid or not, hiring temps, or doing interviews. Companies only want the best especially when the person or company they are hiring are dealing with finances so it is very important that the individuals hired on have an in-depth knowledge of accounting. Services and customers To reach the maximum number of customers, the business needs to be well-rounded and touch on several accounting topics including preparing, analyzing, and verifying financial documents, budget analysis, financial and investment planning, information technology consulting, auditing, tax matters, etc. (Bureau of Labor Statistics, 2011) Customers expect professional individuals and those same individuals to be knowledgeable in all things accounting. All individuals employed by the accounting firm would...
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...Renee’ Johnson “The Importance of Accounting in Business” It important to take accounting in business because starting a business often requires entrepreneurs to understand and complete a variety of business functions. An important business function when starting a small business is accounting. In business there are endless stacks of financial documents, and accounting will provide a clearer picture for success in business. Whether you are an entrepreneur you mu9st keep records your business for tax and legal purposes. Many small businesses started as a hobby or side business use cash basis accounting. This accounting method records and recognizes transactions when cash changes hands. It provides entrepreneurs with a simple method for maintaining accounting information. As companies grow and expand, they may need to change to the accrual accounting method. Accrual accounting is the most widely used method in business; it records and recognizes transactions as they occur, regardless of cash changing hands. Forecast Financial Estimates Entrepreneurs may need to provide banks, lenders or investors with a financial forecast relating to the new small business venture. This information is essential for obtaining outside financing for business startup costs. Entrepreneurs usually write a business plan, which includes an economic forecast, expected startup and monthly expenditures, and pro forma financial statements. This accounting information is heavily relied upon by lenders...
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...1 CHAPTER ONE: ACCOUNTING IN BUSINESS Chapter Outline I. Importance of Accounting—we live in the information age, where information, and its reliability, impacts the financial well-being of us all. A. Accounting Activities Accounting is an information and measurement system that identifies, records and communicates relevant, reliable, and comparable information about an organizations business activities. B. Users of Accounting Information 1. External Information Users—those not directly involved with running the company. Examples: shareholders (investors), lenders, customers, suppliers, regulators, lawyers, brokers, the press etc. a. Financial Accounting—area of accounting aimed at serving external users by providing them with generalpurpose financial statements. b. General-Purpose Financial Statement—statements that have broad range of purposes which external users rely on. 2. Internal Information Users—those directly involved in managing and operating an organization. a. Managerial Accounting—is the area of accounting that serves the decision-making needs of internal users. b. Internal Reports—not subject to same rules as external reports. They are designed with special needs of external users in mind. 3. Internal Controls—procedures set up to protect company property and equipment, ensure reliable accounting reports, promote efficiency, and encourage adherence to company policies. C. Opportunities in Accounting Four broad areas of opportunities are financial, managerial...
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...Situations of Unethical practices and Behavior in Accounting Acc/291 Principles of Accounting II Joseph Kronewitter 07-01-2012 There are so many unethical situations that can take place in corporations around the world and sometimes they can happen over periods of time without being noticed. While doing research for this paper it is amazing to learn all of the lengths people will go to in order to get what they want. We all know about Enron and the things that happened there, but I also found an ethical issue concerning Wal-Mart. An ethical issue I have never even considered is one that is talked about with Wal-Mart. Apparently they have a favoritism thing that happens with the department managers and even the General Manager of the corporation. It would seem that they only choose to promote people without higher education’s and those that haven’t spent their entire life working for them. It would appear that they have a conflict of values. An ethical issue witch really shocked me to read about was one with the Coca-Cola Company. Their issue seems to fall in the labor violations area. It would seem that most of this started in Guatemala. It looks like the workers at the bottling plant should not be...
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...The Role of Accounting to Business and Society Justin A. Case Strayer University Introduction to Accounting ACC101 Professor Jose Martinez August 27, 2013 Introduction In today’s economy Accounting plays a huge role, as it points or refers to accountability and transparency in the business environment and paints a picture of any business. Also, it enables business managers and corporate leaders to make better comprehensive decisions regarding the financial shape of their business. Accounting is fundamentally described as a mathematical discipline in which allow companies to universally record, analyze and retrieve financial information that is critical to them. This information is then used to determine the companies’ financial positions consequently enabling the management team to make sound decisions depending on the information at hand. The Role of Accounting on Business and Our Society Financial statements are snapshots of a business's economic or cash flow condition. These are mainly formal financial activities, which are written to measure the performance, financial strength and the liquidity of the business. These financial reports include the balance sheet, income or profit and loss statements, and cash flow statement which are used to represent the businesses’ economic position. The income statement which reports the company’s financial status in terms of profits or losses made during a given period. It comprises of income and expenses, from which the...
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...And Business Accounting Financial And Business Accounting Print version essay is available for you! You can search Free Term Papers and College Essay Examples written by students!. Join Essays24.comand get instant access to Financial And Business Accounting and over 30,000 other Papers and Essays Category: Business Autor: anton 01 December 2010 Words: 1039 | Pages: 5 Financial accounting is defined as measuring and recording business transactions and providing financial statements that are based on generally accepted accounting principles. It focuses on external reporting. The purpose of financial accounting it to aid accounts in their function of overseeing an organizations financial assets. The central outputs of financial accounting are audited financial statements such as balance sheets and income statements. Financial accounting is geared toward providing information to parties outside the firm, for example prospective shareholders. By contrast, managerial account which measures and reports financial and non-financial information tat helps managers make decisions to abide by the goals of an organization. It focuses on internal reporting. The tools used by managerial accountants to meet their goal of decision support are such things as budgets, activity-based costing and financial planning. Managerial account is designed for internal use by firm’s managers. Cost accounting is a subset of the more inclusive area of managerial accounting. Cost accounting deals...
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...Introduction Accounting provides companies with various pieces of information regarding business operations. It is often conducted by a company’s internal accounting department and reviewed by a public accounting firm. Small businesses often have significantly less financial information recorded during the accounting process. However, business owners often review this financial information to determine how well their business is operating. Accounting information can also provide insight on growing or expanding current business operations. A common use of accounting information is measuring the performance of various business operations. While financial statements are the classic accounting information tool used to assess business operations, business owners may conduct a more thorough analysis of this information when reviewing business operations. Financial ratios use the accounting information reported on financial statements and break it down into leading indicators. These indicators can be compared to other companies in the business environment or an industry standard. This helps business owners understand how well their companies operate compared to other established businesses. Business owners often use accounting information to create budgets for their companies. Historical financial accounting information provides business owners with a detailed analysis of how their companies have spent money on certain business functions. Business owners often take this accounting information...
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...Chapter 1 Accounting in Business QUESTIONS 1. The purpose of accounting is to provide decision makers with relevant and reliable information to help them make better decisions. Examples include information for people making investments, loans, and business plans. 2. Technology reduces the time, effort, and cost of recordkeeping. There is still a demand for people who can design accounting systems, supervise their operation, analyze complex transactions, and interpret reports. Demand also exists for people who can effectively use computers to prepare and analyze accounting reports. Technology will never substitute for qualified people with abilities to prepare, use, analyze, and interpret accounting information. 3. External users and their uses of accounting information include: (a) lenders, to measure the risk and return of loans; (b) shareholders, to assess whether to buy, sell, or hold their shares; (c) directors, to oversee their interests in the organization; (d) employees and labor unions, to judge the fairness of wages and assess future employment opportunities; and (e) regulators, to determine whether the organization is complying with regulations. Other users are voters, legislators, government officials, contributors to nonprofits, suppliers and customers. 4. Business owners and managers use accounting information to help answer questions such as: What resources does an organization own? What debts are owed? How much income is earned? Are expenses reasonable...
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...BTEC National Business Assignment No. 5 Business Accounting Task 1.1 Task 1.2. International accounting standards are a set of rules and/or practices in recording and registering business transactions in company’s ledgers and accounts, keeping books and preparing reports on the financial and other business results and standing to owners, public and authorities. Certainly all standards are based on a golden rule of accounting – double entry. Accounting standards are necessary so that financial statements are meaningful across a wide variety of businesses. In the past the authorities of each country endorsed their own rules and instructions on how the financial reports should be made up but in the second half of the XX-th century international business and governments recognized that the international capital markets require both transparency and unification, otherwise, the accounting rules of different companies would make comparative analysis almost impossible and the economic development and growth could be hindered when international investors were deprived of the possibility to compare cost-effectively their investments options across the trading board. Initial efforts focused on harmonization—reducing differences among the accounting principles used in major capital markets around the world. By the 1990s, the notion of harmonization was replaced by the concept of convergence—the development of a unified set of high-quality, international accounting standards that...
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...Task 2 Content and Analysis of Financial Reports ( P&L and B/S ) for Wansbeck Motors Inc. The most important objects of the accounting and reporting are Profit and Loss Account ( Income Statement ), Balance Sheet ( Statement of Financial Standing ) and Cash Flow Statement. The financial statements provide information about an entity's: [IAS 1.9] * assets * liabilities * equity * income and expenses, including gains and losses * contributions by and distributions to owners (in their capacity as owners) * cash flows. A complete set of financial statements includes: [IAS 1.10] 1. a statement of financial position (balance sheet) at the end of the period 2. a statement of profit or loss and other comprehensive income for the period 3. a statement of changes in equity for the period 4. a statement of cash flows for the period 5. notes, comprising a summary of significant accounting policies and other explanatory notes 6. comparative information prescribed by the standard The financial statements must "present fairly" the financial position, financial performance and cash flows of an entity. Fair presentation requires the faithful representation of the effects of transactions, other events, and conditions in accordance with the definitions and recognition criteria for assets, liabilities, income and expenses. Everything is about what ( a position ), where ( P&L, B/S, outside B/S), at which value and at what time should...
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...IAS 1 — Presentation of Financial Statements Page 1 of 14 IAS 1 — Presentation of Financial Statements Quick Article Links Overview IAS 1 Presentation of Financial Statements sets out the overall requirements for financial statements, including how they should be structured, the minimum requirements for their content and overriding concepts such as going concern, the accrual basis of accounting and the current/non-current distinction. The standard requires a complete set of financial statements to comprise a statement of financial position, a statement of profit or loss and other comprehensive income, a statement of changes in equity and a statement of cash flows. IAS 1 was reissued in September 2007 and applies to annual periods beginning on or after 1 January 2009. History of IAS 1 Date March 1974 January 1975 Development Exposure Draft E1 Disclosure of Accounting Policies IAS 1 Disclosure of Accounting Policies issued Comments Operative for periods beginning on or after 1 January 1975 June 1975 Exposure Draft E5 Information to Be Disclosed in Financial Statements published October 1976 IAS 5 Information to Be Disclosed in Financial Operative for periods beginning on Statements issued or after 1 January 1975 July 1978 Exposure Draft E14 Current Assets and Current Liabilities published November 1979 IAS 13 Presentation of Current Assets and Current Operative for periods beginning on Liabilities issued or after 1 January 1981 ...
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...Harvard Business School 9-193-103 os t Rev. November 3, 1998 rP Statements of Cash Flows: Three Examples yo John Stacey, a sales engineer for Aldhus Corporation, was worried. A flight delay had caused him to miss last week’s accounting class in the evening MBA program in which he had enrolled at the suggestion of the personnel director at Aldhus, a growing manufacturer of computer peripherals. The class he had missed had been devoted to a lecture and discussion of the statement of cash flows, and he was sure the material he had missed would be covered in the weekly quiz that was part of each class session. A classmate had faxed Stacey some notes distributed by their instructor, but they were too cryptic to be understood by anyone who had missed the class. In desperation, John called Lucille Barnes, the assistant controller at Aldhus, to ask if she could take a few minutes to point him in the right direction toward understanding the statement of cash flows. She seemed delighted by the request, and they agreed to meet that afternoon. op The Meeting No tC At 2:00 P.M. John Stacey went to the office of Lucille Barnes with his notes and questions. After they had exchanged greetings, Lucille handed John three cash flow statements from the annual reports of other high-technology companies (Exhibits 1, 2, and 3). John was worried that Lucille would ask him to explain them, and that she would see how confused he still was about some aspects ...
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... The purpose of my presentation is to inform interested individuals about accounting fraud in small business and narrowing the topic to two main factors that allow the fraud to take place. The presentation will be specifically informational in nature. Once I have finished my presentation, the audience will have a clear understanding of my central idea, which is why limited staff and family trust are reasons that small businesses are victims of accounting fraud. The ideal audience for my presentation would be a meeting of a small business alliance, chamber of commerce, entrepreneur club, and any other group or class that would benefit from learning about accounting fraud in small businesses. My topic would benefit a more specific group of people such as those that are interested in or work in the field of accounting or business. Since my intended audience are adults that are working in the field of accounting or business or have an interest in these fields; my topic is appropriate for the age range, interests and general knowledge of my audience. The importance of my presentation to the audience is significant since the individuals in the intended audience will be either working or interested in business or accounting and quite possibly be involved in a small business at some level. It will be important for them to know about the reasons small businesses are the most common victims of accounting fraud. Once informed about the reasons, they will be able to apply what they...
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...Run a Better Business with Accounting Jesse Pulley Man-104 June-06-2013 Instructor Natalie Rufa Accountants are a crucial part to my business success. The key is finding the right professional to provide the services that my business needs to advance.( http://www.wahm.com, paragraph 1) I as a business owner/manager must educate myself on the questions to ask and the services that will help me achieve my goals. I realize that it can become a little overwhelming, but here are 5 things you need to consider before you hire that accountant. 1) Does the accountant demonstrate the ability to help find ways to get you financial gain? 2) Will the accountant be accurate and trustworthy? 3) Is the accountant up to date with their own taxable responsibilities? 4) What tools does the accountant harbor that will help you in your financial gains and losses? 5) Does the accountant’s references hold credibility? These are crucial questions to use when searching for the right financial advice and planning. The accountant or accounting classes are crucial to keep finances, documents, and records balanced, as well as being organized. It is proof for the operation of any business. Financial statements show the physical numbers of the cash flow and losses, they also make it easier to prove to a bank if ever a loan is needed.(http://www.oakhillbp.com paragraph 2) Having an accountant or the skills of one is beneficial and highly crucial to keep your business clear and clean...
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...Professional Accounting/Business Organizations The benefits of joining professional business or accounting organizations are numerous. Joining an organization can greatly enhance a young professional’s career. One of the main reasons of joining any organization is to network with others of similar interests. By being a part of a business or accounting organization, I can network with other professionals in my industry. Networking is essential to for me to move up the ladder in the accounting profession. Fellow organization members can also be great learning tools. Veteran members who have been in the industry for many years can use their experience to mentor or teach me new things to enhance my knowledge in my profession. Building relationships and bonds with members in organizations can lead to gaining better opportunities, businesses, occupations, and networks. A professional organization that I can join is the Association of Accountants and Finance Professionals (IMA). This organization’s goal is to provide opportunities to gain further knowledge about the industry through research, practice, teachings, meetings, forums. They also stress that professionals be ethical and use the best business procedures in management accounting and finance. They provide education programs, networking events, up to date newsletters, and information that can improve accounting/finance practices. Conferences and meetings are held every few weeks and are posted on their website. The American...
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