2. Principles of Accounts C.Y. Tin

3. Course Aims: 1To understand the method of preparing a financial statement. 2To prepare a full set of books for a business firm. 3.To evaluate the performance of a business firm. 4.To understand the basic principles of accounting concepts.

4. Book-keeping ( 簿記 ) 1Basic Principles of book-keeping. 2Double Entry Rule. 3Journal Entries and daybooks.( 曰記賬 ) 4Ledger accounts ( 分類賬 ): a cash book( 現金賬 ) b sales ledger( 銷貨賬 ) c purchases ledger( 購貨賬 ) d general ledger( 總賬 )

5. Accounts for different types of Companies To prepare final accounts ( 年終賬目 ) for different types of business units: 1.Sole trader company 2.Partnership company

6. 3.Clubs 4.Limited company

7. Special book-keeping skills 1.Methods to correct book-keeping errors. 2. Bank reconciliation statement. 3. Issue of shares and debentures. ( 發行股票及債券的會計處理 ) 4. Partnership dissolution. ( 合伙公司倒閉時的會計處理 )

8. Accounting theory To understand the theoretical background of accounting. The Accounting Conventions.

9. Analysis of Accounts Using accounting ratios to analyze the accounts of a business unit so that we can: 1. evaluate it’s financial stability 2. evaluate it’s profitability and performance

10. Thank You!