Course Syllabus

ACC/422 Version 7
1
Course Syllabus
School of Business
ACC/422 Version 7
Intermediate Financial Accounting II
BSB1!ACC
Co"yright # 2$1!% 2$12% 2$1$% 2$$7% 2$$&% 2$$4 by 'ni(ersity of )hoeni*+ All rights reser(ed+
Course Description
his course is the second of the three "art series of courses related to intermediate accounting+ his section
e*amines the balance sheet in more detail% including intangible assets% current liabilities and contingencies%
long,term liabilities% as -ell as cash and cash e.ui(alents+ Inter-o(en in the "resentation of the material is an
assortment of ethical dilemmas that encourage discussions about ho- the accountant should handle s"ecific
situations+
Policies
Faculty and students -ill be held res"onsible for understanding and adhering to all "olicies contained -ithin the
follo-ing t-o documents/
'ni(ersity "olicies/ 0ou must be logged into the student -ebsite to (ie- this document+
Instructor "olicies/ his document is "osted in the Course Materials forum+
'ni(ersity "olicies are sub1ect to change+ Be sure to read the "olicies at the beginning of each class+ )olicies
may be slightly different de"ending on the modality in -hich you attend class+ If you ha(e recently changed
modalities% read the "olicies go(erning your current class modality+
Course Materials
2unt% 3+ F+% 4ieso% 5+ 6+% 7eygandt% 8+ 8+% 9 7arfield% + 5+ :2$12;+ Intermediate accounting problem-solving
survival guide :14th ed+% Vol+ 1;+ 2obo<en% =8/ 7iley+
2unt% 3+ F+% 4ieso% 5+ 6+% 7eygandt% 8+ 8+% 9 7arfield% + 5+ :2$12;+ Intermediate accounting problem-solving
survival guide :14th ed+% Vol+ 2;+ 2obo<en% =8/ 7iley+
4ieso% 5+ 6+% 7eygandt% 8+ 8+% 9 7arfield% + 5+ :2$12;+ Intermediate accounting :14th ed+;. 2obo<en% =8/ 7iley+
4ieso% 5+ 7+% 4ieso% 5+ 6+% 7eygandt% 8+ 8+% 9 7arfield% + 5+ :2$12;+ Intermediate accounting study guide :14th
ed+% Vol+ 1;. 2obo<en% =8/ 7iley+
4ieso% 5+ 7+% 4ieso% 5+ 6+% 7eygandt% 8+ 8+% 9 7arfield% + 5+ :2$12;+ Intermediate accounting study guide :14th
ed+% Vol+ 2;+ 2obo<en% =8/ 7iley+
All electronic materials are a(ailable on the student -ebsite+
Week One: Key Current Assets (Cash, Receivables, and nventory!
"#$%"$&#"% Details Due Points
1
Course Syllabus
ACC/422 Version 7
2
Objectives 1.1 Identify the com"onents of cash and cash e.ui(alents+
1.2 Calculate the (alue of net reali>able recei(ables+
1.3 Com"are and contrast in(entory cost flo- assum"tions+
1.4 Calculate the (alue of in(entories using different cost flo-
assum"tions+
1$/!1/1!
Reading Read Ch+ 7 of Intermediate Accounting+ 1$/!1/1!
Reading Read Ch+ ? of Intermediate Accounting+ 1$/!1/1!
Reading Review this -ee<@s 6lectronic Aeser(e Aeadings+ 1$/!1/1!
artici!ation artici!ate in class discussion+ 1$/!1/1! 2
"iscussion
#uestions
Res!ond in class to -ee<ly discussion .uestions+
Consider ho- an organi>ation must manage cash%
recei(ables% and in(entory+ 7hich of the three current assets is
the most im"ortant to manageB Is one more susce"tible to fraud
and errors than the othersB 6*"lain your ans-er+ 2o- -ould a
misstatement in each affect the organi>ationB
In your o"inion% ho- has technology influenced
management@s decision as to -hether to use a "er"etual
in(entory method o(er a "eriod methodB 6*"lain+
7hat is the "er"etual method of trac<ing in(entoryB 2o-
does it differ from the "eriodic method of trac<ing in(entoryB
7hy -ould a com"any choose one method o(er the other
methodB 7hich is the best methodB 7hyB
7hat are the different -ays to estimate bad debtB 2o- does
this affect net incomeB 7hat does generally acce"ted
accounting "rinci"les re.uireB 7hyB Should all com"anies ha(e
bad debtB 6*"lain your ans-er+
1$/!1/1! !
$ndividual
5isclosure
Analysis )a"er
%elect a "ublicly held com"any to use as the basis for this
assignment+
Researc& your selected com"any and ac.uire the com"any@s most
recent financial statements using the Internet+
'rite a 7$$, to 1%$C$,-ord "a"er analy>ing the disclosures
contained -ithin the notes to the financial statements related to cash
and cash e.ui(alents% recei(ables% and in(entories+ Include a list
identifying the com"onents of the organi>ation@s cash and cash
e.ui(alents+
(or)at your "a"er consistent -ith A)A guidelines+
1$/!1/1! 1C
2
Course Syllabus
ACC/422 Version 7
!
Week '(o: Advanced Concepts in nventory )aluation and *i+ed Assets
""$,$&#"% Details Due Points
Objectives 2.1 A""ly the lo-er,of,cost,or,mar<et conce"t to the (aluation of
in(entories+
2.2 Calculate estimated in(entory (alue using the gross "rofit and
retail in(entory methods+
2.3 A""ly criteria for fi*ed asset ca"itali>ation+
2.4 Calculate the costs of fi*ed assets+
2.* A""ly the methods of accounting for asset e*change+
11/7/1!
Reading Read Ch+ D of Intermediate Accounting+ 11/7/1!
Reading Read Ch+ 1$ of Intermediate Accounting+ 11/7/1!
Reading Review this -ee<@s 6lectronic Aeser(e Aeadings+ 11/7/1!
artici!ation artici!ate in class discussion+
:)oints included -ith 5iscussion Euestions;
11/7/1!
"iscussion
#uestions
Res!ond in class to -ee<ly discussion .uestions+
'nder -hat circumstances must a com"any estimate its
in(entoryB 7hat are the differences bet-een using the gross
"rofit method and the retail in(entory method for estimating
in(entoryB 7hich method of estimation is best/ gross "rofit or
retail in(entoryB 6*"lain your ans-er+
In your o"inion% ho- -ould the AIC)A ado"tion of
International Accounting Standards "otentially affect ho-
American com"anies (alue in(entoryB 6*"lain+
7hat are the criteria for ca"itali>ation of fi*ed assetsB 7hat
items are included in the cost of a fi*ed assetB Should interest be
included in the cost of a fi*ed assetB 6*"lain -hy or -hy not+
2o- do you account for the dis"osition of fi*ed assetsB 7hat
are the differences in ho- the e*changes of assets are handled%
"ending on -hether they are similar or dissimilarB 7hat is the
rationale for these differencesB 7hat is the effect on the
com"anies@ financial statementsB
11/7/1! 4
$ndividual
7iley)F'S
Assign)ent+
7ee< -o
Assignment
Resource+ 7iley)F'S
Co)!lete the follo-ing 7ee< -o Assignment in 7iley)F'S/
6*ercise 7,2
6*ercise 7,?
6*ercise ?,C
6*ercise ?,14
11/7/1! ?
!
Course Syllabus
ACC/422 Version 7
4
,earning -ea)
e*tboo<
Assignments 1
Resource+ Ch+ 7 9 ? of Intermediate Accounting
re!are -ritten res"onses to the follo-ing assignments from Ch+ 7 9
? of Intermediate Accounting/
)roblem 7,1 :7 )oints;
6*ercise ?,2C :C )oints;
11/7/1! 12
,earning -ea)
7ee<ly
Aeflection
"iscuss the ob1ecti(es for 7ee< Gne+ 2o- do these ob1ecti(es relate
to the im"ortance of the balance sheet to internal users such as
management and e*ternal users such as in(estors and creditorsB
'rite a !C$, to C$$,-ord summary of your Fearning eam@s
discussion+
11/7/1! 2
Week 'hree: Cost Allocation and ntan-ibles
""$".$&#"% Details Due Points
Objectives 3.1 Com"are and contrast de"reciation methods+
3.2 Calculate de"reciation using (arious methods+
3.3 Aecogni>e asset im"airments+
3.4 3easure fi*ed asset im"airments+
3.* Calculate the (alue of intangible assets+
3.. A""ly criteria for the treatment of research and de(elo"ment
costs+
11/14/1!
Reading Read Ch+ 11 of Intermediate Accounting+ 11/14/1!
Reading Read Ch+ 12 of Intermediate Accounting+ 11/14/1!
Reading Review this -ee<@s 6lectronic Aeser(e Aeadings+ 11/14/1!
artici!ation artici!ate in class discussion+
:)oints included -ith 5iscussion Euestions;
11/14/1!
"iscussion
#uestions
Res!ond in class to -ee<ly discussion .uestions+
7hat is the "ur"ose of de"reciationB 5oes the boo< (alue
of a fi*ed assetHcost minus accumulated de"reciationH
communicate to a user -hat the asset is -orthB 6*"lain -hy or
-hy not+ Should the financial statements reflect the (alue of
fi*ed assetsB 6*"lain -hy or -hy not+
7hat are the different methods used to calculate
de"reciationB 2o- does a com"any decide -hich method to
useB 2o- does its choice affect the financial statementsB
Should com"anies standardi>e the method of de"reciation to
enhance com"arabilityB 6*"lain your ans-er+
11/14/1! 4
4
Course Syllabus
ACC/422 Version 7
C
7hy does the federal go(ernment allo- for accelerated
de"reciation of fi*ed assets e(en -hen the useful life and utility
of the assets clearly align more to straight,line de"reciationB
6*"lain+
7hat is an intangible assetB Should all intangible assets be
sub1ect to amorti>ationB 6*"lain -hy or -hy not+ 7hy are some
intangible assets not amorti>edB 7hat is the im"lication to the
financial statementsB
7hy are research and de(elo"ment costs e*"ensedB Is
this consistent -ith ho- other similar costs are handledB
6*"lain -hy or -hy not+ Should research and de(elo"ment
costs be e*"ensedB 6*"lain -hy or -hy not+
$ndividual
7iley)F'S
Assign)ent+
7ee< hree
Assignment
Resource+ 7iley)F'S
Co)!lete the follo-ing 7ee< hree Assignment in 7iley)F'S/
6*ercise D,1
6*ercise D,12
6*ercise 1$,C
6*ercise 1$,12
11/14/1! 4
,earning -ea)
e*tboo<
Assignments 2
Resource+ Ch+ D 9 1$ of Intermediate Accounting
re!are -ritten res"onses to the follo-ing assignments from Ch+ D
9 1$ of Intermediate Accounting/
)roblem D,D
)roblem 1$,C
11/14/1! 1$
,earning -ea)
7ee<ly
Aeflection
"iscuss the ob1ecti(es for 7ee< -o and ans-er the follo-ing t-o
.uestions/
7hy is in(entory (aluation im"ortant to the "resentation of
the balance sheet and the income statementB
7hat do accountants mean by ca"itali>ing fi*ed assets and
ho- does that affect the balance sheet and the income
statementB
'rite a !C$, to C$$,-ord summary of your Fearning eam@s
discussion+
11/14/1! 2
Week *our: /iabilities
""$&"$&#"% Details Due Points
Objectives 4.1 5etermine the com"onents of current liabilities+ 11/21/1!
C
Course Syllabus
ACC/422 Version 7
&
4.2 Calculate (arious ty"es of current liabilities+
4.3 Identify the criteria for disclosing contingencies+
4.4 5etermine the (alue of long,term liabilities+
Reading Read Ch+ 1! of Intermediate Accounting+ 11/21/1!
Reading Read Ch+ 14 of Intermediate Accounting+ 11/21/1!
Reading Review this -ee<@s 6lectronic Aeser(e Aeadings+ 11/21/1!
artici!ation artici!ate in class discussion+
:)oints included -ith 5iscussion Euestions;
11/21/1!
"iscussion
#uestions
Res!ond in class to -ee<ly discussion .uestions+
7hat are the criteria for classifying an item as a current
liabilityB 7hat are some e*am"les of current liabilitiesB 7hy is
it im"ortant to classify a "ortion of long,term debt on a yearly
basis as a current liabilityB 7hat is the im"lication of
misclassifying a liability as current or long,termB 2o- can
misclassification of current liabilities be used to co(er fraud
-ithin an organi>ation+
7hat is a contingencyB 7hy is disclosure of contingencies
im"ortant to users of financial statementsB 7hat are the criteria
for recording contingenciesB Should com"anies record a
liability for threatened litigationB 6*"lain -hy or -hy not+

7hat is a bondB 7hat are some features of a bondB 2o-
do you (alue bondsB 7hat factors can affect that (alueB
In your o"inion% -hy are some bonds sold at a discount and
others at a "remiumB 2o- does this affect the accounting for
the bondsB
11/21/1! 4
$ndividual
7iley)F'S
Assign)ent+
7ee< Four
Assignment
Resource+ 7iley)F'S
Co)!lete the follo-ing 7ee< Four Assignment in 7iley)F'S/
6*ercise 11,4
)roblem 11,&
6*ercise 12,1&
)roblem 12,1
11/21/1! 4
,earning -ea)
7ee<ly
Aeflection
"iscuss the ob1ecti(es for 7ee< hree and ans-er the follo-ing
.uestions/
In terms of the balance sheet and the income statement%
-hat is the effect of using different de"reciation methodsB
7hy is the re"orting of intangible assets often challenging
for accountantsB
11/21/1! 2
&
Course Syllabus
ACC/422 Version 7
7
'rite a !C$, to C$$,-ord summary of your Fearning eam@s
discussion+
Week *ive: Accountin- 0or /eases
"&$1$&#"% Details Due Points
Objectives *.1 5ifferentiate bet-een o"erating and ca"ital leases+
*.2 Aecord leases from both the lessor and lessee "ers"ecti(es+
12/C/1!
Reading Read Ch+ 21 of Intermediate Accounting. 12/C/1!
Reading Review this -ee<@s 6lectronic Aeser(e Aeadings+ 12/C/1!
artici!ation artici!ate in class discussion+
:)oints included -ith 5iscussion Euestions;
12/C/1!
"iscussion
#uestions
Res!ond in class to -ee<ly discussion .uestions+
7hat are the differences bet-een a direct,financing and a
sales,ty"e lease for a lessorB 7hy -ould a lessor "ro(ide direct,
financing to a lesseeB 7hat ty"es of organi>ations "ro(ide direct,
financing leasesB
7hat are the criteria for classifying a lease as o"erating or
ca"italB 7hy is there a difference bet-een the t-oB 7hat are the
im"lications of an o"erating lease (ersus a ca"ital lease on an
entity@s financial statementsB
7hat is residual (alueB 7hat is the im"lication to the lessee
if the residual (alue is guaranteed or unguaranteedB 7hat is the
im"lication to the lessorB
7hat are the ad(antages of o"erating and ca"ital leasesB
7hat are the disad(antagesB 7hy -ould a com"any choose one
o(er the otherB
12/C/1! 4
$ndividual
7iley)F'S
Assign)ent+
7ee< Fi(e
Assignment
Resource+ 7iley)F'S
Co)!lete the follo-ing 7ee< Fi(e Assignment in 7iley)F'S/
)roblem 1!,D
6*ercise 14,22
6*ercise 21,7
12/C/1! !
$ndividual
7iley)F'S
Assign)ent+
Clic/ the lin< to the Final 6*amination on the student -ebsite
a(ailable from the end of 7ee< Four through the end of 7ee< Fi(e+
12/C/1! 1C
7
Course Syllabus
ACC/422 Version 7
?
Final
6*amination
Co)!lete the Final 6*amination+ 0ou are allo-ed one attem"t to
com"lete the e*amination+ Aesults are auto,graded and sent to your
facilitator+
,earning -ea)
7ee<ly
Aeflection
"iscuss the ob1ecti(es for 7ee< Four and Fi(e and ans-er the
follo-ing .uestions/
7hy are current and long,term liabilities im"ortant to internal
users such as management and e*ternal users such as in(estors
and creditorsB

7hy is it im"ortant to disclose contingenciesB
2o- do o"erating and ca"ital leases relate to liabilitiesB
'rite a !C$, to C$$,-ord summary of your Fearning eam@s
discussion+
12/C/1! 2
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intended to im"ly endorsement% s"onsorshi"% or affiliation+
Final e*ams contain third,"arty co"yrighted materials+ )ortions are/
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Co"yright # 2$12 8ohn 7iley 9 Sons+ All rights reser(ed+
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