CHAPTER 1
The Demand for and Supply of Financial Accounting Information
CONTENT ANALYSIS OF END-OF-CHAPTER ASSIGNMENTS
TIME
NUMBER TOPIC CONTENT LO ADAPTED DIFFICULTY EST. AACSB AICPA BLOOM’S
1-1 Role of Financial Financial accounting; 1 Easy 5 Analytic Measurement Comprehension
Reporting financial reporting
1-2 Financial Reporting Major categories of financial 1 Easy 5 Analytic Measurement Comprehension
Stakeholders reporting stakeholders
1-3 Financial Reporting Different information needs 1 Easy 5 Analytic Measurement Application
Stakeholders of investors and creditors
1-4 Information Information asymmetry 1 Easy 5 Analytic Measurement Comprehension
Asymmetry between financial reporting
preparers and users
1-1
1-5 Financial Reporting Demand for financial 1 Easy 5 Analytic Measurement Application
Information reporting information
1-6 Accounting Demand for accounting 1 Easy 5 Analytic Measurement Comprehension
Standards and standards and audit
Audits verification
1-7 Generally Accepted Definition of U.S. GAAP 1 Easy 5 Analytic Measurement Comprehension
Accounting
Principles
1-8 Standard Setting Supply of accounting 2 Easy 5 Analytic Measurement Comprehension
information
1-9 Standard Setting Role of SEC 2 Easy 5 Analytic Measurement Comprehension
1-10 Standard Setting Role of FASB 3 Easy 5 Analytic Measurement Comprehension
1-11 Standard Setting Role of EITF 3 Easy 5 Analytic Measurement Comprehension
1-12 Standard Setting FASB Accounting Standards 4 Easy 5 Analytic Measurement Application
Codification
© 2020 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
, TIME
NUMBER TOPIC CONTENT LO ADAPTED DIFFICULTY EST. AACSB AICPA BLOOM’S
1-13 Standard Setting Process for issuing 4 Easy 5 Analytic Measurement Comprehension
accounting standard
update
1-14 Standard Setting FASB; IASB 5 Easy 5 Analytic Measurement Analysis
1-15 Standard Setting Definition of IFRS 5 Easy 5 Analytic Measurement Application
1-16 Standard Setting Changing standards over 5 Easy 5 Analytic Measurement Comprehension
time; U.S. GAAP; IFRS
1-17 Standard Setting The impact of pure theory vs. 5 Easy 5 Analytic Measurement Analysis
politics in standard setting
1-18 Financial Statements Balance sheet; financial 6 Easy 5 Analytic Reporting Application
reporting stakeholders
1-19 Financial Statements Income statement; financial 6 Easy 5 Analytic Reporting Application
reporting stakeholders
1-20 Financial Statements Statement of cash flows; 6 Easy 5 Analytic Reporting Application
1-2
financial reporting
stakeholders
1-21 Financial Statements Statement of shareholders' 6 Easy 5 Analytic Reporting Application
equity; financial reporting
stakeholders
1-22 Financial Statements Purpose of footnotes; 6 Easy 5 Analytic Reporting Application
disclosure of financial
information
1-23 Earnings and the Economic consequences of 7 Easy 5 Analytic Measurement Analysis
Stock Market earnings information
1-24 Ethics Ethics 7 Easy 5 Analytic Measurement Application
1-25 Ethics Ethics; code of professional 7 Easy 5 Analytic Measurement Comprehension
conduct
© 2020 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
, TIME
NUMBER TOPIC CONTENT LO ADAPTED DIFFICULTY EST. AACSB AICPA BLOOM’S
E1-1 Pronouncements FASB Accounting Standards 4 Easy 15 Analytic Measurement Comprehension
Codification; different
sources of GAAP
C1-1 Accounting Principles Describe the meaning of the 3 AICPA Easy 10 Analytic Measurement Application
terms “accounting
principles” and “generally
accepted”
C1-2 Standard Setting Describe why there is 3 CMA Easy 10 Analytic Measurement Application
political action and social
involvement in the standard-
setting process
C1-3 Organization of the Summarize the structure of 3 Easy 15 Analytic Measurement Application
FASB the FASB and its operating
procedures
C1-4 Code of Professional Identify, briefly discuss, and 7 Easy 10 Analytic Measurement Application
1-3
Conduct provide examples to illustrate
the first five principles of CPC
C1-5 Lobbying the FASB Discuss pros and cons of 3 Easy 5 Analytic Measurement Application
lobbying the FASB by
interested parties
C1-6 International Discuss convergence of U.S. 5 Moderate 10 Analytic Measurement Application
Convergence GAAP and international
accounting standards;
include discussion of SEC
and its role in this
convergence; includes IFRS
C1-7 Starbucks’s Financial Identify two important pieces 6 Moderate 20 Analytic Reporting Application
Statements of information from each of
the four primary financial
statements and
management discussion and
analysis
© 2020 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
,
TIME
NUMBER TOPIC CONTENT LO ADAPTED DIFFICULTY EST. AACSB AICPA BLOOM’S
C1-8 Nestlé’s Financial Identify two important pieces 6 Moderate 20 Analytic Reporting Application
Statements of information from each of
three primary financial
statements
C1-9 Coca Cola's Financial Identify two important pieces 6 Moderate 20 Analytic Reporting Application
Statements of information from each of
three primary financial
statements
C1-10 Ethical Responsibilities Discuss steps to take in an 7 Moderate 5 Reflective Measurement Analysis
ethical dilemma Thinking
(“misplaced” book in library)
C1-11 Ethical Responsibilities Discuss steps to take in an 7 Moderate 5 Reflective Measurement Analysis
ethical dilemma (cheating Thinking
by friend on exam)
C1-12 Codification Prepare a memo to explain Moderate 25 Analytic Measurement Application
1-4
and demonstrate the
Codification to an
introductory accounting
student, who is familiar with
the financial statements and
accounts
C1-13 Codification Search the Codification to Moderate 15 Analytic Measurement Application
determine how a company
should account for the cost
of a new desktop computer
for use in the office
C1-14 Codification Search the Codification to Moderate 25 Analytic Measurement Application
determine how a company
should account for
recognition of retail revenues
with the right to return
© 2020 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
The Demand for and Supply of Financial Accounting Information
CONTENT ANALYSIS OF END-OF-CHAPTER ASSIGNMENTS
TIME
NUMBER TOPIC CONTENT LO ADAPTED DIFFICULTY EST. AACSB AICPA BLOOM’S
1-1 Role of Financial Financial accounting; 1 Easy 5 Analytic Measurement Comprehension
Reporting financial reporting
1-2 Financial Reporting Major categories of financial 1 Easy 5 Analytic Measurement Comprehension
Stakeholders reporting stakeholders
1-3 Financial Reporting Different information needs 1 Easy 5 Analytic Measurement Application
Stakeholders of investors and creditors
1-4 Information Information asymmetry 1 Easy 5 Analytic Measurement Comprehension
Asymmetry between financial reporting
preparers and users
1-1
1-5 Financial Reporting Demand for financial 1 Easy 5 Analytic Measurement Application
Information reporting information
1-6 Accounting Demand for accounting 1 Easy 5 Analytic Measurement Comprehension
Standards and standards and audit
Audits verification
1-7 Generally Accepted Definition of U.S. GAAP 1 Easy 5 Analytic Measurement Comprehension
Accounting
Principles
1-8 Standard Setting Supply of accounting 2 Easy 5 Analytic Measurement Comprehension
information
1-9 Standard Setting Role of SEC 2 Easy 5 Analytic Measurement Comprehension
1-10 Standard Setting Role of FASB 3 Easy 5 Analytic Measurement Comprehension
1-11 Standard Setting Role of EITF 3 Easy 5 Analytic Measurement Comprehension
1-12 Standard Setting FASB Accounting Standards 4 Easy 5 Analytic Measurement Application
Codification
© 2020 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
, TIME
NUMBER TOPIC CONTENT LO ADAPTED DIFFICULTY EST. AACSB AICPA BLOOM’S
1-13 Standard Setting Process for issuing 4 Easy 5 Analytic Measurement Comprehension
accounting standard
update
1-14 Standard Setting FASB; IASB 5 Easy 5 Analytic Measurement Analysis
1-15 Standard Setting Definition of IFRS 5 Easy 5 Analytic Measurement Application
1-16 Standard Setting Changing standards over 5 Easy 5 Analytic Measurement Comprehension
time; U.S. GAAP; IFRS
1-17 Standard Setting The impact of pure theory vs. 5 Easy 5 Analytic Measurement Analysis
politics in standard setting
1-18 Financial Statements Balance sheet; financial 6 Easy 5 Analytic Reporting Application
reporting stakeholders
1-19 Financial Statements Income statement; financial 6 Easy 5 Analytic Reporting Application
reporting stakeholders
1-20 Financial Statements Statement of cash flows; 6 Easy 5 Analytic Reporting Application
1-2
financial reporting
stakeholders
1-21 Financial Statements Statement of shareholders' 6 Easy 5 Analytic Reporting Application
equity; financial reporting
stakeholders
1-22 Financial Statements Purpose of footnotes; 6 Easy 5 Analytic Reporting Application
disclosure of financial
information
1-23 Earnings and the Economic consequences of 7 Easy 5 Analytic Measurement Analysis
Stock Market earnings information
1-24 Ethics Ethics 7 Easy 5 Analytic Measurement Application
1-25 Ethics Ethics; code of professional 7 Easy 5 Analytic Measurement Comprehension
conduct
© 2020 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
, TIME
NUMBER TOPIC CONTENT LO ADAPTED DIFFICULTY EST. AACSB AICPA BLOOM’S
E1-1 Pronouncements FASB Accounting Standards 4 Easy 15 Analytic Measurement Comprehension
Codification; different
sources of GAAP
C1-1 Accounting Principles Describe the meaning of the 3 AICPA Easy 10 Analytic Measurement Application
terms “accounting
principles” and “generally
accepted”
C1-2 Standard Setting Describe why there is 3 CMA Easy 10 Analytic Measurement Application
political action and social
involvement in the standard-
setting process
C1-3 Organization of the Summarize the structure of 3 Easy 15 Analytic Measurement Application
FASB the FASB and its operating
procedures
C1-4 Code of Professional Identify, briefly discuss, and 7 Easy 10 Analytic Measurement Application
1-3
Conduct provide examples to illustrate
the first five principles of CPC
C1-5 Lobbying the FASB Discuss pros and cons of 3 Easy 5 Analytic Measurement Application
lobbying the FASB by
interested parties
C1-6 International Discuss convergence of U.S. 5 Moderate 10 Analytic Measurement Application
Convergence GAAP and international
accounting standards;
include discussion of SEC
and its role in this
convergence; includes IFRS
C1-7 Starbucks’s Financial Identify two important pieces 6 Moderate 20 Analytic Reporting Application
Statements of information from each of
the four primary financial
statements and
management discussion and
analysis
© 2020 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
,
TIME
NUMBER TOPIC CONTENT LO ADAPTED DIFFICULTY EST. AACSB AICPA BLOOM’S
C1-8 Nestlé’s Financial Identify two important pieces 6 Moderate 20 Analytic Reporting Application
Statements of information from each of
three primary financial
statements
C1-9 Coca Cola's Financial Identify two important pieces 6 Moderate 20 Analytic Reporting Application
Statements of information from each of
three primary financial
statements
C1-10 Ethical Responsibilities Discuss steps to take in an 7 Moderate 5 Reflective Measurement Analysis
ethical dilemma Thinking
(“misplaced” book in library)
C1-11 Ethical Responsibilities Discuss steps to take in an 7 Moderate 5 Reflective Measurement Analysis
ethical dilemma (cheating Thinking
by friend on exam)
C1-12 Codification Prepare a memo to explain Moderate 25 Analytic Measurement Application
1-4
and demonstrate the
Codification to an
introductory accounting
student, who is familiar with
the financial statements and
accounts
C1-13 Codification Search the Codification to Moderate 15 Analytic Measurement Application
determine how a company
should account for the cost
of a new desktop computer
for use in the office
C1-14 Codification Search the Codification to Moderate 25 Analytic Measurement Application
determine how a company
should account for
recognition of retail revenues
with the right to return
© 2020 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
