PHILIPPINE ADVENT COLLEGE SALUG CAMPUS Pob.

Salug, Zamboanga del Norte

SYLLABUS FOR ACCTG101 (FUNDAMENTALS OF ACCOUNTING I)

Prepared By: JOHN MARK P. LOMOLJO, RN Instructor

DATE: MARCH 20, 2014

This syllabus is an intellectual property. Unauthorized duplication and reproduction is punishable by law.
Course: ACCTG101 Course Description: Fundamentals of Accounting I Term: 1 Semester, SY 2014 2015 Units: 6 Units Site: Philippine Advent College Salug Campus General Objective: After the summer term, the students will be able to acquire knowledge, learn skills and appreciate the importance of Accounting and its concepts, processes and different methodologies that involve the accounting world and its impact to the economy through the use of lecture discussion as strategy. Specific Objectives: After 20 weeks, the students will satisfactorily attain the following: 1. Inculcate basic knowledge on different theoretical concepts regarding Accounting; 2. Develop skills in performing different procedural aspects about Accounting; 3. Appreciate the importance of accounting to the business world and to the economy; 4. Correlate the link between accounting and economy.
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Grading Parameters: 1. General Grading Parameters 40% 30% 20% 10% 100% 2. Other Grading Parameters (Reporting) 2a. WRITTEN REPORT a. Quizzes b. Exams c. Papers and Presentation d. Attendance TOTAL Content Relevance Organization Sources TOTAL 40% 30% 20% 10% 100% 50% 2b. ACTUAL REPORT Content Mastery Organization Control TOTAL 40% 30% 20% 10% 100% 50%

BIBLIOGRAPHIC SOURCES: Ballada, W. U.(2001). BASIC ACCOUNTING. DonDane Publishers and Made Easy Bookstore

Contact Details:

In case of questions you may send me an email at jm_lomoljo@gmail.com or text me at 09178293973. Make sure to indicate your full name and the subject you are enrolled in.

CONTENT I: ACCOUNTING AND ITS ENVIRONMENT A. Development of Accounting 1. Definitions of Accounting 2. Forms of Business Organizations 2a. Sole Proprietorship 2b. Partnership 2c. Corporation 3. Phases of Accounting 4. Fundamental Concepts and Basic Principles of Accounting 4a. Entity Concept 4b. Periodicity Concept 4c. Stable Monetary Unit Concept 4d. Objectivity Principle 4e. Historical Cost 4f. Revenue Recognition Principle 4g. Expense Recognition Principle 4h. Adequate Disclosure 4i. Materiality 4j. Consistency Principle 5. Characteristics and Career Opportunities in Accounting 6. Specialized Accounting Services 6a. Cost Accounting 6b. Financial Accounting 6c. Internal Auditing 6d. Government Accounting 6e. Tax Accounting 6f. Management Consulting 6g. International Accounting B. Accounting Standards and Professional Organization 1. Philippine Institute of Certified Public Accountants (PICPA) 2. Accounting Standards Council (ASC) 3. International Accounting Standards Board (IASB) 1a. Objectives of the IASB 1b. Funding of the IASB 1c. Policies of the IASB

T-L PROCESS Lecture Independent Reading

TIME ALLOTMENT 3 hours 1. Quiz

EVALUATION

2. Discussion Paper on the topic with the following guide questions: a. Why is accounting often referred to as the language of business? b. What prompted the Philippine ASC to move totally to IAS?

CONTENT II: THE FRAMEWORK AND THE ACCOUNTING EQUATION A. Accounting Framework 1. Purposes of the Framework 2. Information Needs of the Users 3. Objectives of Financial Statements 4. Underlying Assumptions B. Qualitative Characteristics of Financial Statements 1. Understandability 2. Relevance 3. Reliability 4. Comparability 5. Constraints on Relevant and Reliable Information 6. Fair Presentation 7. Technology C. Elements of Financial Statements 1. Recognition of the Elements of Financial Statements 2. Measurement of the Elements of Financial Statements 3. Parts of the Financial Statements 3a. Financial Position 3a1. Asset 3a2. Liability 3a3. Equity 3b. Performance 3b1. Income 3b2. Gains 3b3. Expenses 3b4. Loses D. Types of Transactions and Typical Account Titles to be Used 1. Assets 1a. Current Assets 1b. Non Current Assets 2. Liabilities 2a. Current Liabilities 2b. Non Current Liabilities 3. Owners Equity

T-L PROCESS Lecture Independent Reading

TIME ALLOTMENT 3 hours 1. Assignment:

EVALUATION

Discussion paper with the following guide question: a. Why is it necessary for financial information to be reliable? b. Why is it necessary to have financial statements? 2. Quiz

EXAM 1 Coverage is from I II

E. Income Statement CONTENT III: RECORDING BUSINESS TRANSACTIONS A. The Accounting Cycle 1. Transaction Analysis 2. Journaling 3. Posting 4. Trial Balance 5. Adjustments for Deferrals and Accruals and Preparing the Worksheets 6. Preparing Financial Statements 7. Journaling and Posting of Adjustments 8. Journaling and Posting of Closing Entries 9. Preparing Post-Closing Trial Balance 10. Reversing Entries B. The Journal and The Ledger 1. Format 2. Locating Errors 3. Posting 4. Trial Balance C. Periodicity Concept and the Need for Adjustments 1. Deferrals and its adjustments 2. Accruals and its adjustments 3. Accruals for Uncollectable Accounts 4. Effects of Omitting Adjustments D. Financial Statements 1. Steps in Preparing the Worksheet 2. Components of Financial Statements 3. Relationship Among The Financial Statements 4. Effects of Omitting Adjustments E. Closing Procedure T-L PROCESS Lecture Independent Reading TIME ALLOTMENT 6 hours

Present your passbooks for signing EVALUATION 1. Assignment Discussion Paper with the following guide question: a. How important is the accounting cycle to ones company? b. What do you mean by periodicity concept? c. Why are closing entries made at the end of the accounting period? 2. QUIZ 3. FURTHER READING: Appendix: Alternative Methods of Recording Deferrals 4. PAPER OUTPUT: Create a group with 4 members and make a hypothetical recording of a certain company using the accounting cycle.

EXAM 2 Coverage is from III

Present your passbooks for signing CONTENT IV: MERCHANDISING OPERATIONS A. Operating Cycle of a Merchandising Business 1. Comparison of Income Statements 2. Source Documents 3. Steps in a Purchase Transaction B. Terms of Transaction 1. Cash Discounts 2. Trade Discounts 3. Transportation Costs C. Inventory Systems 1. Periodic Inventory System 2. Perpetual Inventory System D. Net Sales 1. Gross Sales 2. Sales Discounts 3. Sales Returns and Allowances 4. Transportation Out E. Cost of Goods Sold 1. Merchandise Inventory 2. Net Purchases 3. Transportation In F. Operating Expenses G. Merchandise Inventory at the end of the Period 1. The Adjusting Entry Method 2. The Closing Entry Method H. Preparing Worksheets and Financial Statements I. Adjusting And Closing Entries J. Post Closing Trial Balance T-L PROCESS Lecture Independent Reading TIME ALLOCATION 3 hours 1. Assignment Discussion Paper with the following guide question: a. How does a worksheet for a merchandising business differ from that of a service business? 2. QUIZ EVALUATION

CONTENT V: SPECIAL JOURNALS, VOUCHER SYSTEMS AND INTERNAL CONTROL A. Special Journals 1. Control Accounts and Subsidiary Ledgers 2. Advantages of Using Special Journals 3. Types of Special Journals 3a. Sales Journal (S) 3b. Cash Receipts Journal (CR) 3c. Purchases Journal (P) 3d. Cash Disbursements Journal (CD) 3e. General Journal (GJ) B. Proving the Ledgers and Flexibility of Special Purpose Journals C. Voucher System 1. Voucher 2. Voucher Register 3. Unpaid Voucher File 4. Check Register 5. Paid Voucher File D. Special Problems in a Voucher System E. Internal Control 1. Definition 2. Principles of Internal Control 3. Limitations of Internal Control F. Cash 1. Nature 2. Valuation and Classification 3. Internal Control Over Cash G. Petty Cash Fund 1. Establishing the Fund 2. Making Payments from the Fund 3. Replenishing the Fund H. Control of Cash through a Bank Account 1. Procedures and Documents

T-L PROCESS Lecture Independent Reading

TIME ALLOCATION 3 hours 1. Assignment

EVALUATION

Discussion Paper with the following guide question: a. Describe the relationship between a control account and a subsidiary account? b. What is the importance of having an internal control? 2. QUIZ

EXAM 3 Coverage is IV-V

2. Reconciliation of Bank and Book Cash Balances 3. Developing Marketing Strategies CONTENT VI: ACCOUNTS AND NOTES RECEIVABLE AND INVENTORY A. Accounts Receivable 1. Nature 2. Verification and Classification 3. Accounting and Estimating Uncollectable Accounts B. Notes Receivable 1. Nature and Essential Elements 2. Verification and Classification 3. Discounting of Notes B. Inventory 1. Nature 2. Measurement, Cost and Classification 3. Items included in Inventory 4. Inventory Costing Methods 4a. Specific Identification 4b. First-In, First-Out Method 4c. Weighted Average Cost 4d.Last-In, First-Out Method 5. Comparison of the Inventory Costing Methods 6. Estimating Inventory Gross Profit Method VII: VALUE ADDED TAX AND PAYROLL A. Value Added Tax 1. Definition and Scope 2. VAT on Sale of Goods or Properties 3. VAT on Sale of Services and use or Lease of Properties 4. VAT on Importation of Goods 5. Output and Input Taxes 6. Value Added Tax Entries and its Compliance Requirements B. Accounting for Payroll 1. Definition and Scope 2. Gross Pay 3. Employee Benefits and Payroll Deductions 4. Net Pay 5. Payroll System and Entries T-L PROCESS Lecture Independent Reading TIME ALLOTMENT 3 hours

Present your passbooks for signing EVALUATION 1. Quiz 2. Discussion Paper on the topic with the following guide questions: a. How Important is the Value Added Tax in our economy today? b. What happens when the company has no payroll?

EXAM 4 Coverage is VI-VII

6. Internal Control over Payrolls

Present your passbooks for signing