Course Objective
To introduce the principles and procedures of accounting with an emphasis on the financial reporting and the uses of accounting. Financial reports are an important means of communication with investors and other stakeholders. Financial reports viz. Balance Sheet, Income Statement, and Cash Flow Statement are used by the managers on a day-to day basis. This course explains what?, Why?, and How? of these financial statements. The course provides an understanding of the accounting rules as well as an appreciation of the judgment required in applying them and familiarise with the structure and content of company financial statements and with the techniques of financial statement analysis.
Course Content
1. Introduction:
- The Accounting Environment/Forms of Business Organisation
- Annual Reports/Accounting Flow
2. Balance Sheet
- Definition/Purpose /Accounting equation
- Statutory Formats/Process of Preparation
3. Profit and Loss Account
- Definition/Purpose /Statutory Formats/Process of Preparation
4. Cash Flow Statement and Fund Flow Statement
5. Accounting Process: Introduction to Accounting Package
- GAAP/Journal, Ledger
- Trial Balance and Final Accounts
6. Financial Statement Analysis
- Methods of Analysis
- Ratio Analysis/Trend Analysis
7. Inventory Valuation
- Definition/Accounting Standard-2
- Impact of Inventory Valuation on P/L account and BS
8. Fixed Assets Accounting and Depreciation
- Accounting Standard-6 and 10
- Impact on P/L account and BS
9. Accounting for Shareholders Value
10. Recent Trends in Financial Reporting
Evaluation Package
The evaluation of the performance in the course will be made through quizzes, mid-term and end-term examinations, and group base project. The weightage of the above components is as follows:
Quiz: 20% Mid Term: 30% End Term: 30% Project: 20%
Marks(%) | GRADES |
90 - 100 | A+ |
80 - 89.9 | A |
70 - 79.9 | B+ |
60 - 69.9 | B |
50 - 59.9 | C+ |
40 - 49.9 | C |
Less than 40 | D |
|