The Ultimate Guide to Learn Intermediate Accounting

This is a study guide for Intermediate Accounting. It includes all the chapters for the full year of Intermediate Accounting. This is all the material covered in a two or three term Intermediate Accounting sequence.

Chapter 1: Financial Accounting Standards

Financial accounting is the preparation of financial reports for an entity. These financial reports are used by both internal and external parties.

The common set of rules and procedures in the United States is called generally accepted accounting principles (GAAP). These are the rules for and reporting the financial information of a business entity.

The Securities and Exchange Commission (SEC) has the legal authority to set accounting standards in the United States. The SEC allows the Financial Accounting Standards Board (FASB) to produce these standards that establish GAAP.

See the article Financial Accounting Standards.


Chapter 2: Conceptual Framework for Financial Reporting

A conceptual framework in accounting is important because rule-making should relate to an established body of concepts.

The FASB’s conceptual framework is developed in a series of concept statements. The conceptual framework has 3 levels:

  • Level 1: Objective of financial reporting, the “why” or purpose of accounting.
  • Level 2: Qualitative characteristics and the elements of financial statements.
  • Level 3: Financial reporting concepts, the “how” or implementation.

See the article Conceptual Framework for Financial Reporting.


Chapter 3: The Accounting Information System

The accounting information system records transactions and then summarizes the financial information to interested parties. Accounting is the language of business. To understand the accounting process, basic terms need to be learned.

This chapter reviews debits and credits using the DEALER method. Also, how debits and credits are used in journal entries.

The accounting information system includes the 9 steps in the accounting cycle.

See the article Accounting Information System.


Chapter 4: Income Statement


Chapter 5: Balance Sheet


Chapter 6: Time Value of Money


Chapter 7: Cash and Receivables

Bank Reconciliation


Accounting for Bad Debts


Chapter 8: Valuation of Inventories: A Cost-Basis Approach


Chapter 9: Inventories: Additional Valuation Issues

Chapter 9 is the second chapter on Inventory. These are special inventory valuation issues. The first topic is the Lower of Cost or Net Realizable Value (LCNRV).

The second topic is estimating inventory. There are two methods:

  1. Gross profit method
  2. Retail method

Chapter 10: Acquisition and Disposition of Property, Plant, and Equipment


Chapter 11: Depreciation, Impairments, and Depletion


Chapter 12: Intangible Assets


Chapter 13: Current Liabilities and Contingencies


Chapter 14: Long-Term Liabilities


Chapter 15: Stockholders’ Equity


Chapter 16: Dilutive Securities and Earnings per Share


Chapter 17: Investments


Chapter 18: Revenue Recognition


Chapter 19: Accounting for Income Taxes


Chapter 20: Accounting for Pensions and Postretirement Benefits


Chapter 21: Accounting for Leases


Chapter 22: Accounting Changes and Error Analysis


Chapter 23: Statement of Cash Flows


Chapter 24: Full Disclosure in Financial Reporting


Jeff Mankin

Jeff Mankin teaches financial literacy. His website is FinallyLearn.com.

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