Lahore School of Economics

Financial Accounting II (ACC 502)

B.BA II
Course Outline
Summer 2015

Instructor:

Ms. Mehreen Furqan

mehreena@lahoreschool.edu.pk

Course Objective:
The objective of this course is to enhance conceptual understanding of accounting by
familiarizing students with the in depth analysis of the financial statements which are
primary means of communicating financial information to users. This course explores the
detailed analysis of Income Statement, Balance Sheet and Statement of cash flows after
an introduction to the basics already covered in Financial Accounting I.
Teaching Methodology:
Teaching Methodology comprises of a combination of class room lectures, assignments,
quizzes and case studies.
Suggested Book:
Williams, Haka, Bettner, Financial and Managerial Accounting, Fifteenth Edition.
Needles, Caldwell, Anderson, Financial and Managerial Accounting, Third Edition

Final Assessment Criteria:

Final Exam
Mid Term
Problem sets/ Assignments
Quizzes
Cases
Attendence & C.P

40%
20%
10%
10%
15%
5%

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Lecture Session
Discussion Session
Introduction to Accounting II.
Assignment
Revision of Accounting I.
Ch:9 Plant & Intangible Assets
Problem Sets
Determining Cost of an asset.
Capital and Revenue expenditures.
Concept of Depreciation. Methods
of Calculating Depreciation
Ch:9 Plant & Intangible Assets
Problem Sets
Trading of Assets. Disposal of assets
Ch:9 Plant & Intangible Assets
Problem Sets
Accounting for Intangibles and
Natural Resources.
Ch:10 Liabilities- Accounting for
Problem Set, Quiz 1
Accounts Payable and Notes
Payable and Bonds
Ch:10 Liabilities- Ammortization
Problem Set
or Loans and related Journal Entries.
Ch:10 Liabilities- Bonds at a
Problem Set
premium. Bonds at a discount.
Present Value Concept. Other Long
Term Liabilities
Problem Set
Partner Ship Accounting
Problem Set, Quiz 2
Partnership characteristics.
Accounting for Partners Equity.
Distribution of Profit and Losses
between Partners.
Partner Ship Accounting
Problem Set
Dissolution of a Partnership.
Admission of a New Partner, by
purchasing interest from one partner
or with Bonus to Old Partners or
Bonus to new Partners.
Partner Ship Accounting
Problem Set
Withdrawal of a Partner
Partner Ship Accounting
Problem Set
Liquidation of a Partnership and
related Journal Entries.
Revision, Quiz 3
Mid Term
Ch:11 Stock holders Equity: Paid Problem Sets
in Capital, Formation of
Corporations Definition of a

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Corporation. Its Advantages and

Disadvantages. Stockholders and
their rights. Structure of a
Corporation
Ch:11 Stock holders Equity: Paid Problem Set
in Capital, Formation of
Corporations Capital in a
Corporation. Issuance of Stocks.
Preferred Stocks and Dividends.
Ch:11 Stock holders Equity: Paid Problem Set
in Capital, Formation of
Corporations Market Value of
Stocks and Book Value. Stock Splits
and Treasury Stocks.
Ch:12 Income & Changes in
Problem Set, Quiz 4
Retained Earnings Reporting
results of an operation. Effects of
Discontinued Operations,
extraordinary Items or effects of
changes in accounting policy.
Ch:12 Income & Changes in
Problem Set
Retained Earnings Price-earning
ratio. Accounting for cash Dividends
and Stock Dividends
Ch:12 Income & Changes in
Problem Set
Retained Earnings Statement of
Retained earnings with prior period
adjustment. Comprehensive Income.
Ch:13 Statement of Cash flows
Problem Sets, Quiz 5
Purpose of CashFlow Statement.
Classification in the Statement.
Ch:13 Statement of Cash flows Problem Sets
Operating CashFlows from the
Direct Method.
Ch:13 Statement of Cash flows
Problem Sets
CashFlow from Operations Indirect
Method. CashFlow from Financing
and Investing Activities.
Ch:13 Statement of Cash flows
Problem Sets
Managing CashFlows. Cash
Budgeting
Revision
Case Presentations
Case Presentations
Final Exam