Financial Accounting

MBA – II
DBA – 422

1. The Nature and Function of Accounting.

– The Record –keeping Function
– Classifying and Summarizing Transactions
– Accounting and Decision Making

2. Accounting and the forms of Business Enterprises

– Sole Proprietorships
– Partnerships
–  Corporation

3. Financial Statements- The outputs of the system.

– learning Objective
– Objectives of Financial Reporting
– Qualitative Characteristics of Financial Information
– The Uses and Limitations of Classified Balance Sheets
– The Retained Earnings Statement or Statements of Changes in Stockholders Equity
– The Statement of Changes in Financial Position
–  Other Elements of an Annual Report of a publicly held Company

4. Cash Flow Statements

5. Interpreting financial statements data

– Learning Objectives
–  The Purpose financial statement analysis
– Sources of financial analysis
– The techniques of financial analysis
– Common financial ratio
– Limitation of financial statement analysis

6. Accounting for cash and receivables

– Learning Objectives
– Management Control over Cash
–  Accounting for Receivables

7.  Current liabilities and concepts related to the time value of money

– Learning Objectives
– Definition and Recognition of Liabilities
– Types of Current Liabilities
–  Interest and the time value of money

8. Property, Plant and Equipment Natural Resources and Intangible assets.

– Learning objectives
– Non-current , Non-monetary Assets
– Capital versus Revenue Expenditure Measuring and recording the Acquisition Cost of property, plant and Equipment.
– The accounting concepts of depreciation
– Methods of computing periodic depreciation
– Accounting for subsequent expenditures
– Disposal of property, plan, or Equipment
– Natural Resources
– Intangible Assets

9. Accounting for long term liabilities and investments in bonds.

–  Learning Objectives
– Bonds
– Accounting for bonds by borrowers
– Accounting for bonds by the investor
– Other forms of long term debt

10. Corporate organization and capital stock transactions.

– Learning Objectives
– Characteristics of a corporation- The formation and organization of a corporation
–  Types of capital stock
– The components of stockholders’ equity
– Accounting for the issuance of stock
– Use of stock information

11.   Stockholders equity retained earnings and dividends

– Learning Objectives
– Corporate income statements
– Earning per share
– Dividends
– Stock splits prior period adjustments, appropriations, and treasury stock
– Retire of capital stock
– Statement of stockholder’s equity
– Summary of learning Objectives

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