Accounting 2 FMGT 2100

Course offerings

Learning Outcomes

Upon successful completion of this course, the student will able to:

• Prepare journal and adjusting entries to record transactions in each topic area studied.
• Apply generally accepted accounting principles and determine how they influence financial reporting.
• Explain the purpose and need for internal controls and prepare bank reconciliations.
• Evaluate the nature and management of accounts and notes receivable and the aging of accounts receivables.
• Analyze the purpose and demonstrate the calculation of amortization on various types of property, plant and equipment using generally accepted accounting principles.
• Assess the nature and behaviour, of interest bearing instruments such as bonds, notes payable, and notes receivable (both short and long term) while demonstrating appropriate accounting treatments.
• Describe and differentiate the advantages and disadvantages of a corporation, a partnership and a sole proprietorship as forms of business organization.
• Demonstrate the accounting required for the shareholders' equity of a corporation including the issuance of shares, the declaration and payment of dividends, and the related effect on Retained Earnings.
• Evaluate and apply appropriate treatment of extraordinary items, prior period adjustments and accounting changes.
• Demonstrate the treatments and entries required for a basic payroll system.
• Describe the nature of consolidated financial statements, and apply appropriate short term and long term investment principles to other forms of investment or ownership.
• Demonstrate appropriate accounting for a partnership including: addition of partners, allocation of earnings or losses, withdrawal of partners and liquidation of partnerships.
• Prepare and statement of cash flows under indirect and direct methods. Explain the nature of cash, working capital, and the various sources and uses of cash as it pertains to the management of a business.
• Analyze financial statements by computing financial ratios and various analysis methods.

Effective as of Fall 2016

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