Study Guide

Objective

This course aims to strengthen student's understanding of the fundamental concepts, tools, and practices of Financial Accounting. Also, to build student's analytical skills of financial data to support decision making. On successful completion of this unit, students will be in a position to build, read, interpret and analyze financial statements such as the statement of financial position, cash flow statement, and income statement.

Learning objectives(LOs):
LO1: Demonstrate an understanding of Accounting function within a business
LO2: Apply financial accounting technics to build and interpret financial statements
LO3: Analyse and interpret and review financial accounting information.

Content

Hands-on training in analysis of state of incomes, balance sheets and cash flow based on real life cases. Key metrics - an ever growing field of indexes, markers and acronyms and - what do these mean? Profitability analysis and the impact of periodic service and maintenance, claim handling and credit losses affecting financial results. Environmental accounting and sustainability accounting.

Location and time

Autumn 24, Vasa. Schedule in Peppi

A detailed schedule is presented in beginning of the course.

Materials

Main book for the course:
- Accounting and Finance for non-specialists, Atrill & McLaney latest Edition, Prentice Hall.


Additional literature:
- Interpreting company reports and accounts, Geoffrey Andrew Holmes, Alan Sugden, Paul Gee, 10th edition, Pearson.
- Financial accounting and reporting, Barry Elliott, Jamie Elliott, 2015
- Principles of Corporate Finance, Brealy & Myers, 10th Edition, McGraw Hill 2011

Teaching methods

Lectures, exercises, assignments

Exam schedules

Decided at the beginning of the course

Completion alternatives

Exam and assignments

Student workload

3 cr = 81h

Content scheduling

Part 1 - The Accounting Function and the Main Financial Statements --> connected with learning objectives 1 and 2.

Part 2 – Financial Analysis of the Financial Statements --> related with learning objective 3.

Evaluation scale

H-5

Assessment criteria, satisfactory (1)

Sufficient (1) and Satisfactory (2)
Participating in the online and contact lessons, returned tasks.

Assessment criteria, good (3)

Good (3) and Very good (4)
Active participation in the online and in the contact lessons, returned tasks with good outcomes.

Assessment criteria, excellent (5)

Excellent (5)
Very active participation in the online and in the contact lessons, returned tasks with excellent outcomes.

Assessment criteria, approved/failed

Evaluation:
Numerical for PASS from 1 to 5 and
0 for FAIL: No participation in the contact lessons and no participation in the online lessons, no returned tasks.

Assessment methods and criteria

LO1 - Learning objective 1 - Demonstrate an understanding of Accounting function within a
business

LO2 - Learning objective 2 - Understand and Interpret the financial statements: balance sheet, Income statement and cash flow statement.

LO3 - Learning objective 3 - Analyse and interpret and review financial accounting information.

Assessment criteria, fail (0)

The criteria's for grade 1-2 are not met.

Assessment criteria, satisfactory (1-2)

- Explain financial accounting and management accounting. Understand the accounting conventions and the importance of financial information. Satisfactory presentation of financial data.
- Satisfactory understanding of the use and purpose of the three main financial statements (statement of financial position, income statement and cash flow statement).
- knows how to calculate and explain the main financial indicators and KPIs to used evaluate the financial health of a company.

Assessment criteria, good (3-4)

- Explain financial accounting and management accounting. Understand the accounting conventions and the importance of financial information. Analyze the importance of the accounting function within the organizational. Good presentation of financial data.

- Explain the use and purpose of the three main financial statements (statement of financial position, income statement and cash flow statement). Analyse the use and purpose of the three main financial statements and their application in evaluating key financial aspects.

Calculate and explain the main financial indicators and KPIs used to evaluate the financial health of a company. Analyse the evolution of financial performance of a real company.

Assessment criteria, excellent (5)

- Explain financial accounting and management accounting. Understand the accounting conventions and the importance of financial information. Analyse the importance of the accounting function within the organisational context. Critically evaluate the benefits and limitations of financial accounting and their application within the organisational context. Excellent presentation of financial data.

- Explain the use and purpose of the three main financial statements (statement of financial position, income statement and cash flow statement). Analyse the use and purpose of the three main financial statements and their application in evaluating key financial aspects. Critically evaluate the benefits and limitations of the three financial statements and how theses statements can be applied in organisational context.

- Calculate and explain the main financial indicators and KPIs used to evaluate the financial health of a company. Analyse the evolution of financial performance of a real company. Analysis and recommendations made show an excellent understanding. Excellent presentation of financial data.

Qualifications

No prerequisities