Key Changes to Stickney/Weil for 12/e

Based on extensive feedback from surveys, reviews, and personal contacts with MBA instructors, the following key changes keep Stickney/Weil, Financial Accounting, 12/e the most comprehensive MBA financial accounting text on the market.

·  T-accounts Now Included in the Text. Back by popular demand, T-accounts (used by the overwhelming majority of accounting instructors as a teaching tool) are once again included as a pedagogical method of notating transactions in the text. Used primarily in Chapters 2-4, this format, which appeared in the 10th Edition, also appears in selected places in later chapters.

·  New Format for Transaction Notation. Based on extensive reviews and surveys, the Twelfth Edition contains a new format for journal entries that includes the effect on the accounting equation, as in the following example:

Cash / 480,000
Marketable Securities / 400,000
Realized Gain on Sale of Securities Available for Sale / 80,000
Assets / = / Liabilities / + / Shareholders' Equity / (Class.)
+480,000 / +80,000 / IncSt à RE
–400,000
To record the sale of securities available for sale at a gain based on acquisition cost.

·  New Cash Change format in Chapter 4. This chapter, an introduction to the statement of cash flows, now contains a simple, easy-to-read formula, integrated with the journal entries, to show the cash flow effects of each transaction, as in the following example:

Cash / 480,000
Marketable Securities / 400,000
Realized Gain on Sale of Securities Available for Sale / 80,000
Assets / = / Liabilities / + / Shareholders' Equity / (Class.)
+480,000 / +80,000 / IncSt à RE
–400,000
To record the sale of securities available for sale at a gain based on acquisition cost.
(Class.) / Change in Cash / = / Change in Liabilities / + / Change in Shareholders' Equity / – / Change in Non-cash Assets
Invst. / +480,000 / = / 0 / + / +80,000 / – / –400,000

·  Comprehensive Coverage of Cash Flows and Alternative Accounting Principles. The Twelfth Edition now contains Chapter 13, “Statement of Cash Flows: Another Look,” and Chapter 14, “Significance and Implications of Alternative Accounting Principles.” Without fully understanding the cash flows statement, students are only partially prepared for their business careers. Chapter 13 helps cement students’ understanding of the effects of transactions covered in Chapters 6-12 on the statement of cash flows. Without a grasp of the full range of accounting principles that a company has to choose from, students will not be up to speed on the business options that confront them. Chapter 14 helps students understand the effects of alternative GAAP principles on the financial statements and outlines how firms choose their accounting principles. Together, these chapters prepare students to understand financial accounting in business contexts as no other text does.