Accounting学位英语.ppt

definition ： The art of recording, classifying, and summarizing in a significant manner and in terms of money, transactions and events which are, in part at least, of financial character, and interpreting the results thereof. by the AICPA Accountant An Accountant is a practitioner of accountancy, which is the measurement, disclosure or provision of assurance about financial information that helps managers, investors, tax authorities and other decision makers make resource allocation decisions. classification ： financial accounting cost accounting managerial accounting tax accounting auditing accounting systems financial statement analysis governmental accounting particular field accounting Accounting  operating limit cost/benefit analysis materiality prudence concept / going concern money measurement concept accounting Elements ★Asset ★Liability ★Owner’s Equity ◆Revenue ◆Expense ◆Profit (1)Assets = Liabilities + Owners Equity (2)Revenue - Expense = Gross Profit General ledger The general ledger, sometimes known as the nominal ledger, is the main accounting record of a business which uses double-entry bookkeeping. It will usually include accounts for such items as current assets, fixed assets, liabilities, revenue and expense items, gains and losses. Each General Ledger is divided in two sections. The left hand side lists debit transactions and the right hand side lists credit transactions. This gives a ‘T’ shape to each individual general ledger account . A T account showing debits on the left and credits on the right. Double-entry bookkeeping system Comparison of Cash Method and Accrual Method of accounting Financial statements Financial statements (or financial reports) are formal records of the financial activities of a business, person, or other entity. Balance sheet: referred to as statement of financial position or condition, reports on a companys assets, liabilities,