Syllabus Principles of Accounting II BAN223 Spring 2016

Transcription

1 Syllabus Principles of Accounting II BAN223 Spring 2016 Course Name: Principles of Accounting II Course Number: BAN 223 (ACTS 2013) Academic Year: Spring 2016 Prerequisite: BAN 213 or departmental approval. (A continuation of BAN 213 (ACCT 2003) Emphasis will be placed on partnerships and corporations. Cost and budget accounting will be introduced as well as analysis and interpretation of corporate financial statements. INSTRUCTOR Instructor: Mrs. Martha Brothers Office Location: C114 Office Phone#: (870) EX Office Hours: Posted C114 Address: Credit Hours: 3 hrs. 3 credits Revision Date: Spring 2016 Text: Accounting, 26th edition. Warren, Reeve, Duchac. South-Western/Cengage Learning Materials Required: Digital First (Chapters 1-26 bundled with 2 semester access code) ISBN: This bundle includes: 1. Loose-leaf edition of Warren s Accounting 26th edition - 2. Access Code to CengageNOWv2 (2 terms (12 months) Revised January, 2016 Page 1

2 This is the bundle that will be ordered in the bookstores. You can also order from the following link: Below is a preview link for the BAN 223 PRINC OF ACCT Microsite that will be available for use on 1/1/ NOTE: If you took Accounting I in the fall of 2015 with Mrs. Brothers, you will be using the same book and Access Code. In addition, you will need: Computer with Internet Access Calculator Students for whom this course is intended: This course is intended for students seeking an associate of applied science or associate of arts degrees primarily to fulfill requirements within the Division of Business. This course is a transfer course, which means students must earn a grade of C or better in order for it to transfer to a four-year university of college. Catalog Description: BAN 223 (Principles of Accounting II) 3 hrs. 3credits Prerequisite: BAN 213 or departmental approval. (A continuation of BAN 213 (ACCT 2003) Emphasis will be placed on partnerships and corporations. Cost and budget accounting will be introduced as well as analysis and interpretation of corporate financial statements. Course Requirements: Computer Equipment and Software Student must have access to the Internet and World Wide Web. Pop-Up blockers must be turned off while working in Blackboard. Minimum required computer configuration: PC with Pentium II processor or better, 128 RAM (minimum). DSL or Cable connection preferred dial-up 56K modem acceptable, but very slow Internet connection. Firefox is the preferred browser as IE is often not compatible with the software. Revised January, 2016 Page 2

3 Course Objectives: Upon completion of Principles of Accounting II, the student should be competent in the following subjects: 1. Accounting issues related to accounts receivable and notes receivable 2. Fixed assets, intangible assets, natural resources, and the accounting issues related to these assets 3. Obligations included in the Current Liabilities section of the balance sheet: notes payable, contingent liabilities, payroll, employee fringe benefits, and ratios 4. Characteristics of a corporation including topics related to stock 5. Statement of Cash Flows 6. Financial Statement Analysis Learning Objectives: After students have completed activities and exercises assigned for each chapter, they should be able to: CHAPTER 8- OBJECTIVES Sarbanes-Oxley, Internal Control, and Cash OBJ 1 - Describe the Sarbanes-Oxley Act and its impact on internal controls and financial reporting. Sarbanes-Oxley Act OBJ 2 - Describe and illustrate the objectives and elements of internal control. Internal Control Objectives of Internal Control Elements of Internal Control Control Environment Risk Assessment Control Procedures Monitoring Information and Communication Limitations of Internal Control OBJ 3 - Describe and illustrate the application of internal controls to cash Cash Controls Over Receipts and Payments Control of Cash Receipts Control of Cash Payments OBJ 4 - Describe the nature of a bank account and its use in controlling cash. Bank Accounts Revised January, 2016 Page 3

4 Bank Statement Using the Bank Statement as a Control Over Cash OBJ 5 - Describe and illustrate the use of a bank reconciliation in controlling cash. Bank Reconciliation OBJ - Describe the accounting for special-purpose cash funds. Special-Purpose Cash Funds OBJ 7 - Describe and illustrate the reporting of cash and cash equivalents in the financial statements. Financial Statement Reporting of Cash OBJ 8 - Describe and illustrate the use of the ratio of cash to monthly cash expenses to assess the ability of a company to continue in business. Financial Analysis and Interpretation: Ratio of Cash to Monthly Cash Expenses. CHAPTER 9 OBJECTIVES Receivables OBJ 1 - Describe the common classes of receivables. Classification of Receivables Accounts Receivable Notes Receivable Other Receivables OBJ 2 - Describe the accounting for uncollectible receivables. Uncollectible Receivables OBJ 3 - Describe the direct write-off method of accounting for uncollectible receivables. Direct Write-Off Method for Uncollectible Accounts OBJ 4 - Describe the allowance method of accounting for uncollectible receivables. Allowance Method for Uncollectible Accounts Write-Offs to the Allowance Account Estimating Uncollectibles Revised January, 2016 Page 4

5 OBJ 5 - Compare the direct write-off and allowance methods of accounting for uncollectible accounts. Comparing Direct Write-Off and Allowance Methods OBJ 6 - Describe the accounting for notes receivable. Notes Receivable Characteristics of Notes Receivable Accounting for Notes Receivable OBJ 7 - Describe the reporting of receivables on the balance sheet. Reporting Receivables on the Balance Sheet OBJ 8 - Describe and illustrate the use of accounts receivable turnover and number of days' sales in receivables to evaluate a company's efficiency in collecting its receivables. Financial Analysis and Interpretation: Accounts Receivable Turnover and Number of Days' Sales in Receivables CHAPTER 10 OBJECTIVES Fixed Assets and Intangible Assets OBJ 1 - Define, classify, and account for the cost of fixed assets. Nature of Fixed Assets Classifying Costs The Cost of Fixed Assets Capital and Revenue Expenditures Leasing Fixed Assets OBJ 2 - Compute depreciation, using the following methods: straight-line method, units-ofoutput method, and double-declining-balance method. Accounting for Depreciation Factors in Computing Depreciation Expense Straight-Line Method Units-of-Output Method Double-Declining-Balance Method Comparing Depreciation Methods Depreciation for Federal Income Tax Revising Depreciation Estimates Revised January, 2016 Page 5

6 OBJ 3 - Journalize entries for the disposal of fixed assets. Disposal of Fixed Assets Discarding Fixed Assets Selling Fixed Assets OBJ 4 - Compute depletion and journalize the entry for depletion. Natural Resources OBJ 5 - Describe the accounting for intangible assets, such as patents, copyrights, and goodwill. Intangible Assets Patents Copyrights and Trademarks Goodwill OBJ 6 - Describe how depreciation expense is reported in an income statement and prepare a balance sheet that includes fixed assets and intangible assets. Financial Reporting for Fixed Assets and Intangible Assets OBJ 7 - Describe and illustrate the fixed asset turnover ratio to assess the efficiency of a company's use of its fixed assets. Financial Analysis and Interpretation: Fixed Asset Turnover Ratio CHAPTER 11 OBJECTIVES Current Liabilities and Payroll OBJ 1 - Describe and illustrate current liabilities related to accounts payable, current portion of long-term debt, and notes payable. Current Liabilities Accounts Payable Current Portion of Long-Term Debt Short-Term Notes Payable OBJ 2 - Determine employer liabilities for payroll, including liabilities arising from employee earnings and deductions from earnings. Payroll and Payroll Taxes Revised January, 2016 Page 6

7 Liability for Employee Earnings Deductions from Employee Earnings Computing Employee Net Pay Liability for Employer's Payroll Taxes OBJ 3 - Describe payroll accounting systems that use a payroll register, employee earnings records, and a general journal. Accounting Systems for Payroll and Payroll Taxes Payroll Register Employee's Earnings Record Payroll Checks Computerized Payroll System Internal Controls for Payroll Systems OBJ 4 - Journalize entries for employee fringe benefits, including vacation pay and pensions. Employees' Fringe Benefits Vacation Pay Postretirement Benefits Other than Pensions Current Liabilities on the Balance Sheet OBJ 5 -Describe the accounting treatment for contingent liabilities and journalize entries for product warranties. Contingent Liabilities Probable and Estimable Probable and Not Estimable Reasonably Possible Remote OBJ 6 - Describe and illustrate the use of the quick ratio in analyzing a company's ability to pay its current liabilities. Financial Analysis and Interpretation: Quick Ratio CHAPTER 13 OBJECTIVES Corporations: Organization, Stock Transactions, and Dividends OBJ 1 - Describe the nature of the corporate form of organization. Nature of a Corporation Characteristics of a Corporation Revised January, 2016 Page 7

8 Forming a Corporation OBJ 2 - Describe the two main sources of stockholders' equity. Stockholders' Equity OBJ 3 - Describe and illustrate the characteristics of stock, classes of stock, and entries for issuing stock. Paid-In Capital from Issuing Stock Characteristics of Stock Classes of Stock Issuing Stock Premium on Stock No-Par Stock OBJ 4 - Describe and illustrate the accounting for cash dividends and stock dividends. Accounting for Dividends Cash Dividends Stock Dividends OBJ 5 - Describe and illustrate the accounting for treasury stock transactions. Treasury Stock Transactions OBJ 6 - Describe and illustrate the reporting of stockholders' equity. Reporting Stockholders' Equity Stockholders' Equity on the Balance Sheet Reporting Retained Earnings Statement of Stockholders' Equity Reporting Stockholders' Equity for Mornin' Joe OBJ 7 - Describe the effect of stock splits on corporate financial statements. Stock Splits OBJ 8 - Describe and illustrate the use of earnings per share in evaluating a company's profitability. Financial Analysis and Interpretation: Earnings per Share Revised January, 2016 Page 8

9 CHAPTER 16 OBJECTIVES Statement of Cash Flows OBJ 1 - Describe the cash flow activities reported in the statement of cash flows. Reporting Cash Flows Cash Flows from Operating Activities Cash Flows from Investing Activities Cash Flows from Financing Activities Noncash Investing and Financing Activities No Cash Flow per Share Format of the Statement of Cash Flows OBJ 2 - Prepare a statement of cash flows, using the indirect method. Preparing the Statement of Cash Flows The Indirect Method Retained Earnings Adjustments to Net Income Dividends Common Stock Bonds Payable Building Land Preparing the Statement of Cash Flows OBJ 3 - Prepare a statement of cash flows, using the direct method. Preparing the Statement of Cash Flows The Direct Method Cash Received from Customers Cash Payments for Merchandise Cash Payments for Operating Expenses Gain on Sale of Land Interest Expense Cash Payments for Income Taxes Reporting Cash Flows from Operating Activities Direct Method OBJ 4 - Describe and illustrate the use of free cash flow in evaluating a company's cash flow. Financial Analysis and Interpretation: Free Cash Flow CHAPTER 17 - OBJECTIVES Revised January, 2016 Page 9

10 Financial Statement Analysis OBJ 1 - Describe basic financial statement analytical methods. Basic Analytical Methods Horizontal Analysis Vertical Analysis Common-Sized Statements Other Analytical Measures OBJ 2 -Use financial statement analysis to assess the solvency of a business. Liquidity and Solvency Analysis Current Position Analysis Accounts Receivable Analysis Inventory Analysis Ratio of Fixed Assets to Long-Term Liabilities Ratio of Liabilities to Stockholders' Equity Number of Times Interest Charges Are Earned OBJ 3 - Use financial statement analysis to assess the profitability of a business. Profitability Analysis Ratio of Sales to Assets Rate Earned on Total Assets Rate Earned on Stockholders' Equity Rate Earned on Common Stockholders' Equity Earnings per Share on Common Stock Price-Earnings Ratio Dividends per Share Dividend Yield Summary of Analytical Measures OBJ 4 - Describe the contents of corporate annual reports. Corporate Annual Reports Management Discussion and Analysis Report on Internal Control Report on Fairness of the Financial Statements ACADEMIC INTEGRITY: Cheating Policy Revised January, 2016 Page 10

11 Students are expected to uphold the school s standard of conduct relating to academic honesty. Students assume full responsibility for the content and integrity of the academic work they submit. The guiding principle of academic integrity shall be that a student s submitted work, examinations, reports, and projects must be that of the student s own work. Students shall be guilty of violating the honor code if they: 1. Represent the work of others as their own. 2. Use or obtain unauthorized assistance in any academic work. 3. Give unauthorized assistance to other students. 4. Modify, without instructor approval, an examination, paper, record, or report for the purpose of obtaining additional credit. 5. Misrepresent the content of submitted work. Administrative Procedure Number: Cheating in any form (including using unauthorized materials, information, or study aids in any academic exercise; plagiarism; falsification of records; unauthorized possession of examinations; any and all other actions that may improperly affect the evaluation of a student's academic performance or achievement; and assisting others in any such act) is forbidden. An instructor who has proof that a student is guilty of cheating may take appropriate action up to and including assigning the student a grade of "F" for the course and suspending the student from class. A description of the incident and the action taken will be reported through the dean to the Vice Chancellor for Instruction and placed in the student's file in the Office of Admissions and Records. The student may appeal either the finding of cheating or the penalty, or both, as described in Administrative Procedure No , Academic Appeal Procedure. Cheating in this class: Cheating will not be tolerated. If you are cheating on one occasion, you will receive an F for the whole project s work (not limited to that one assignment). If found cheating on a second occasion, you will be asked to drop the class. If the cheating occurs after the drop date, or if you choose not to drop, you will receive an F for this class. The registered student in the class is the only one who should log-in to the course. If it is determined that someone other than the registered student is logging in, this will be considered cheating and reasonable cause for an F in the course. CAMPUS SUPPORT SERVICES: Phillips Community College of the University of Arkansas provides student support services that assist students in achieving their educational objective. Those services include advising, financial aid, counseling and guidance, and safety and security. ADA POLICY: Scott Post is the Vice Chancellor for Student Services and serves as the ADA Compliance Officer. As an open enrollment college, PCCUA strives to meet the needs of students with self-disclosed disabilities who wish to advance their education. A student with a disability must meet with the campus Disabilities Coordinator to obtain reasonable accommodations. Students who have met with the Coordinator are more likely to experience success in a positive learning environment. If you have a disability please contact the Student Disabilities Coordinator for your campus. Revised January, 2016 Page 11

12 DeWitt-Phyllis Fullerton (870) ext Helena-George White (870) ext Stuttgart-Sylvia Boyd (870) ext The process of student referral under the Americans with Disabilities Act can be found in the Student Handbook. FERPA POLICY: Phillips Community College of the University of Arkansas complies with the Family Educational Rights and Privacy Act (FERPA) of A student has the right to inspect and review all of his/her records that meet the definition of educational records. No third party has the right to review student records. Directory information can be provided unless the student request that it be withheld. INSURANCE: Phillips Community College of the University of Arkansas does not provide insurance for its students. The college does encourage each student to secure his/her own insurance, and for that reason, the college has contacted United Healthcare Student Resources. Forms for this insurance are available in the Registrar's office. ARKANSAS COURSE TRANSFER SYSTEM: (ACTS) The Arkansas Course Transfer System (ACTS) contains information about the transferability of course within Arkansas Public Colleges and Universities. Students are guaranteed the transfer of applicable credits and the equitable treatment in the application of credits for the admission and degree requirements. Course transferability is not guaranteed for courses listed in ACTS as "No Comparable Course." Additionally, courses with a "D" frequently do not transfer and institutional policies may vary. ACTS may be accessed on the Internet by going to the ADHE website and selecting Course Transfer. PHILLIPS COMMUNITY COLLEGE BOARD POLICY Policy: 261 Tobacco Policy: Date Adopted: 4/87 Revised: 4/93, 9/06, 7/09 Smoking and the use of tobacco products (including cigarettes, cigars, pipes, smokeless tobacco and other tobacco products) by students, faculty, staff and visitors are prohibited on all Phillips Community College properties. The use of tobacco products is prohibited at all times: 1. in all interior space on the Phillips Community College campuses; 2. on all outside property or grounds of the Phillips Community College campuses including partially enclosed areas such as walkways, breezeway and bus shelters; 3. in college vehicles, including buses, vans, and all other college vehicles; 4. in all indoor and outdoor athletic facilities, as well as the grandstands of outdoor facilities. Attendance Policy: Revised January, 2016 Page 12

13 STUDENT S RESPONSIBILITY PERTAINING TO ATTENDANCE It is the student s responsibility to attend class regularly. If the student misses a class or classes, it is the student s responsibility to contact the Instructor and check their PCCUA student account for assignments and materials covered in class. If no contact is made with the Instructor - the student may receive an EW for excessive absences and no class participation. Students are expected to remain in class for the time specified. Leaving early on coming in late will result in an absence. Note: No exceptions will be made for doctor s appointments for self or children, nor for court dates. Class Meeting 2 Times a Week Students are permitted four (4) absences. When you have missed 5 classes, you will receive an EW or F and you may not return to class. The instructor will warn a student in danger of becoming excessively absent by sending a warning notice to the student s advisor so that the student can be contacted by either phone or in writing. If a student is unable to attend a class regularly, regardless of the reason or circumstances, he/she should withdraw from that class before an EW or F is assigned. Exceptions to this attendance rule may be based on individual circumstances and the instructor s assessment of the student s ability to finish course requirements. The final decision concerning absences is left to the instructor s discretion. A student s attendance will affect their grade in this course. NOTE: No exceptions will be made for doctor s appointments for self or children nor for court dates PUNCTUALITY There are no tardies students are expected to arrive at their classrooms prior to the beginning of classroom activities. Any student entering the classroom after the class roll has been taken will be considered absent. There is one exception to this rule: Students who have been held over by their instructor. CLASSROOM POLICIES It is this instructor s desire that every student succeed in this class. Students are hindered in this success if there are classroom distractions. Students are to adhere to the standards of behavior described in the Student Handbook. Students who do not adhere to this policy will be dropped from the class. Revised January, 2016 Page 13

14 1. No food or drinks are allowed in the computer lab. 2. Computer settings are not to be changed. Personal wallpaper, screen savers, shortcuts, etc. are not to be added to the desktop. 3. Access to objectionable websites is prohibited. 4. According to the student handbook: A student may not have unauthorized persons (children or adults) on campus. 5. **Cell phones and pagers must be turned off when entering the classroom. Do not leave on desk or use during class.( See Below) 6. No Text Messaging, Facebook, online chats or listening to ipods/cd s during class. **Electronic Communication Devices in Classrooms/Laboratories CELL PHONE POLICY To minimize classroom/laboratory disruptions and to prevent the integrity of lectures and testtaking, activated electronic communication devices such as pagers, ipods, and cellular telephones are not permitted. All electronic communication devices must be turned off and put away upon entering the classroom. If an electronic device is used, activated, or rings during a lecture class, laboratory, or exam, the student/owner may be asked to the leave the classroom and counted absent for that class period. Subsequent infractions will be documented, a disciplinary form completed, and the student will receive a 10 point reduction on grade points for each infraction. During testing, use of cell phones or similar communication devices may lead also to a charge of academic dishonesty. ASSIGNMENTS AND GRADING This course emphasizes learning through doing. It is imperative that you read the text carefully, do the assigned homework. Assignments often build on previous assignments. If you do half-hearted work in Chapter 8, you may have difficulty in Chapter 9, and be lost in Chapter 10. Tutoring may be available for students who desire additional help. PCCUA Core Competencies All students receiving an Associate s Degree from PCCUA will possess the following five core competencies (STACC): 1. Social and Civic Responsibility: Behavior demonstrates adherence to legal/ethical standards established by society. 2. Technology Utilization: Use tools of the trade to achieve a specific outcome. 3. Analytical & Critical Thinking: Modes of reasoning including analyzing data, evaluating alternatives, setting priorities, and predicating outcomes. 4. Communication: The interactive process through which there is an exchange of verbal and/or nonverbal information. 5. Cultural Awareness: Acknowledgement that society is diverse with groups of individuals possessing differing beliefs, values, attitudes, and customs that are shared from one generation to the next. Revised January, 2016 Page 14

15 GRADING Grading will be based on the following assessments: **** See below Tests: Tests will be administered after each chapter for the period specified. Be sure to mark your calendars for test dates as make-up tests will not be available. Final Exam: 25% Timed Exams: The timed exam on each chapter can be done in the classroom lab. The time exam must be completed in the given time period (example-30 minutes) and will be available for only a specified length of time. The tests will consist of OBJECTIVE TESTS in Blackboard and PROBLEM TESTS in Cengage. Homework Exercises and Problems: Homework assignments will be given with each chapter and will be done through CengageNow2. I will be able to check your progress to see how you are doing. Don t get behind! 30% 25% ****Late homework will not be accepted. Please contact me by phone or to let me know if you are having problems. Class Participation and Attendance: (Discussion Board Points) 20% To receive points for class participation and attendance in this Blackboard class, students will be required to participate in group discussions in Blackboard. The instructor will post questions for each chapter, and in order to receive credit for the class participation and attendance, the student must post to the discussion. Further instructions will be posted to the Discussion Board Assignment Page. Be sure to post on time as the Discussion Board will close at that time. Total 100 Grading Scale % = A 80-89% = B 70-79% = C 60-69% = D Below 60%= F **** Be sure to complete your assignments as no extra work will be assigned in order to make-up for failure in turning in assignments. Revised January, 2016 Page 15

16 Martha Brothers Testing Policy Tests: Tests will be administered after each chapter for the period specified. Be sure to mark your calendar for test dates as make-up tests will not be available. QUIZZES AND TESTS Missed Quizzes: Testing Policy: Quizzes are given to award those students who are in class. No quizzes can be made up. Testing is a vital part of this course. Please make sure you are in class to take all scheduled tests as any test missed will NOT be made up and a grade of ZERO will be recorded. *Pop Tests CANNOT be made up and a grade of ZERO is recorded.* Mid-Term and Final Exams: Mid-term and final exams may not be administered at another time unless under extreme emergencies. This will be left to the discretion of the instructor. *The instructor reserves the right to change this syllabus in order to meet the needs of the student Revised January, 2016 Page 16