We have great pleasure in presenting First edition “Financial Reporting and Analysis” written for students of PG courses. The related matters are written in a simple and easily understandable.
This volume is an attempt to provide the students with thorough understanding of Financial Reporting and Analysis. We have presented the subject matter in a systematic manner with liberal use of charts and diagrams where ever necessary so as to make it interesting and sustain students’ interest.
Contents –
Unit – 1 Accounting Process
Introduction
Financial Accounting
Meaning of Financial Accounting
Importance of Financial Accounting
Accounting Process
Journalising
Business Transactions
Preparation of Ledger Accounts
Trial Balance of Financial Statements
Review Questions
Practical Problems
Unit – 2 Orientation to Financial Statements
Introduction
Financial Statements
Preparation of Financial Statements of Proprietary Concerns
Joint Stock Companies
Annual Report
Contents of Annual Report
Meaning of Financial Statements
Purpose of Financial Statements
Components of Financial Statements
Statement of Profit and Loss
Balance Sheet
Statement of Changes in Equity
Statement of Cash Flows
Notes to Accounts
Orientation to Financial Statements
Accounting Concepts and Conventions
Orientation to Ind-AS (Indian Accounting Standards)
Review Questions
Practical Problems
Unit – 3 Financial Statement Analysis
Introduction
Financial Statements Analysis
Tools and Techniques of Analysing Financial Statements
Common Size Statements
Comparative Statements
Trend Analysis
Ratio Analysis
Types of Ratios and their Interpretation
Du Pont Analysis
Altman’s Z Score
Piotroski F Score
Analysis of Cash Flow Statement
Review Questions
Practical Problems
Unit – 4 Cost Accounting
Introduction
Meaning of Cost
Types of Cost
Direct and Indirect Cost
Functional Classification
Classification based on Behaviour
Ascertainment of Cost
Preparation of Cost Sheet
Tenders and Quotation in Cost Accounting
Review Questions
Practical Problems
Unit – 5 Cost Management
Introduction
Cost Management
Meaning of Cost Management
Tools and Techniques of Cost Management
CVP Analysis
Marginal Costing
Make or Buy Decisions
Profitable Product Mix
Addition of New Product or Line
Discontinuance of Existing Product or Line
Budgetary Control
Preparation of Flexible Budgets
Review Questions
Practical Problems
Unit – 6 Developments in Accounting
Introduction
Human Resource Accounting
Methods of Human Resource Accounting
Forensic Accounting
Meaning of Forensic Accounting
Scope of Forensic Accounting
Distinctions between Forensic Accounting,
Auditing and Regular Accounting
Common Types of Forensic Fraud
Financial Statement Fraud
Asset Misappropriation
Corruption (Bribery, Money Laundering)
Methods and Red Flags of each Fraud Types
Steps in a Forensic Investigation
Beneish M Score Model
Activity Based Costing
Meaning of Activity Based Costing
Process of Activity Based Costing
Ethical Issues in Accounting and Decision Making
Financial Misrepresentation
Fraudulent Reporting
Earnings Management
Conflicts of Interest Insider Trading
Misuse of Information Transparency and Objectivity
Abuse of Corporate Funds
Professional Competence & Due Care
Review Questions