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Vault Career Guide to Accounting (2005)

'Vault Career Guide to Accounting (2005)'
Vault Career Guide to Accounting is made possible through the generous support of the following sponsors: The media’s watching Vault! Here’s a sampling of our coverage. “ Unflinching, fly-on-the-wall reports. No one gets past company propaganda to the nitty-gritty inside dope better than these guys.” — Knight-Ridder newspapers “ Best way to scope out potential employers.Vault.com has sharp insight into corporate culture and hiring practices.” — Yahoo! Internet Life “ Vault.com has become a de facto Internet outsourcer of the corporate grapevine.” — Fortune “ For those hoping to climb the ladder of success, [Vault.com’ s] insights are priceless.” — Money.com “ Another killer app for the Internet.” — New York Times “ If only the company profiles on the top sites would list the ‘ real’ information. Sites such as Vault.com do this, featuring insights and commentary from employees and industry analysts.” — The Washington Post “ A rich repository of information about the world of work.” — Houston Chronicle JASON ALBA, MANISHA BATHIJA, MATTHEW THORNTON AND THE STAFF OF VAULT © 2005 Vault Inc. VAULT CAREER GUIDE TO ACCOUNTING Copyright © 2005 by Vault Inc. All rights reserved. All information in this book is subject to change without notice. Vault makes no claims as to the accuracy and reliability of the information contained within and disclaims all warranties. No part of this book may be reproduced or transmitted in any form or by any means, electronic or mechanical, for any purpose, without the express written permission of Vault Inc. Vault, the Vault logo, and “ The Most Trusted Name in Career InformationTM” are trademarks of Vault Inc. For information about permission to reproduce selections from this book, contact Vault Inc., 150 W. 22nd St., 5th Floor, New York, NY 10011, (212) 366-4212. Library of Congress CIP Data is available. ISBN 1-58131-328-4 Printed in the United States of America ACKNOWLEDGMENTS We are extremely grateful to Vault’ s entire staff for all their help in the editorial, production and marketing processes. Vault also would like to acknowledge the support of our investors, clients, employees, family, and friends. Thank you! Jason and Manisha would like to thank their friends and family for their continued love and support, and to everyone who contributed in the writing of this guide. INTRODUCTION1 Overview of Accounting . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .3 THE SCOOP5 What is Accounting?7 Why Accounting? . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .8 Types of Accounting . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .13 A History of Accounting . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .15 Financial Regulation and the U.S. Financial Reporting System . . . . . . . . .17 Financial Statements . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .19 I
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