Here in this article is a advice for accountants regarding must read books that can help a lot in their profession. Accountants should know different tools and techniques to perform numerical calculations because it can be a tough and annoying task to do if you don’t know the right way to perform them. This knowledge can be found in books that are related to accounting, taxation, finance, and business; which are comprehensive and cost-effective sources of learning.
It can leave you confused when it comes to choosing a few book options from the thousands of choices. A quick search on Google for the best books for accountants will certainly reveal numerous results.
Well, this post reveals the top five books for accountants, which have been compiled after thorough research.
Accounting for the Numberphobic – By Dawn Fotopulos
This book throws knowledge about the techniques or tools for measuring the overall financial health of a business. It explains how each measurement indicates the fiscal status and affects the decisions.
This easy-to-follow guide explains your company’s financial dashboard: the Net Income Statement, Cash Flow Statement, and Balance Sheet. The book explains in plain and simple English language how each measurement reflects the overall health of your business–and impacts your decisions.
You get to learn about profit and loss reports, ledgers, and financial statements. The book also guides you towards maintaining balance sheets, cash flow statements, and net income statements.
Accounting Made Simple – By Mike Piper
This high-level introduction to accounting and bookkeeping will give you all the information you need to make informed decisions about your financial reporting needs. You’ll learn about assets vs. liabilities, equity, operating income vs. net income, margin, cost of goods sold, double-entry bookkeeping, and cash vs.
This book is one of the best suggestion for those who are just freshers at accounting . The author has explained all the basics that a beginner/fresher must know, such as key accounting concepts and building blocks.
The book explains the importance of the accounting equation, techniques of reading and making financial statements, methods of calculating different financial ratios, and concepts and hypotheses behind Generally Accepted Accounting Principles (GAAP).
The book also throws light on how to make journal entries with debits and credits, depreciation calculation, inventory sold, and cost of goods sold.
Warren Buffett Accounting Book – By Preston Pysh & Stig Brodersen
A review says “In this book, you will learn how to: Pick stocks like Warren Buffett Calculate the intrinsic value of stocks using two methods During the second half of the book, readers will learn in-depth methods for: Read an income statement Read a balance sheet Read a cash flow statement Calculate and interpret key ratios.”
Warren Buffet is recognized as one of the most lucrative investors. Based on value investing, his investing style commences with fundamental analysis prior to getting into accounting research. This book is dedicated to both new and experienced investors.
With the focus on Buffet’s principles, this book shows how to select stocks and compute their intrinsic value using different techniques. Further, you learn about the methods for reading a balance sheet, an income statement, and a cash flow statement. You also get a knowledge about the different methods of calculating and interpreting key ratios.
Financial Shenanigans – By Dr. Howard Schilit, Yoni Engelhard & Jeremy Perler
This book is based on the most shocking frauds and financial reporting offenders, and gives investors the tools they need to spot deceptive financial reporting in the global markets. This unparalleled guide provides the investigative tools you need to detect:
* Corporate cultures that incentivize dishonest practices
* The latest tricks companies use to exaggerate revenue and earnings
* Techniques devised by management to manipulate cash flow as easily as earnings
* Companies that use misleading metrics to fool investors about their financial performance
* How companies use acquisitions to hide deterioration in their underlying business
This book describes many tools for detecting all types tricks used for overstating earnings, corporate beliefs supporting unfair practices, misleading metrics indicating false financial performance, and management methods for manipulating income and cash flow. You will also understand how companies utilise procurements to conceal the decline of their business.
A Brief History of Economic Genius – By Paul Strathern
Paul Strathern uncovers the lives and ideas of the great philosophers of money against the backdrop of some of history’s most turbulent events: The South Sea Bubble, the French and Russian Revolutions, and the Crash of 1929. On the way, he provides an enriching and entertaining account of the great, the good, and the downright bad in economic theories- from double-entry bookkeeping to game theory.
Many will think that this is a boring book because it is related to history of accounting which can be partially true. But it is dedicated to the history of accounting, it is not at all boring. This is because the author describes accounting history like an action-packed film, as he unearths the secrets of theories of economics as well as mathematics.
The interesting part about this book is its explanation of how the connection between business principles and mathematics has molded the field of economics for over a couple of centuries. A critical analysis is made to explain how the field of science has influenced the financial forces.
Reading any of these books is likely to help you proceed in the right direction on your career path and provide a boost in your knowledge.