Principles of Accounting

Course Code: BBA 125

Credit Hour: 3

Course Group: Core Courses

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Introduction: Definition of Accounting and Its Functions-Users of Accounting Data-The Work of an AccountantEthics in Financial Reporting-Generally Accepted Accounting Principles (GAAP)-Understanding of Accounting Principles: Accounting Concepts, Assumptions and Conventions-The Basic Accounting Equation/Balance Sheet Equation-Financial Transactions and their Effect on Accounting Equation -Understanding of Different Financial Statements and Summary of the Accounting Cycle.

The Recording Process: The Account- Mechanics of Double-Entry Accounting-Transactions Illustrating the Rules of Debit and Credit-The Account and the Equation-Steps in the Recording Process-Meaning of Journal-Various Kinds of Journal-Journalizing Business Transactions-Meaning of Ledger–Importance of Ledger–Posting Mechanism–Accounts and their Balances-Definition of Trial Balance–Trial Balance and Accounting AccuracyPreparation of Trial Balance.

Adjusting the Accounts and Preparing the Statements: Need for Adjustments at the End of Accounting PeriodAccrual Vs. Cash-Basis Accounting-Recognizing Revenues and Expenses-Types of Adjusting Entries-Adjusting the Accounts-The Adjusted Trial Balance-Preparing Statements from the Adjusted Trial Balance-The Adjustment Process-Cash Flow Statement-The Classified Balance Sheet/Classification of Balance Sheet Items- Owner’s Equity on the Balance Sheet. .

Completing the Accounting Cycle: Definition of Worksheet-Steps in Preparing Worksheet-Preparing Financial Statements from Worksheet-Preparing Adjusting Entries from a Worksheet-Preparing Closing Entries-Posting Closing Entries-Preparing Post-Closing Trial Balance.

Accounting for Merchandising Operations: Merchandising Operations-Recording Purchases of MerchandiseRecording Sales of Merchandise-Completing the Accounting Cycle-Forms of Financial Statements: Multiple-Step and Single-Step Income Statements and Classified Balance Sheet-Determining Cost of Goods Sold Under a Periodic System-Periodic Inventory System- Classifying Inventories- Determining Inventory Quantities-Inventory Costing-Inventory Errors-Estimating Inventories-Worksheet for Merchandising Company.

Accounting Information Systems: Basic Concepts of Accounting Information Systems- Computerized Accounting Systems vs. Manual Accounting Systems.

Accounting for Receivables: Types of Receivables-Accounts Receivables-Notes Receivables-Statement Presentation and Analysis.

Accounting for Plant Assets, Natural Resources, and Intangible Assets: Determining the Cost of Plant AssetsDepreciation-Depreciation Methods-Expenditures for Useful Life-Plant Assets Disposals-Exchange of Plant AssetsNatural Resources-Accounting for Intangible Assets.

Accounting for Current Liabilities and Payroll Accounting: Accounting for Current Liabilities - Contingent Liabilities - Payroll Accounting.

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Text Books: Weygandt & Kieso , Accounting Principles, (8/e), Wiley Publishing.

Reference Book: William W. Pyle and Kermit D. Larson, Fundamental Accounting Principles, (10/e). Richard D. IRWIN. ICC. ILLINOIS. Wild, Larson, Chiappetta, Financial and Managerial Accounting, (Latest edition)