统计学课件英语.ppt

When we talk about accounting, we need to first understand what is accounting. Accounting, also called accountancy, which has been called the language of business, measures the results of an organizations economic activities and conveys this information to a variety of users including investors, creditors, management, and regulators.[4] Practitioners of accountancy are known as accountants. Using a input-process-output model, the input of acctg is financial information (events, transactions), process is book-recording, and output include financial reports and other business analysis. FA focus on the need of information by external users while MA focus on the duties performance by mgrs. External users such as investors, lenders and other creditors, government agency. In this course, we focus on the basic financial statements and required note disclosure. The logic is built upon the invisible hand of the capital market if we believe market should work in a way that good companies should survive and thrive, while bad companies should fade off over time. Therefore, good companies or companies with good investment opportunities should have more capital allocated to them. An effective process of capital allocation is critical to a healthy economy. It promotes productivity, encourages innovation, and provides an efficient and liquid market for buying and selling securities and obtaining and granting credit. Unreliable and irrelevant information leads to poor capital allocation, which adversely affects the securities markets. Those decisions involve buying, selling, or holding equity and debt instruments, and providing or settling loans and other forms of credit. Information that is decision-useful to capital providers (investors) may also be helpful to other users of financial reporting who are not investors as they have most critical and immediate need for financial information of the entities. The assets of Hershey are viewed as assets of the company and not of a specif