Welcome to Financial Accounting, AKA Introduction to Accounting or Principles of Accounting I, ACG 1000. This course is being designed to introduce the basic skills needed in the field of accounting. As with all Wikiversity Courses, this is a continual joint collaboration among numerous sources, so please check back at regular intervals. Also, please feel free to use the discussion tab at the top of the page for any questions, comments, concerns, or ideas concerning this course.
Financial Accounting will be divided into sessions, each on its own page. Each session represents the material that would be in a single classroom period. This page is analogous to a syllabus that would normally be handed out at the beginning of the class.
The Wikibook Accounting will be a reference throughout the coursework.
After careful study of the course, an interested learner should be able to:
- Identify the importance of the Accounting Equation;
- Identify the Normal Balance for both Balance Sheet and Income Statement Accounts;
- Analyse Business Transactions using T-Accounts;
- Identify the basic information to be conveyed in the four basic Business Statements;
- Understand and Perform the 7 steps of the Accounting Cycle
- Record end of period Adjusting and Closing Entries
- Use the basic form for reconciling bank statements
- Session 1: Basic Principles and Concepts
- Session 1 will focus on the overriding principles, basic ethics, and fundamental concepts of accounting
- Session 2: Accounts
- Session 2 focuses on the Chart of Accounts, T-Accounts, Journals and Ledgers.
- Session 3: Double Entry Bookkeeping
- Session 3 will focus on the accounting equation, balance sheets, Double entry system for assets, capital and liabilities, Stock control. It will also discuss the effect of profit and loss on capital, revenues and expenses. You will learn how to balance accounts and begin to understand a Trial Balance
- Session 4:The Financial Statements of Sole Proprietors (to be added soon)
- Learn how to close revenue and expenditure accounts for preparation of financial statements for sole proprietors. How to adjust purchases with stock and calculate cost of goods sold. Understand the difference between gross and net profit. How to transfer net profit and drawings to the capital account and year end.
- Session 5:Books of Original Entry (to be added soon)
- Session 6:Adjustments for Financial Statements (to be added soon)
- Session 7:Special Accounting Procedures (to be added soon)
- Session 8:Partnership and Company Accounts (to be added soon)
- Session 9:Financial Analysis Introduction (to be added soon)
- Session 10:Other Topics (to be added soon)