西方财务会计 chapter1.pptVIP

西 方 财 务 会 计 WESTERN FINANCIAL ACCOUNTING Chapter 1The Financial Accounting Conceptual Framework And The Accounting Equation 1.1 ACCOUNTING A service activity ---- Provide useful information about economic entities to interested parties And a measurement-communication activity---- The usefulness of accounting information depends on effective measurement of the economic activities and effective communication of those measurements to users of that information. Accounting information and decision makers 1.2 COMPARISON BETWEEN FINANCIAL AND MANAGEMENT ACCOUNTING Management Accounting ---- The process of developing and reporting accounting information for internal users who have direct access to the information preparing. 1.2 COMPARISON BETWEEN FINANCIAL AND MANAGEMENT ACCOUNTING Financial Accounting ---- The process of developing and reporting financial information for external users who do not have direct access to the information preparing which should be in accordance with General Accepted Accounting Principles (GAAP). GAAP Generally accepted accounting principles are the measurement rules used to develop the information in financial statement. They are those guidelines which indicate how to report economic events. They consist of a number of concepts,principles and procedures. Generally Accepted Accounting Principles The Securities and Exchange Commission (SEC) has the authority to determine the financial statements to be provided to stockholders and the measurement rules applied in producing the statements. The Financial Accounting Standards Board (FASB) is currently recognized as the group responsible for establishing GAAP. The Conceptual Framework The Financial Accounting Standards Board (FASB) issues Statements of Financial Accounting Concepts. These statements constitute the conceptual framework of accounting. 1.3 THE FASB’S FINANCIAL ACCOUNTING CONCEPTUAL FRAMEWORK 1.3-1 Objectives of the Conceptual Framework The Framework is to be the foundation for