Finance and Accounting for NonFinancial Managers / Edition 3

Finance and Accounting for NonFinancial Managers / Edition 3

3.5 2
by Steven A. Finkler
     
 

ISBN-10: 0735546045

ISBN-13: 9780735546042

Pub. Date: 10/31/2003

Publisher: Toolkit Media Group

For all entrepreneurs and nonfinancial professionals with budget and/or P&L responsibilities, this indispensable guide provides the basics necessary to make a solid contribution to the financial goals and success of their companies. This comprehensive and easy-to-read primer gives all entrepreneurs and managers in nonfinancial areas -- sales, marketing, production,…  See more details below

Overview

For all entrepreneurs and nonfinancial professionals with budget and/or P&L responsibilities, this indispensable guide provides the basics necessary to make a solid contribution to the financial goals and success of their companies. This comprehensive and easy-to-read primer gives all entrepreneurs and managers in nonfinancial areas -- sales, marketing, production, and more -- a complete understanding of financial terms, statements, and ratios and how they affect the operations of a business or corporation.

Product Details

ISBN-13:
9780735546042
Publisher:
Toolkit Media Group
Publication date:
10/31/2003
Edition description:
Book and CD
Pages:
382
Product dimensions:
5.90(w) x 8.90(h) x 0.90(d)

Table of Contents

Prefacexiii
List of Excel Templatesxvii
Part 1Introduction
1An Introduction to Financial Management3
What Is Financial Management?3
The Goals of Financial Management4
Key Concepts10
2A Primer on Taxes13
How Much Do You Need to Know?13
Personal vs. Corporate Taxes14
The Tax Rate and the Tax Base17
Progressive, Proportional, and Regressive Tax Rates18
Marginal, Average, and Effective Tax Rates19
Calculating Federal Income Tax23
Other Concerns for Corporations24
Conclusion25
Key Concepts26
Part 2The Framework of Accounting
3Accounting Concepts29
Basics29
Assets31
Liabilities32
Owners' Equity32
The Accounting Equation33
Key Concepts33
4An Introduction to the Key Financial Statements35
The Balance Sheet35
The Income Statement38
The Statement of Cash Flows40
Notes to Financial Statements40
Key Concepts41
5The Role of the Outside Auditor43
Generally Accepted Accounting Principles (GAAP)44
The Audit50
Audit Failures56
Key Concepts57
6Valuation of Assets and Equities59
Asset Valuation59
Valuation of Liabilities65
Valuation of Stockholders' Equity67
Key Concepts68
7Recording Financial Information71
Double Entry and the Accounting Equation71
Debits and Credits: The Accountant's Secret73
Recording the Financial Events76
T-Accounts86
Chart of Accounts88
Key Concepts89
8Reporting Financial Information91
Ledgers91
Executive Corporation's Financial Statements93
Looking Ahead104
Key Concepts105
Part 3Financial Decisions
9Business Plans109
Why Develop a Business Plan?109
Questions that Drive a Business Plan110
The Planning Process111
The Elements of a Business Plan111
Implementation/Operating Plan121
Key Concepts124
10Capital Structure--Long-Term Debt and Equity Financing125
Common Stock125
Debt126
Preferred Stock127
Cost of Capital127
Other Elements of Capital Structure128
Dividends129
Getting Capital131
Key Concepts134
11Leverage135
Financial Leverage136
Operating Leverage138
Key Concepts142
12Strategic Planning and Budgeting145
Strategic Plan145
Long-Range Plan146
Definition and Role of Budgets147
The Master Budget148
Budget Preparation150
The Cash Budget156
Zero-Based Budgeting158
Variance Analysis: Using Budgets for Control159
Key Concepts165
13Investment Analysis167
Investment Opportunities168
Data Generation168
The Payback Method169
The Time Value of Money171
The Net Present Value (NPV) Method175
The Internal Rate of Return Method (IRR)178
Project Ranking180
Summary180
Key Concepts181
14Lease or Buy? a Taxing Question183
Accounting Issues183
Management Considerations for Leasing185
Tax Considerations for Leasing186
Key Concepts187
15Depreciation: Having Your Cake and Eating it Too!189
Amortization190
Asset Valuation for Depreciation190
Straight-Line vs. Accelerated Depreciation193
Comparison of the Depreciation Methods194
Modified Accelerated Cost Recovery System (MACRS)197
Depreciation and Deferred Taxes: Accounting Magic201
Key Concepts202
16Working Capital Management and Banking Relationships203
Working Capital Management203
Short-Term Resources204
Short-Term Obligations214
Banking Relationships220
Key Concepts223
17Inventory Costing: The Accountant's World of Make-Believe225
The Inventory Equation225
Periodic vs. Perpetual Inventory Methods226
The Problem of Inflation228
Cost-Flow Assumptions229
Comparison of the LIFO and FIFO Cost-Flow Assumptions231
Key Concepts235
18Cost Accounting237
Cost vs. Expense: The Inventory Process237
Period Costs vs. Product Costs241
Cost Systems: Process, Job-Order, and Standard Costs242
Activity-Based Costing (ABC)244
Average vs. Marginal Costs246
Key Concepts248
19Accountability and Internal Control251
Management Control Systems251
Measures of Performance254
Safeguarding Resources254
Legal Considerations260
Key Concepts260
Part 4Financial Statement Analysis
20A Closer Look at Financial Statements263
The Balance Sheet264
The Income Statement269
The Statement of Cash Flows272
The Notes to the Financial Statements276
Key Concepts277
21Notes to the Financial Statements279
Significant Accounting Policies279
Other Notes281
Summary284
Key Concepts285
22Ratio Analysis287
Benchmarks for Comparison290
Common Size Ratios292
Liquidity Ratios296
Efficiency Ratios298
Solvency Ratios301
Profitability Ratios303
Key Concepts308
Part 5Getting Your Own Finances in Order
23Personal Finance313
The Basics313
Emergency Reserves314
The Primary Reasons for Accumulating Wealth314
Controlling Your Debts315
Controlling Your Taxes317
Retirement Plans319
Investing324
Tax Shelters334
Insurance335
Estate Planning341
Key Concepts341
24Summary and Conclusion343
Glossary345
Annotated List of Web Sites Related to Finance and Accounting361
Index371

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Finance and Accounting for Nonfinancial Managers 3.5 out of 5 based on 0 ratings. 2 reviews.
Guest More than 1 year ago
Great primer into financing and accounting world in easy to understand terms and simple, yet powerful principles. A great book for both organizational and personal uses.
Anonymous More than 1 year ago