Study Guide

Objective

The student should be able to:
- identify the main tasks of accounting
- use the basic terminology in accounting
- use basic accounting key ratios in order to understand the company´s health
- do practical concepts and the connection to IFRS and GRI
- understand and explain what happens to the result if the income and expenses are not developing as planned.

Content

- the function of accounting and it´s parts
- terms and terminology in accounting and accounting analysis
- accounting analysis with what-it calculations
- closing analysis, closing policy and notes
- bankruptcy prognosis and key ratios

Qualifications

Basic Business Economy,
Bookkeeping

Assessment criteria, satisfactory (1)

Understands that a company's operations are translated into numbers in different report formats.Understands that accounting knowledge is beneficial both for an engineer in other companies as for an engineer as an entrepreneur. Understands that the accounting is a pillar that consolidates the company's operations. Knows that accounting is a national and an international phenomenon, IAS, IFRS. Has insight into that accounting should exist in one's own or another's business and that accounting is used within the company and externally.

Assessment criteria, good (3)

Can fundamentally explain the logic and content of income statement and balance sheet. Can explain to others simple accounting data and/or, e.g. a bank in connection with seeking credit and/or in an investment/financing case. Can explain how the different functions presents calculations and results. Can basic terminology in English and Finnish. Realizes that accounting is handled by the company itself and also the importance of finding out and utilizing other expertise.

Assessment criteria, excellent (5)

Can with words and in numbers explain what an income statement and a balance sheet shows, row for row and column for column. Can draw up in teams and or on their own a simple income statement. Can, based on the operations, draw up simple calculations and calculations showing results/different results. Has good knowledge of the terminology of the income statement and balance sheet. Knows the basic external network that handles accounting, organizations involved, authorities, and also educational opportunities in the area.