ACCT 495 – Case Studies in Accounting
Class: Winter 2016
Instructor: Dr. NJ Kim, CPA
Office Hours: T&R 9:00-9:40 am, R 4:40 – 6:00 pm
Office: STF 505
E-Mail: nkim2@calstatela.edu
Web: http://instructional1.calstatela.edu/nkim2/
Texts:
Required:
Note:
1. Intermediate accounting textbook, Spiceland 7th ed.
2. Deloitte and Touche (D&T): The Robert M. Trueblood
Accounting and Auditing Case Study Series.*
3. Harvard Business School (HBS) Cases*
4. AICPA Professor/Practitioner Cases*
* Cases and reading materials are available at the Student
Bookmart on Eastern Ave.
Reference:
Accounting Standards Codification
http://www2.aaahq.org/ascLogin.cfm
Username: AAA51950
Password: 6FCbv9T
Class Objectives:
Through the use of high quality real-world cases involving current topics in
financial accounting, students are expected to be trained to identify issues, weigh
relevant factors, make informed decisions, and defend their positions.
Learning Objectives:
1. Learn to do research on accounting cases.
2. Analyze accounting cases.
3. Apply appropriate accounting principles and concepts to cases.
4. Learn how to write case reports.
5. Write case reports
6. Discuss cases in class
7. Present cases in class
Grading:
Group Case Presentation & Paper
Mid-Term Exam
Class Participation
Case assignments
Total
20%
40
20
20
100%
Tentative Schedule
Week 1:
Introduction
Assignment: Read Ch. 5
Do Ch.5 Cases: 1, 3 & 4
Week 2 : Revenue Recognition Principle I
Assignment: Read Staff Accounting Bulletin No. 101.
(SAB 101 available at WWW.SEC.GOV)
Read FASB Accounting Standards Update No. 2014-09
(Available at WWW.FABS.ORG)
Do Ch. 5 Cases 11 & 12, CPA/CMA questions
Week 3: Revenue Recognition Principle II
Assignment: Read Ch. 15
Do Ch. 15 Cases 1 & 6, CPA/CMA questions
Do D & T Case 15
Week 4: Accounting for Leases
Week 5: Midterm Exam and Group Meeting
Week 6: Revenue Recognition
Assignment: 1. Read HBS Case: Accounting for iPhone at Apple Inc.
Write a 2-5 pages (single space) on the followings:
i. What is subscription accounting?
ii. Why did Jobs want to provide non-GAAP accounting data?
iii. Under the new ASC 606, how should Apple recognize the
revenue of iPhone sales?
iv. Do all questions asked at the end of the case.
Week 7: Revenue recognition
Assignment: 1-1. Read HBS Case: Microsoft’s Financial Reporting Strategy
Write a 2-5 pages report on the followings:
i. Why did Microsoft want to measure revenue
conservatively?
ii. Why did the SEC investigate the accounting practice of
Microsoft?
iii. Under the new ASC 606, how should Microsoft recognize the
revenue of its software sales?
iv. Do all question asked at the end of the case.
1-2. Read D&T Case 99-7 and write your solution on the question.
Assignment: 2-1. Read IVEY Case: Groupon and the SEC
Write 2-5 pages report on the questions asked at the end of the
case.
2-2.Read D&T Case 96-1 and write your solution on the questions.
Week 8: Depreciation Policies
Assignment: 1-1. Read HBS Case: Depreciation at Delta Air Lines and Singapore
Airlines.
Write a 2-5 pages response to the questions of the case.
1-2. Read D&T Case 22 and write your solution on the questions.
Week 9: Fraudulent Financial Reporting and Ethics
Assignments: 2-1. Read HBS Case: Accounting Fraud at WorldCom
Write a 2-5 pages report on the followings:
i. What went wrong with the financial reporting of WorldCom?
ii. What could be done to prevent similar occurrences in the
future?
2-2. Read AICPA Case 96-07 and write your solution on the
questions of the case.
Week 10: Fraudulent Financial Reporting and Ethics-continued
Week 11: Final exam