Unit 1: Overview of Corporate Financial Reporting
This unit discusses the stream of financial accounting by:
- Introducing concepts, principles and reporting objectives of financial accounting,
- Outlining the major financial reports that serve as decision making tools for users of financial accounting information,
- Describing the organization of the Statement of Financial Position (Balance Sheet),
- Building the concept of double entry record keeping systems as described by the fundamental accounting model Assets = Liabilities + Shareholders' Equity, and
- Showing how financial events are processed through the accounting system, summarized on the trial balance and reported on the financial statements.
- Preparing the 4 key financial statements: Statement of Income, Statement of Financial Position, Statement of Changes in Equity and Statement of Cash Flow
Chapter 1: Overview of Corporate Financial Reporting
Chapter 2: Analyzing Transactions and Their effects on Financial Statements
Chapter 3: Double-Entry Accounting and the Accounting Cycle
Assignment 1 (9%)
Discussion Board #1 (2%): Make at least two response posts to students.
Unit 2: Revenue Recognition Concepts
This unit describes how companies measure operating performance and the factors to be considered before revenue can be considered earned. The accounting for long-term contracts represents an application of the revenue recognition criteria.
Reading* - Chapter 4: Revenue Recognition and the Statement of Income
Assignment 2 (3%)
Discussion Board #2 (2%): Make at least two response posts to students.
Unit 3: Current Assets – Cash, Short Term Investments and Accounts and Notes Receivable
With the initial view of the accounting cycle completed, we turn our focus in this unit to address specific problems unique to the recording and reporting of broad balance sheet classifications. This unit explores the most liquid category of assets - current assets. Procedures for completing a bank reconciliation are reviewed along with accounting for accounts receivable.
Reading* - Chapter 6: Cash and Accounts Receivable
Assignment 3 (5%)
Discussion Board #3 (2%): Make at least two response posts to students.
Unit 4: Current Assets - Inventory
This unit addresses some of the unique problems of accounting for inventory, focusing on cost of goods sold, periodic and perpetual inventory systems and detailed descriptions of various cost flow methods. Issues associated with the best method for valuing inventory are also explored.
Reading* - Chapter 7: Inventory
Assignment 4 (5%)
Unit 5: Capital Assets
This unit describes the nature of capital assets such as tangible property and land. Specifically this unit addresses how an accountant determines which costs may be included as part of the capital asset and how to amortize the cost of the asset to expense using different allocation methods. The accounting process to record changes in accounting estimates and the disposal of capital assets is also presented.
Reading* - Chapter 8: Long Term Assets
Assignment 5 (5%)
Unit 6: Liabilities and Equities
Having completed an examination of the major asset account classifications, this unit addresses issues associated with accounting for current and long term liabilities and equities.
On the liability side, particular attention is devoted to the procedures used to account for accrued liabilities and bonds issued at premiums or discounts. Since bonds are usually long term in nature, the methodology for recognizing the time value of money is presented. On the equity side of the balance sheet, particular attention is paid to the description of share capital accounts, the issuance of shares and the handling of dividends.
Chapter 9: Current Liabilities
Chapter 10: Long Term Liabilities
Chapter 11: Shareholders’ Equity
Assignment 6 (7%)
Final Exam/Course End Date
*see course guide and online modules for specific required reading in each chapter.