1-1 Introduction to Accounting (MBA-2020)

Transcript:1-1 Introduction to Accounting (MBA-2020):
1-1 Introduction to Accounting (MBA-2020) Session-1 Prof. Priyesh V Purayil, Office: T2, Faculty Office 1 vppriyesh@jgu.ed.in About me… PhD from IIM Kozhikode M.com form Pondicherry University https://cfo.economictimes.indiatimes.com/news/auditor-resignations-at-all-time-high-35-accountants-quit-in-apr-sep-2019/71522721 Session 1: Agenda Overview of the course outline Introduction to Business Activities Managers as an intelligent user of financial statements An overview of financial statements 1-4 Overview of course outline Learning Objective “To become an intelligent user of financial statements” Construction of financial statements Measurement of items of financial statements and its evaluation Pedagogy Lectures, exercises, cases and assignments Evaluation Scheme A1. Class Presence, preparedness, and case assessment 10% A2. Quiz (There can be announced or surprised quizzes) 10% A3. Mid-term Examination/ Viva 30% A4. End Term Examination 50% 1-5 Overview of course outline Approaches to Study Accounting: Viewpoint of accountant (preparer). Collecting, summarizing and reporting accounting information. Viewpoint of user. Understanding, analyzing, and interpreting accounting reports to make decisions. 1-6 Prescribed Text, Suggested Readings and References Prescribed Text: Accounting Text and Cases by Robert N Anthony, David F Hawkins, Kenneth A Merchant, Tata McGraw Hill Publishers (AHM) Suggested Readings: Financial Accounting for Management by Ramachandran and Kakani, Tata McGraw Hill Financial Accounting: An introduction to concepts, methods, and uses by Stickney and Weil. Financial Accounting: A Managerial Perspective by R Narayanaswamy, PHI publications. Indian Accounting Standards from www.icai.org http://www.icai.org/post.html?post_id=474 1-7 Additional Readings, References and Databases Text books for reference: Corporate Financial Reporting: Text and Cases by Brownlee, Ferris and Haskins, Published by McGraw Hill. Financial Accounting: Reporting and Analysis by Stice and Stice, Published by Cengage Learning. The Analysis and Use of Financial Statements by White, Sondhi and Fried. Journals for reference: Journal of Accounting and Economics Journal of Finance The Accounting Review Journal of Accounting Research Indian Journal of Accounting The Chartered Accountant by ICAI CPA Journal Related Databases Bloomberg Thomson Reuters Prowess (CMIE) Main contents and flow Balance Sheet Income Statement Accounting Records Cash Flow Statement Measurement of material cost and inventory Measurement of Depreciation Understanding Annual Report Introduction to Financial Statement Analysis Review 1-9 What Accounting Does Accounting is a system that provides information on: Amounts of resources. How resources were financed. Results achieved by using resources. For either: Parties inside or outside of organization. Profit and nonprofit organizations. 1-10 Let’s start a business entity Varsity Motors Categories of Accounting Information Operating Financial accounting. Management accounting. Tax accounting. 1-12 Operating Information Needed to conduct day-to-day activities. Largest quantity of