PANTEION UNIVERSITY

OF SOCIAL AND POLITICAL SCIENCES

Discriptive Syllabus

1.      Course Introduction

This course will focus to the fundamentals of Financial Accounting. The types of accounting events and accounts are analysed, and detailed instructions are provided in relation to its categories (chart of accounts) as well as monitoring and reporting methodology for all sectors of Financial Accounting. The different stages for recoding and presenting accounting transactions and events are examined, such as, events recognition and measurement, collecting and processing with the data and preparation of financial statements for unit corporate entities. The use of trial balance and how to identify and correct errors are examined. Finally, the concept of depreciation and impairment of company’s assets and liabilities according to the Greek and International Financial Reporting Standards are discussed and further examined.

2.       Cource Competencies (Main Capabilities)

Students after the completion of the lectures will be able to:

• Explain the context and purpose of financial reporting
• Define the qualitative characteristics of financial information
• work in a systematical way for recording and presenting journal entries(double entries), trial balance (including identifying and correcting errors) and general ledgers.
• manage and process accounting information and entries
• prepare accounting reports and basic financial statements
• know the stages for presentation of accounting information and reports
• present the basic financial statements of a company
• have sufficient knowledge of the estimation and valuation methods and procedures with the Greek and International Financial Reporting Standards.

3.       Educational Material-Teaching Aids

The following is suggested as the basic textbook of the subject:

Dimosthenis Hevas, Ballas Apostolos, Financial Accounting, Benos Publication

A.Papas : Financial Accounting,  : Theoretical & Practical Methods, Benos Publication

At the same time, notes and auxiliary material will be provided in digital form to the students, while during the lectures there will be frequent exercises for practical training. The following is an indicative literature that will be used in the subject lessons:

• Emmanouil I. Sakkeli : IFRS, Sakelli Publication 2002
• Emmanouil I. Sakkeli: Financial Statements as per IFRS and in accordance with the Greek Chart of Accounts, Sakelli Publication
• Liapis I. Konstantinos: Bussiness & Financial Accounting, Benos Publication
• Liapis I. Konstantinos : Introduction to Business & Financial Accounting, Benos Publication (Second Edition),  Benos Publication
• Liapis I. Konstantinos: Business Accounting : Theoretical & Practical Methods, Benos Publication
• Liapis I. Konstantinos & Giannis A. Filos: Bussiness & Financial Accounting, Benos Publication

4.       Educational Tools

General approach to education in the context of utilizing innovative methodologies

The lectures of the subject topics will be presented using all the appropriate methods and in particular presentation of digital lessons. Furthermore, additional presentations with Excel will create an interactive learning framework, which can be posted on the Internet and used at any time by the student. In addition, during the last lecture, the operation of a fully accounting information system and procedures will be briefly presented, using a version (demo) of a complete financial and accounting monitoring program.

5.       Contents

The general topics of the subject are the following:

1. Accounting Environment: Users of Accounting Information(investors, stakeholders, creditors and debtors), The qualitative characteristics of financial information, Accounting cycle, Regulatory Framework (Legislation & Regulations, Reasons & Limitations, Relevance of Accounting Standards), Chart of Accounts - The Greek Chart of Accounts, Financial Statements in accordance with Greek Accounting Standards
2. Use of double entry and accounting systems including the maintenance of accounting records and sources of accounting information. Measurement, recognition and recording on ledger accounts, books of prime entries and journals for:

• Assets:
  1. Fixed & Long-Term Assets

• Tangible Assets, Depreciated Tangible Assets
• Non-Tangible, Amortized Non-Tangible Assets
• Other long-term Assets

1. Inventory, Purchase

• Customers, Sales

1. Suspense Accounts, Debtors, Receivables , Deposits & Cash Accounts,
2. Accruals & Prepayments
3. Securities

• Fair Value Accounting and Impairment of Assets

• Equity & Liabilities:
  • Liabilities

Short Term Liabilities

• Suppliers, Purchase
• Creditors, Payable and Suspence Accounts
• Bank Accounts
• Accruals & Prepayments

Long Term Liabilities

• Long Term Loans
• Issued Bonds
• Other long-term liabilities

1. Equity

• Capital / Share Capital
• Reserve Accounts
• Retain Profit & Loss
• Other forms of Capital (Preferred Stock, Subordinate Capital)

• Profit & Loss Account:
  1. Operating Expense Accounts (Cash, Accrual and Fair Value Accounting)

• Cost of Goods Sold
• Administrative Expenses
• Sales’ Expenses
• Losses from Impairement of Assets
• Financial Costs – Interest Expenses
• Corporate Tax

1. Operating Income Accounts (Cash, Accrual and Fair Value Accounting)

• Sales - Turnover
• Commissions Income
• Other Revenue
• Interest Income

• Other Comprehensive Income (OCI)
  • Profits and Revenues (for Fair Value Accounting) recognised in OCI
  • Losses and Expenses (for revaluation decrease) recognised in OCI

3. Interim and End of Year Operations:
   1. Trial Balance

• Correction of Errors, Control Accounts and Reconciliations, Banks Reconciliations, Suspense Accounts Reconciliations, Incomplete Records

1. Interim Financial Statements in a quarterly base, Accounting and Non-Accounting Adjustments for Valuation of Inventory, Interim Depreciations & Amortizations, Provisions & Contingencies, Events after the Reporting Period, Construction of Interim Financial Statements in a quarterly base for any (per Q and cumulative)
2. Closing Entries - Accounting Adjustments for Valuation of Inventory, End of Year Depreciations & Amortizations, End of Year Provisions & Contingencies, Events after the Reporting Period, End of Year Adjusted Trial Balance, Entries for Calculation of Gross Profit, Entries for Calculation of Net Operation Profit After Tax, Entries for Calculation of EBIT, Entries for EBT, Entries for Corporate Tax Recognition, Entries for Net Profit After Tax, Entries for calculations OCI and Total Income, Closing Entries of Total Operating Income to Retained Earnings/Loss
3. Construction of Profit and Loss Statement, Balance sheet (Financial Position), Notes & Disclosures (Other Comprehensive Income, Equity Statement, Notes)

4. Cash Flow Statement:
   1. Construction by Direct Method
   2. Construction by Indirect Method

6.      Lectures Programme (Each lecture corresponds to an academic week, 13 weeks correspond to one semester, each lecture consists of 4 hours each)

Lecture 1

General introduction to the subject: Object, purpose and requirements

What is the science of accounting?

Presentation of accounting typology requirements

Categories Analysis of concepts and types of accounting standards

Lecture 2

Accounting Environment

Accounting cycle

Chart of Accounts-The Greek General Accounting Plan

Financial Statements in accordance with Greek Accounting Standards.

Lecture 3

Assets :

Fixed assets – Tangible / Non-Tangible Assets

Fixed assets - Main Characteristics - Acquisition - Disposal

Own-Used Fixed Assets Portfolios - Investments

Depreciation Methods - Ascending - Descending - Fixed

Valuation and impairment of fixed assets – Separation between P&L records or Comprehensive Income

Amortization Procedures

Capitalization Expenses

Lecture 4

Inventory:

Reserves - Main features - Acquisition - Disposal

Inventory Systems

Recurrent

Continuous

Inventory Valuation Methods

FIFO

LIFO

Average Weighted

Impairment of Reserves

Lecture 5

Accounts Receivables and Cash Accounts:

Accounts Receivables - Creation – Payable

Accruals – Prepayments

Securities

Doubtful Receivables – Provisions

Cash Accounts

Lecture 6

Securities:

Financial Instruments

Bonds - Loans

Accounting of Financial Instruments

Bank Accounting and Foreign Exchange Accounting

Lecture 7

Liabilities:

Long-Term Liabilities

Short-Term Liabilities Accounts

Capital accounts

Lecture 8

Income Statements:

Operating Expense Accounts

Operating Income Accounts

Lecture 9

End-of-Year Workings:

Events after the reporting period – Description -  Journal Entries

Principle Independence of Uses - Transitional Accounts

Operating Accounts and Operating Statement

Emergency inorganic revenues, expenses, and statements

Statements affecting entries

Income Statement, Balance Sheet and Disclosures

Lecture 10

Cash Flow Statement:

Direct method

Indirect method

Lecture 11

Presentations of works by students

Course overview-Explanation of questions

Course Assessment - Students will be asked to anonymously complete a course assessment questionnaire and express in an open discussion whether the course met their needs and expectations - Discussion

Lecture 12

Simulation workshop presentation

Monitoring in the projector the operation of an integrated computerized system for the planning of registration and monitoring of financial and accounting management using computers

7. Tutor lessons

As part of the teaching, additional tutoring courses of four lectures of two hours per lecture will take place. The computerized application of General Accounting will be taught with real market applications.

8.       Monitoring and Assessment Process

The general philosophy of the course is based on modern accounting methods and is related to the practical training of students in monitoring and keeping accounting entries. Furthermore, students will be emphasized with the correct measurement, recording and presentation of accounting events for the construction of year-end financial statements. For this reason, is suggested a mid – season examination for  valuation of the topics of the course as well as assignments during the lectures.

The first exercise will cover accounting records along with the structure of a trial balance. In the second exercise students will be asked to identify  and match accounts as assets, liabilities, or equity. As a follow-up to this exercise, the third exercise will include adjustments and year-end accounting entries. Finally, the fourth exercise will be carried out by drawing up a balance sheet.

The examination process will be split in two parts. First, a mid-term written examination with theoretical and practical questions and second a final thesis where students will be asked to apply the knowledge from above assignments and second. The final thesis will be equivalent to 20% of the final grade and the written examination to 80%.