BAC-231: Asset Accounting

School
Business, Entrepreneurship, and Professional Development
Division
Business & Economics
Department
Accounting
Academic Level
Undergraduate
Course Subject
Business Accounting
Course Number
231
Course Title
Asset Accounting
Credit Hours
4.00
Instructor Contact Hours Per Semester
62.00 (for 15-week classes)
Student Contact Hours Per Semester
62.00 (for 15-week classes)
Grading Method
A-E
Pre-requisites
BAC-132 with a C grade or better
Catalog Course Description

Provides a detailed study of specialized phases of accounting such as the treatment of cash and temporary investments, receivables, inventories, investments, plant and equipment, intangibles, deferred charges, liabilities, and financial statements.

Goals, Topics, and Objectives

Core Course Topics
  1. Conceptual Framework of Accounting
    1. Explain objectives of financial reporting.
    2. Define basic elements of financial statements.
    3. Apply basic principles, constraints, and assumptions when preparing financial statements.
  2. Income Statement
    1. Prepare a multi-step income statement.
    2. Discuss the content and format of the income statement.
    3. Compute earnings per share, and explain the reporting format of earnings per share.
  3. Balance Sheet and Statement of Cash Flows
    1. Prepare a classified statement of financial position.
    2. Prepare a basic statement of cash flows.
  4. Accounting and Time Value of Money
    1. Distinguish between simple and compound interest.
    2. Use present value and future value tables.
    3. Solve future and present value of ordinary annuity and annuity-due problems.
  5. Cash and Receivables
    1. Evaluate the realizable value of receivables using the allowance method.
    2. Value notes receivable and related discounts and interest.
  6. Valuation of Inventories
    1. Distinguish between perpetual and periodic inventory systems.
    2. Calculate inventory and cost of goods sold using generally accepted accounting methods.
    3. Estimate ending inventory using the gross profit and relative sales value methods.
    4. Value inventory using the lower of cost or market rule.
  7. Acquisition and Disposal of Property
    1. Identify costs to include in initial valuation of property, plant, and equpment.
    2. Calculate capitalized interest.
    3. Calculate gain or loss on disposal of assets.
  8. Depreciation, Impairments, and Depletion
    1. Calculate depreciation and book value using generally accepted accounting methods.
    2. Calculate depletion of natural resources.
    3. Evaluate impairment of assets.
  9. Intangible Assets
    1. Identify costs to include in initial valuation of intangible assets.
    2. Calculate amortization and current book value for intangible assets.
    3. Calculate goodwill, and determine impairment.

Assessment and Requirements

Assessment of Academic Achievement

Student will be assessed through tests, quizzes, in-class activities, outside assignments using an online homework management system, and/or class participation.

Effective Term
Fall 2020