Table of contents

1. Introduction to Accounting1h 21m
2. Transaction Analysis1h 13m
3. Accrual Accounting Concepts2h 38m
4. Merchandising Operations2h 30m
5. Inventory1h 55m
6. Internal Controls and Reporting Cash1h 16m
7. Receivables and Investments3h 8m
8. Long Lived Assets5h 1m
9. Current Liabilities2h 19m
10. Time Value of Money1h 23m
- Time Value of Money Equations
  35m
- Using Time Value of Money Tables
  47m
11. Long Term Liabilities2h 45m
12. Stockholders' Equity2h 15m
13. Statement of Cash Flows2h 24m
14. Financial Statement Analysis5h 25m
15. GAAP vs IFRS56m

1. Introduction to Accounting

The Financial Statements

Financial Accounting

1. Introduction to Accounting

The Financial Statements

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Multiple Choice

Which of the following items are listed on the income statement?

Revenues and expenses

Dividends and retained earnings

Owner's equity and cash flows

Assets and liabilities

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Understand the purpose of the income statement: The income statement is a financial report that summarizes a company's revenues and expenses over a specific period, showing the net income or loss.

Identify the components of the income statement: The income statement includes revenues (income earned from business operations) and expenses (costs incurred to generate revenues). These are the primary items listed on the income statement.

Clarify why dividends and retained earnings are not included: Dividends are distributions of profits to shareholders and are reported on the statement of retained earnings, not the income statement. Retained earnings are part of the equity section on the balance sheet.

Explain why owner's equity and cash flows are not included: Owner's equity is reported on the balance sheet, and cash flows are detailed in the statement of cash flows, not the income statement.

Discuss why assets and liabilities are not included: Assets and liabilities are part of the balance sheet, which provides a snapshot of the company's financial position at a specific point in time, rather than its performance over a period.