Horngren's Financial and Managerial Accounting Horngren, Miller-Nobles, Mattison, Matsumura • 6th Edition • 9780134486833

Ch. 1 - Accounting and the Business Environment

Welcome! Types of Accounting Business Organization Useful Information Fundamental Accounting Equation The Financial Statements Sample Financial Statements - Coca Cola Introduction to Ratios Ratios: Return on Assets (ROA)

Ch. 2 - Recording Business Transactions

Journal Entries: Debits and Credits Accounting Flow Intuition: BASE Formula Journal Entries: Business Formation Example Trial Balance Ratios: Debt to Asset Ratio

Ch. 3 - The Adjusting Process

Accrual Accounting vs. Cash Basis Accounting Revenue Recognition and Expense Recognition Introduction to Adjusting Journal Entries and Prepaid Expenses Adjusting Entries: Supplies Adjusting Entries: Unearned Revenue Adjusting Entries: Accrued Expenses Adjusting Entries: Accrued Revenues Adjusting Entries: Depreciation Summary of Adjusting Entries Unadjusted vs Adjusted Trial Balance

Ch. 4 - Completing the Accounting Cycle

Closing Entries Post-Closing Trial Balance Classified Balance Sheet Components Ratios: Working Capital and the Current Ratio

Ch. 5 - Merchandising Operations

Service Company vs. Merchandising Company Net Sales Cost of Goods Sold - Perpetual Inventory vs. Periodic Inventory Perpetual Inventory - Purchases Perpetual Inventory - Freight Costs Perpetual Inventory - Purchase Discounts Perpetual Inventory - Purchasing Summary Periodic Inventory - Purchases Periodic Inventory - Freight Costs Periodic Inventory - Purchase Discounts Periodic Inventory - Purchasing Summary Single-step Income Statement Multi-step Income Statement Ratios: Gross Profit Rate

Ch. 6 - Merchandise Inventory

Physical Inventory Count, Ownership of Goods, and Consigned Goods Specific Identification Periodic Inventory - FIFO, LIFO, and Average Cost Perpetual Inventory - FIFO, LIFO, and Average Cost Financial Statement Effects of Inventory Costing Methods Ratios: Inventory Turnover Lower of Cost or Market Inventory Errors Ratios: Average Days in Inventory

Ch. 7 - Internal Control and Cash

Sarbanes-Oxley Act Five Components of Internal Controls Principles of Control Activities Limitations of Internal Controls Petty Cash Bank Reconciliation Journal Entries for Bank Reconciliation

Ch. 8 - Receivables

Types of Receivables Net Accounts Receivable: Direct Write-off Method Net Accounts Receivable: Allowance for Doubtful Accounts Net Accounts Receivable: Percentage of Sales Method Net Accounts Receivable: Aging of Receivables Method Notes Receivable Ratios: Quick (Acid Test) Ratio Ratios: Accounts Receivable (AR) Turnover Ratios: Average Collection Period (Days Sales Outstanding)

Ch. 9 - Plant Assets, Natural Resources, and Intangibles

Initial Cost of Long Lived Assets Basket (Lump-sum) Purchases Ordinary Repairs vs. Capital Improvements Depreciation: Straight Line Depreciation: Declining Balance Depreciation: Units-of-Activity Depreciation: Summary of Main Methods Depreciation for Partial Years Retirement of Plant Assets (No Proceeds) Sale of Plant Assets Change in Estimate: Depreciation Intangible Assets and Amortization Natural Resources and Depletion Asset Impairments Exchange for Similar Assets Ratios: Total Asset Turnover Ratios: Fixed Asset Turnover

Ch. 10 - Investments

Comprehensive Income Introduction to Investments in Securities Trading Securities Available-for-Sale (AFS) Securities Held-to-Maturity (HTM) Securities Equity Method

Ch. 11 - Current Liabilities and Payroll

Types of Liabilities Notes Payable Payroll and Payroll Taxes Sales Tax Payable Current Portion of Long Term Debt Contingent Liabilities Estimated Liabilities: Warranties Ratios: Times Interest Earned (TIE)

Ch. 12 - Long-Term Liabilities

Introduction to Bonds and Bond Characteristics Face Value Bonds Discount on Bonds Premium on Bonds Straight Line Amortization of Bond Premium or Discount Redeeming Bonds before Maturity Time Value of Money Equations Using Time Value of Money Tables Effective Interest Amortization of Bond Premium or Discount

Ch. 13 - Stockholders' Equity

Characteristics of a Corporation Shares Authorized, Issued, and Outstanding Issuing Par Value Stock Issuing No Par Value Stock Issuing Common Stock for Assets or Services Retained Earnings Retained Earnings: Prior Period Adjustments Preferred Stock Treasury Stock Dividends and Dividend Preferences Stock Dividends Stock Splits Discontinued Operations and Extraordinary Items Ratios: Earnings Per Share (EPS) Ratios: Price-Earnings Ratio (PE Ratio) Ratios: Return on Equity (ROE)

Ch. 14 - The Statement of Cash Flows

Introduction to the Statement of Cash Flows Operating Activities: Indirect Method Operating Activities: Direct Method Investing Activities Financing Activities Significant Noncash Activities Ratios: Free Cash Flow

Ch. 15 - Financial Statement Analysis

Horizontal Analysis Vertical Analysis Common-sized Statements Introduction to Ratios Ratios: Working Capital and the Current Ratio Ratios: Inventory Turnover Ratios: Average Days in Inventory Ratios: Gross Profit Rate Ratios: Accounts Receivable (AR) Turnover Ratios: Average Collection Period (Days Sales Outstanding) Ratios: Debt to Asset Ratio Ratios: Debt to Equity Ratio Ratios: Times Interest Earned (TIE) Ratios: Profit Margin Ratios: Total Asset Turnover Ratios: Earnings Per Share (EPS) Ratios: Price-Earnings Ratio (PE Ratio) Ratios: Dividend Yield Ratio Ratios: Payout Ratio