Edmonds Community College Financial Accounting 1 - ACCT 201A - Fall 2008 Monday – Thursday – 8:30 - 9:20 a.m. – SNH 337 Instructor: Andy Williams

Textbooks: Financial & Managerial Accounting, Eighth Edition, by Needles, Powers, and Crosson is required. Also, the authors have posted useful materials: http://www.college.hmco.com/accounting/needles/fin_man_acc/8e/student_home.html.

Equipment and software: A calculator, paper and pencils will prove to be handy, as will computer skills, such as familiarity with word processing, spreadsheets and the Internet. For that matter, your fine mind and your ability to communicate can also be considered to be equipment necessary for this course!

You can find additional information at the EdCC Blackboard site: http://blackboard.edcc.edu/.

Availability: The best way to reach me is via email at . You can also reach me by phone at 425-640-1450. If you want to meet in person, you can find me in my office in SNO #235. my office hours are Monday - Thursday, 10:30 - 11:30 a.m. You can also find additional information on my web page: http://faculty.edcc.edu/andy.williams/

Prerequisites: Successful completion of an introductory accounting or bookkeeping course, or work experience in accounting is a prerequisite for this course. Minimum placement in EAP (English for Academic Purposes) 121 or Bridge 91, roughly the equivalent of American High School English, is a prerequisite for this course. Mathematical ability equivalent to Math 60 or Business Math (BUS 130), again the equivalent of High School Algebra is also recommended. Proficiencies in computer spreadsheet and word processing applications will be helpful to those students who have acquired those skills. If you have any questions regarding these prerequisites, please talk to me at the beginning of this course.

Accessibility: Students who require accommodation for special circumstances should contact Services for Student Disabilities at http://ssd.edcc.edu/. Course Objectives

Financial Accounting 1 (ACCT 201) is designed for students who have successfully completed an introductory accounting class in high school or at a community college, or have on-the-job experience in accounting. The following college-wide abilities and specific learning outcomes are taught, applied and assessed in this course:

Critical Thinking Outcomes:  Observe, analyze, synthesize, apply and evaluate business information.  Identify arguments, evaluate claims, and form conclusions based on standard business practices.  Identify and analyze problems and options, then select and implement appropriate solutions, and evaluate outcomes appropriate to course content.  Examine and evaluate personal thinking as well as the thought process and perspectives of others.

Communication Outcomes:  Prepare and present clear, concise, well-developed written communications in Standard English with correct punctuation and spelling, using business-appropriate word processing formats and styles.  Write clear organized short informational reports using correct format and report writing principles.  Use listening skills that positively enhance relationships in a business environment.

Quantitative Skills Outcomes:  Use mathematics to solve quantitative business issues and problems.  Calculate and explain the costs and benefits of simple financial choices encountered in financial planning and strategic decision-making.  Use personal computers and other tools most commonly used by business to obtain, store, organize and communicate quantitative business information.

Specific Course Outcomes for ACCT 201:  Recognize accounting transactions and record them in journals using proper formats.  Prepare financial statements including income statements, statements of retained earnings, balance sheets and statements of cash flows.  Apply the concepts of accrual accounting to transactions that span fiscal periods. Trace the effects of those transactions to financial statements.  Apply accounting conventions, concepts, and the basic tools of financial analysis to financial statements.  Record accounting transactions for merchandising operations and understand how to cost inventories using a variety of methods.  Record cash and account receivable transactions.  Record transactions for uncollectible accounts using generally accepted principals.  Journalize transactions involving definitely determinable and estimated liabilities. Identify contingent liabilities. Explain the effects of recording liabilities on financial statements. Course Schedule

Week One: Uses of Accounting Information and the Financial Statements 9/22 – 9/25 Learning Objectives  What is accounting?  The corporate form of business.  Transactions, money measurement, separate entity  Financial position and four basic accounting statements

Week Two: Analyzing Business Transactions 9/29 - 10/2 Learning Objectives  Recognition, valuation and classification issues  Asset, liability and stockholders' equity accounts  The double-entry system; debits and credits  General journal and general ledger  Trial balance preparation

10/2 – Quiz #1

Week Three: Measuring Business Income 10/6 – 10/9 Learning Objectives  Net Income, revenues and expenses  Accrual accounting: periodicity, continuity and matching  Deferral adjusting and accrual adjusting transactions  Effects of adjustments on financial statements  Analysis of cash flows from accrual-based information

Week Four: Completing the Accounting Cycle 10/13 - 10/16 Learning Objectives  Describe the accounting cycle  Prepare closing entries.  Prepare reversing entries.

Week Five: Financial Reporting and Analysis 10/20 - 10/23 Learning Objectives  Objectives of Financial Reporting  Qualitative characteristics of accounting information  Financial accounting concepts and ethical reporting  Classified balance sheets and income statements  Liquidity, leverage and profitability measures  How to read about an annual report

10/23 - Midterm Exam Week Six: Merchandising Operations and Inventories 10/27 - 10/30 Learning Objectives  Income statements for a merchandising concern  Purchase and sale transactions  Cost of goods sold calculations  Periodic and perpetual inventory systems  Inventory Management

Week Six: Inventories 11/3 - 11/6 Learning Objectives  Effects of inventory measurement  Inventory cost, cost flows and goods flow  Inventory valuation methods

Week Seven: Inventories 11/11 – Veterans’ Day Holiday – No Classes

11/10 – 11/13 Learning Objectives  Perpetual inventory systems  Lower of cost or market rules  Estimating inventory using retail & gross profit methods

11/17 – Quiz #2

Week Eight – Cash Equivalents and Cash Control 11/18 – 11/20 Learning Objectives  Accounting for cash and receivables  Accounts receivable, credit policies, uncollectible accounts  The allowance method and estimating uncollectible account expense  Notes receivable and interest calculations

Week Nine: Current Liabilities 11/24 - 11/26 Learning Objectives:  Recognition, valuation, classification and disclosure of liabilities  Definitely determinable and estimated liabilities  Contingent Liabilities

11/27 – Thanksgiving – No Classes

Week Ten: Internal Control 12/1 – 12/4 Learning Objectives:  Identify the management issues related to internal control  Describe the components of internal control, control activities and limitations on internal controls  Apply internal control activities to common merchandising transations Final Exam – December 11 – 7:30- 9:20 a.m.

Assessment of Student Achievement Please read my policy on Academic Integrity

Student achievement of the course objectives will be assessed by a variety of instruments, including objective testing, completion of written homework problems and discussion questions, participation in class discussions and written analysis of cases.

NO EXAM MAKEUPS WILL BE ALLOWED unless instructor receives sufficient notice and adequate reasons prior to scheduled exam.

Specific homework problems and other assignments will be assigned periodically throughout the course, usually at the beginning of each unit. The assigned homework is the minimum that you should prepare to successfully complete this course. NO LATE HOMEWORK ASSIGNMENTS WILL BE ACCEPTED for any reason without prior approval from the instructor. If you know that you will need more time on an assignment, please contact me BEFORE THE ASSIGNMENT IS DUE so we can discuss the situation. Homework assignments will be graded on the bases of quality of presentation, completeness, and accuracy.

Grades: Points will be earned as follows:

Midterm Exam 100 Final Exam 150 Assignments & Quizzes 200 Total Possible 450

V” grades are not available. If you need to withdraw from the course, please do so by the date on the EdCC Academic Calendar. “I” grades are only available with prior approval of the instructor based on extenuating circumstances and a specific agreement to complete the class in a timely manner

Percentage of points earned will be converted to a decimal grade using the Accounting Department Decimal Grading Scale: Accounting Department Decimal Grading Scale

Percentage of Total Points Decimal Grade Letter Grade Equivalent 95 - 100% 4.0 A 94 3.9 A 93 3.8 A 92 3.7 A 91 3.6 A- 90 3.5 A- 89 3.4 B+ 88 3.3 B+ 87 3.2 B 86 3.1 B 85 3.0 B 84 2.9 B 83 2.8 B 82 2.7 B 81 2.6 B- 80 2.5 B- 79 2.4 C+ 78 2.3 C+ 77 2.2 C 76 2.1 C 75 2.0 C 74 1.9 C 73 1.8 C 72 1.7 C- 71 1.6 C- 70 1.5 C- 69 - 67 1.4 D+ 66 1.3 D 65 1.2 D 64 1.1 D 63 1.0 D- 62 0.9 D- 61 0.8 D- 60 0.7 D- Score < 60% 0.0 No Credit