Financial Accounting For Dummies

Part I

Getting a Financial Accounting Initiation

In this part . . .

I begin this part of the book by explaining why financial accounting is so important to many different individuals and businesses. You find out about the external users of financial accounting information (investors and creditors) and the internal users (employees of the business). I also briefly introduce four all-important characteristics of financial accounting: relevance, reliability, comparability, and consistency.

In Chapter 2, you discover the many careers paths open to financial accountants. I also explain the relative merits of a financial accountant seeking licensure as a certified public accountant (CPA) or earning a master’s degree in business. You find out about the job outlook for financial accountants over the next decade. (Here’s a hint: It’s great!) Plus, I provide some U.S. Bureau of Labor Statistics information on starting and median salaries for financial accountants.

Rounding out this part, Chapter 3 provides a brief overview of the three financial statements: the balance sheet, income statement, and statement of cash flows. And Chapter 4 introduces the various financial accounting standard-setting and regulatory organizations, such as the Financial Accounting Standards Board (FASB) and the U.S. Securities and Exchange Commission (SEC).