Financial Accounting

Introduction: Accounting standards and its relevance; Financial Reporting context and purpose, important elements of financial reports; Financial Statements and its scope and purpose for external reporting, users’ and stakeholders’ needs. Regulatory framework: legislation andregulation, reasons, limitations, duties and responsibilities of those chargedwith governance. Characteristics of financial information;uses and principles of double-entry and accounting systems, including maintenance of accounting records and sources of accounting information; ledger accounts, books of prime entry and journals

Recording of transactions and events related to sales and purchases, cash, inventory, tangible non-current assets; Intangible non-current assets and amortization; Accruals and prepayments; Receivables and payables; Provisions and contingencies; Capital structure and finance costs Preparation of trial balance; Correction of errors; Control accounts and reconciliations; Bank reconciliations statement; Suspense accounts

Preparation of financial statements: Statements of financial position; Statements of profit or loss and other comprehensive income, including disclosure notes; events after the reporting period; Depreciation Accounting: Introduction, meaning and definition, methods of recording depreciation;

Consolidated Financial Statements:Preparation of consolidated financial statements for Subsidiaries and Associates Preparation of Accounts from Incomplete Records (Single Entry System): Nature of Incomplete Records, Limitations of the Single Entry System, Ascertainment of Profit or Loss, Difference between Double Entry System and Single Entry System Cash flow Analysis: Introduction, Concept of Cash, Use of Cash Flow Analysis, Construction of Cash Flow Statement

Financial Statements: Importance, purpose, interpretation and analysis of financial statements
Ratio Analysis: Meaning and classification of ratio- Liquidity ratio, Activity ratios, Profitability ratios, Leverage ratios and Investment ratios.