financial accounting international financial reporting standards
financial accounting first year
Connected book
Book Title:
Author(s):
Edition:
ISBN:
Edition:
More summaries for
Summary Financial Accounting ALL CHAPTERS
FRRM summary course
All for this textbook (3)
Written for
Maastricht University (UM)
Accounting
Accounting and accountability
All documents for this subject (1)
1
review
By: thomaschatel • 7 year ago
Translated by Google
Many items are unfortunately missing in this summary
Seller
Follow
roméevandenbergh
Reviews received
Content preview
Summary accounting and accountability
FA chapter 1
4 kinds of employers/places you can work as accountant
1. Public practise: within accounting (international) firm, specialize in tax/consulting etc.
Wide range of clients.
2. Managerial accounting. Be an accountant for 1 firm, analyse financial information and
communicate to managers. Cost-benefit analysis etc.
3. Government; Government Accountability Office.
4. Education
Chapter 1
Financial statements: business documents that companies use to represent their finances to the
public. It’s all about business decisions. Accounting produces financial statements, reporting
information about business entity. Who uses the information:
- Individuals (rent or buy)
- Investors and creditors (where to put money)
- Taxing authorities
- Non-profit organizations (decisions based on accounting data)
2 kinds of accounting:
- Financial accounting: information for people outside the firm (investors, bankers,
government), must meet relevance (= able to affect decision) and reliability (verifiable
and free of error and bias) standards. Can be difference between what you report and
what is true, solutions: independent accountants (law requires it) and audits (control)
intended.
- Management accounting: inside information, no standards only internal use.
Forms of business organization:
Proprietorship Partnership Corporation (Limited-
(eenmanszaak) liability
company)
Owner 1 proprietor 2+ partners Stockholders/shareholders: Members
many owners
Personal Yes but Yes No No
liability
Extra notes Business Can also have People own stock which Business
records don’t 2000+ represents shares of liable for
include partners. ownership in corporation. debts.
proprietors Quite risky. Legally distinct. Control Doesn’t pay
personal LLP: limited rests with corporation, 1 business
finances liability vote each. Elect the board income tax,
partnership: of directors, which sets but flows
partner policy and appoints through to
cannot create officers. Board elects members
large liability chairperson who pay
for other personal
partners (only income tax
responsible at individual
for own rates.
actions and
The benefits of buying summaries with Stuvia:
Guaranteed quality through customer reviews
Stuvia customers have reviewed more than 700,000 summaries. This how you know that you are buying the best documents.
Quick and easy check-out
You can quickly pay through credit card or Stuvia-credit for the summaries. There is no membership needed.
Focus on what matters
Your fellow students write the study notes themselves, which is why the documents are always reliable and up-to-date. This ensures you quickly get to the core!
Frequently asked questions
What do I get when I buy this document?
You get a PDF, available immediately after your purchase. The purchased document is accessible anytime, anywhere and indefinitely through your profile.
Satisfaction guarantee: how does it work?
Our satisfaction guarantee ensures that you always find a study document that suits you well. You fill out a form, and our customer service team takes care of the rest.
Who am I buying these notes from?
Stuvia is a marketplace, so you are not buying this document from us, but from seller roméevandenbergh. Stuvia facilitates payment to the seller.
Will I be stuck with a subscription?
No, you only buy these notes for $3.77. You're not tied to anything after your purchase.
