会计学原理Chapter_01.pptVIP

Principles of Accounting 1 2nd Semester 2011/2012 Classes (3) and (4) Teacher: Fred Au-Yeung Email: cfauyeung@uic.edu.hk Office: Room B139 Telephone: 3620862 Teaching Assistant: Kitty Chen Email: nachen@uic.edu.hk Office: B123A Telephone: 3620172 Assessment Class Participation and Discussion 10% 2 Assignments (5% each) 10% Midterm Test 20% Final Examination 60% Total: 100% “A Good Accountant” by Fred Each Transaction has Debit and Credit Every Period Total Debit must equal Total Credit If they don’t, there is a bandit Stealing the Debit or Credit Use your wit Solve the difference bit by bit Finally your get it Making both ends meet A Good Accountant you are well fit * Financial accounting is governed by a set of rules we call Generally Accepted Accounting Principles, or GAAP for short. Generally accepted accounting principles identify three major characteristics of information. First, the information must be relevant. Relevant information impacts the decision of the informed user for financial information. Second, the information must be reliable. Finally, the information must be comparable. Comparability helps us compare financial information from one period with that of the next period. * The Financial Accounting Standards Board is recognized as the group in the private sector that makes specific accounting principles. If an accountant departs from the principles established by the FASB, proper disclosure of the departure must be made. In the public sector, the Securities and Exchange Commission has the authority to establish accounting principles for companies reporting to the agency. Currently, the Securities and Exchange Commission has accepted all pronouncements of the FASB for use by reporting companies. The International Accounting Standards Board (IASB) issues International Financial Reporting Standards that identify preferred accounting practices to create harmony among accounting practices of different countries