Intermediate Accounting

Course Code: BBA 224

Credit Hour: 3

Course Group: Core Courses

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Development of International Accounting Standards: The international regulatory framework and standard setting process. An overview of the reporting environment, Users of general purpose financial -statements, external financial reporting regulations, adoption of accounting standards issued by IASB, a critical review of the conceptual framework.

Accounting for Inventories: Nature of the inventories, initial recognition of inventories, extermination of cost, measurement of inventories, cost formulas: specific identification, FIFO, LIFO, Weighted average method, Valuation of inventories: net realizable value, recognition as an expense, Lower of cost or market, disclosure issues in accordance with the requirement of IAS 2.

Accounting for Receivables: Receivables - Notes Receivables and Accounts Receivables -Discounting Notes Receivables - Interest Bearing and Non-Interest Bearing - Dishonored Notes Receivables - Un- collectible Accounts Receivables - Methods of Determining Uncollectible A/R -Allowances - Methods of Accounting for Uncollectible - Direct Write-off method of Accounting for Uncollectible Collections of Account Receivable written-off.

Investment: Investment in debt securities: Held to maturity securities, available for sale securities, trading securities, Investment in equity securities: available for sale, trading securities, Investment under equity method, Impairment of value, transfer between category, reclassification, disclosures, guidelines in IAS 32, 39, and IFRS 9.

Acquisition and Disposition of Plant Assets: Acquisition and valuation of Plant Assets - The nature of Depreciation in Accounting - Cost allocation versus valuation, Depreciation and Cash Flows; Extension of Plant Assets and its effects on Depreciation. Depreciation Methods - Recording of depreciation; Disposition of Plant assets; Depletion of Resources; IAS #16: Accounting for Property, Plant and Equipment.

Intangible Assets: Nature of intangible assets, recognition and initial measurement, measurement subsequent to initial recognition, retirement and disposals, disclosure requirements of IAS 38, Innovative measures of intangibles.

Impairment: When to undertake an impairment test, impairment test for individual asset, cash generating unit, impairment for cash generating unit, reversal of impairment loss, disclosures as per IAS 36.

Accounting for Lease: Classification of lease, classification guidance, accounting for finance lease ' by lessee and lesser, accounting for operating lease, sale and leaseback transaction, and disclosure requirements as per IAS 17.

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Recommended Books:

Smith & Scousen : Intermediate Accounting Kieso and Waygandt: Intermediate Accounting 3.1 AS and IFRS Handbook 4. BAS Handbook published by ICAB