The Handy Accounting Answer Book

An informative, easy-to-use guide to accounting fundamentals and concepts

Everyone needs to budget money and manage costs, whether for groceries and everyday purchases, rent or mortgage, education, retirement, or even a business. Like it or not, accounting infuses most everything in life. From credits, debits, and basic bookkeeping to getting the most out of tax deductions and from reading or creating a business’ financial statement to better understanding accounting lingo, The Handy Accounting Answer Book can help anyone acquire the skills to start or run a business, plan for retirement, set money aside for a big purchase, establish everyday budgets, and improve their money management.

Find out about the concepts and assumptions behind the Generally Accepted Accounting Principles. Understand tax returns and maximize write-off. Manage retirement account statements and find ways to improve their results. Learn how to create a business plan. Learn about a business’ financial ratios, cost of goods, depreciation, tax planning, recognizing revenue and expenses, financial audits, year-end closing the books, and other terms and rules. Maximize profits and improve personal or business bottom lines.

Covering accounting fundamentals, concepts, and jargon, The Handy Accounting Answer Book is for everyone who wants to understand the language of money and business. It uses basic terms and simple examples to illustrate complex accounting topics and can help you make better decisions about your business or personal finances. This handy primer answers nearly 800 questions and offers fun facts covering the basics of accounting, including …

What is the earliest known form of accounting?

What are the elements of financial statements?

When is revenue recognized?

What is accrual basis accounting?

What is goodwill?

How is operating income different from net income?

How do you know if a company is doing well?

What is the quick ratio?

How is earnings per share evaluated?

What is a journal entry?

What is a purchase order?

What is the fraud triangle?

How is depreciation expense calculated and recorded?

What is a franchise?

What are the employer payroll taxes?

What is indirect labor?

How is a budget prepared?

What is a revenue variance?

What is contribution margin?

What is the time value of money?

What are some of the key components of a business plan?

Can a business be successful if it doesn’t make a profit?

What is a CPA?

For anyone planning for a business, retirement, college, or life in general, this informative book also includes a glossary of commonly used terms to cut through the jargon, a helpful bibliography, appendices providing examples of accountancy practices, and an extensive index, adding to its usefulness. It will help anyone’s financial intelligence!

Amber Gray is a full-time accounting professor at Adrian College in Adrian, Michigan. She earned her bachelor’s degree in business administration and master of science in accountancy from Western Michigan University. Gray currently serves on the Accounting Educators Task Force of the Michigan Association of Certified Public Accountants and is a member of the Institute of Management Accountants Educational Case Journal Editorial Advisory and Review Board. Prior to becoming a full-time accounting educator, Gray worked in public accounting and held various titles in corporate accounting such as accounting manager, assistant controller, and controller. During her time teaching at Adrian College, Gray earned the “Teacher of the Year” award and has been an honored guest at several leadership appreciation events. She has been published in the International Journal of Business and Applied Social Science and has presented at conferences and other events on behalf of the Michigan Association of Certified Public Accountants.