T a b l e
PART 1 Departmentalized Accounting CHAPTER 1
CHAPTER 3 4 5 6 12
62 63 64 71 79 75 78 91
CHAPTER 4 CHAPTER 2 RECORDING DEPARTMENTAL SALES AND CASH RECEIPTS Accounting In Your Career 2-1 Departmental Sales on Account and Sales Returns and Allowances 2-2 Journalizing and Posting Cash Receipts SMALL BUSINESS SPOTLIGHT GLOBAL PERSPECTIVE AUTOMATED ACCOUNTING
38 39 40 48 40 53 60
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F e a t u r e s Features found in every chapter
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End of lesson review and practice Terms Review 11, 19, 27, 47, 54, 69, 77, 124 Audit Your Understanding 11, 19, 27, 47, 54, 69, 77, 124 Work Together 11, 19, 27, 47, 54, 69, 77, 124 On Your Own 11, 19, 27, 47, 54, 70, 78, 124
84, 100, 111, 118,
84, 100, 111, 118,
84, 100, 111, 118,
84, 100, 111, 118,
End of chapter review and practice Chapter Summary 28, 55, 85, 125 Application Problems 29, 56, 86, 126 Mastery Problem 31, 58, 88, 129 Challenge Problem 32, 59, 90, 130
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Explore Accounting 28, 55, 85, 125 Internet Activity 33, 59, 90, 131 Applied Communication 33, 59, 90, 131 Cases for Critical Thinking 33, 59, 90, 131
FINANCIAL REPORTING FOR A DEPARTMENTALIZED BUSINESS 94 Accounting In Your Career 95 4-1 Interim Departmental Statement of Gross Profit 96 4-2 Preparing a Work Sheet for a Departmentalized Business 102 4-3 Financial Statements for a Departmentalized Business 112 4-4 End-of-Period Work for a Departmentalized Business 119 SMALL BUSINESS SPOTLIGHT 113 LEGAL ISSUES IN ACCOUNTING 101 CULTURAL DIVERSITY 110 AUTOMATED ACCOUNTING 132
C o n t e n t s
20 18 20 34
CALCULATING AND RECORDING DEPARTMENTAL PAYROLL DATA Accounting In Your Career 3-1 Employee Benefits and Earnings 3-2 Completing Payroll Records 3-3 Journalizing and Paying Payroll and Payroll Taxes ACCOUNTING AT WORK PROFESSIONAL BUSINESS ETHIC AUTOMATED ACCOUNTING
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RECORDING DEPARTMENTAL PURCHASES AND CASH PAYMENTS Accounting In Your Career 1-1 Using Accounting Principles and Records 1-2 Journalizing and Posting Purchases and Purchases Returns 1-3 Journalizing and Posting Cash Payments and Reconciling the Bank Statement PROFESSIONAL BUSINESS ETHICS CULTURAL DIVERSITY AUTOMATED ACCOUNTING
Reinforcement Activity 1 Processing and Reporting Departmentalized Accounting Data 135
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PART 2
Accounting Control Systems
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F e a t u r e s Features found in every chapter
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Explore Accounting 159, 184 Internet Activity 164, 189 Applied Communication 164, 189 Cases for Critical Thinking 164, 189
End of lesson review and practice
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Terms Review 150, 154, 172, 178, 183 Audit Your Understanding 150, 154, 158, 172, 178, 183 Work Together 150, 154, 158, 172, 178, 183 On Your Own 150, 154, 158, 172, 178, 183
CHAPTER 5 A VOUCHER SYSTEM Accounting In Your Career 5-1 Vouchers and Voucher Registers 5-2 Voucher Check and Check Registers 5-3 Selected Transactions in a Voucher System AUTOMATED ACCOUNTING
144 145 146 151 155 165
CHAPTER 6 INVENTORY PLANNING AND VALUATION 166 Accounting In Your Career 167 6-1 The Nature of Merchandise Inventory 168 6-2 Inventory Costing 173 6-3 Estimating the Inventory 179 TECHNOLOGY FOR BUSINESS 182 AUTOMATED ACCOUNTING 190
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End of chapter review and practice Chapter Summary 159, 184 Application Problems 160, 185 Mastery Problem 162, 187 Challenge Problem 162, 188
T a b l e
PART 3 General Accounting Adjustments CHAPTER 7
CHAPTER 9 194 195 196
CHAPTER 8 ACCOUNTING FOR PLANT ASSETS Accounting In Your Career 8-1 Buying Plant Assets 8-2 Calculating and Journalizing Depreciation Expense 8-3 Disposing of Plant Assets 8-4 Other Methods of Depreciation ACCOUNTING AT WORK TECHNOLOGY FOR BUSINESS PROFESSIONAL BUSINESS ETHICS AUTOMATED ACCOUNTING
250 251 252 256 262 252 256 267 274
CHAPTER 10 216 217 218 222 227 234 232 236 241 249
ACCOUNTING FOR NOTES RECEIVABLE, UNEARNED REVENUE, AND ACCRUED REVENUE Accounting In Your Career 10-1 Notes Receivable 10-2 Unearned and Accrued Revenue TECHNOLOGY FOR BUSINESS LEGAL ISSUES IN ACCOUNTING AUTOMATED ACCOUNTING
276 277 278 283 284 286 293
C o n t e n t s
199 206 199 201 215
ACCOUNTING FOR NOTES PAYABLE, PREPAID EXPENSES, AND ACCRUED EXPENSES Accounting In Your Career 9-1 Notes Payable 9-2 Prepaid Expenses 9-3 Accrued Expenses SMALL BUSINESS SPOTLIGHT LEGAL ISSUES IN ACCOUNTING CULTURAL DIVERSITY AUTOMATED ACCOUNTING
o f
ACCOUNTING FOR UNCOLLECTIBLE ACCOUNTS Accounting In Your Career 7-1 Direct Write-Off Method of Recording Uncollectible Accounts 7-2 Allowance Method of Recording Uncollectible Accounts Expense 7-3 Accounts Receivable Turnover Ratio LEGAL ISSUES IN ACCOUNTING GLOBAL PERSPECTIVE AUTOMATED ACCOUNTING
Features found in every chapter
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Explore Accounting 209, 242, 269, 289 Internet Activity 214, 247, 273, 292 Applied Communication 214, 247, 273, 292 Cases for Critical Thinking 214, 248, 273, 292
End of lesson review and practice Terms Review 198, 205, 208, 221, 226, 240, 255, 261, 268, 282, 287 Audit Your Understanding 198, 205, 208, 221, 226, 233, 240, 255, 261, 268, 282, 287
Work Together 198, 205, 208, 221, 226, 233, 241, 255, 261, 268, 282, 287 On Your Own 198, 205, 208, 221, 226, 233, 241, 255, 261, 268, 282, 288 ▼
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F e a t u r e s
End of chapter review and practice Chapter Summary 209, 242, 269, 289 Application Problems 210, 243, 270, 290 Mastery Problem 212, 246, 271, 291 Challenge Problem 213, 247, 272, 291 ▼
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PART 4 Corporation Accounting CHAPTER 11
CHAPTER 12
ORGANIZING A CORPORATION AND PAYING DIVIDENDS Accounting In Your Career 11-1 Starting a Corporation 11-2 Stock Subscriptions and the Balance Sheet 11-3 Calculating and Journalizing Dividends for a Corporation GLOBAL PERSPECTIVE CULTURAL DIVERSITY ACCOUNTING AT WORK AUTOMATED ACCOUNTING
296 297 298 306 310 301 305 311 319
ACQUIRING ADDITIONAL CAPITAL FOR A CORPORATION Accounting In Your Career 12-1 Capital Stock Transactions 12-2 Treasury Stock Transactions 12-3 Bonds Payable Transactions TECHNOLOGY FOR BUSINESS SMALL BUSINESS SPOTLIGHT PROFESSIONAL BUSINESS ETHICS LEGAL ISSUES IN ACCOUNTING AUTOMATED ACCOUNTING
320 321 322 329 334 328 330 338 340 346
CHAPTER 13
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F e a t u r e s Features found in every chapter
FINANCIAL ANALYSIS AND REPORTING FOR A CORPORATION Accounting In Your Career 13-1 Work Sheet for a Corporation 13-2 Financial Statements and Analysis 13-3 Other End-of-Fiscal Period Work ACCOUNTING AT WORK GLOBAL PERSPECTIVE AUTOMATED ACCOUNTING
End of lesson review and practice
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Terms Review 304, 309, 313, 327, 333, Audit Your Understanding 304, 309, 313, 327, 333, Work Together 304, 309, 313, 327, 333, On Your Own 305, 309, 313, 328, 333,
339, 354, 362, 369 Mastery Problem 316, 343, 373 Challenge Problem 317, 344, 374
339, 354, 362, 369 340, 354, 362, 369
End of chapter review and practice Chapter Summary 314, 341, 370 Application Problems 315, 342, 371
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Explore Accounting 314, 341, 370 Internet Activity 318, 345, 375 Applied Communication 318, 345, 375 Cases for Critical Thinking 318, 345, 375
Reinforcement Activity 2 Processing and Reporting Accounting Data for a Corporation 378
348 349 350 355 363 366 368 376
T a b l e
PART 5 Management Accounting F e a t u r e s Explore Accounting 409, 435, 466, 494 Internet Activity 414, 440, 472, 498 Applied Communication 414, 440, 472, 498 Cases for Critical Thinking 414, 440, 472, 498
416 417 419 423 427 421 425 433 441
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CHAPTER 15 ACCOUNTING INFORMATION FOR MANAGEMENT DECISIONS Accounting In Your Career 15-1 Cost Characteristics that Influence Decisions 15-2 Determining Breakeven 15-3 Decisions that Affect Net Income ACCOUNTING AT WORK PROFESSIONAL BUSINESS ETHICS TECHNOLOGY FOR BUSINESS AUTOMATED ACCOUNTING
CHAPTER 17 STATEMENT OF CASH FLOWS Accounting In Your Career 17-1 Understanding Cash Flow Analysis 17-2 Preparing the Operating Activities Section of a Statement of Cash Flows 17-3 Completing the Statement of Cash Flows SMALL BUSINESS SPOTLIGHT TECHNOLOGY FOR BUSINESS ACCOUNTING AT WORK PROFESSIONAL BUSINESS ETHICS AUTOMATED ACCOUNTING
474 475 476
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442 443 444 452 461 446 457 473
End of lesson review and practice Terms Review 392, 401, 408, 422, 426, 481 Audit Your Understanding 392, 401, 408, 422, 426, 481, 487, 493 Work Together 392, 401, 408, 422, 426, 481, 487, 493 On Your Own 392, 401, 408, 422, 426, 481, 487, 493
CHAPTER 16 FINANCIAL STATEMENT ANALYSIS Accounting In Your Career 16-1 Trend Analysis and Component Percentages 16-2 Calculating Earnings Performance and Efficiency Analysis 16-3 Calculating Financial Strength Analysis LEGAL ISSUES IN ACCOUNTING GLOBAL PERSPECTIVE AUTOMATED ACCOUNTING
Features found in every chapter
434, 451, 460, 465,
C o n t e n t s
386 387 388 393 402 397 403 415
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BUDGETARY PLANNING AND CONTROL Accounting In Your Career 14-1 Budget Planning 14-2 Budgeted Income Statement 14-3 Cash Budgets and Performance Reports CULTURAL DIVERSITY TECHNOLOGY FOR BUSINESS AUTOMATED ACCOUNTING
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CHAPTER 14
434, 451, 460, 465,
434, 451, 460, 465,
434, 451, 460, 465,
End of chapter review and practice Chapter Summary 409, 435, 466, 494 Application Problems 410, 436, 467, 495 Mastery Problem 412, 438, 469, 497 Challenge Problem 413, 439, 470, 498
482 488 476 480 486 492 499
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PART 6
Cost Accounting
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F e a t u r e s Features found in every chapter Explore Accounting 517, 539, 564 Internet Activity 521, 544, 568 Applied Communication 521, 544, 568
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Cases for Critical Thinking 521, 544, 568
End of lesson review and practice Terms Review 511, 516, 530, 538, 555, 563
CHAPTER 18
Audit Your Understanding 511, 516, 530, 538, 555, 563 502 503
Work Together 511, 516, 530, 538, 555, 563
504
On Your Own 511, 516, 530, 538, 556, 563
512 502 514 522
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COST ACCOUNTING FOR A MERCHANDISING BUSINESS Accounting In Your Career 18-1 Responsibility Accounting for a Merchandising Business 18-2 Responsibility Statements for a Merchandising Business SMALL BUSINESS SPOTLIGHT CULTURAL DIVERSITY AUTOMATED ACCOUNTING
Chapter Summary 517, 539, 564 Application Problems 518, 540, 565
CHAPTER 19 524 525 526 531 529 545
CHAPTER 20 ACCOUNTING TRANSACTIONS AND FINANCIAL REPORTING FOR A MANUFACTURING BUSINESS Accounting In Your Career 20-1 Journalizing Manufacturing Accounting Transactions 20-2 Preparing End-of-Fiscal Period Statements GLOBAL PERSPECTIVE AUTOMATED ACCOUNTING
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546 547 548 557 556 569
Mastery Problem 519, 542, 566 Challenge Problem 520, 543, 567 ▼
COST ACCOUNTING FOR A MANUFACTURING BUSINESS Accounting In Your Career 19-1 Elements of Manufacturing Cost 19-2 Maintaining Manufacturing Records ACCOUNTING AT WORK AUTOMATED ACCOUNTING
End of chapter review and practice
Reinforcement Activity 3 Processing and Reporting Cost Accounting Data for a Manufacturing Business 570
Other Accounting Systems CHAPTER 21
CHAPTER 24
CHAPTER 22
F e a t u r e s 602 603
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FINANCIAL REPORTING FOR A PARTNERSHIP Accounting In Your Career 22-1 Distribution and Withdrawal of Partnership Earnings 22-2 End-of-Fiscal Period Work for a Partnership 22-3 Liquidation of a Partnership ACCOUNTING AT WORK TECHNOLOGY FOR BUSINESS AUTOMATED ACCOUNTING
FINANCIAL REPORTING FOR A NOT-FOR-PROFIT ORGANIZATION 660 Accounting In Your Career 661 24-1 Preparing a Work Sheet for a Governmental Organization 662 24-2 Preparing Financial Statements for a Governmental Organization 668 24-3 Recording Adjusting and Closing Entries for a Governmental Organization 672 AUTOMATED ACCOUNTING 681
Explore Accounting 594, 624, 653, 675 Internet Activity 599, 628, 657, 680 Applied Communication 599, 628, 657, 680 Cases for Critical Thinking 600, 628, 657, 680
604 610 619 609 621 629
End of lesson review and practice ▼
CHAPTER 23 BUDGETING AND ACCOUNTING FOR A NOT-FOR-PROFIT ORGANIZATION Accounting In Your Career 23-1 Not-for-Profit Organizations 23-2 Journalizing Revenues 23-3 Journalizing Expenditures, Encumbrances, and Other Transactions GLOBAL PERSPECTIVE AUTOMATED ACCOUNTING
Features found in every chapter
C o n t e n t s
580 581 582 587 585 591 600 601
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ORGANIZATIONAL STRUCTURE OF A PARTNERSHIP Accounting In Your Career 21-1 Forming a Partnership 21-2 Admitting Partners to Existing Partnerships LEGAL ISSUES IN ACCOUNTING PROFESSIONAL BUSINESS ETHICS SMALL BUSINESS SPOTLIGHT AUTOMATED ACCOUNTING
T a b l e
PART 7
630 631 632 641 645 650 658
Terms Review 586, 592, 618, 623, 640, Audit Your Understanding 586, 592, 608, 618, 623, 671, 674 Work Together 586, 592, 608, 618, 623, 671,674 On Your Own 586, 593, 609, 618, 623, 671,674
644, 651 640, 644, 651, 667,
640, 644, 651, 667,
640, 644, 652, 667,
End of chapter review and practice
Appendix A: Accounting Concepts Appendix B: Using a Calculator and Computer Keypad Appendix C: Recycling Problems Appendix D: Answers to Audit Your Understanding
A-1
GLOSSARY INDEX/PHOTO CREDITS
G-1 I-1
B-1 C-1 D-1
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APPENDICES
Chapter Summary 594, 624, 653, 675 Application Problems 595, 625, 654, 676 Mastery Problem 597, 627, 655, 677 Challenge Problem 598, 627, 656, 679
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