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Table of Contents

Preface xvi Acknowledgements xix Part 1. Accounting for decision making 1 1 Decision making and the role of accounting 2 2 Financial statements for decision making 32 Part 2. Accounting systems and processes 71 3 Recording transactions 72 4 Adjusting the accounts and preparing financial statements 128 5 Completing the accounting cycle ? closing and reversing entries 182 6 Accounting for retailing 234 7 Accounting systems 280 8 Accounting for manufacturing 342 9 Cost accounting systems 382 Part 3. Financial planning, control and decision making 421 10 Cash management and control 422 11 Cost?volume?profit analysis for decision making 466 12 Budgeting for planning and control 498 13 Performance evaluation for managers 550 14 Differential analysis, profitability analysis and capital budgeting 596 Part 4. Equity in business 631 15 Partnerships: formation, operation and reporting 632 16 Companies: formation and operations 666 Part 5. Accounting regulation of assets and liabilities 717 17 Regulation and the Conceptual Framework 718 18 Receivables 766 19 Inventories 802 20 Non-current assets: acquisition and depreciation 846 21 Non-current assets: revaluation, disposal and other aspects 882 22 Liabilities 922 Part 6. External reporting and performance evaluation 961 23 Presentation of financial statements 962 24 Statement of cash flows 996 25 Analysis and interpretation of financial statements 1074 Appendix Time value of money 1118 Glossary 1127 Index 1138

About the Author

John Hoggett, BCom (Hons), BTh, MFM (Qld), AAUQ, FCPA,has taught accounting at several different universities in WesternAustralia and Queensland during his 40 years as an academic. He hastaught introductory accounting, corporate accounting and accountingtheory to undergraduate and postgraduate students, and writtenbooks and monographs for a variety of organisations including CPAAustralia and the Group of 100. He was also involved in secondaryaccounting education for several years with the Curriculum Councilof Western Australia. Lew Edwards is Emeritus Professor of the School ofAccounting, Queensland University of Technology. Lew s careerincludes over 25 years teaching financial and managerial accountingto undergraduate and postgraduate students. He was head of theSchool (Department) of Accountancy for 18 years. He is a both achartered accountant and a CPA, and served for many years oneducation and technical standards committees (both state andnational) of the professional accounting bodies. He has also servedas a consultant to accounting firms, industry and government atboth national and international levels. Lew is co-author (with JohnHoggett) of the bestselling Australian accounting texts FinancialAccounting in Australia and Accounting in Australia. He has alsopublished (as author and co-author) a wide range of manual andcomputerised accounting practice sets. John Medlin, PhD (UniSA), BEc (Adelaide), MEc (UNE), CA,is a senior lecturer in the School of Commerce at the University ofSouth Australia. John began his career with Ernst & Whinney(now Ernst & Young) in the early 1980s. After a few yearspractical experience, John moved to accounting education where hehas lectured in both financial and management accounting,accounting theory, economics and business finance. From 1998 until2010, John coordinated a general first-year accounting subject withan enrolment in excess of 1000 students each year, 80% of whom werenon-accounting majors. Since 2010, John has coordinated asecond-year financial accounting subject. He has been recognisedwith teaching awards from the University of South Australia. Hisresearch interest is in the area of accounting education, in whichhe has presented conference papers and been published. Keryn Chalmers, BCom, Grad Dipl, PhD, is a professor ofaccounting and deputy dean (external and international) in theFaculty of Business and Economics at Monash University. Prior tothis, Keryn was head of the Department of Accounting and Finance atMonash University. During her academic career, she has beenresponsible for accounting-related curriculum development, qualityassurance and delivery at the undergraduate and postgraduate level.Keryn is an active researcher in the financial accounting andfinancial reporting area, specifically in relation to accountingpolicy and disclosure choices of management. Andreas Hellmann, PhD (Macquarie), MIB (Macquarie),Diplom-Betriebswirt (Darmstadt), CA, is a senior lecturer in theDepartment of Accounting and Corporate Governance at MacquarieUniversity. He has extensive teaching experience in bothundergraduate and postgraduate units. His main teaching areas arefinancial and international accounting with a focus on developing apassion for life-long learning and critical thinking. His researchprogram adopts a multi-disciplinary approach to providetheoretical, methodological and empirical evidence on ways ofenhancing the comparability and quality of accounting informationfor decision-making purposes. His scholarly work is widelypublished in journals, edited collections and researchmonographs. Claire Beattie, BCom (1st Class Honours), PhD, is alecturer in the School of Commerce at the University of SouthernQueensland. Before becoming an accounting academic, Claire workedin New Zealand as a management accountant in the manufacturingsector. Claire has taught both financial and management accountingcourses at universities in Australia and New Zealand, including theUniversity of Melbourne, University of Canterbury and MasseyUniversity. Over the past eight years, Claire has coordinated theundergraduate and postgraduate management accounting courses at theUniversity of Southern Queensland. Claire s researchinterests include the practice of performance measurement, the roleand impact of management accounting in nontraditional environmentsand accounting education. Jodie Maxfield, BBus (Monash), Grad Dip Tax (UCQ), MEc(UNE), is an accounting lecturer at James Cook University (JCU).She has taught across all year levels of the undergraduateaccounting major and is currently coordinating first yearaccounting at JCU. Jodie s research interests are inaccounting education and financial accounting.

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