中级财务会计英文ch04.pptx

Cash and ReceivablesChapter 4Intermediate Accounting12th EditionKieso, Weygandt, and Warfield Prepared by Coby Harmon, University of California, Santa Barbara Identify items considered as cash.Indicate how to report cash and related items.Define receivables and identify the different types of receivables.Explain accounting issues related to recognition of accounts receivable.Explain accounting issues related to valuation of accounts receivable.Explain accounting issues related to recognition of notes receivable.Explain accounting issues related to valuation of notes receivable.Explain accounting issues related to disposition of accounts and notes receivable.Describe how to report and analyze receivables.Learning Objectives Cash is the resource on hand to meet planned expenditures and emergency situations.Cash Cash includes:Balances on deposit with financial institutionsCoins and currencyPetty cashCertain negotiable instrumentsCashier’s checksCertified checksMoney ordersCash Cash equivalents are short-term, highly liquid investments that are readily convertible into known amounts of cash and near their maturity (90 days) when purchased. Treasury bills Commercial paper Money market fundsCash Equivalents Items that are not cash Postdated checks Travel advances to employees Postage stamps Receivables from company employees Cash advances to employees or outside partiesCash OverdraftNegative bank account balance reported as a current liability.Compensating balanceMinimum balance that must be maintained in a company’s account as support for funds borrowed from the bank.Cash Policies and procedures designed to:Protect assets.Ensure compliance with laws and company policies.Provide accurate accounting records.Evaluate performance.Internal Control Separate custody of and accounting for cash.Maintain only the minimum cash balance needed.Provide for periodic test counts of cash balances.Permit reconciliation of ledger and bank cash account balances.Result in the phys