Aims

To develop intermediate skills in financial accounting to be able to:

1.Prepare financial statements for a single entity in accordance with relevant IASB International Accounting Standards

2.Interpret a set of financial statements, including an understanding of the effect of different accounting policies on the statements being analysed

3.Understand the key principles of accounting for groups and other organisations

Outline Of Syllabus

In this module we build on introductory financial accounting knowledge to cover regulatory and IASB frameworks governing the production of financial statements for single entities. We will consider how to account for a range of situations. Examples could include accounting for provisions, contingent liabilities and contingent assets, tangible and intangible assets, aspects of sustainability and how to bring this together in a set of financial statements for a single entity.

Although we will mostly concentrate on single corporate entities, we will introduce consolidation and the preparation of group financial statements. We will also provide an overview of other entities’ accounting requirements.

We will learn how to apply and discuss key ratios used for the interpretation of single entity financial statements, which encompasses an understanding of how an organisation’s choice of accounting policy affects their net income and capital.

Teaching Rationale And Relationship

Lecture material is used to introduce the course material to students, concentrating upon more challenging aspects of financial accounting. Students are given a programme of required reading to supplement the lecture materials and are encouraged to attempt questions as well as reading around subjects as widely as possible.

The seminar sessions consolidate the course material by allowing students to tackle problems in a small group environment, where the seminar leader is available to provide explanations and give extra help as required. The practice questions set will help students to develop problem-solving, numeracy and written-communication skills. Some of the seminar sessions are designed to encourage discussion by considering the implications of alternative accounting policy choices and trends in financial reporting. Students are required to attend seminar sessions with their attempts at set questions ready to discuss these with the rest of the group.

Assessment Rationale And Relationship

The semester 2 examination tests the students' intended knowledge and skills outcomes, covering content from both semesters. The semester 1 MCQ examination will provide an assessment of students' core knowledge of the material covered in semester 1.

In any circumstance where an alternative semester 2 assessment (worth 75% of the overall module mark) is deemed to be necessary, the module leader will consult with the DPD in the first instance as to the requirements of the professional accrediting body to discuss possible acceptable alternatives.