Accounting

Teaching and learning formats

Tuition in Seminars
Case Studies

Applicability

This module is the basis for understanding the financial resources in a business unit. It prepares students for various majors like Controlling, Taxation or Finance.
In BIM relevant for Module 14 Law and Taxation

Programme semester

1. Semester

Particular conditions for admission (to exam)

Multiple Choice: possible; Auxiliary material: non-programmable pocket calculator

Module contents

Financial Accounting:

This course provides basic knowledge:

• Into the importance of financial, the legal standards and accounting entries
• Into Double - Entry Accounting Systems
• In the understanding of Merchandising and Inventory, Internal Control, Cash, and Receivables
• How to deal with Assets, Liabilities and Depreciation
• How to prepare Financial Statements (Balance sheet, Profit & Loss Statement, Cash Flow Statement)

Managerial Accounting:

Managerial serves as a company’s internal language, and is used for decisionmaking, production management, product design and pricing. This course provides:

• An introduction to the fundamentals of management accounting.
• A presentation of the main costing system (absorption costing, process costing, activity-based costing, marginal costing)
• the use of managerial accounting for decision making (e.q. cost-volume-profit analysis)
• an introduction to budgeting, standard costing and variance analysis

Learning outcomes

Level: Reproduction

The students...

• are familiar with double-entry bookkeeping
• define and give examples of variable costs and fixed costs
• describe the concept of debit and credit, the general journal and posting of transactions
• distinguish between product costs and period costs and give examples of each. The prepare an imcome statement including calculation of the cost of goods sold

Level: Knowledge an Comprehension

The Students...

• classify and interpret invoices and VAT
• identify each of the three basic manufacturing cost categories
• notice the needs of accounting for other departments

Level: Problem Solving

The Students...

• analyse the effects of transactions on the accounting equation
• work independently and develop solutions
• prepare a trial balace, adjusting the accounts and prepare the income statement and balance sheet

Literature and other material

• Collis, J. Management Accounting, Palgrave Macmillan, current ed.
• Loughran, M: Financial Accounting
• Ittelson, T: Financial Statements: A Step-by-Step Guide to Understanding and Creating Financial Reports
• FHWS - Papers, Cases, Slides