Managerial

Download Financial and Management Accounting: An Introduction, 4th by Pauline Weetman PDF

By Pauline Weetman

This revised and completely up-to-date version maintains to supply scholars with a transparent and well-structured creation to monetary and administration accounting. This variation keeps the entire vintage gains that experience contributed to the book’s luck fairly its readability of expression inside a valid conceptual framework.  there's a robust emphasis at the 'why' instead of easily the 'what' and ‘how’.

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Extra resources for Financial and Management Accounting: An Introduction, 4th Edition

Example text

7 Governments and their agencies Governments and their agencies are interested in the allocation of resources and, therefore, in the activities of entities. 19 Acting on behalf of the UK government’s Treasury Department, HM Revenue and Customs collects taxes from businesses based on profit calculated according to commercial accounting practices (although there are some specific rules in the taxation legislation which modify the normal accounting practices). HM Revenue and Customs has the power to demand more information than appears in published financial statements, but will take these as a starting point.

Others make a profit by providing a service and charging a price greater than the cost to them of providing the service. By selling the goods or services the business is said to earn sales revenue. Profit arising from transactions relating to the operation of the business is measured by deducting from sales revenue the expenses of earning that revenue. Revenue from sales (often abbreviated to ‘sales’ and sometimes referred to as ‘turnover’) means the value of all goods or services provided to customers, whether for cash or for credit.

Further reading IASB (1989) Framework for the Preparation and Presentation of Financial Statements, International Accounting Standards Board. ASSC (1975) The Corporate Report, Accounting Standards Steering Committee. Beattie, V. , Research Committee of The Institute of Chartered Accountants of Scotland. ICAS (1988) Making Corporate Reports Valuable, discussion paper of the Research Committee of The Institute of Chartered Accountants of Scotland. Marston, C. (1999) Investor Relations Meetings: Views of Companies, Institutional Investors and Analysts, Research Committee of The Institute of Chartered Accountants of Scotland.

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