INTERMEDIATE ACCOUNTINGPDF电子书下载

① Foundations 1

CHAPTER 1 Development of Accounting and Financial Reporting 2

A Brief History of Accounting 3

The Origin of Financial Reporting 5

Uniform Accounting 7

Impact of the Securities and Exchange Commission 8

Structure for Establishing Generally Accepted Accounting Principles 9

Brief History of the Development of the FASB 10

The Accounting Principles Board 11

Other Attempts at Formulating a Conceptual Framework 11

Developments Leading to Establishing the FASB 11

Dynamics of the Standard-Setting Process 13

From Issue to Published Standard 15

“House of GAAP” 16

A Look at Financial Reporting in Japan 18

Short History of the International Accounting Standards Board 20

A Look to the Future 22

CHAPTER 2 Review of the Accounting Cycle and Financial Reporting 27

The Accounting Information System 28

Concepts in Recording Transactions 29

Accounts，Ledgers，and Journals 30

The Accounting Equation 31

T-Accounts and Normal Balances 32

The Accounting Cycle 32

Journalizing Transactions 33

Posting to the General Ledger 37

Preparing a Trial Balance 38

Adjusting the Trial Balance（Adjusting Entries） 39

Adjusted Trial Balance 45

Closing Entries 45

Preparing the Financial Statements 48

Presentation of Financial Statements—An International Context 62

Appendix A：Closing Entry Scheme for Changing the Inventory Balance under a Periodic Inventory System 65

Appendix B：Worksheets 66

Appendix C：Multi-Step Format—Published Financial Statement 68

Appendix D：Financial Statements from Another Country 69

Appendix E：Reversing Entries 71

CHAPTER 3 Introduction to Financial Statement Analysis 99

Uses of Financial Statement Analysis 101

Basic Types of Analysis 102

Trend and Cross-Sectional Analyses 103

Common-Size Financial Statements 104

Using Historical Information to Project Future Information 106

Horizontal Analysis 109

Ratio Analysis 110

Returning to Zenith Corporation 119

CHAPTER 4 The FASB’s Conceptual Framework 134

The Financial Statement Reader and General-Purpose Financial Statements 135

Objectives of Financial Reporting 136

Accrual-and Cash-Based Financial Statements 137

Qualitative Characteristics of Information 139

Primary Qualities 139

Secondary Qualities 141

Cost-Benefit Constraint 141

Materiality Constraint 142

Traditional Assumptions of Accounting and Financial Reporting 144

Financial Statement Elements 145

Measurement Tools and Attributes 147

Measurement Principles 148

Historical Cost Principle 149

Revenue Recognition Principle 150

Matching Principle 151

Present Value Principle 153

Conservatism 153

International Perspectives on Financial Reporting 154

The International Accounting Standards Board 154

Germany：A Code-Law Country 155

②Applying the Conceptual Framework 175

CHAPTER 5 Historical Cost Principle：Acquiring Assets 176

The Theory of Measuring Assets at Acquisition 177

Asset Classification 178

Journal Entry 178

Expenditures that Comprise Historical Cost 178

Inventory 179

Investments 181

Property，Plant，and Equipment 181

Capitalization of Interest 184

Intangibles 186

Patents，Copyrights，and Other Similar Intangible Assets 186

Leasehold Improvements 186

Organization Costs 187

Development Stage Corporation 187

Goodwill 188

Research and Development（R＆D） 190

General Observations on Measuring Intangible Assets 191

Measuring Historical Cost 192

Lump-Sum Purchase of Assets 193

Assets Acquired through Noncash（i.e.，Nonmonetary） Transactions 194

Appendix：Capitalization of Interest 202

CHAPTER 6 Matching Principle：Recognizing Costs of Inventory as Expenses 224

The Theory of Expensing the Cost of Inventory 225

Matching Principle 225

Cost-Flow Assumption 226

Financial Reporting 227

Goods Included in Inventory 227

Inventory Control Procedures 228

Cost-Flow Assumptions 230

First-In，First-Out（FIFO） 231

Last-In，First-Out（LIFO） 233

Choosing between FIFO and LIFO 235

Average Cost 237

Specific Identification 238

Dollar-Value LIFO 238

The Concept and Procedures 239

External and Internal Indexes 241

Internal Accounting for Inventory Valuation 242

Estimating Inventory 243

Gross Profit Percentage Method 243

Retail Method 244

Effects of Errors in Inventory on Financial Statements 249

Appendix A：LIFO Reserve 251

Appendix B：Various Cost-Flow Assumptions under the Retail Method 253

CHAPTER 7 Matching Principle：Immediate Recognition and Systematic and Rational Allocation 274

The Theory of Expensing Costs，Including the Costs of Long-Lived Assets 275

Immediate Recognition 275

Systematic and Rational Allocation 277

Applying the “Immediate Recognition” Aspect 279

Expenditures to Maintain or Increase the Value of Long-Lived Tangible Assets 279

Expenditures to Protect Intangible Assets 282

International Accounting Standards 283

Applying the “Systematic and Rational”Aspect—Depreciation 283

Methods of Depreciation 284

Straight-Line Depreciation Method 284

Evaluating Depreciation Methods 289

Depreciation for Partial Years 290

International Accounting Standards 292

Applying the “Systematic and Rational”Criteria—Amortization 293

Goodwill 294

International Accounting Standards 295

Financial Reporting 295

Change in Accounting Estimate 295

Disposal of Long-Live Assets 296

Disposal by Sale 296

Disposal by Other than Sale 297

Effects of Errors 298

Appendix A：Group/Composite Depreciation Method 303

Appendix B：Depletion of Natural Resources 305

CHAPTER 8 Revenue Recognition Principle 326

The Theory of When Revenue Should Be Recognized 327

General Rule—Point of Sale（or Time of Service） 329

Managing Earnings through Overstating Revenue 331

Sales with Buy-Back Agreements 333

Sales with the Right of Return 333

Recognizing Revenue Before Sale—When Production Is Complete 334

Recognizing Revenue Before Sale—Percentage-of-Completion 336

Procedures for Computing Income or Loss 337

Financial Reporting 340

The Point-of-Sale Method for Long-Term Contracts-Completed-Contract Method 341

Recognizing Revenue After the Point of Sale—Installment-Sales Method 342

General Procedures for Recognizing Income/Loss 342

Financial Reporting 343

Repossessions 346

Recognizing Revenue After the Point of Sale—Cost Recovery Method 347

Investment Revenue 347

Appendix A：Other Times to Recognize Revenue 350

Appendix B：Consignment Sales 351

Appendix C：Franchise Fees 352

Appendix D：Interest on Installment Sales 354

CHAPTER 9 Reporting Income：Classifications and EPS 372

The Theory of Measuring and Reporting Income 374

Economic Approach to Defining and Measuring Income 375

Transactions Approach to Defining and Measuring Income 375

U.S.GAAP Requirements for Reporting Income 377

Continuing Operations 378

Discontinued Operations 380

Extraordinary Items 385

International Practices 386

Change in Accounting Principle 387

Computing Diluted Earnings per Share 392

Review of Basic EPS Procedures 393

Computing Diluted EPS 395

Appendix：Solution to Diluted EPS Example 404

CHAPTER 10 Financial Reporting for Assets 430

Theory of Reporting Assets 431

Cash and Cash Equivalents 434

Receivables 435

Financial Reporting 436

Determining Net Realizable Value 436

Writing Off an Uncollectible Account Receivable—Allowance Method 440

Collecting Accounts Receivable that Previously Were Written Off 441

Using Accounts Receivable as a Means of Financing 442

Pledging（or Assigning） Accounts Receivable 442

Factoring Receivables without Recourse 443

Factoring Receivables with Recourse 444

Inventories 447

Lower-of-Cost-or-Market Procedures 448

Applying LCM Procedures 451

Reasons for Using a Ceiling and Floor 452

Criticisms of the LCM Rule 452

Long-Lived Assets 454

Long-Lived Assets to Be Sold 454

Long-Lived Assets Being Held for Use 456

Goodwill and Other Intangible Assets with Indeterminate Lives 458

Financial Reporting 459

Non-U.S.GAAP Financial Reporting Practices 460

Appendix：Discounting Notes Receivable 463

CHAPTER 11 Present Value：Measuring Long-Term Liabilities 490

The Theory of Discounting Cash Flows 491

Review of Time Value of Money Concepts that Apply to Long-Term Liabilities 493

Review of Basic Terminology 493

Review of Basic Procedures 494

Bonds Payable 496

Issuing Bonds 497

Determining Interest Amounts and Accounting for the Premium/Discount 500

Effective-Interest Amortization 501

Straight-Line Amortization 503

Bond Issue Costs 507

Retiring Bonds 508

Long-Term Notes 511

Notes Issued Solely for Cash 512

Notes Issued for Cash and Other Considerations 514

Notes Exchanged for Property，Goods，or Services 515

Creditor’s Accounting for Long-Term Notes 517

International Accounting Standards 517

Appendix A：Future Amount/Present Value Tables 519

Appendix B：Preparing an Electronic Spreadsheet Amortization Table Using Excel 529

CHAPTER 12 Financial Reporting for Liabilities 545

Theory—Existence of Liabilities 546

Off-Balance-Sheet Financing 547

Loss Contingencies 549

Gain Contingencies 555

Theory—Valuation of Liabilities 556

Compensated Absences 557

Warranties 559

Theory—Classification of Liabilities 560

Liabilities Expected to Be Refinanced 560

Using Amortization Tables to Classify Debt 562

General Comments Regarding Financial Reporting 564

International Accounting Standards 564

Accounting for Contingencies under German GAAP 565

Appendix：Troubled Debt Restructuring 569

CHAPTER 13 Legal Capital and Basic Stockholders’ Equity Transactions 599

History and Theory 600

Legal Capital 601

Other Notions Governing the Accounting for Stockholders’ Equity Transactions 602

Additional Paid-In Capital 603

Rights and Characteristics of Capital Stock 604

Financial Instruments with Debt and Equity Characteristics 605

Issuing Stock 606

Issuing Stock at Incorporation 607

Issuing Stock Subsequent to Incorporation 609

Issuing Stock at Less than Par Value 609

Costs of Issuing Stock 610

Subscribing Stock 610

Selling Several Securities as a Unit 612

Treasury Stock Transactions—Cost Method 614

Retiring Stock 616

Dividends 617

Important Dates Connected with Dividends 618

Accounting for Cash Dividends 619

Order of Dividend Payments 620

Appropriate Retained Earnings 622

Preparing the Stockholder’s Equity Section of the Balance Sheet 623

International Practices for Stockholders’Equity Transactions 624

Classification of Treasury Stock 624

Recognizing Dividends as a Liability 624

Legal Reserves（Compare to Par Value Concept） 625

International Accounting Standards 625

Appendix：Treasury Stock Transactions—Par Value Method 627

CHAPTER 14 More Transactions with and Reports to Owners 644

Accounting for Securities with Some Equity Characteristics 646

Convertible Debt 646

Conversion Feature Inseparable from the Debt 647

Induced Conversions 649

Debt Issued with Detachable Stock Warrants（i.e.，Rights） 650

Stock Warrants 651

Stock Warrants in Connection with the Preemptive Right 651

Stock Options 653

Stock Options vs.Restricted Stock 662

More on Dividends and Stock Splits 664

Property Dividends 664

Liquidating Dividends 665

Scrip Dividends 665

Stock Dividends 665

Stock Split Effected in the Form of a Dividend（Large Stock Dividend） 666

Stock Splits 667

Summary of Stock Dividends and Stock Splits 668

Statement of Changes in Stockholders’ Equity 669

Reporting to Owners 669

Prior-Period Adjustments 672

Appendix A：Significant Events Leading to SFAS No.123 675

Appendix B：Excel Spreadsheet Formulas for the Black-Scholes Option Pricing Model 676

CHAPTER 15 Financial Reporting for Marketable Securities and Comprehensive Income 694

Marketable Securities—Significant Influence not Achieved 695

Trading Securities Portfolio 696

Held-to-Maturity Securities 699

Available-for-Sale Securities 701

Permanent Decline in Value 704

Financial Reporting 704

Summary of Key Points 704

Transferring Marketable Securities between Portfolios 705

Other Comprehensive Income and Comprehensive Income 708

Alternate Reporting Formats 709

Reclassification Adjustments 710

Equity Method of Accounting—Significant Influence Achieved 713

The Theory of the Equity Method 714

Accounting for Basic Transactions under the Equity Method 715

Intricacies to the Equity Method 715

Summary of the Equity Method 720

CHAPTER 16 Statement of Cash Flows 734

Objective of the Statement of Cash Flows 736

Focus on Cash and Cash Equivalents 737

Reconciliation 737

Categories on the Statement 737

Significant Noncash Transactions 740

Steps in Preparing the Statement of Cash Flows 740

Preparing the Operating Activities Section—The Indirect Method 741

Adjustments for Noncash Transactions on the Income Statement 741

Adjustments that Affect Cash in a Different Period 742

The Direct Method 748

Preparing the Investing and Financing Activities Sections 750

Intangible Assets 754

Property，Plant，and Equipment，Including Accumulated Depreciation 755

Investments 756

Stockholders’ Equity 757

Liabilities 758

Preparing and Interpreting the Statement of Cash Flows 759

Other Issues in Preparing the Statement of Cash Flows 762

Reporting Extraordinary Items，Etc. 762

Bad Debts Expense and the Allowance for Doubtful Accounts 763

Bond Premiums and Discounts 764

Preparing a Worksheet 765

International Comparative Practices 767

International Accounting Standards 769

Appendix：Direct Method—Red Rock Candy Mountain Company 771

③Special Reporting Issues 799

CHAPTER 17 Accounting for Leases 800

History and Theory of Leasing 801

Criteria and Terminology 802

Operating Leases 804

Capital Leases for the Lessee 805

Applying the Capital Lease Criteria 806

Initial Recording of a Capital Lease 807

Subsequent Accounting for the Asset 807

Subsequent Accounting for the Liability 807

Financial Reporting of a Capital Lease 808

Example Problem：Capital Lease—Lessee 810

Capital Leases for the Lessor—Direct Financing 810

Initial Recording of a Direct Financing Capital Lease 810

Subsequent Accounting for a Direct Financing Capital Lease 811

Financial Reporting for a Direct Financing Capital Lease 811

Capital Leases for the Lessor—Sales-Type 811

Initial Recording for a Sales-Type Capital Lease 812

Subsequent Accounting for a Sales-Type Capital Lease 812

Financial Reporting for a Sales-Type Capital Lease 812

Capital Leases with Guaranteed Residual Values 814

Initial Recording of a Capital Lease with a Guaranteed Residual Value 815

Subsequent Accounting for a Capital Lease with Guaranteed Residual Value 816

Settling a Capital Lease with a Guaranteed Residual Value 817

Leases with Unguaranteed Residual Values 818

Initial Recording of a Capital Lease with an Unguaranteed Residual Value 819

Subsequent Accounting for a Capital Lease with Unguaranteed Residual Value 819

Leases with a Bargain Purchase Option 820

Initial Direct Costs 823

Treating an Operating Lease as a Capital Lease 825

International Accounting Standards 827

Comprehensive Example Problem 828

Appendix A：Solutions to Example Problems 829

Appendix B：Sale-Leasebacks 833

CHAPTER 18 Accounting for Pensions 854

Theory and Definitions 855

Accounting and Reporting for Defined Contribution Plans 856

Accounting and Reporting for Defined Benefit Plans 857

Component 1 of Pension Expense：Service Cost 858

Components 2 and 3 of Pension Expense：Interest Cost and Return on Plan Assets 860

Component 4 of Pension Expense：Amortization of Prior Service Costs 862

Funding Requirements and Journal Entries 865

Component 5 of Pension Expense：Amortization of Unrecognized Gains and Losses 866

Reinforcing Illustration 869

Analysis of the Prepaid/Accrued Cost Account with Pension Worksheet 869

Minimum Liability 870

International Accounting Standards 872

Appendix A：Pension Expense for Jared and Castro ＆ Co.Example 875

Appendix B：Liabilities for Postretire-ment Benefits 878

CHAPTER 19 Accounting for Income Taxes 892

Theory—Reconciling Net Income with Taxable Income 893

Defining Permanent and Temporary Differences 894

Deferred Tax Assets and Deferred Tax Liabilities 896

Example #1—Basic Procedures 898

Example #2—Beginning Balance in Deferred Tax Accounts and Changes in Tax Rates 902

Example #3—Comprehensive Practice Problem 907

Valuation Allowance 908

Financial Reporting 909

Net Operating Loss Carrybacks/Carryforwards 911

International Financial Reporting Practices 913

Tax Effects of Changes in Accounting Principles 914

Appendix A：Solution to Comprehensive Practice Problem 917

Appendix B：Intraperiod Tax Allocation 919

CHAPTER 20 Foreign Currency Transactions 940

Introduction 941

Foreign Exchange 944

Exchange Rate Arrangements 946

Determinants of Exchange Rates 948

European Monetary Union（EMU） 950

Accounting for Foreign Exchange Transactions 951

Foreign Exchange Transaction—Cash Basis 952

Foreign Exchange Transaction—Credit Sale 953

Using Forward Contracts to Eliminate Foreign Currency Risk 954

Accounting for Forward Contracts 957

Speculation in Derivatives 960

CHAPTER 21 Foreign Currency Hedge Accounting 973

The Use of Foreign Contracts as Foreign Currency Hedging Instruments 974

Foreign Currency Firm Commitments 975

Foreign Currency Forecasted Transactions 979

Foreign-Currency-Denominated Securities 982

The Use of Options to Hedge Foreign Currency Transactions 988

Assessment of Hedge Effectiveness 990

Separating an Option’s Market Value into Time Value and Intrinsic Value Components 991

Accounting for Foreign Currency Options 991

Natural Hedges 997

International Accounting Standards 997

Foreign Currency Transactions 997

Hedging Foreign Currency Transactions 998

GLOSSARY 1013

COMPANY INDEX 1029

SUBJECT INDEX 1033