˜Theœ Essentials of Finance and Accounting for Nonfinancial Managers, 3rd Edition

Cover -- Title -- Copyright -- Contents -- Introduction -- Organization of the Book -- Additional Background -- Accounting Defined -- Generally Accepted Accounting Principles -- Financial Analysis -- Some Additional Perspectives on the Planning Process -- Part 1: Understanding Financial Information -- 1. The Balance Sheet -- Expenses and Expenditures -- Assets -- Important Accounting Concepts Affecting the Balance Sheet -- Liabilities -- Stockholders' Equity -- Total Liabilities and Stockholders' Equity -- Additional Balance Sheet Information -- Analysis of the Balance Sheet -- A Point to Ponder -- 2. The Income Statement -- Analysis of the Income Statement -- 3. The Statement of Cash Flows -- Sources of Funds -- Uses of Funds -- Statement of Cash Flows -- Analyzing the Statement of Cash Flows -- 4. Generally Accepted Accounting Principles: A Review and Update -- The Fiscal Period -- The Going Concern Concept -- Historical Monetary Unit -- Conservatism -- Quantifiable Items or Transactions -- Consistency -- Full Disclosure -- Materiality -- Significant Accounting Issues -- 5. The Annual Report and Other Sources of Incredibly Valuable Information -- The Annual Report -- The Gilbert Brothers: The Original Shareholder Activists -- Modern-Day Activists -- The 10-K Report -- The Proxy Statement -- Other Sources of Information -- The Securities and Exchange Commission -- Part 2: Analysis of Financial Statements -- 6. Key Financial Ratios -- Statistical Indicators -- Financial Ratios -- Liquidity Ratios -- Ratios of Working Capital Management -- Measures of Profitability -- Financial Leverage Ratios -- Revenue per Employee -- Ratios: Quick and Dirty -- 7. Using Return on Assets to Measure Profit Centers -- Assets -- Revenue -- After-Tax Cash Flow (ATCF) -- Return on Assets: Its Components -- A Business with No ''Assets'' -- 8. Overhead Allocations.;Packed with fresh insights and information on accounting regulations, international accounting practices, and global business trends, this book will help you grasp not only what the numbers mean¿but how you can use that intelligence to drive your business forward. -- Cover -- Title -- Copyright -- Contents -- Introduction -- Organization of the Book -- Additional Background -- Accounting Defined -- Generally Accepted Accounting Principles -- Financial Analysis -- Some Additional Perspectives on the Planning Process -- Part 1: Understanding Financial Information -- 1. The Balance Sheet -- Expenses and Expenditures -- Assets -- Important Accounting Concepts Affecting the Balance Sheet -- Liabilities -- Stockholders' Equity -- Total Liabilities and Stockholders' Equity -- Additional Balance Sheet Information -- Analysis of the Balance Sheet -- A Point to Ponder -- 2. The Income Statement -- Analysis of the Income Statement -- 3. The Statement of Cash Flows -- Sources of Funds -- Uses of Funds -- Statement of Cash Flows -- Analyzing the Statement of Cash Flows -- 4. Generally Accepted Accounting Principles: A Review and Update -- The Fiscal Period -- The Going Concern Concept -- Historical Monetary Unit -- Conservatism -- Quantifiable Items or Transactions -- Consistency -- Full Disclosure -- Materiality -- Significant Accounting Issues -- 5. The Annual Report and Other Sources of Incredibly Valuable Information -- The Annual Report -- The Gilbert Brothers: The Original Shareholder Activists -- Modern-Day Activists -- The 10-K Report -- The Proxy Statement -- Other Sources of Information -- The Securities and Exchange Commission -- Part 2: Analysis of Financial Statements -- 6. Key Financial Ratios -- Statistical Indicators -- Financial Ratios -- Liquidity Ratios -- Ratios of Working Capital Management -- Measures of Profitability -- Financial Leverage Ratios -- Revenue per Employee -- Ratios: Quick and Dirty -- 7. Using Return on Assets to Measure Profit Centers -- Assets -- Revenue -- After-Tax Cash Flow (ATCF) -- Return on Assets: Its Components -- A Business with No ''Assets'' -- 8. Overhead Allocations. Problems That Arise from Cost Allocation -- What About the IRS and GAAP? -- Effect on Profits of Different Cost Allocation Issues -- Part 3: Decision Making for Improved Profitability -- 9. Analysis of Business Profitability -- Chart of Accounts -- Breakeven Calculation -- Variance Analysis -- 10. Return on Investment -- What Is Analyzed? -- Why Are These Opportunities Analyzed So Extensively? -- Discounted Cash Flow -- Present Value -- Discounted Cash Flow Measures -- Risk -- Capital Expenditure Defined -- The Cash Flow Forecast -- Characteristics of a Quality Forecast -- Establishing the ROI Target -- Analytical Simulations -- Part 4: Additional Financial Information -- 11. Financing the Business -- Debt -- Equity -- Some Guidance on Borrowing Money -- 12. Business Planning and the Budget -- S.W.O.T. Analysis -- Planning -- Significant Planning Guidelines and Policies -- Some Additional Issues -- A Guide to Better Budgets -- Preparation of the Budget -- 13. Final Thoughts -- Profitability During Tough Times -- Do the Right Thing -- Appendix A. Financial Statement Practice -- Appendix B. Finance and Accounting Terms -- Appendix C. Comprehensive Case Study: Paley Products, Inc. -- Appendix D. Ratio Matching Challenge -- Appendix E. Comprehensive Case Study: Woodbridge Manufacturing -- Appendix F. Comprehensive Case Study: Bensonhurst Brewery -- Glossary -- A -- B -- C -- D -- E -- F -- G -- H -- I -- L -- M -- N -- O -- P -- Q -- R -- S -- T -- V -- W -- Z -- Index -- A -- B -- C -- D -- E -- F -- G -- H -- I -- J -- L -- M -- N -- O -- P -- Q -- R -- S -- T -- U -- V -- W -- Z -- About the Author -- Free Sample from The First-Time Manager. They say that numbers don't lie, but what if you can't even read them? Discover how great managers use financial data to guide decisions. Financial analysis reports, budgeting reports, forecasting and measuring reports—sometimes they all run together, don't they? The Essentials of Finance and Accounting for Nonfinancial Managers is here to help. This new edition of a business classic demystifies finance and accounting and gives managers the tools they need to make better decisions. Complete with fresh insights, case studies, and street-level exercises to help non-numbers people master the numbers game, this guide reveals how to: Understand the fundamentals of financial analysis, budgeting, and forecasting Interpret balance sheets, income/cash flow statements, and annual reports Sift through conflicting data to find the most relevant figures Locate key information about competitors and suppliers Analyze variances and calculate break-even points and other vital measures The numbers are too important to allow others to translate for you. The Essentials of Finance and Accounting for Nonfinancial Managers shows you how to read them yourself. Imagine the impact on future decisions when you grasp not only what the numbers mean but can use that insight to drive your business forward. Based on the bestselling AMA seminar, a nuts and bolts guide to the dollars and cents issues that drive your organization! As a department manager, the last thing you want to think about is numbers. But the truth is, thats the only thing your executives and senior managers are thinking about so its crucial to understand key financial information like balance sheets, income statements, cash flow statements, budgets and forecasts, and annual reports. With over 40,000 copies sold, The Essentials of Finance and Accounting for Nonfinancial Managers has long provided readers with insight into the financial fundamentals. It demystifies the role accounting and finance play in a corporation, demonstrates how financial decisions reflect business goals, and shows how managers can connect corporate financial information directly to their own strategies and actions. Now revised to reflect new accounting and financial standards, the second edition includes: Strategies for getting your share of the budget; New case studies and practice sessions; An explanation of Sarbanes Oxley and its relevance to nonfinancial managers; How to manage cash flow in tough times; Fraud detection tools; An expanded glossary including up-to-the-minute business concepts and terminology and more--Provided by publisher Frustrated by financial statements? Dread the budget process? The Essentials of Finance and Accounting for Nonfinancial Managers is here to help. This new edition of a business classic demystifies finance and accounting and gives managers the tools they need make better decisions. Packed with fresh insights and the latest information on accounting regulations, international accounting practices, and global business trends, the book reveals how to: Understand the fundamentals of financial analysis, budgeting, and forecasting Interpret balance sheets, income/cash flow statements, and annual reports Sift through conflicting data to find the most relevant figures Locate key information about competitors and suppliers Analyze variances and calculate break-even points and other vital measures And much more Expanded case studies and practice exercises reinforce the lessons and let you strengthen your skills. Imagine the impact when you grasp not only what the numbers mean--but how you can use that intelligence to drive your business forward This third edition of a popular crash course for managers helps you make sense of financial data, assess performance, and channel efforts into the most promising areas. Packed with the latest information on federal regulations, pertinent GAAP rules, global trends that can impact the financial picture, expanded case studies, and new practice exercises that reinforce the lessons and strengthen skills