Upgrade to Pro
— share decks privately, control downloads, hide ads and more …
Speaker Deck
Features
Speaker Deck
PRO
Sign in
Sign up for free
Search
Search
Introduction to business: accounting
Search
Ted Major
February 18, 2016
Education
0
1.2k
Introduction to business: accounting
CC-BY-SA
Ted Major
February 18, 2016
Tweet
Share
More Decks by Ted Major
See All by Ted Major
Beowulf
tedmajor
0
230
Introduction to business: operations management
tedmajor
0
1.2k
Introduction to business: human resources management
tedmajor
0
1.2k
Introduction to business: motivation
tedmajor
0
1.3k
Introduction to business: management
tedmajor
1
1.3k
Introduction to business: distribution and pricing
tedmajor
0
1.2k
Introduction to business: product and promotion
tedmajor
1
1.3k
Introduction to business: marketing
tedmajor
1
1.3k
Introduction to business: personal finance
tedmajor
0
1.4k
Other Decks in Education
See All in Education
小さなチャレンジが生んだチームの大きな変化 -私のふりかえり探求の原点
callas1900
0
530
系統性を意識したプログラミング教育~ガチャを実装しよう~
asial_edu
0
400
SARA Annual Report 2024-25
sara2023
1
180
マネジメント「される側」 こそ覚悟を決めろ
nao_randd
10
5.3k
実務プログラム
takenawa
0
4.9k
ビジネスモデル理解
takenawa
0
5k
OpenSourceSummitJapanを運営してみた話
kujiraitakahiro
0
700
技術文章を書くための執筆技術と実践法(パラグラフライティング)
hisashiishihara
18
6.5k
View Manipulation and Reduction - Lecture 9 - Information Visualisation (4019538FNR)
signer
PRO
1
2k
日本の教育の未来 を考える テクノロジーは教育をどのように変えるのか
kzkmaeda
1
210
計算情報学研究室 (数理情報学第7研究室)紹介スライド (2025)
tomonatu8
0
510
Gesture-based Interaction - Lecture 6 - Next Generation User Interfaces (4018166FNR)
signer
PRO
0
1.7k
Featured
See All Featured
RailsConf 2023
tenderlove
30
1.1k
Put a Button on it: Removing Barriers to Going Fast.
kastner
60
3.9k
Let's Do A Bunch of Simple Stuff to Make Websites Faster
chriscoyier
507
140k
Producing Creativity
orderedlist
PRO
346
40k
Testing 201, or: Great Expectations
jmmastey
42
7.5k
Balancing Empowerment & Direction
lara
1
370
Making Projects Easy
brettharned
116
6.3k
The Art of Programming - Codeland 2020
erikaheidi
54
13k
Dealing with People You Can't Stand - Big Design 2015
cassininazir
367
26k
Fashionably flexible responsive web design (full day workshop)
malarkey
407
66k
Product Roadmaps are Hard
iamctodd
PRO
54
11k
"I'm Feeling Lucky" - Building Great Search Experiences for Today's Users (#IAC19)
danielanewman
229
22k
Transcript
Accounting: decision making by the numbers
Quiz • Closed book/closed notes • You may collaborate with
your team • You are responsible for the answers on your quiz • You do not have to choose the same answers as your team • Put phones away
What is accounting?
organizing, analyzing, and reporting financial information
information?
data?
None
SO?!?
what context do we need to make data meaningful?
price − cost price = margin price x sales =
revenue cost x sales = CGS revenue − CGS = gross profit
Managerial Accounting (insider information) cost accounting planning
controlling tax accounting
Financial Accounting (outsider information) annual report private accountant
(in-house) public accountant (clients on a fee basis) Financial Accounting Standards Board (FASB) Generally Accepted Accounting Practices (GAAP)
None
Auditing: reviewing and evaluating records independent audit: accuracy of
company’s financials internal audit
Tax Accounting trained in tax law prepares tax
returns prepares tax strategies
Balance Sheet: shows profits & losses as of specific date
Fundamental Accounting Equation Assets = Liabilities + Owners’ Equity
Tangible Assets fixed assets (property, plant & equipment PPE)
land buildings & improvements equipment vehicles furniture & fixtures
Tangible Assets current assets (can be converted to cash
w/in one year) raw materials work in progress finished inventory accounts receivable
Intangible Assets goodwill intellectual property trademarks
copyrights patents
Liabilities current liabilities (due in less than one year)
accounts payable long-term liabilities (due in one year or more) notes payable bonds payable
Income Statement shows profit (loss) over a certain period
revenue – CGS = gross margin gross margin – operating expenses = net income before taxes net income before taxes – taxes = net income (loss)
Statement of cash flows • changes to cash balance •
operating • inventory, accounts receivable/payable, taxes • investing • equipment, investments • financing • debt, dividends
Valuation issues depreciation valuation method: cost (book), market,
replacement cost of goods sold FIFO, LIFO
Liquidity Ratios current ratio: current assets current liabilities
acid-test (quick) ratio: cash + marketable securities + receivables current liabilities
Debt (Leverage) debt to OE: total liabilities owners’ equity
Profitability EPS: net income after taxes number of shares outstanding
return on sales: net income net sales return on equity: net income after tax owners’ equity