Leita Hart - Accounting DeMYSTiFieD

Accounting DeMYSTiFieD

DeMYSTiFieD Series

Advanced Statistics Demystified

Algebra Demystified, 2e

Alternative Energy Demystified

ASP.NET 2.0 Demystified

Astronomy Demystified

Biology Demystified

Biophysics Demystified

Biotechnology Demystified

Business Calculus Demystified

Business Math Demystified

Business Statistics Demystified

Calculus Demystified, 2e

Chemistry Demystified

College Algebra Demystified

Data Structures Demystified

Databases Demystified, 2e

Differential Equations Demystified

Digital Electronics Demystified

Earth Science Demystified

Electricity Demystified

Electronics Demystified

Environmental Science Demystified

Everyday Math Demystified

Forensics Demystified

Genetics Demystified

Geometry Demystified

HTML & XHTML Demystified

Java Demystified

JavaScript Demystified

Lean Six Sigma Demystified

Linear Algebra Demystified

Logic Demystified

Macroeconomics Demystified

Math Proofs Demystified

Math Word Problems Demystified

Mathematics Demystified

MATLAB Demystified

Microbiology Demystified

Microeconomics Demystified

Nanotechnology Demystified

OOP Demystified

Operating Systems Demystified

Organic Chemistry Demystified

Pharmacology Demystified

Physics Demystified, 2e

Physiology Demystified

Pre-Algebra Demystified, 2e

Precalculus Demystified

Probability Demystified

Project Management Demystified

Quality Management Demystified

Quantum Mechanics Demystified

Relativity Demystified

Robotics Demystified

Signals and Systems Demystified

SQL Demystified

Statistical Process Control Demystified

Statistics Demystified

Technical Analysis Demystified

Technical Math Demystified

Trigonometry Demystified

UML Demystified

Visual Basic 2005 Demystified

Visual C# 2005 Demystified

Web Design Demystified

XML Demystified

The Demystified Series publishes more than 125 titles in all areas of academic study. For a complete list of titles, please visit www.mhprofessional.com.

Leita Hart-Fanta, CPA

Copyright 2011 by McGraw-Hill Education. All rights reserved. Except as permitted under the United States Copyright Act of 1976, no part of this publication may be reproduced or distributed in any form or by any means, or stored in a database or retrieval system, without the prior written permission of the publisher.

ISBN: 978-0-07-177097-2
MHID: 0-07-177097-6

The material in this eBook also appears in the print version of this title: ISBN: 978-0-07-176373-8, MHID: 0-07-176373-2.

eBook conversion by codeMantra
Version 2.0

All trademarks are trademarks of their respective owners. Rather than put a trademark symbol after every occurrence of a trademarked name, we use names in an editorial fashion only, and to the benefit of the trademark owner, with no intention of infringement of the trademark. Where such designations appear in this book, they have been printed with initial caps.

McGraw-Hill Education eBooks are available at special quantity discounts to use as premiums and sales promotions or for use in corporate training programs. To contact a representative, please visit the Contact Us page at www.mhprofessional.com.

This publication is designed to provide accurate and authoritative information in regard to the subject matter covered. It is sold with the understanding that neither the author nor the publisher is engaged in rendering legal, accounting, securities trading, or other professional services. If legal advice or other expert assistance is required, the services of a competent professional person should be sought.

From a Declaration of Principles Jointly Adopted by a Committee of the
American Bar Association and a Committee of Publishers and Associations

TERMS OF USE

This is a copyrighted work and McGraw-Hill Education and its licensors reserve all rights in and to the work. Use of this work is subject to these terms. Except as permitted under the Copyright Act of 1976 and the right to store and retrieve one copy of the work, you may not decompile, disassemble, reverse engineer, reproduce, modify, create derivative works based upon, transmit, distribute, disseminate, sell, publish or sublicense the work or any part of it without McGraw-Hill Educations prior consent. You may use the work for your own noncommercial and personal use; any other use of the work is strictly prohibited. Your right to use the work may be terminated if you fail to comply with these terms.

THE WORK IS PROVIDED AS IS. MCGRAW-HILL EDUCATION AND ITS LICENSORS MAKE NO GUARANTEES OR WARRANTIES AS TO THE ACCURACY, ADEQUACY OR COMPLETENESS OF OR RESULTS TO BE OBTAINED FROM USING THE WORK, INCLUDING ANY INFORMATION THAT CAN BE ACCESSED THROUGH THE WORK VIA HYPERLINK OR OTHERWISE, AND EXPRESSLY DISCLAIM ANY WARRANTY, EXPRESS OR IMPLIED, INCLUDING BUT NOT LIMITED TO IMPLIED WARRANTIES OF MERCHANTABILITY OR FITNESS FOR A PARTICULAR PURPOSE. McGraw-Hill Education and its licensors do not warrant or guarantee that the functions contained in the work will meet your requirements or that its operation will be uninterrupted or error free. Neither McGraw-Hill Education nor its licensors shall be liable to you or anyone else for any inaccuracy, error or omission, regardless of cause, in the work or for any damages resulting therefrom. McGraw-Hill Education has no responsibility for the content of any information accessed through the work. Under no circumstances shall McGraw-Hill Education and/or its licensors be liable for any indirect, incidental, special, punitive, consequential or similar damages that result from the use of or inability to use the work, even if any of them has been advised of the possibility of such damages. This limitation of liability shall apply to any claim or cause whatsoever whether such claim or cause arises in contract, tort or otherwise.

This book is dedicated to my generous, supportive, and loving husband Jeff. You are the best, baby!

Leita Hart-Fanta is a certified public accountant, certified government financial manager, and certified government audit professional. She is the author of a number of self-study courses for CPAs and auditors on auditing and accounting topics, including generating cash flow, basic audit skills, and government auditing standards. She also has taught over 1,000 day-long seminars and is a frequent keynote speaker at CPA conferences. To find out more about her, visit her Web sites at www.auditskills.com, www.happycashflow.com, www.leitahart.com, and www.yellowbook-cpe.com.

?

?

?

?

?

?

?

?

Thank you to my finance for nonfinancial manager students at Dell and the University of Texas who allowed me to perfect my teaching over time. That class became this book. I have heard it said that the first time you teach a class the students are teaching you, the second time you are teaching each other, and the third you are teaching them. I wish it only took me three runs to figure out how to convey complex topics simply!

By watching the light bulb go on or the light bulb go out on the faces of my students, I could tell whether I was on the right track or not. I thank them for their eagerness to learn and their thoughtful questions. The questions and live feedback taught me what nonaccountants want to know about accountingbut more importantly what they do not want to know about accounting. Thank you!