E-Book Overview
A market-leading program, Financial Accounting provides business students and accounting majors with a comprehensive introduction to practices and procedures. The text is well known for its highly respected author team, balanced approach, and real-world emphasis. Accuracy reviewers check every line and work through each exercise in the text and supplements, making Financial Accounting the most accurate among similar texts on the market. The Ninth Edition--which focuses primarily on the use of accounting information in today's business world--represents the most significant revision of the text to date. Content updates reflect current accounting and business practices, while greater attention is given to ethics, service enterprises, and international issues. In addition, the text features a more concise, accessible writing style; a new design to emphasize the user-oriented content; and enhanced technology components for both instructors and students.
E-Book Content
Financial
Accounting Ninth Edition
Belverd E. Needles, Jr., Ph.D., C.P.A., C.M.A. DePaul University
Marian Powers, Ph.D. Northwestern University
Houghton Mifflin Company
Boston
New York
To Annabelle and Abigail Needles In memory of Mr. and Mrs. Belverd E. Needles, Sr., and Mr. and Mrs. Benjamin E. Needles To Mr. and Mrs. Thomas R. Powers Publisher: George Hoffman Senior Sponsoring Editor: Ann West Senior Development Editor: Chere Bemelmans Editorial Assistants: James R. Dimock, Alison McGonagle Project Editor: Margaret M. Kearney Editorial Assistant: Brett Pasinella Art and Design Manager: Gary Crespo Senior Photo Editor: Jennifer Meyer Dare Composition Buyer: Chuck Dutton Senior Manufacturing Buyer: Renee Ostrowski Marketing Manager: Mike Schenk Marketing Associate: Kathleen Mellon
Cover engine image © Svenja-Foto/zefa/Corbis Cover county fair image (The Erie County Fair, Hamburg, Eric County, New York) © Panoramic Images/James Schwabel CVS Annual Report reprinted courtesy of CVS. Portions of Southwest Airlines Annual Report courtesy of Southwest Airlines Co. COMPANY LOGO CREDITS: page 7, By permission of CVS; page 107, BOEING trademark used with permission; page 158, By permission of Yahoo!; page 228, Courtesy of Dell Inc.; page 283, By permission of Costco Wholesale; page 418, Amazon, Amazon.com, and the Amazon.com logo are registered trademarks of Amazon.com, Inc. or its affiliates; page 615, Motorola, Inc.; page 660, By permission of Marriott International, Inc.; page 756, eBay and the eBay logo are trademarks of eBay Inc. PHOTO CREDITS: page 3, Getty Images; page 9, AP/Wide World Photos; page 17, © Jim West/The Image Works; page 21, By permission of CVS; page 21, © Frank Trapper/Corbis; page 105, AFP/Getty Images; page 110, © Reuters/Corbis; page 126, Getty Images; (continued on page 850) Copyright © 2007 by Houghton Mifflin Company. All rights reserved. No part of this work may be reproduced or transmitted in any form or by any means, electronic or mechanical, including photocopying and recording, or by any information storage or retrieval system without the prior written permission of Houghton Mifflin Company unless such copying is expressly permitted by federal copyright law. Address inquiries to College Permissions, Houghton Mifflin Company, 222 Berkeley Street, Boston, MA 02116-3764. Printed in the U.S.A. Library of Congress Control Number: 2005935736 Student Text ISBN 13: 978-0-618-62676-2 ISBN 10: 0-618-62676-X Instructor’s Examination Copy ISBN 13: 978-0-618-72187-0 ISBN 10: 0-618-72187-8 123456789-VH-10 09 08 07 06
Brief Contents
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1
Uses of Accounting Information and the Financial Statements 2
1
How to Read an Annual Report 55
2
Anal