注冊會計師考試英語講義(文件)

　

【正文】 , this assumption disregards the effects of inflation or deflation in the economy in which the entity operates. This assumption provides support for the Historical Cost principle.4. Accrualbasis accounting 權責發生制會計5. Qualitative characteristics 會計信息質量特征(1) Reliability 可靠性For accounting information to be reliable, it must be dependable and trustworthy.Accounting information is reliable to the extend that it is:Verifiable: means that information has been objectively determined, arrived at, or created. More than one person could consider the facts of a situation and reach a similar conclusion. Representationally faithful: that something is what it is represented to be. For example, if a machine is listed as a fixed asset on the balance sheet, then the pany can prove that the machine exists, is owned by the pany, is in working condition, and is currently being used to support the revenue generating activities of the pany. Neutral: means that information is presented in accordance with generally accepted accounting principles and practices, and without bias. (2) Relevance 相關性Relevant information is capable of making a difference in the decisions of users by helping them to evaluate the potential effects of past, present, or future transactions or other events on future cash flows (predictive value) or to confirm or correct their previous evaluations (confirmatory value). (3) Understandability 可理解性Understandability is the quality of information that enables users who have a reasonable knowledge of business and economic activities and financial reporting, and who study the information with reasonable diligence, to prehend its meaning. (4) Comparability 可比性Comparability: suggests that accounting information that has been measured and reported in a similar manner by different enterprises should be capable of being pared because each of the enterprises is applying the same generally accepted accounting principles and practices. Consistency: suggests that an entity has used the same accounting principle or practice from one period to another, therefore, if the dollar amount reported for a category is different from one period to the next, then chances are that the difference is due to a change like an increase or decrease in sales volume rather than being due to a change in the method of calculating the dollar amount. (5) Substance over form 實質重于形式Substance over form emphasizes the economic substance of an event even though its legal form may provide a different result.It requires that business enterprise should perform accounting recognition, measurement and reporting in accordance with the economic substance rather than the legal form of an event or transaction.(6) Materiality 重要性Information is material if its omission or misstatement could influence the resource allocation decisions that users make on the basis of an entity’s financial report. Materiality depends on the nature and amount of the item judged in the particular circumstances of its omission or misstatement. Deciding when an amount is material in relation to other amounts is a matter of judgment and professional expertise. (7) Conservatism 謹慎性Conservatism dictates that when in doubt, choose the method that will be least likely to overstate assets and ine, and understate liabilities and expenses.(8) Timeliness 及時性Timeliness means having information available to decision makers before it loses its capacity to influence decisions. If information bees available only after the time that a decision must be made, it has no capacity to influence that decision and thus lacks relevance. 6. Basic accounting elements 基本會計要素(1) Asset 資產An asset is a resource that is owned or controlled by an enterprise as a result of past transactions or events and is expected to generate economic benefits to the enterprise. (2) Liability 負債A liability is a present obligation arising from past transactions or events which are expected to give rise to an outflow of economic benefits from the enterprise. A present obligation is a duty mitted by the enterprise under current circumstances. Obligations that will result from the occurrence of future transactions or events are not present obligations and shall not be recognized as liabilities. (3) owners’ equity 所有者權益Owners’ equity is the residual interest in the assets of an enterprise after deducting all its liabilities. Owners’ equity of a pany is also known as shareholders’ equity. (4) Revenue 收入Revenue is the gross inflow of economic benefits derived from the course of ordinary activities that result in increases in equity, other than those relating to contributions from owners. (5) Expense 費用Expenses are the gross outflow of economic benefits resulted from the course of ordinary activities that result in decreases in owners’ equity, other than those relating to appropriations of profits to owners. (6) Profit 利潤Profit is the operating re