Course Description

Second course in a two-course sequence. Examines intensively the generally accepted accounting standards related to the preparation of financial statements, with particular emphasis on liabilities and stockholders’ equity. Studies in-depth topics such as leases, accounting for income taxes, and preparation of the statement of cash flows. Revenue recognition issues involving long-term construction contracts and franchises are also examined. The course is required of and limited to Business Administration majors who are pursuing the Accounting Concentration.

Prerequisite: ACC300


Course Objectives

This course will increase the student’s knowledge of financial accounting and reporting beyond the level achieved in the introductory course. Specifically:

1. Students should understand the dynamic process leading to the establishment of generally accepted accounting principles (GAAP).
2. Students should be able to discuss GAAP related to the preparation of financial statements, with particular emphasis on liabilities, stockholders’ equity, and the statement of cash flows.
3. Students should be able to discuss GAAP related to specialized topics such as revenue recognition, leases, pensions and other postretirement benefits, and accounting for income taxes.
4. Students should be able to analyze an accounting problem and correctly apply the quantitative skills to solve it.
5. Students should be able to research the answers to case questions in the authoritative literature.

Accountants need more than accounting knowledge to be successful. They need communication skills, problem solving and critical thinking skills, interpersonal skills, technology skills, and life-long learning skills. This course will contribute to the development of these necessary skills through class participation, group projects, writing assignments, and research assignments.


Required Materials

Kieso, Weygandt, and Warfield, Intermediate Accounting, 10^th edition, John Wiley & Sons, 2001.


Pedagogy

Classes will be a combination of lectures and discussion of problems. The majority of assignments involve problem solving. In addition, there will be several writing assignments and GAAP research assignments, some of which will group assignments.


Course Activities to Meet Objectives

To achieve the above outcomes students should (1) read and study the assigned material in the texts and (2) prepare the assigned exercises, problems, research and writing assignments.

Communication Skills:

Verbal and written communication skills are extremely important skills needed by accountants. All students are expected to participate actively in class discussions. Classroom participation will be evaluated in terms of the quality (not quantity) of discussion by the student. Students will provide written work for me primarily via the Writing Assignments and GAAP Research Assignments. These assignments will be graded based on content, grammar, and spelling.

Writing Assignments And GAAP Research Assignments:

These assignments are intended to help you:

• improve and synthesize your understanding of accounting by applying the concepts that have been developed in class;
• develop your research skills;
• enhance your critical thinking skills;
• improve your interpersonal skills (on group assignments); and
• improve your writing skills.

Use the following guidelines in preparing these assignments:

• All assignments must be typewritten (preferably using a word processor) and spell checked.
• Put your name, course number and section, and name of assignment on a cover sheet stapled to the front of the assignment.
• Each group assignment should have a sheet attached stating the percentage participation of each student in the group while preparing the case and signed by all group members.

Schedule of Assignments

Go to: www.salemstate.edu/~kdow/acc301assignments.htm


Course and Grading Policies

The semester grade will be determined as follows: