This course is designed as an introduction to financial accounting. It examines the nature of accounting, basic accounting concepts, financial statements including cash flow statements, accrual basis of accounting, the accounting cycle, inventories, fixed assets, current and noncurrent liabilities, and owner's equity. The course integrates accounting principles and applications of these principles in achieving business objectives. The course covers characteristics of the corporation to include the Stockholders' Equity section and financing of the corporation using stock. Also covered are unusual income items affecting the income statement. Computerized exercises will be included. IAI: BUS 903 Financial Accounting.
At the end of this course, students will be able to:
- Complete the Accounting Cycle including analyze period-end adjustments – accruals and deferral
- Be informed of current accounting events relating to the AICPA, SEC and other accounting groups
- Construct, interpret, and analyze the balance
- Account for and control the Owners’ Equity section of the Balance Sheet to include stock transactions, dividends, retained earnings and unusual items for corporations
- Account for (Interpret), analyze and control of Cash and Accounts Receivables including formulating an accurate policy for future business decisions
- Account for (Interpret), analyze and control of Inventory (various periodic and perpetual merchandise inventory methods), and liabilities (short-term, long-term, and contingent)
- Interpret analyze and construct a depreciation policy for the long-term assets (Property Plant and Equipme
- Construct, interpret, and analyze the income statement for a service and a merchandising business
- Analyze financial data, accounting principles and do financial reporting
- Construct, interpret and analyze a cash flow statement
- Understanding Business needs accounting, who, what, and why
- Journalizing and trial balance
- Closing entries
- Bank reconciliation
- Accounts receivable, contra accounts, liquidity ratios
- Depreciation, depletion, and amortization
- Bonds payable and interest calculations
- Corporate features, stock issuance, treasury stock
- Indirect vs direct method for statement of cash flows, operation, investing and financing activities, and measuring cash adequacy
- The accounting equation, income statement, Formula and account classifications. Horizontal and Vertical Analysis, Operating, Financial and Leverage Ratios and Evaluate the Quality of Earnings