Financial Accounting we will continue to study the language of business in more detail.   We will start with retailer’s inventory management issues and demonstrate the accounting practices for inventory. We will close our study of current assets with the monitoring of accounts receivables, recording an estimate for bad debt expense, recognition of a note receivable and interest on outstanding balance.  We will finish assets with the study of long lived tangible and intangible assets and the accounting principles to record the acquisition, depreciation, use and disposition will conclude our study of the Asset section of the Balance Sheet.

 

The current and long-term liabilities accounting principles will be reviewed.  Student will learn the role all liabilities play in financing company operations.  The last topic discussed will be Stockholder’s equity.  Students will learn to record the issuance of stock, dividends and recording of treasury stock transactions. 

 

 

 

COURSE LEARNING OBJECTIVES

 

Upon completion of this course:

  • Students will understand the differences between the periodic and perpetual inventory system, understand how to calculate the cost of goods sold using various inventory costing methods, record the journal entries for each inventory system and prepare and analyze a retailer’s multistep financial statement.
  • Students will be able to prepare and analyze an accounts receivable aging report,  calculate the estimate and record the bad debt expense, the write-off of accounts receivable and record a notes receivable and related journal entries.
  • Students will understand the cost principles to capitalize long-lived assets, calculate various depreciation methods, record the disposal of long-lived assets and will be able to apply the long-lived asset theory to intangible assets
  • Students will have the ability to explain the role of liabilities in financing a business, record current liabilities, record journal entries related to long-term liabilities, and describe how to account for the reporting of contingent liabilities.
  • Students will the ability to explain role of stock in financing a corporation, record stock and dividend transactions and explain the characteristic of preferred stock.