ST. GREGORY’S UNIVERSITY

COURSE SYLLABUS for Fall 2001

 

Course

BU 3504, Intermediate Accounting

Time/Location

Directed study with weekly meetings

Prerequisite

BU 2113, Financial Accounting and BU 2123, Managerial Accounting with a grade of C or better

Instructor

Mayda Shorney, Ph.D., CPA

Office / Hours

Room 442a, MWF 1000-1100 & 1300-1400, TR 0900-1000 & 1400-1500

Phone

Office 405-878-5159, Home 405-214-6449

E-Mail

mshorney@sgc.edu

Web site

http://intranet.sgc.edu/people/faculty/mshorney/

 

COURSE DESCRIPTION FROM OFFICIAL CATALOG

An advanced course studying the analysis, presentation, and interpretation of operations and financial position with emphasis on accounting theory, critical evaluation of accounting concepts, and controversial issues in accounting.

 

Purpose of the course

The course is to enable you to understand the accounting theory of the conceptual framework and how it is used to define the elements of accounting.

 

OBJECTIVES of the course

·         Describe the function and primary focus of financial accounting.

·         Define generally accepted accounting principles and discuss the historical development of accounting standards and explain why establishing accounting standards is characterized as a political process.

·         Explain the purpose of the FASB’s conceptual framework.

·         Identify the objectives of financial reporting, the qualitative characteristics of accounting information, and the elements of financial statements.

·         Analyze routine economic events and record their effects on a company’s financial position.

·         Explain the importance of income from continuing operations and describe its components.

·         Explain the reason for applying intraperiod tax allocation to certain income statement components.

·         Describe the purpose of the statement of cash flows.

·         List the two criteria that must be satisfied before revenue can be recognized and explain why these criteria usually are satisfied at the point of product delivery.

·         Describe the purpose of the balance sheet and understand its usefulness and limitations.

·         Explain the purpose of financial statement disclosures.

·         Define what is meant by internal control and describe some key elements of an internal control system.

·         Explain which physical quantities of goods should be included in inventory and determine the expenditures that should be included in the cost of inventory.

·         Discuss the factors affecting a company’s choice of inventory method.

·         Identify the various costs included in operational assets, natural resources, and intangible assets.

·         Explain the concept of cost allocation as it pertains to operational assets and determine periodic depreciation using both time-based and activity-based methods.

·         Explain how to account for the disposition of operational assets.

·         Explain how to identify investments and understand the way investments are recorded and reported.

·         Define liabilities and distinguish between current and long-term liabilities.

·         Identify the characteristics of debt instruments and describe the basic approach to accounting for debt.

·         Describe the types of temporary differences that cause deferred tax liabilities and determine the amounts needed to record periodic income taxes.

·         Describe the nature of postretirement benefit plans and identify the similarities and differences in accounting for plans and pensions.

·         Describe the components of shareholder’s equity and explain how they are reported and differentiate the effect on EPS of the sale of new shares, a stock dividend or stock split, and the reacquisition of shares.

·         Differentiate among the types of accounting changes and distinguish among the retroactive, current, and prospective approaches to accounting for and reporting accounting changes.

 

ACADEMIC HONESTY

Students are advised that cheating and plagiarism are not tolerated at St. Gregory’s University.  Students are expected to abide by the University's academic regulations and policy and are responsible for awareness of the University's definition of these activities. The consequences of violating the academic honesty standard may include a grade of "0" on the assignment/exam, a grade of "F" in the course, and, possibly, expulsion from the University.

 

MISSION OF THE DIVISION OF BUSINESS SCIENCE

The goal of the Division of Business Science at St. Gregory's University is to convey the business skills necessary to survive in the 21st Century while encouraging personal integrity, charity, and growth.

 

REQUIRED TEXT TO BE PURCHASED BY STUDENT

Spiceland, J. David, James Sepe, and Lawrence A. Tomassini, Intermediate Accounting, Second Edition, 2001, Irwin/McGraw-Hill.  ISBN 007240891X

 

CURRENT EVENTS, PRACTICAL APPLICATIONS, AND THE INTERNET

During the course of the semester, we will use current events to analyze concepts.  We will use the Internet to aid our research.

 

INTERNET RESOURCES

 

Textbook’s Web Site

http://www.mhhe.com/business/accounting/spiceland2e/

 

Accounting Resources on the Internet

Wall Street Research Net

AICPA Special Committee on Financial Reporting

University of Northern Iowa -- Directory of Accounting Sites

American Accounting Association

U.S. Treasury Bill Futures

American Institute of Certified Public Accountants (AICPA)

StockMaster

Arthur Andersen LLP

Stock Price Indexes

Association of Certified Fraud Examiners

SEC’s Edgar Reporting System

Bloomberg Business

Quicken Financial Network

Certified Public Accountant (CPA)

Price Waterhouse Coopers LLP

Chicago Mercantile Exchange

PC Quote

CPADirectory.com

MSN Stock Research

CPAFirms.com List of CPA firms

Monthly Financial Reporting Releases

CPAnet.com Accounting Homepage

KPMG Peat Marwick LLP

CyberAccountant

IRS Tax Forms

Deloitte & Touche LLP

Institute of Management Accountants (IMA)

E*TRADE

Institute of Internal Auditors

EdgarScan

Hoovers Online

Ernst & Young LLP

General Accounting Office (GAO)

FASB

FreeEDGAR

 

METHODS OF ASSESSMENT AND STUDENT EVALUATION

Exam 1

Chapters 1 - 5

20%

Exam 2

Chapters 6 - 9

20%

Exam 3

Chapters 10-15

20%

Exam 4

Chapters 16-17, 19-22

20%

Homework/Quizzes/Discussion

Weekly

  20%

Total

 

100%

 

EXAMINATIONS, REPORTS, AND PRESENTATIONS

·         If any exam question is left unattempted, the value of that question will be subtracted from the exam score.

·         Exams will be closed book.

·         Calculators are permitted. Practice exams/problems and solutions are available at the Text Website.

·         Being prepared and present for the exams and presentations is your responsibility. The exam and presentation will be given on schedule. Mark your calendars now.

·         If the exam is missed, your total points possible will be adjusted accordingly.


COURSE OUTLINE

The schedule is flexible. Much material is required. It is not possible for an instructor to cover all the course material without student independent study. As students are interested in a particular topic, more time will be spent on a topic as may be required.  No homework is accepted after the test over the material.

 

Ch

Topic

Homework

1

Environment and Structure

E1-9; C1-11, 12

2

Accounting Process

E2-8; P2-3, 9

3

Income Statement and Statement of Cash Flows

E3-6, 7; P3-1, 2; C3-2, 5, 8

4

Income Measurement and Profitability Analysis

E4-2, 3, 6;P4-4; C4-2, 3

5

Balance Sheet and Financial Disclosures

P5-4; C5-4, 5, 12

 

Exam 01, Chapters 1 – 5

 

7

Cash and Receivables

E7-15; P7-3, 4; C7-8, 11

 

(You are responsible for the material in Chapter 6, The Time Value of Money.)

 

8

Inventories – Measurement

E8-9, 11, 17; P8-3, 7, 10; C8-12

9

Inventories - Additional Issues

E9-3, 10, 16, 21; P9-10; C9-7, 8

10

Operational Assets – Acquisition

E10-18, 19, 23; P10-4

11

Operational Assets - Utilization and Disposition

E11-3, 13, 16; P11-9

12

Investments

E12-5, 8, 11, 13, 15; P12-7

 

Exam 02, Chapters 7 - 12

 

13

Current Liabilities and Contingencies

E13-4, 5, 9, 12, 14; P13-8

14

Bonds and Long-Term Notes

E14-2, 3, 4, 5, 10, 13, 14, 19, 20; P14-3, 19

15

Leases

E15-2, 4, 5, 6, 8, 10, 18, 25

16

Accounting for Income Taxes

E16-3, 4, 5, 6, 8, 9, 10, 22; P16-9, 8

17

Pensions

E17-1, 2, 3, 8, 9, 12, 13, 14, 15

 

Exam 03, Chapters 13 - 17

 

19

Shareholders' Equity

E19-2, 3, 4, 5, 6, 7, 12, 13; P19-2, 9, 12

20

Earnings Per Share

E20-1, 2, 3, 4, 6, 7, 10, 12, 13, 19

21

Accounting Changes and Error Corrections

E21-1, 3, 5, 12, 13, 17, 18, 19, 26

22

The Statement of Cash Flows Revisited

E22-1, 3, 5, 7, 9, 11, 13, 15

 

Exam 4, Chapters 19 - 22