General Accepted Accounting Principles | accounting

The differences of financial accounting and managerial accounting are very prevalent. Some of these differences include precision, mandatory external reports and emphasizing financial consequences of past activities. These characteristics are describing financial accounting. Financial accounting is a way of measuring economic performance. This type of accounting summarizes data to prepare balance sheets and income statements for the firm. The specific difference discussed in this piece will be the difference of the Generally Accepted Accounting Principles (GAAP). Financial accounting must follow GAAP, while managerial accounting does not need to follow GAAP.The Generally Accepted Accounting Principles help steer firms in recording business transactions. The GAAP are not rules, but guidelines for a firm to follow for recording. The principles set a minimum level of regularity in statements. There are many positives in compliance with the GAAP. The principles maintain creditability because it informs outside companies that this company using the GAAP is being portrayed precisely. Stockholders and analysts can read a report knowing that it abides with the accounting principles.There are many principles to be discussed for the GAAP. The six principles to be discussed during this article are economic entity assumption, accrual basis accounting, revenue recognition principle, relevance, reliability and consistency principle, materiality principle, and cost principle. Economic entity includes any organization in the economy. Examples can include schools, hospitals, governments and churches. Every event must be recorded by a specific entity. Another part to this principle is that records can not include any personal assets or liabilities relating to the owners. The second principle is the accrual basis accounting principle. Accrual basis accounting captures financial aspect in each event in the period of occurrence. Revenues are recognized when the business receives the cash. Expenses are recognized when the business pays with cash. Furthermore, the revenue recognition principle is when revenues are earned upon the finishing of a product or service, but without view to the timing of cash flow. The last principle in the GAAP discussion is relevance, reliability, and consistency. Information must be useful. To be useful, this information in accounting must be relevant, reliable and in a consistent method.Relevant information will help a decision choice understood properly by examining the businesses past performance, and the future position. Detailed information is needed for internal users to estimate the company’s value. Reliable information must be confirmable. Otherwise, this information cannot be used or trusted in preparation of financial statements. Lastly, the information must be consistent. This means that the methods must be the same for each accounting period. Comparisons can be made between accounting periods if consistent. Consistency will help a company evaluate the methods of the accounting periods. The materiality principle states the requirements of any principle may be ignore, if and only if, there is no consequence on the users of the financial information. An example of this principle would be tracking individual staples used in a department of an office. There is no definitive gauge to calculate the staples used. This judgment of dollars is not a significant entity to a large corporation, but it may to a small, privately owned business. It will depend of the size of the company. The cost principle is dealing with the recording of the company’s assets. The assets equal the value exchanged at the time of their attainment. Assets consisting of land or buildings value with time. Land and buildings do not need to be appraised for reporting.So what is the difference of why managerial accounting does not need to follow GAAP but financial accounting need to follow the principles? Managerial and financial accounting is two separate types of accounting, so each one needs a specific method for financial reports to help that type of company. Managerial accounting is not bound by the General Accepted Accounting Principles. In managerial accounting, managers set their own rules for financial report methods. Using the General Accepted Accounting Principles set a common ground for external users to rely on when evaluating a company. The GAAP help reduce fraud and catch misrepresentations on financial reports. Managerial accounting prepares reports only for internal use of the manager. This information helps to make decisions on the company’s future. There are no specific required reports, only the reports what the manager sees fit to help make decisions. The reports are normally focused on departments of the organization, not as a whole. Financial accounting relies on reports for perspective of the organization. It focuses on specific information because it is used outside the company. This is why financial accounting must follow GAAP for external reports.

Pursuing a Career in the Healthcare Industry | healthcare

If you are wondering why so many people are joining the healthcare industry, the reasons are aplenty. Pursuing a career in healthcare can turn out to be one of the most professionally sound and profitable moves of your life. Here’s why:Ample job opportunities: Even at the peak of recession, healthcare was among the few bright spots that continued to shine through the darkness. Recession has receded since then, but healthcare is still one of the fastest growing industries in the country promising numerous job opportunities. And it’s not something that’s likely to change very soon as an increasingly aging population; technological advances in the field of medicine; and growing focus on preventive care continue to spur the demand for healthcare professionals of all kinds.Variety of jobs: It’s not just the number of jobs, but also the variety of jobs it offers that makes healthcare such an attractive career proposition for so many individuals. Your options are not just limited to hospital-based professions involving direct patient care such as nursing, physical therapy or respiratory. There are professions like medical transcription or medical coding that are usually performed at a back office and may not even require you to step your foot inside a hospital.Jobs to fit all educational levels: Another reason why pursuing a career in healthcare industry makes sense is that you can pick a job that ties in with your academic plans. It’s not necessary to spend 5-10 years on postsecondary education for a career in healthcare. You can just as easily find options that require less than a year of training. For example, pharmacy tech training from a career school can be completed in a few months’ time.Job security: No more spending sleepless nights wondering if you’ll still have your job the next morning – that’s the advantage of joining an industry that’s adding workers at a time when others are cutting jobs and handing out pay cuts to employees. A stable and secure career, at the end of the day, translates in to peace of mind.Attractive compensation: Just because healthcare careers offer stability doesn’t mean the money to be had is any less. Most healthcare occupations offer decent paychecks. Many employers, in fact, offer very attractive salary and benefits packages to their employees to fill the gaps in demand and supply of trained and qualified healthcare professionals. Rest assured you can make a healthy living out of a career in healthcare!Flexibility: Since a lot of healthcare occupations tend to be round the clock in nature, flexi timings are possible in these jobs. You can negotiate with your employers how many days a week, how many hours in a day and the shifts you want to work. Some allied health careers like medical transcription and medical coding, in fact, can also be practiced from home. This arrangement works extremely well for moms who want to stay home with their children; retirees looking to generate an income; and individuals who cannot commute to work due to physical disabilities or have conditions like extreme sociophobia that make working in an office environment difficult for them.Job satisfaction: Whether you’re a nurse taking care of the sick and injured; a pharmacy tech filling prescriptions; a medical assistant greeting patients in to a healthcare facility with a smile or a medical transcriptionists diligently transcribing doctor dictations – it’s important to know that the work you do impacts real people with real problems. From this knowledge comes gratification and contentment that you are doing your bit to make this world a better, safer, and healthier place to live!

Fashion TV – What You Can Learn From Fashion Television | Fashion

While I’m not a die-hard fan of any particular fashion TV show, I think there’s a lot you can learn from the various shows about fashion as well as those that feature fashion prominently in their story lines. While you may not agree with or like everything you see on them, fashion shows – like cooking shows – help broaden your understanding of the art, which in turn, helps you dress better.Here’s a rundown of some of the most popular fashion TV shows (check your local listings for time and channel):Project RunwayProject Runway is a reality show that pits aspiring fashion designers against other in a series of design challenges. The winner gets $100,000 to launch his first line, and builds name recognition and a following throughout the competition. Design contestants have had to do some crazy things over the years, like make apparel from grocery store items (remember Austin Scarlett’s beautiful corn husk dress?), design Wrestlemania costumes, work with couture prom gown clients, create cocktail apparel for their mothers, and more. Throw in a little back-stabbing, snarky comments, and down-to-the-deadline high drama, and it’s really easy to get addicted.What you can learn: design terms, clothing elements, styling tips, and how to work on a budget.What Not To WearIn this recurring pauper-to-princess tale, badly-dressed clients are nominated for makeovers by friends and family. The hosts track down the client in a public place, embarrass the heck out of her, and promise to finance a clothing shopping spree IF she agrees to listen to their fashion advice. If she does, she’s given a head-to-toe makeover and then returned home beautifully dressed to the astonishment of those nominating friends and family. While I don’t always agree with the clothing advice given to the clients, I do like that they use men and women of all ages, shapes, and sizes to makeover. I also like when the clients realize that they CAN change their life by changing their clothes, because I’ve seen it with my own clients time and again.What you can learn: how to dress various body shapes, how to dress for different occasions, and how to gain confidence through appropriate wardrobe choices.The Rachel Zoe ProjectRachel Zoe is a celebrity stylist who dresses her famous clients for TV appearances, movie premieres, and red carpet events. While I don’t always agree with her choices – and am ASTOUNDED by how many of her clients allow her to dictate their public image by wearing whatever she tells them to* – I can’t help but be impressed by how hard this woman works. With her backstage access to designers, models, and celebrities, she knows entire collections, how to put clothing elements together, and perhaps most importantly, how to make high-level contacts and massage delicate egos to get what she wants.What you can learn: designers, clothing and accessory terms, styling tips, and how to build a million-dollar Rolodex.*Lana Turner knew exactly how high to cut the slits in her skirts so no cellulite showed. Marlene Dietrich brought her own lighting equipment to movie sets and dictated how she was to be lit. Audrey Hepburn insisted on Givenchy apparel both in films and for personal use, because she felt he alone best understood how to dress her. They would NEVER hand their public image over to someone else to manage.Sex and the CityPerhaps the ultimate fashion TV [http://fashionforrealwomen.com/blog/articles/fashion-fun/celebrity-fashion/fashion-tv-what-you-can-learn-from-fashion-television/] show, “Sex and the City” follows the life of four friends who work, play, and date in New York City. On HBO from 1998-2004 (and currently in edited re-runs elsewhere), the show was groundbreaking for it subject matter, nudity, and fashion. Not only were Carrie Bradshaw’s clothes expensive, eclectic, and unlike anything else on TV, this show — like “The Nanny” – clearly demonstrated just how much our clothes reveal about who we are and where we come from: Carrie, the bohemian writer; Samantha, the creative, hot-shot publicist; Charlotte, the proper WASP princess, and Miranda, the no-nonsense lawyer. Regardless of where they went or what they wore, those personas were almost always reflected in their style of dress.What you can learn: designers, styling tips, how to dress for different occasions and occupations, how to dress at different levels of society.Ugly Betty”Ugly Betty” follows the life of a sweet, smart, average-size, average-looking assistant from Queens who tries to fit into the reed-thin, high-glamour world of New York fashion. Betty’s clothes are appropriate for her position and budget, but they pale in comparison to her high-wattage, fashion-obsessed co-workers. Not surprisingly, the costumer behind “Ugly Betty,” Patricia Field, was also the mastermind behind “Sex and the City” and “The Devil Wears Prada,” so you see plenty of big designer, high priced clothes.What you can learn: styling ideas, what to wear at different levels, what NOT to wear.Mad MenSet in New York in the early 1960′s, this style-savvy show offers some of the best period costumes on television. Great suits, pretty dresses, and carefully selected hats, gloves, and bags take me back to my childhood when taking pride in your appearance and dressing appropriately for every occasion were as important as working hard and minding your manners. Beautiful clothes, artful grooming, and lovely sets make this show a pleasure to watch.What you can learn: occasion-appropriate attire, how to accessorize, historical costuming.Now as I said, I don’t always agree with everything on every show, but they’re fun to watch if for no other reason than because fashion plays such a dominate roll. You can always find something to take away and use from each program.