The second edition of Financial Accounting has been updated with one new chapter, new sections, IFRS content, recent data from the financial statements of various companies as well as exercises and problems for students. The text material has been restructured to focus on the changes since the last edition. It is now divided into 18 chapters and has four appendices.

Beginning with the fundamentals of accounting, the book discusses the recognition of transactions. It goes on to discuss the preparation, analysis, and interpretation of financial statements, which is followed by a separate section on analytical accounting. Finally, it discusses the cash flow statement, legal and regulatory aspects of accounting, corporate governance, accounting standards, shares and debentures, and the contemporary issues in accounting.