Conceptual objectives:

1. Explain the purpose and importance of accounting
2. Identify users and uses of, and opportunities in, accounting.
3. Explain why ethics are crucial to accounting
4. Explain generally accepted accounting principles and define and apply several accounting principles
5. Appendix 1B—Identify and describe the three major activities of organizations

Analytical objectives:

1. Define and interpret the accounting equation and each of its components.
2. Compute and interpret return on assets.
3. Appendix 1A—Explain the relation between return and risk.

Procedural objectives:

1. Analyze business transactions using the accounting equation
2. Identify and prepare basic financial statements and explain how they interrelate.