Summary of Thomas Ittelson's Financial Statements

Please note: This audiobook has been generated by using AI Voice. It is on par with human voice.

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Sample insights from Chapter 1

#1

The first principle is that there is a business entity separate from its owners; this entity is referred to as a company. The second principle is that all transactions must be recorded, regardless of importance, in the books.

#2

The accountant’s job is to translate the business’s financial data into a form that is suitable for management and investors. The process of doing this is called accounting.

#3

The generally accepted accounting principles, or GAAP, are the set of rules and guidelines that govern how companies prepare their financial statements.