New to this Edition
INTEGRATED EXAMPLES AND CASES ADDRESSES DATA ANALYTICS. Coverage of data analytics is woven throughout this edition. New "Using Data Analytics" examples now appear in every chapter and describe how students can apply data analytics to the chapter’s content. In addition, new "Take It Further" data analytics cases are added to many of the chapters. These cases use datasets related to each chapter's content and require students to analyze and develop reports and visualizations using Excel or Tableau.
THIS EDITION INCLUDES JOURNAL ENTRIES WTH T ACCOUNTS. The authors still include T accounts with debit and credit postings with journal entries throughout this edition. The accounting equation and T accounts are shown in a smaller font so that the presentation still focuses on the journal entry. This presentation reinforces student learning without detracting from a journal entry focus.
NEW COVERAGE ADDRESSES WHY ACCRUAL ACCOUNTING IS REQUIRED BY GAAP. Using the NetSolutions illustrations of the accounting cycle in Chapters 1-4, this edition clearly explains why accrual accounting is required by GAAP. This information appears as the last topic of Chapter 4. Exhibit 20 illustrates what NetSolutions’ net income would be under the cash basis and accrual basis of accounting. This exhibit clearly shows how accrual accounting better matches revenues and expenses, making it a better indicator of a company’s profitability and future prospects.
NEW "CHECK UP CORNERS" GUIDE STUDENTS WITH INSIGHTS AND CAUTIONS. New "Check Up Corners" features replace the previous edition's Example Exercises. These new features, which appear throughout each chapter, strengthen student learning and problem solving by providing step-by-step guidance and problem-solving tips. "Check Up Corners" also help students avoid common errors.
NEW "ANALYSIS FOR DECISION MAKING" SECTION HIGHLIGHTS HOW COMPANIES USE ACCOUNTING INFORMATION. This helpful new section, which replaces the previous "Financial Analysis and Interpretation," takes a close look at how organizations use accounting information to make decisions and evaluate their business. This information emphasizes why accounting is important to contemporary companies. A new, corresponding "Make a Decision" section within the end-of-chapter assignments lets students analyze real-world business companies and decisions.
"PATHWAYS CHALLENGE" FEATURES ENCOURAGE FURTHER INTEREST IN ACCOUNTING. Each chapter contains a "Pathways Challenge," designed to both engage students and emphasize the critical-thinking aspects of accounting. A suggested answer to the "Pathways Challenge" appears at the end of the chapter.
NEW SCHEMA WITHIN THE MANAGERIAL CHAPTERS SUPPORTS THE FOUR BASIC MANAGEMENT FUNCTIONS. Revisions to this edition's managerial accounting chapters correspond to the four basic management functions of strategic planning, measurement, evaluation and control. The schema provides a roadmap for how each chapter supports management’s functions and how the various chapters and topics are interrelated to one another. Revisions also further address developing costing information and management tools.
MANAGEMENT CHAPTERS HIGHLIGHT ACTUAL CERTIFIED MANAGEMENT ACCOUNTANT (CMA) EXAM QUESTIONS. Students can prepare for CMA Certification as each of this edition's management accounting chapters contains actual questions from past CMA exams. In addition, Chapter 16, "Introduction to Management Accounting" includes a new section discussing the positions management accountants hold within organizations, including their job titles and responsibilities.
NEW APPENDIX B COVERS NUMEROUS SELF-CONTAINED TOPICS FOR YOUR TEACHING FLEXIBILITY. This new Appendix B provides select topics of relevance to today's students that you can chose to include in your course. Each topic is designed as a self-contained learning module with its own assignment materials. The modules are written to give you the flexibility of covering one or more of the modules at various places in your course, depending on student needs or interests.
REVISED APPENDIX C FEATURES NEW ASSIGNMENTS THAT CORRESPOND WITH THE NIKE, INC. ANNUAL REPORT. Appendix C, which highlights the Nike Inc. annual report, now offers new assignments for each financial chapter that enable you use as "annual report" projects. You can find these new annual report assignments referenced at the end of the "Take It Further" section in each financial accounting chapter.
NEW ONLINE APPENDIXES PROVIDE ADDITIONAL TOPICS FOR FLEXIBILITY IN CUSTOMIZING YOUR COURSE. This edition now offers several new online appendixes to give you flexibility for choosing accounting topics that are most relevant to your students.
"BUSINESS INSIGHT" BOXES REFLECT CONTEMPORARY BUSINESS SCENARIOS THAT RELATE TO THE CHAPTER CONTENT. These latest "Business Connection" boxes place this edition's accounting content into the broader context of today's business issues. This feature is especially helpful to engage and demonstrate the relevance of what they are learning to students who are not accounting majors.