Perhaps you meet with accountants regularly or very occasionally when you needed a financial report, solving your tax issues. You place your requirements and may want the feedback immediately but you may not have the idea about their work load. Fact is they are busy to fulfill your requirements and they work year round.
Accountants help to to business people how to conceive the goals, how to make plan to achieve them and what would be their actions.
However, to do their work accountants also needed some books that may enhance their idea, help to produce a quality reports. We would like to list here some books that are considered as the amazon best selling books.
“Accounting Made Simple” is Written by Mike Piper, a Certified Public Accountant (CPA). As a Certified Accountant, he knew how to write a book that may help to the students as well as the accounts professionals of the company. The presentation of this book is very simple to understand.
Accounting Made Simple has two parts consisting of 14 chapters. This book is very practically presented that may help to the accounting background and non-accounting background people.
Below are the list of Contents that may help you to decide to collect this books:
PART – 01 : Financial Statements
|1. Accounting Equation||Always true, no exception|
Owners’ is just a plug
My asset is your liability
|2. Balance Sheet||It’s a snapshot|
Current Assets and Liabilities Vs.
Long-term Assets and Liabilities
Two Period Balance Sheet
|3. Income Statement||Shows period of time rather than point in time|
Gross Profit & Cost of Goods sold
Operating Income vs net income
|4. Statement of Retained Earnings||Bridge between financial statements|
Dividends are not an expenses!
Retained earnings : not the same as cash
|5. Cash Flow Statement||As opposed to income statement|
Cash flow from operating activities
cash flow from investing activities
Cash flow from financing activities
|6. Financial Ratios||Liquidity Ratios|
Financial Leverage Ratios
Asset Turnover Ratios
PART – 2: Generally Accepted Accounting Principles (GAAP)
|7. What is GAAP?||Who has to follow GAAP?|
|8. Debits & Credits||Double entry system|
The General Ledger
The Trial Balance
|9. Cash vs Accrual||Cash Method|
|10. The Accounting Closing Process||Closing Journal Entries|
|11. Other GAAP Concepts & Assumptions||Historical Cost|
Money Unit Assumption
|12. Depreciation of Fixed Assets||Straight Line Depreciation|
Gain or loss on sale
Other Depreciation Methods
Expenses immaterial purchases
|13. Amortization of Intangible Assets||What are intangible assets|
Straight Line Amortization
Legal Life vs Expected useful life
|14. Inventory & COGS||Perpetual Method|
Calculating Cost of Goods Sold
FIFO vs. LIFO
Average Cost Method