Accounting 101: From Calculating Revenues and Profits to Determining Assets and Liabilities, an Essential Guide to Accounting Basics

by Michele Cagan CPA

Overview

A quick and easy guide to help you learn the basics of accounting.

The ability to negotiate a deal. Confidence to oversee staff. Complete and accurate monitoring of expenses.

In today’s business climate, these are must-have skills. But all too often, comprehensive business books turn the important details of best practices into tedious reading that would put even a CEO to sleep.

This bestselling series is packed with hundreds of entertaining tidbits and concepts that can’t be found anywhere else. From hiring and firing to strategizing and calculating revenues, these guides can help you learn core business and career concepts—no MBA required! So whether you’re a new business owner, a manager, or entry-level employee, this series has the answers you need to conduct business more efficiently.

Product Details

ISBN-13:	9781507202920
Publisher:	Adams Media
Publication date:	05/09/2017
Series:	Adams 101 Series
Pages:	272
Sales rank:	374,346
Product dimensions:	5.30(w) x 7.20(h) x 1.00(d)

About the Author

Michele Cagan is a CPA, author, and financial mentor. With more than twenty years of experience, she offers unique insights into personal financial planning, from breaking out of debt and minimizing taxes, to maximizing income and building wealth. Michele has written numerous articles and books about personal finance, investing, and accounting, including The Infographic Guide to Personal Finance, Investing 101, Stock Market 101, and Financial Words You Should Know. In addition to her financial know-how, Michele has a not-so-secret love of painting, Star Wars, and chocolate. She lives in Maryland with her son, dogs, cats, and koi. Get more financial guidance from Michele by visiting MicheleCaganCPA.com.

Table of Contents

Introduction 7

Chapter 1 The Business of Accounting 9

Who Uses Accounting Information? 10

Accounting is More than Numbers 15

Ancient Accounting 22

Modern Accounting 28

Accounting Rules 32

Generally Accepted Accounting Principles 36

Tracking and Measuring Success 43

How Accountants Can Help You 47

Chapter 2 Who's Who in Accounting 54

CPAS are Licensed 55

The AICPA 60

Bookkeeping Versus Accounting 65

Entertainment Accountants 69

Forensic Accountants 74

Anti-Money Laundering Specialists 78

CFOS Steer Corporations 82

Tax Accountants 86

Environmental Accountants 91

Choosing the Right Professional 94

Chapter 3 Setting the Framework 99

Accounting Starts with Accounts 100

How the Accounts Connect 103

Debits and Credits 107

What Counts as a Transaction 112

The Accounting Cycle 117

Accounting and Organization 124

Chapter 4 Assets, Liabilities, and Equity 129

The Accounting Equation 130

What are Assets? 133

Breaking Down Asset Categories 137

A Closer Look at Current Assets 143

The Importance of Cash 149

A Closer Look at Fixed Assets 152

Current Liabilities 158

Long-Term Liabilities 162

Equity 165

Chapter 5 Revenues, Costs, and Expenses 169

Revenues 170

Cash Versus Credit 175

The Cost-Inventory Connection 179

Expenses 185

Depreciation 192

People and Payroll 197

Earning Profits, But Out of Cash 203

Chapter 6 Financial Statements 206

The Statement of Profit and Loss 207

The Balance Sheet 212

The Statement of Cash Flows 216

What Financial Statements Tell You 220

Financial Statements Flow into Tax Returns 227

How These Statements Interconnect 230

Chapter 7 Accounting Moves Forward 234

The Big Accounting Firms 235

Scandals in the Accounting World 238

Big Changes in the Industry 242

Accounting Software 246

Accounting Apps 256

Accounting in the Cloud 260

Tomorrow's Accounting 263

Index 267