After reading this chapter, you should be able to answer the following questions: Why study accounting? What is accounting? Who uses accounting? What do accountants do? How has accounting developed? Accounting standards Ethics and the accounting profession The conceptual framework Objective of financial reporting for businesses. | CHAPTER 1 Accounting—Present and Past (Introduction) 1- Copyright 2007 McGraw-Hill Australia Pty Ltd PPTs t/a Accounting: What the Numbers Mean 2e by Marshall, McCartney & Van Rhyn Slides prepared by John Tretola Overview Why study accounting? What is accounting? Who uses accounting? What do accountants do? How has accounting developed? Accounting standards Ethics and the accounting profession The conceptual framework Objective of financial reporting for businesses 1- Copyright 2007 McGraw-Hill Australia Pty Ltd PPTs t/a Accounting: What the Numbers Mean 2e by Marshall, McCartney & Van Rhyn Slides prepared by John Tretola Why Study Accounting? Accounting is the language of business. Anyone involved in the economic activities of our society needs to know enough of this language to be able to make decisions and informed judgements about those activities. “If you want to be rich long-term, it could be the most important subject.” - Robert Kiyosaki author of Rich Dad, Poor Dad 1- Copyright 2007 McGraw-Hill Australia Pty Ltd PPTs t/a Accounting: What the Numbers Mean 2e by Marshall, McCartney & Van Rhyn Slides prepared by John Tretola What is accounting? identifying measuring communicating economic information about an entity for decisions and informed judgements. Accounting is the process of: 1- Copyright 2007 McGraw-Hill Australia Pty Ltd PPTs t/a Accounting: What the Numbers Mean 2e by Marshall, McCartney & Van Rhyn Slides prepared by John Tretola Users and uses of accounting information 1- Copyright 2007 McGraw-Hill Australia Pty Ltd PPTs t/a Accounting: What the Numbers Mean 2e by Marshall, McCartney & Van Rhyn Slides prepared by John Tretola What do accountants do? Financial accounting generally refers to the process that results in the preparation and reporting of financial statements for an entity. Financial accounting is primarily externally oriented and concerned with the historical results of an entity’s performance. . | CHAPTER 1 Accounting—Present and Past (Introduction) 1- Copyright 2007 McGraw-Hill Australia Pty Ltd PPTs t/a Accounting: What the Numbers Mean 2e by Marshall, McCartney & Van Rhyn Slides prepared by John Tretola Overview Why study accounting? What is accounting? Who uses accounting? What do accountants do? How has accounting developed? Accounting standards Ethics and the accounting profession The conceptual framework Objective of financial reporting for businesses 1- Copyright 2007 McGraw-Hill Australia Pty Ltd PPTs t/a Accounting: What the Numbers Mean 2e by Marshall, McCartney & Van Rhyn Slides prepared by John Tretola Why Study Accounting? Accounting is the language of business. Anyone involved in the economic activities of our society needs to know enough of this language to be able to make decisions and informed judgements about those activities. “If you want to be rich long-term, it could be the most important subject.” - Robert Kiyosaki author of Rich Dad, Poor .
