UIVERSITY OF PUERTO RICO AT BAYAMÓN
BUSINESS ADMINISTRATION DEPARTMENT
BACHELOR’S DEGREE PROGRAM
Course Title : Introduction to the Fundamentals of Financial
Accounting II
Credits : Four (4)
Requirements : CONT 3005
Meeting hours : Four (4) hours a week; 60 hours per semester
Description : A continuation of the study of basic accounting principles and procedures of partnerships and corporations. The study of the organization, administration of partnerships and corporations and their liquidation. Emphasizes legal characteristics, their elects in the capital and profit distribution. Bond emissions, financing and corporation investments. The financial statements are compared and analyzed. Manufacturing is discussed in general.
Textbook : Warren, C., Reeve, J. & P. E. Fess, (2005).
Accounting, Edition 21, Mason, Ohio: Thompson, South- Western Publishing.
Learning aids and
Technology : Web Tutor with Personal Trainer 3.0, designed on a
Blackboard Platform. It includes a two-semester access
key which enables communication, including e-mail,
discussions and chat. This technique gives the student
access to online learning tools, such as e-lectures, topical
quizzes, a Spanish dictionary and crossword puzzles.
PERSONAL Trainer 3.0: allows students to complete assigned homework or
practice unassigned problems on-line. It provides a self-correcting learning reinforcement system outside the classroom.
P.A.S.S. : Power Accounting System Software is a general ledger
Software program to solve end of chapter problems, the continuing problem and comprehensive problems. It includes a problem checker, real business forms and tools to analyze financial data.
Spreadsheet
Application
Software : A set of electronic worksheets that help students solve
selected exercises and problems that are identified in the
text with a spreadsheet icon. This feature gives students
the opportunity to solve problems using Microsoft Excel.
Evaluation
Criteria : The evaluation alternatives will include:
1. Partial test will be given two (2) to three (3) with a value of 100 points each.
2. Short test, quizzes, cases, computerized exercises, internet exercises, and general ledger software exercises, will be given according to the professor’s discretion and may have the value of an additional test.
3. Mid-term may be given depending on faculty members’ decision.
4. Comprehensive general ledger software problems that integrate and summarize concepts and principles from different chapters according to the professor’s discretion.
5. The final test, covering the specific course objectives, will have a value of 100 points.
General
Objectives : At the end of the course the student should:
1. Have developed the skills to understand accounting processes that include analysis of business transactions for a corporation.
2. Be able to apply accounting knowledge and skills in solving simulated cases; use computerized accounting systems; obtain information from the internet and use data base of annual reports.
3. Apply judgments to develop critical thinking skills and solve case problems of the business environment.
4. Enhance his or her attitudes in the discussion of ethical issues on the business environment.
5. Use accounting vocabulary to develop the skills for written and oral communication related to accounting issues.
Specific
objectives: At the end of the course the student should be able to:
1. Recognize the importance and treatment of current and long-term liabilities for a corporation.
2. Identify alternate forms of business entities, their advantages and disadvantages and the related accounting issues.
3. Understand issues related with unusual income items.
4. Distinguish and understand the difference between investment in capital and investment in debt.
5. Recognize the importance of cash flows provided or used from operating, financing and investing activities, the presentation of the Cash Flow Statement and its relationship with the other Financial Statements.
6. Understand basic foreign currency transactions and related presentation issues.
7. Understand basic transactions for a manufacturing enterprise, the presentation of its financial statements and issues in managerial accounting.
Educational strategies:
Conferences, analysis of financial reporting
problems, comparative analysis problems,
group decision cases, interpreting financial
statements, ethic cases, exploring the web,
real world emphasis, comprehensive
computerized problems, general ledger
problems and spreadsheet problems.
Scale of grades :
100 – 90 A
89 - 80 B
79 - 70 C
69 - 60 D
59 - F
Grade distribution :
Tests…………………………………………70%
Special projects……………………….20
Class participation……………………10
100%
|
Topic |
Chapter |
Hours |
|
I. Current liabilities A. Examples of current liabilities B. Short-term notes payable C. Contingent liabilities and product warranties D. Employer payroll liabilities E. Accounting system for payroll F. Accounting for employee fringe benefits |
11 |
7 |
|
II. Corporations: organization, capital stock transactions, dividends A. Nature of corporations B. Sources of stockholders equity C. Sources of paid-in capital D. Entries for issuing stock and treasury stock E. Stock splits F. Entries for cash and stock dividends G. Reporting stockholders equity |
12 |
8 |
|
III. Partnerships and limited liability corporations A. Characteristics of each B. Formation of a partnership C. Division of net income and loss D. Partnership characteristics according to the law in PR E. Comparative analysis for different forms of business organization |
13 |
4 |
|
IV. Income taxes, unusual income items, investments in stocks A. Entries for income taxes B. Preparation of income statement C. Earnings per share data D. Comprehensive income E. Investments in stocks F. Business combinations |
14 |
8 |
|
V. Bonds payable and investments in bonds A. Impact of long-term borrowing B. Characteristics of bonds C. Present value of bonds payable D. Entries for bonds payable E. Bond sinking fund F. Bond redemption G. Corporate balance sheet |
15 |
8 |
|
VI. Cash flows statement A. Preparation, Indirect Method B. Sources and uses of cash flow from operating activities, financing and investing activities C. Free cash flow; statement analysis |
16 |
8 |
|
VII. Foreign Currency Transactions A. Realized currency exchange gains and losses B. Unrealized currency exchange gains and losses C. Case study |
Appendix D |
5 |
|
VIII. Managerial Accounting and Job Order Cost System A. Managerial versus financial accounting B. Management accountants C. Materials, factory labor and factory overhead costs D. Manufacturing accounting systems E. Job order system and decision making F. Flow of costs for a service business |
18 |
4 |
|
IX. Process Cost Systems A. Job order versus process costing B. Physical flows and cost flows for a process manufacturer C. The traditional vs. the just-in-time production line |
19 |
2 |
|
X. Tests |
* |
6 |
|
XI. Total hours |
|
60 |
* Tests will be programmed according to class needs.
Horngren, Harrison and Bamber, Accounting, 6th edition,
Prentice-Hall, 2005.
Needles, Powers & Crosson, Financial and Managerial Accounting, 7th
Edition, Houghton Mifflin, 2005.
Needless & Powers, Principles of Financial Accounting, 9th edition,
Houghton Mifflin, 2005.
Needless Powers & Crosson, Principles of Accounting, 9th edition,
Houghton Mifflin, 2005.
Tieso, Weygandt & Warfield, Intermediate Accounting, 11th edition,
John Wiley & Sons, 2004.
Weygandt, Tieso & Kimmel, Accounting Principles, 7th edition, John Wiley
& Sons, 2005.
Weygandt, Tieso & Kimmel, Accounting Principles, 6th edition, John Wiley
& Sons, 2003.
http://www.rutgers.edu/accounting/raw
http://www.irs.ustreas.gov/prod/forms_pubs/index.html
Prepared by: Prof. Florita Vales and
Prof. Sonia Feliciano
January, 2006
UPR at Bayamón complies with the provisions of the Americans with Disabilities Act and Law 51 on Integrated Educational Services for People with Impediments. Students with impediments should report to the professor in order to design reasonable accommodations to those effects. Confidentiality will be maintained.