Introductory description

N/A.

Module web page

Module aims

Outline syllabus

This is an indicative module outline only to give an indication of the sort of topics that may be covered. Actual sessions held may differ.

The underpinning conceptual framework

• The objectives of financial reporting and the qualitative characteristics of financial information
• The IASB’s Conceptual Framework
• The elements of financial reporting and their recognition and presentation
• Measurement in financial reporting
• The regulatory framework of financial reporting
• Statutory legislation – UK Companies Acts
• True and fair
• The IASB and international financial reporting standards (IASs and IFRSs)
  The information needs of a wider stakeholder group
• An introduction to corporate governance
• Ethics in financial reporting
  Published financial statements and accounting regulation
• The format of published accounts, accounting policies and disclosure
• Reporting performance – discontinued operations, estimates and judgement
• Revenue from contracts with customers
• Assessing performance – measures used by investors including earnings per share, operating segment analysis

Learning outcomes

By the end of the module, students should be able to:

• Understand how to evaluate and interpret published earnings measures and the information requirements of the investor.
• Demonstrate an understanding of the regulatory framework of financial reporting, the conceptual framework, the characteristics of high quality financial information and the significance of different measurement models.
• Demonstrate an understanding of the information needs of all stakeholders including issues relating to corporate governance, sustainability and ethics.
• Demonstrate detailed knowledge of published financial statements formats, disclosure and the regulations, concepts and conventions used in preparing statement of profit or loss entries.
• Assess the nature of accounting information and describe the relationships between different types of financial statements and accounting numbers.
• Understand the theoretical basis for accounting and the effect this has upon accounting practices.
• Critically evaluate and interpret accounting numbers and the use of accounting policies.
• Recognise the political context of accounting regulation and accounting standard setting.
• Demonstrate analytical and problem solving skills.

Indicative reading list

Required text:
Maynard (2017, 2nd edition), Financial Accounting, Reporting and Analysis, OUP
Other useful texts:
Alexander, D., Britton, A., Jorissen, A., Hoogendoorn, M. and van Mourik, C. (2017), International Financial Reporting and Analysis, 7th edition, Cengage Learning

• Elliott, B. and Elliott, J. (2017), Financial Accounting and Reporting, 18th - edition, FT Prentice Hall
  Other relevant resources:
  Students are also encouraged to refer to relevant journal articles. Some of the useful journals are: Economia (UK); British Accounting Review (UK), Accounting and Business Research (UK), Journal of Business Finance and Accounting (UK), Journal of Accountancy (US); The Accounting Review (US); Journal of Accounting Research (US).
  Web-based resources:
  An electronic version of International GAAP from Wiley (available from library online resources)
  Regulatory organisations and other useful accounting websites:
  http://www.ifrs.org The International Financial Reporting Standards Foundation and the International Accounting Standards
  Boards
  http://www.frc.org.uk The Financial Reporting Council
  http://www.fasb.org/ The US Financial Accounting Standards Boards
  http://www.icaew.com The Institute of Chartered Accountants in England and Wales
  http://www.accaglobal.com/ Association of Chartered Certified Accountants
  http://www.cimaglobal.com/ Chartered Institute of Management of Accountants
  http://www.icas.org.uk/ Institute of Chartered Accountants of Scotland
  http://www.accountingweb.co.uk Accounting news site
  http://www.iasplus.com Useful summaries of international financial reporting standards

Subject specific skills

Demonstrate technical skills related to the preparation and interpretation of published financial statements.
Apply techniques of financial statement analysis for the investor and other business stakeholders.

Transferable skills

Demonstrate written communication skills.
Demonstrate team work and oral communication skills.