Description
This course is an introduction to the basic accounting concepts. In the first part emphasis is placed in studying the accounting cycle, basic ledger accounts, the journal, the ledger, balance sheet, income statement, the statement of retained earnings, statement of cash flows, and accounting adjustments. The second part of the course analyzes in detail assets, liabilities and stockholder’ equity: types of inventory and inventory valuation methods, valuation of assets, depreciation systems, intangible assets, and liabilities accounts.
Type Subject
Primer - Obligatoria
Semester
Second
Course
1
Credits
6.00
Previous Knowledge
Objectives

At the end of this academic term, students will have completed part of their basic Accounting training. They will be instructed and assisted in:

Understanding the importance of the Accounting practice in the business environment.

Understanding the most important accounting principles both from a theoretical as well as from a practical viewpoint.

Learning how to record economic events in the business entity on a day to day basis by mastering the basic bookkeeping techniques.

Preparing the basic financial statements in order to report the business’ results.

Understanding the most important asset, liability and equity accounts.

Understanding the concept of depreciation and amortization and their role in the company results.

Understanding the composition of the company’s equity accounts and how the behavior of the stock market influences the business environment.

Contents

Below you can find the main topics that will be covered.

Topic 1 Introduction to Accounting and Basic Financial Statements

Topic 2 The Accounting Cycle: Capturing Economic Events

Topic 3 Chapter 4 - Accruals and Deferrals

Topic 4 Reporting Financial Results

Topic 5 Merchandising Activities

Topic 6 Inventories and the Cost of Goods Sold

Topic 7 Financial Assets

Topic 8 Plant and Intangible Assets

Topic 9 Liabilities

Topic 10 Stockholders’ Equity: Paid-In Capital

Methodology

The class sessions will consist of lecture time and solving problems.

Evaluation

Students are expected to do class practices, complete all assignments, tests, exams and class participationThis is reflected in the course grading.

Assignments include exercises and problems which are assigned from the textbook. All assignments must be submitted upon request by the professor (daily basis). If a student is absent for any session, he/she must submit the assignment due by email on that same day.

The use of laptops is not allowed during class.

Be punctual.

The textbook will be regularly used for doing exercises and for discussion purposes.

Problem sets are to be done individually.

Retake Policy: If the student fails the course, there will be a retake exam which consists of a written open-book exam to be conducted on the dates specified by Administration and which will be based on the entire course material. The final grade for the course will be 60% of the retake grade and 40% of participation, attendance and assignments.

Evaluation Criteria

The course grade will be based on the following point breakdown:

Attendance and participation (including preparation of homework): 30%

Assignments: 15%

Midterm exam: 25%

Final exam: 30%

Basic Bibliography

Required Textbook:

Financial and Managerial Accounting, by Meigs, Williams, Haka and Bettner, International Edition, McGraw-Hill 17th Edition. Any edition from 14th to 17th may be used.

Additional Material

Required Textbook

Financial and Managerial Accounting, by Meigs, Williams, Haka and Bettner, International Edition, McGraw-Hill 17th Edition. Any edition from 14th to 17th may be used.