AUSTIN COMMUNITY COLLEGE
ACCOUNTING DEPARTMENT
COURSE SYLLABUS
INTERMEDIATE FINANCIAL ACCOUNTING II-ACNT 2304
(Formerly ACCT 2043)
CIP CODE AREA:
COURSE LEVEL:
(Intermediate-Junior Level)
COURSE NUMBER:
ACNT 2304
COURSE TITLE:
Intermediate Financial Accounting II
CREDIT HOURS: 3
PREREQUISITE:
ACNT 2403 (or its equivalent)
METHOD OF PRESENTATION:
Three lecture/discussion hours per week
OTHER: Research project, writing, computer applications and problem-solving; individual and/or group presentation, group work
CATALOG DESCRIPTION: Continued in-depth analysis of the accounting
standards and principles for preparing financial statements; recording,
analyzing, and disclosing accounting information related to liabilities,
owners' equities, funds flow; comparative analysis; and related topics.
TEXTBOOK: Intermediate Accounting, Kieso, Weygandt and Warfield; John
Wiley, 11th edition
RECOMMENDED: Current text
COURSE CONTENT
I.
Financial Resources:
Investments and Liabilities
A.
Investments
B.
Current Liabilities and Contingencies
C.
Bonds and Notes Payable
D.
Leases
E.
Income Taxes
F.
Employee Benefit Plans
II.
Financial Resources:
Stockholders' Equity
A.
Contributed Capital
B.
Retained Earnings
III.
Other Topics
A.
Earnings Per Share
B.
Statement of Cash Flows
C.
Accounting Changes and Error Correction
COURSE LEARNING OBJECTIVES: Upon successful completion of this course, students should be
able to -
Define current liabilities and describe how they are valued.
Identify the nature and types of current liabilities.
Explain the classification issues of short-term debt expected to be refinanced.
Identify types of employee-related liabilities.
Identify the criteria used to account for and disclose gain and loss contingencies.
Explain the accounting for different types of loss contingencies.
Indicate how current liabilities and contingencies are presented and analyzed.
Describe the format procedures associated with issuing long-term debt.
Identify various types of bond issues.
Describe the accounting valuation for bonds at date of issuance.
Apply the methods of bond discount and premium amortization.
Describe the accounting procedures for the extinguishment of debt.
Explain the accounting procedures for long-term notes payable.
Explain the reporting of off-balance-sheet financing arrangements.
Indicate how long-term debit is presented and analyzed.
Discuss the characteristics of the corporate form of organization.
Identify the rights of stockholders.
Explain the key components of stockholders’ equity.
Explain the accounting procedures for issuing shares of stock.
Identify the major reasons for purchasing treasury stock.
Explain the accounting for treasury stock.
Describe the major features of preferred stock.
Distinguish between debt and preferred stock.
Identify items reported as additional paid-in capital.
Identify the three
categories of debt securities and describe the accounting and reporting
treatment for each category.
Identify the categories of equity securities and describe the accounting and reporting treatment for each category.
Explain the equity method of
accounting and compare it to the fair value method for equity securities.
Describe the disclosure requirements for investments in debt and equity securities.
Discuss the accounting for impairments of debt and equity investments.
Describe the accounting for transfer of investment securities between categories.
Identify differences between pretax financial income and taxable income.
Describe a temporary difference that results in future taxable amounts.
Describe a temporary difference that results in future deductible amounts.
Explain the purpose of a deferred tax asset valuation allowance.
Describe the presentation of income tax expense in the income statement.
Describe various temporary and permanent differences.
Explain the effect of various tax rates and tax rate changes on deferred income taxes.
Apply accounting procedures for a loss carrryback and a loss carryforward.
Describe the presentation of deferred income taxes in financial statements.
Identify special issues related to deferred income taxes.
Indicate the basic principles of the asset-liability method.
Distinguish between accounting for the employer’s pension plan and accounting for the pension fund.
Identify types of pension plans and their characteristics.
Explain alternative measures for valuing the pension obligation.
Identify the components of pension expense.
Utilize a work sheet for employer’s pension plan entries.
Describe the amortization of unrecognized prior service costs.
Explain the accounting procedure for recognizing unexpected gains and losses.
Explain the corridor approach to amortizing unrecognized gains and losses.
Explain the recognition of a minimum liability.
Describe the reporting requirements for pension plans in financial statements.
Chapter XXII
Explain the nature, economic substance, and advantages of lease transactions.
Describe the accounting criteria and procedures for capitalizing leases by the lessee.
Contrast the operating and capitalization methods of recording leases.
Identify the classifications of leases for the lessor.
Describe the lessor’s accounting for direct financing leases.
Identify special features of lease arrangements that cause unique accounting problems.
Describe the effect of residual values, guaranteed and unguaranteed, on lease accounting.
Describe the lessor’s accounting for sales-type leases.
Describe the disclosure requirements for leases.
Identify the types of accounting changes.
Describe the accounting for changes in accounting principles.
Understand how to account for cumulative-effect accounting changes.
Understand how to account for retroactive accounting changes.
Understand how to account for changes to LIFO.
Describe the accounting for changes in estimates.
Identify changes in a reporting entity.
Describe the accounting for correction of errors.
Identify economic motives for changing accounting methods.
Analyze the effect of errors.
Describe the purpose of the statement of the statement of cash flows.
Identify the major classifications of cash flows.
Differentiate between net income and net cash flows from operating activities.
Contrast the direct and indirect methods of calculating net cash flow from operating activities.
Determine net cash flows from investing and financing activities.
Prepare a statement of cash flows.
Identify sources of information for a statement of cash flows.
Identify special problems in preparing a statement of cash flows.
Explain the use of a work sheet in preparing a statement of cash flows.
COURSE COMPETENCIES (SCANS)
Participates as a member of a team: Works cooperatively with others and contributes to group with ideas, suggestions, and effort.
Uses Computers to Process Information: Employs computers to acquire, organize,
analyze, and communicate information.
Writing: Communicates thoughts, ideas, information, and messages in writing; records information completely and accurately; composes and creates documents such as letters, directions, manuals, reports, proposals, graphs, flow charts; uses language, style, organization, and format appropriate to the subject-matter, purpose, and audience. Includes supporting documentation and attends to level of detail; checks, edits, and revises for correct information, appropriate emphasis, form, grammar, spelling, and punctuation.
Speaking: Organizes ideas and communicates oral messages appropriate to listeners and situations; participates in conversation, discussion, and group presentations; selects an appropriate medium for conveying a message; uses verbal language and other cues such as body language appropriate in style, tone, and level of complexity to the audience and the occasion; speaks clearly and communicates a message; understands and responds to listener feedback; asks questions when needed.
Reasoning: Discovers a rule or principle underlying the relationship between two or more objects and applies it in solving a problem. For example, uses logic to draw conclusions from available information, extracts rules or principles from a set of objects or written text; applies rules and principles to a new situation, or determines which conclusions are correct when given a set of facts and a set of conclusions.