CORPORATE ACCOUNTING IN THE UNSTABLE WORLD

ISBN: 978-83-64614-31-6

215 stron
format: B5
oprawa: miękka
Rok wydania: 2017

Information plays a very important role in economic activity. This manifests itself in many situations. The arbitrage pricing theory emphasizes the activity of entrepreneurs in finding and exploiting price differences between markets. Anyone who has credible information sooner and the ability to use it properly can make extraordinary profits. The majority of capital flows, especially speculative, results from the use of arbitrage pricing. It is important to remember that both speculation and arbitrage are about making money on price differences, although there is a clear distinction between these two activities. Speculation means earning money on price volatility during a certain period of time, while arbitrage means making profit on price differences on two or more markets at the same time. Arbitration leads to equalization of prices1. Difficult access of small businesses to capital is also related to the lack of adequate information or its asymmetry. Lack of information makes proper risk assessment impossible. In the agency theory access to reliable information also plays a very important role.from Introduction

SPIS TREŚCI

INTRODUCTION 1. THE NATURE OF CORPORATE ACCOUNTING 1.1. Finance and accounting 1.2. The basic legal forms of enterprises 1.3. The financial management of the company1.4. Accounting as a basic source of financial information 1.5. Increasingly unstable world and the challenges arising from it2. ECONOMIC TRANSACTIONS‘- RECORDING PROCESS 2.1. The functions of accounting 2.2. The components of accounting 2.3. The recording process 2.3.1. Accounting documents 2.3.2. Recording transactions in the ledger 2.3.3. Recording transactions in the journal2.3.4. The trial balance 2.4. The Basic Accounting Assumptions2.5. Adjusting entries2.5.1. Amortization and depreciation 2.5.2. Inventories 2.5.3. Prepaid assets2.5.4. Allowances, provisions and reserves2.6. The accounting system - financial, cost and managerial accounting 2.6.1. Financial and managerial accounting 2.6.2. Cost accounting 3. COMPANY REVENUE 3.1. Revenue recognition 3.2. Discounts and sales returns 3.3. Revenue structure 4. THE EXPENSES AND COSTS 4.1. The expenses, costs and expenditures 4.2. Costs classifications 4.2.1. Economic and accounting costs4.2.2. Unit costs calculation and allocation of indirect costs 4.2.3. ABC costs 4.2.4. Fixed and variable costs 4.3. Break-even analysis4.4. Operating leverage 4.5. Cost control in the enterprise 5. REALIZED AND UNREALIZED PROFITS 5.1. Accounting profit and economic profit5.2. Profit and its functions 5.3. Types of financial results in the company 5.4. Profit sharing 6. FINANCIAL STATEMENTSAS A MAIN ACCOUNTING PRODUCT 6.1. The Balance Sheet 6.2. The Income Statement6.3. The statement of changes in financial position6.3.1. The methods of preparing a cash flow statement6.4. Assets and liabilities valuation before books closing -historical and fair value 6.5. Enterprises required by law to prepare financial statements 6.6. Consolidation of financial statements 6.7. SME accounting6.8. Audit of financial statements 6.9. Use of Financial Statements 6.10. International accounting standards 7. FINANCIAL STATEMENTS‘- ANALYSIS 7.1. The concept of financial analysis 7.2. Methods of financial analysis 7.3. Ratio analysis of financial statements 7.3.1. Liquidity and creditworthiness ratios 7.3.2. Profitability ratios 7.3.3. Performance ratios 7.3.4. Capital market ratios 7.3.5. Ratio analysis made by different investors8. THE ROLE OF THE CONTROLLING IN THE ENTERPRISE ACTIVITY8.1. The concept of controlling 8.2. Controlling and internal control 8.3. The tools used in the context of controlling 8.4. The role of budgeting in enterprise activity 9. THE USAGE OF INFORMATION IN UNSTABLE WORLD 9.1. The manipulation of information and information asymmetry9.2. The role of investment advisers 9.3. The credit rating agencies9.4. Improper use of information - aggressive accountingand use of confidential information 9.5. Difficult availability and decreasing reliability of the information SUMMARY BIBLIOGRAPHY