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Introduction to Financial Accounting - Second Edition (Revised)

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Calculating Taxes Up And Down (http://www.flickr.com/photos/teegardin/5913069484/in/photostream/) by Ken Teegardin (http://www.flickr.com/photos/teegardin/) used under a CC-BY-SA license (http://creativecommons.org/licenses/by-sa/3.0/deed.en)

Description: Based on International Financial Reporting Standards, this textbook was written by David Annand, EdD, MBA, CPA, CA, Professor of Accounting in the Faculty of Business at Athabasca University. It contains 14 chapters on topics such as The Accounting Process, Cash and Receivables, and Debt Financing. Each chapter includes questions and comprehension problems for self-study. Solutions are provided. Additional end-of-chapter assignment problems are also included. The second edition has been revised to incorporate minor changes. References to ‘balance sheet’ have been changed to ‘statement of financial position’, to align with preferred IFRS terminology. References to ‘income statement’ have been changed to ‘statement of profit and loss’. Some issues with page numbering and a few typographic errors have been rectified. The index has been expanded. The text is freely-sharable under a Creative Commons CC-BY-SA-NC licence. The .pdf version of the text is extensively bookmarked for easy access and onscreen reading. Suggested solutions are linked to the appropriate material in this version. Separate .docx and .pdf versions of the text and student solutions manual are available. A 140-item exam bank, and a complete instructor’s solutions manual to all text and exam bank material are available upon request to davida@athabascau.ca. A 900-page student workbook is also available in .pdf or docx formats. The workbook provides formatted outlines to all problems contained in the text and exam bank. Students can print outlines as they need them, and fill in responses manually.

Author: David Annand, Athabasca University

Original source: open.bccampus.ca

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Attribution 3.0 License. Copyright Yusuke Kamiyamane. Intro to Financial Accounting 2nd ed (Revised) - Editable.zip (5 MB)
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		Attribution 3.0 License. Copyright Yusuke Kamiyamane. Instructor's Solutions Manual is available. For a copy, email davida@athabascau.ca
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Attribution 3.0 License. Copyright Yusuke Kamiyamane. Ancillary Resources- Student Solutions Manual 2nd ed (Revised).pdf (1 MB)
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Attribution 3.0 License. Copyright Yusuke Kamiyamane. Ancillary Resources- Student Manual 2nd ed (Revised).pdf (9 MB)
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Attribution 3.0 License. Copyright Yusuke Kamiyamane. Intro to Financial Accounting 2nd ed (Revised).pdf (4 MB)
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Attribution 3.0 License. Copyright Yusuke Kamiyamane. Intro to Financial Accounting 2nd ed (Revised) - eText and Solution Manual.pdf (6 MB)
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Attribution 3.0 License. Copyright Yusuke Kamiyamane. Ancillary Resources- Student Solutions Manual 2nd ed (Revised) - Editable.zip (1 MB)
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Attribution 3.0 License. Copyright Yusuke Kamiyamane. Ancillary Resources- Student Manual 2nd ed (Revised) - Editable.zip (4 MB)

Creative Commons License
Introduction to Financial Accounting - Second Edition (Revised) by David Annand, Athabasca University is licensed under a Creative Commons Attribution-NonCommercial-ShareAlike 4.0 International License, except where otherwise noted.


1. Reviewed by: Rosalie Harms
  • Institution: University of Winnipeg
  • Title/Position: Department Chair, Business and Admin
  • Overall Rating: 3.8 out of 5
  • Date:
  • License: Creative Commons License

Q: The text covers all areas and ideas of the subject appropriately and provides an effective index and/or glossary

No I don't think so. I think there are some gaps - I would like to see a chapter on investments, constructing the statement of cash flows as well as a more robust demonstration of the ADA for A/R, while other chapters were to complex. ie. Chapter 11 accounting fro treasury shares and participative preferred shares and the example on the debt versus equity financing which might be better suited for coverage in a Corp Fi course. There is inconsistency in terminology and terminology that is no longer used under IFRS ie. matching principle. There is not a clear conversation on IFRS and ASPE - where and how each is applied and the differences between the two. The textbook begins by indicating that is based on IFRS and then has an entire chapter dedicated to partnerships and proprietorships without explicit explanation that IFRS does not apply to these entities.

Comprehensiveness Rating: 3 out of 5

Q: Content is accurate, error-free and unbiased

As indicated early there is terminology issues and inconsistencies between what is appropriate for under IFRS versus ASPE, this should be cleaned up. Ie matching principle, net income versus profit, statement of profit and loss. New revenue recognition terminology. I think the IFRS framework should also be reviewed.

Content Accuracy Rating: 3 out of 5

Q: Content is up-to-date, but not in a way that will quickly make the text obsolete within a short period of time. The text is written and/or arranged in such a way that necessary updates will be relatively easy and straightforward to implement

I think the consistency of using one company (Big Dog) as an ongoing example is very good and lends itself to relatively straightforward and easy updates. Most content is current (IFRS inconsistencies aside). I just found the content to be to be overly advanced in some areas with gap coverage in other areas, given the coverage I would like to have for our first year accounting students that are looking to pursue an accounting designation. Reference back to the CPA map for Module 1 might be helpful.

Relevance Rating: 4 out of 5

Q: The text is written in lucid, accessible prose, and provides adequate context for any jargon/technical terminology used

It is a fairly easy reading textbook, which is excellent. This is particularly good for young students new to accounting or with very little business experience. The examples and chapter demonstrations are easy to follow and are logical.

Clarity Rating: 4 out of 5

Q: The text is internally consistent in terms of terminology and framework

No I don't think this is true. As indicated I think the IFRS framework is not clearly defined or adhere to and I think ASPE need to be addressed and defined at the first year level.

Consistency Rating: 2 out of 5

Q: The text is easily and readily divisible into smaller reading sections that can be assigned at different points within the course (i.e., enormous blocks of text without subheadings should be avoided). The text should not be overly self-referential, and should be easily reorganized and realigned with various subunits of a course without presenting much disruption to the reader.

I would agree with this statement. The text content is easy to navigate. Overall it is one of the easier to follow accounting textbooks I have seen.

Modularity Rating: 5 out of 5

Q: The topics in the text are presented in a logical, clear fashion

Yes I would agree with this statement for the most part. I like that the liabilities section has been broken down into two chapters - both current and non current. However, I think that the A/R section could have been better developed and is lost in the Internal control chapter. A more robust conversation on what constitutes an appropriate control environment would have also enhanced this section.

Organization Rating: 4 out of 5

Q: The text is free of significant interface issues, including navigation problems, distortion of images/charts, and any other display features that may distract or confuse the reader

There are a few typos - amortization versus amortisation. Also on page 383 - Professional Fess versus Fees. But other than this nothing significant. There is a very clear, logical and orderly flow to the examples.

Interface Rating: 4 out of 5

Q: The text contains no grammatical errors

Addressed in previous section.

Grammar Rating: 4 out of 5

Q: The text is not culturally insensitive or offensive in any way. It should make use of examples that are inclusive of a variety of races, ethnicities, and backgrounds

Not sure this applicable, for the most part examples are focused on accounting and financial information not particular races or ethnicities. There are no company names that I found offensive or non inclusive.

Cultural Relevance Rating: 5 out of 5

Q: Are there any other comments you would like to make about this book, for example, its appropriateness in a Canadian context or specific updates you think need to be made?

Nothing that I have not already addressed in my previous comments. I really think it is important to provide a clear discussion regarding IFRS versus ASPE standards in relationship to GAAP and Canadian reporting requirements. I think CRA requirements are less relevant in an Introduction to Accounting textbook and will be covered in more detail in the Intermediate courses. Highlighting how IFRS and ASPE differ and may be applied would really enhance this text. I think this is a significant gap and will lead to confusion for students moving to more advanced studies.