| Unit name | Fundamentals of Accounting and Finance 2 |
|---|---|
| Unit code | EFIM10006 |
| Credit points | 20 |
| Level of study | C/4 |
| Teaching block(s) |
Teaching Block 2 (weeks 13 - 24) |
| Unit director | Dr. Korczak |
| Open unit status | Not open |
| Pre-requisites |
Fundamentals of Accounting and Finance 1 |
| Co-requisites |
None |
| School/department | School of Accounting and Finance - Business School |
| Faculty | Faculty of Social Sciences and Law |
The unit follows on from Fundamentals of Accounting and Finance 1, covering in more depth the topics introduced in that unit.
The aim is to enhance the detailed knowledge of students who are on specialist accounting programmes, to equip them for the core second and third year courses in their programme.
On completion of the unit students should be able to:
• explain and apply the principles of double-entry bookkeeping, including the use of an extended trial balance;
• prepare and explain a Statement of Financial Position for a single entity; prepare and explain a Statement of Comprehensive Income for a single entity;
• prepare and explain a Statement of Changes in Equity for a single entity;
• prepare and explain a Statement of Cash Flow for a single entity;
• explain, apply and evaluate alternative cost flow assumptions for measuring inventory (FIFO, LIFO and weighted average cost);
• explain the purpose of control accounts and perform reconciliations;
• prepare and explain partnership accounts, including where there is a change in partnership or in profit-sharing ratio, and explain the associated principles and techniques;
• account for the incorporation of a business, and explain the associated principles and techniques;
• demonstrate an understanding of principles of VAT;
• understand the principles of total absorption costing and marginal costing, and carry out computations demonstrating this understanding;
• understand the principles of key factor analysis and single-period capital rationing, and carry out computations demonstrating this understanding;
• have a knowledge and understanding of basic working capital control issues and models, and carry out computations demonstrating this understanding;
• demonstrate an awareness of the workings of the UK Stock market.
20 hours lectures for whole cohort
10 hours of exercise lecture for groups of 50-60 students
10 one-hour classes for groups
Summative:
• 100% on 2.5 hour written exam at the end of the relevant teaching block.
Formative:
•Classes: worked exercises
•Exercise Lectures: worked exercises
All learning objectives are assessed by both summative and formative assessment
Frank Wood and Sheila Robsinson, 2013, Book-Keeping and Accounts, 8th ed. (Pearson) ISBN: 978-0-273-77306-1
Frank Wood and Alan Sangster, 2016, Frank Wood's Business Accounting 1, 13th ed. (Pearson) ISBN: 978-1-929-08466-4
Alnoor Bhimani, Charles T. Horngren, Srikant M. Datar and Madhav Rajan, 2015, Management and Cost Accounting, 6th ed. (Pearson) ISBN: 978-1-292-06346-1
Sangster, Alan, 2016, The Genesis of Double Entry Bookkeeping, The Accounting Review, 91, p.299-315
