Financial Accounting, IFRS Edition, Second Edition serves as a guide for students to comprehend and give insights into accounting of the modern business world. This textbook will focus on core concepts and procedures based on the International Financial Reporting Standards (IFRS) and supported by real company examples including those in Asia. The latest IFRS amendments are in this edition, specifically IFRS 9 and IFRS 15 will become effective beginning on January 1, 2018. IFRS 15, in a major overhaul of rules on revenue recognition, will replace IAS 18 (Revenue) and IAS 11 (Construction Contracts) and related interpretations. It establishes a contract-based approach to determine the recognition and measurement of revenue. IFRS 9 will replace IAS 39 (Financial Instruments) and contains new requirements on the classification and measurement of financial assets. Students will learn to effectively use and prepare accounting information for decision making with various features that encourage critical thinking, highlight ethical considerations, and consider global implications. Emphasizing the relevancy of accounting to the business world, the text also makes a concerted effort to highlight the ethical considerations and global implications of financial accounting decisions in our world.

PART I: FINANCIAL REPORTING AND
THE ACCOUNTING CYCLE
1. Accounting Information: Users and Uses
2. Financial Statements: An Overview
3. The Accounting Cycle: The Mechanics of Accounting
4. Completing the Accounting Cycle
5. Internal Controls: Ensuring the Integrity of
Financial Information
PART II: OPERATING ACTIVITIES
6. Cash
7. Receivables
8. Inventory and the Cost of Sales
9. Completing the Operating Cycle
PART III: INVESTING AND FINANCING ACTIVITIES
10. Investments: Property, Plant, and Equipment
and Intangible Assets
11. Financing: Long-Term Liabilities
12. Financing: Equity
13. Investments: Debt and Equity Securities
PART IV: OTHER DIMENSIONS OF FINANCIAL REPORTING
14. Statement of Cash Flows
15. Analyzing Financial Statements
Appendices
Appendix A: Taiwan Semiconductor Manufacturing Company
Limited and Subsidiaries Consolidated Financial Statements for
the Years Ended December 31, 2015 and 2014 and Independent
Auditors’ Report
Appendix B: Philips 2015 Financial Statements
Appendix C: Carrefour 2015 Financial Statements
Appendix D: Present Value Tables
Glossary
Index

Financial Accounting, IFRS Edition, Second Edition serves as a guide for students to comprehend and give insights into accounting of the modern business world. This textbook will focus on core concepts and procedures based on the International Financial Reporting Standards (IFRS) and supported by real company examples including those in Asia. The latest IFRS amendments are in this edition, specifically IFRS 9 and IFRS 15 will become effective beginning on January 1, 2018. IFRS 15, in a major overhaul of rules on revenue recognition, will replace IAS 18 (Revenue) and IAS 11 (Construction Contracts) and related interpretations. It establishes a contract-based approach to determine the recognition and measurement of revenue. IFRS 9 will replace IAS 39 (Financial Instruments) and contains new requirements on the classification and measurement of financial assets. Students will learn to effectively use and prepare accounting information for decision making with various features that encourage critical thinking, highlight ethical considerations, and consider global implications. Emphasizing the relevancy of accounting to the business world, the text also makes a concerted effort to highlight the ethical considerations and global implications of financial accounting decisions in our world. Principles-based learning: Following the spirit of IFRS, not only the accounting rules but also the underlying rationale of the rules and the background of the transactions that give rise to the accounting issues are explained. Local touch, global reach: Local but famous companies are used as illustrative examples. Meanwhile world class companies are also included so that global view is not lost. Local business practices and regulations are also incorporated. The examples have been updated in this edition. Friendly guidance: As will be detailed later, important concepts are summarized in the“Remember This”box, confusions/pitfalls to be avoided are included in the“Caution”box, key terms or concepts are concisely explained on the margin of the page on which the related concepts or terms appear. In addition to these arrangements, important concepts are bolded in the main text. End of chapter questions have been updated. Restructured Chapters: Chapter 6 focuses on Cash and Chapter 7 on Receivables.