Course info

COURSE INFORMATION

Course Code and Name: ACCT 111 Financial Accounting IA

Pre-requisite: None

No. of Credits: 3

 Zoom Credentials: Meeting ID: 746 5334 6131   Password: 1112020                                     

               

COURSE DESCRIPTION: Fundamental Concepts of Financial Accounting are examined. Emphasis is placed on understanding the accounting cycle, the content and preparation of financial statements for sole proprietorship. An introduction to partnership and companies accounts will be looked at. Other topics covered are internal control, accounting for cash, short-term investments, receivables, inventories and property, plant and equipment.

 

COURSE RATIONALE:

Accounting gives students the tools to make real life financial decisions in a constantly changing and uncertain world.

Accounting is the process of preparing and communicating financial information to a wide range of users.

Accounting enhances financial literacy.

Accounting helps individuals and organizations to be accountable to stakeholders for their actions.

 

COURSE LEARNING OUTCOMES: Upon completion of this course the student should be able to:

1.        Describe the function of accounting and the nature and purpose of the information.

2.        List the fields of accounting and the activities carried on in each field.

3.        Describe the information contained in financial statements of a business and be able to prepare simple financial statements.

4.        Describe the nature of the events that are recorded in accounting and the importance of the business papers in recording those events.

5.        State the rules of debit and credit and use those rules to analyze transactions and show their effects on the accounts.

6.        Explain why the life of the business is divided into accounting periods.

7.        Explain why adjustments are required by the revenue recognition and matching principles and why

the  accrual basis of accounting is preferred over cash basis accounting.

8.        Analyze and record transactions that involve the purchase and resale of the merchandise.

9.        Explain the nature of each item entering into calculation of the cost of goods sold and gross profit from sales.

10.     Explain why internal control procedures are needed in a large organization and state the broad principles of internal control.

11.     Prepare entries to account for transactions with credit customers, including accounting for bad debts.

12.     Calculate the cost of inventory based on FIFO, LIFO and AVCO and explain the financial statement effects of choosing one method over the other.

13.     Describe the differences between plant assets and other kinds of assets.

 

COURSE RESOURCES:

Wood, F. & Sangstr, A. (2012). Business Accounting 1 (12^th ed.), Harlow: UK.

 Supplementary Reading: Heintz, J. A. & Parry, R. W. Jr (2008). College Accounting, 19^th edition. Mason, OH: USA

 

 COURSE INSTRUCTIONAL METHODOLOGIES & COURSE ACTIVITIES: 

COURSE CONTENT OUTLINE AND ACTIVITIES

 1. Learning Objectives in the Introduction to Business, Accounting and Ethics:

1.1 Definition and Object of Accountancy

1.2 Explain the Users of Accounting Information

1.3 Understand the Types of Accounting

1.4 Legal Forms of Business Organization

 1.5 Understand the Types of Financial Statements

1.6 Understand and demonstrate the Framework for the Preparation and Presentation of Financial Statements

1.7 Explain the Qualitative Characteristics of Financial Statements

1.9 Explain the Elements of Financial Statements

1.10 Explain the Purpose of Financial Statements

2. LEARNING OUTCOMES IN Accounting Principles And Standards

Introduction to:

2.1 Understand GAAP

2.2 Understand IAS

2.3 Understand IFRS

3. LEARNING OUTCOMES IN THE Recording Accounting Transactions

3.1 Explain the Accounting Equation

3.2 Know the different Types of Accounts

3.3 Understand the Rules of Debit & Credit

3.4 Explain what Source Documents are

3.5 Understand how to Analyze Transactions

3.6 Understand how to Record Transactions

3.7 Be able to Post to Ledger (T – Accounts)

3.8 Be able to Balance the Accounts

3.9 Be able to Prepare Trial Balance

3.10 Be able to rectify the Erroneous Entries

3.11 Be able to Journalize Adjustment Entries

3.12 Know how to Prepare Adjusted Trial Balance

4 Learning Outcomes in the Financial Statements Preparation And Presentation (IAS 1)

4.1 Be able to come up with a Statement of Financial Position

4.2 Be able to come up with Statement of Profit or Loss and other Comprehensive Income

4.3 Know how to Adjust the Accounts and Preparing the Statements

5 Learning Outcomes in Internal Control and Accounting for Cash

5.1 Define Liquidity, Cash and Cash Equivalents.

5.2 State the Principles of Internal Control.

5.3 Describe Internal Control Procedures Used to Protect Cash Receipts and Cash Disbursements.

5.4 Be able to Record Petty Cash Fund Transactions.

5.5 Be able to Prepare Bank Reconciliation.

6 Learning Outcomes in Accounting for Inventories (IAS 2)

6.1 Explain the Basics of Inventory

6.2 Explain Inventory Accounting Systems

6.3 Know the Inventory Valuation Methods – FIFO, AVCO

6.4 Be able to Account for Inventory

6.5 Explain the Inventory and Its Impact on Financial Statements.

7 LEARNING OUTCOME IN Accounting for Property Plant and Equipment (IAS 16)

7.1 Understand Plant Assets

7.2 Determine the Cost of Plant Assets

7.3 Know the Basic Concepts of Depreciation

7.4 Explain the Methods of Depreciation

7.5 Know how to Account for Depreciation

7.6 Explain Depreciation and its Impact on Financial Statements

COURSE REQUIREMENTS:

 

A.      Attendance online and participation.

B.       Reading the textbook and other related materials

 

GRADING SYSTEM AND ITS COMPONENTS

Assessment Criteria                         Percentage

a.        Continuous Evaluation

Class Assignments                  10%        

Tests and Quizzes                   10%   

Mid-term                                 30%        

 

b.       Final Examination

Final Examination                   50%

 

              GRADES AND ITS EQUIVALENT

Letter Grade	Percentage Range		B-	65-69
A	90-100		C+	60-64
A-	80-89		C	50-59
B+	75-79		D	45-49
B	70-74		F	0-44

 

 ASSIGNMENT ASSESSMENT

Students are expected to submit their assignments as they fall due. Late work will not be marked.

 

CLASS PROCEDURES:

1.        Each session to begin with a devotion and prayer.

2.        All students are encouraged to participate during devotion e.g. by giving testimonies or short sermons that will encourage other students. As stewards of time students are expected to be punctual in all classes and are expected to submit their assignments as they fall due.

3.        Effort and involvement is as essential for learning as they are for success in your career. To help assure your success, participation in all activities of this course is expected. Your program will identify any specific requirements applicable to this class and delivery method.

4.        Each student is encouraged to participate in the class activities meaningfully.

 

ACADEMIC HONESTY AND INTEGRITY:

Students are encouraged to work in small groups, but should refrain from duplicating or photocopying other student’s work.  All assignments must reflect each student’s work and ingenuity. Academic dishonesty is considered to be an extremely serious academic offence.