Financial Planning, Budgeting, and Forecasting: Financial Intelligence Collection (7 Books)

CHAPTER FIVE

Important AccountingConcepts

The Rules That ShapeFinancial Statements

Key Topics Covered in This Chapter

•Generally accepted accounting principles

•Cash versus accrual accounting

•Accounting for inventories

•Depreciation methods

•Accounting for leases

•Historical cost and its implications

•Cost accounting and its uses

CHAPTERS 2 and 3 explained the financial statements and ratios you can use to assess your company’s performance and financial soundness and identify ways in which the HR department might improve the bottom line. Mastery of these statements and ratios will help you at many points in your career as an HR professional. Chapter 5 further deepens your financial savvy by explaining additional important accounting concepts ...