After completing this course, you will be able to analyze and prepare a set of basic financial statements. You will begin by examining the accounting cycle of a corporation in the service sector, learning how financial transactions are processed through the accounting information system each accounting period. You will then examine accounting for merchandise operations as well as inventory and cost of sales. Special issues regarding balance sheet components are reviewed in detail, including
internal control and cash;
accounts receivable;
property, plant, and equipment assets; and
short-and long-term liabilities.
Additional financial accounting issues related to the corporate form of organization are examined later in the course, followed by an introduction to the statement of cash flows. Generally accepted accounting principles and ethics are examined throughout the course as they relate to each area. You will learn to apply basic tools for analyzing financial statements. Finally, you will be introduced to basic accounting issues related to the sole proprietorship and partnership forms of business organization.
Outline
Chapter 1: Introduction to Financial Accounting and Financial Statements
Chapter 2: The Accounting Process
Chapter 3: Financial Accounting and Adjusting Entries
Chapter 4: The Classified Balance Sheet and Related Disclosures
Chapter 5: Accounting for the Sale of Goods
Chapter 6: Assigning Costs to Merchandise
Chapter 7: Cash and Receivables
Chapter 8: Long-Lived Assets
Chapter 9: Debt Financing: Current and Long-Term Liabilities
Chapter 10: Equity Financing
Chapter 11: The Statement of Cash Flows
Chapter 12: Financial Statement Analysis
Chapter 13: Proprietorships and Partnerships
Learning outcomes
Analyze and prepare a set of basic financial statements.
Describe the accounting cycle of a sole proprietorship.
Explain how financial transactions are processed through the accounting information system each accounting period.
Be familiar with accounting for merchandise operations, as well as inventory and cost of sales.
Be familiar with balance sheet components – internal control and cash, accounts receivable, capital assets, and short- and long-term liabilities.
Be familiar with financial accounting issues specific to the corporate form of organization.
Be familiar with a cash flow statement.
Be familiar with generally accepted accounting principles and ethics.
Apply basic tools for analyzing financial statements.
The following chart summarizes the evaluation activities and scheme for this course.
Activity
Weight
Case Study
10%
Midterm Exam
30%
Final Exam
40%
Labs
20%
Total
100%
The midterm and final examinations for this course must be requested in advance and written under the supervision of an AU-approved exam invigilator. Invigilators include either ProctorU or an approved in-person invigilation centre that can accommodate online exams. Students are responsible for payment of any invigilation fees. Information on exam request deadlines, invigilators, and other exam-related questions, can be found at the Exams and grades section of the Calendar.
To learn more about assignments and examinations, please refer to Athabasca University’s online Calendar.
Materials
Dauderis, H., & Annand, D., Jensen, T., & Morpurgo, M. (2023). Introduction to financial accounting (revision 2024-A edition). Lyryx Learning Inc. (Online)
This work is licensed under a Creative Commons Attribution-NonCommercial-ShareAlike 3.0 Unported License, and is updated periodically to incorporate corrections.
eText
Registration in this course includes an electronic textbook. The eTextbook is available in multiple formats through Lyryx.
Other Resources
All other course materials, including access to web-based tools in Lyryx, will be accessed online.
Students re-registering in this course should be aware that any work previously completed in Lyryx will not carry forward.
Challenge for credit
Overview
The challenge for credit process allows you to demonstrate that you have acquired a command of the general subject matter, knowledge, intellectual and/or other skills that would normally be found in a university-level course.
Full information about challenge for credit can be found in the Undergraduate Calendar.
Evaluation
To receive credit for the ACCT 253 Challenge Option, you must achieve at least 50 percent on the Challenge Exam and at least 50% on the online case study. The overall grade is based on an online case study (20%) and an online exam (80%).
Activity
Weight
Case Study
20%
Exam
80%
Total
100%
Materials
Once you register for the Challenge Option, a link will be provided for you to purchase access to the Lyryx platform. This access is mandatory as all assessments will be completed in Lyryx, including the invigilated exam. The textbook is available in multiple formats (including free download) through Lyryx.
Athabasca University reserves the right to amend course outlines occasionally and without notice. Courses offered by other delivery methods may vary from their individualized study counterparts.