Chapter 1: The Economics of Accounting Information Chapter 2: Accrual Accounting and the Income Statement Chapter 3: The Balance Sheet: Market Value versus Historical Cost Chapter 4: The Cash Flows Statement and the Importance of Cash Flows Chapter 5: Notes Receivable, Notes Payable, and the Time Value of Money Chapter 6: Timely Reporting: Recognizing Future Bad News Early Chapter 7: Product Costs: Inventories and Cost of Goods Sold Chapter 8: Allocating the Cost of Property and Equipment Chapter 9: Accounting for Income Taxes Chapter 10: Investments in Intangible Assets Chapter 11: Investments in Other Companies Chapter 12: Investments in Leased Assets Chapter 13: Financial Instruments and Derivative Securities Chapter 14: Pension and Other Postemployment Benefits Chapter 15: Shareholders' Equity Chapter 16: Earnings Management APPENDIXES A: Who Makes Accounting Standards and Why Do They Do It? B: Recording Accounting Transactions INDEX.