After completing this chapter you should be able to: Explain what accounting is, identify the users and uses of accounting, understand why ethics is a fundamental business concept, explain the monetary unit assumption and the economic entity assumption,.and other contents. | Prepared by Coby Harmon University of California, Santa Barbara Westmont College 1-1 1 Accounting in Action Learning Objectives After studying this chapter, you should be able to: [1] Explain what accounting is. [2] Identify the users and uses of accounting. [3] Understand why ethics is a fundamental business concept. [4] Explain generally accepted accounting principles. [5] Explain the monetary unit assumption and the economic entity assumption. [6] State the accounting equation, and define its components. [7] Analyze the effects of business transactions on the accounting equation. [8] Understand the four financial statements and how they are prepared. 1-2 Preview of Chapter 1 Accounting Principles Eleventh Edition Weygandt Kimmel Kieso 1-3 What is Accounting? Purpose of accounting is to: 1. identify, 2. record, and 3. communicate the economic events of an organization to interested users. 1-4 LO 1 Explain what accounting is. What is Accounting? Three Activities Illustration 1-1 Accounting process The accounting process includes the bookkeeping function. 1-5 LO 1 Explain what accounting .
