Ebook: Financial accounting and reporting

Cover -- Contents -- Preface -- Publisher's acknowledgements -- PART 1 Preparation of financial statements -- CHAPTER 1 Accounting and reporting on a cash flow basis -- 1.1 Introduction -- 1.2 Shareholders -- 1.3 What skills does an accountant require in respect of external reports? -- 1.4 Managers -- 1.5 What skills does an accountant require in respect of internal reports? -- 1.6 Procedural steps when reporting to internal users -- 1.7 Agency costs 2 -- 1.8 Illustration of periodic financial statements prepared under the cashflow concept to disclose realised operating cash flows -- 1.9 Illustration of preparation of statement of financial position -- 1.10 Treatment of non-current assets in the cash flow model -- 1.11 What are the characteristics of these data that make them reliable? -- 1.12 Reports to external users -- Summary -- REVIEW QUESTIONS -- EXERCISES -- References -- CHAPTER 2 Accounting and reporting on an accrual accounting basis -- 2.1 Introduction -- 2.2 Historical cost convention -- 2.3 Accrual basis of accounting -- 2.4 Mechanics of accrual accounting -- adjusting cash receipts and payments -- 2.5 Reformatting the statement of financial position -- 2.6 Accounting for the sacrifice of non-current assets -- 2.7 Published statement of cash flows -- Summary -- REVIEW QUESTIONS -- EXERCISES -- References -- CHAPTER 3 Preparation of financial statements of comprehensive income, changes in equity and financial position -- 3.1 Introduction -- 3.2 Preparing an internal statement of income from a trial balance -- 3.3 Reorganising the income and expenses into one of the formats required for publication -- 3.4 Format 1: classification of operating expenses and other incomeby function -- 3.5 Format 2: classification of operating expenses according to their nature -- 3.6 Other comprehensive income.;This market-leading text provides a comprehensive overview of financial accounting and reporting. It offers a balance of theoretical and conceptual coverage with up-to-date practical application of current international standards. There is an emphasis on both being able to prepare and also to critically discuss IFRS compliant financial statements. With both theoretical and practical coverage, including worked examples throughout the text, the authors provide essential knowledge for advancing in your studies and career.