Riyadh Philanthropic Society for Science
‫مؤسسة الرياض الخيرية للعلوم‬
Prince Sultan University
‫جامعة األمير سلطان‬
‫قسم العلوم املالية واحملاسبة‬
Dept. of Finance and Accounting
ACC 202 – Intermediate Accounting II
Credit: 3(3,0,0)
1st Semester – Term (101): Academic Year 2010-2011
Instructor
: Dr. Abdullah Saghaier M. Al-Hussaini
Office
# A 244
Phone
# 4948538
E-mail
: ahussaini@psu.edu.sa
Office Hours : Please see the Working Schedule affixed on my office door.
Course Description and Objectives
This course is the second part of the intermediate accounting. It is designed to provide
students with detailed and in-depth discussion of measurment, reporting, and disclosure issues
related to liabilities and owners' equity. Other accounting issues are also discussed in this
course such as recognizing revenue, accounting for pensions, accounting for leases,
accounting changes and error analysis, and other disclosure issues.
This coures is designed to provide students with with in-depth understanding of financial
accounting concept. The main objectives of this course are:



To provde students with in-depth understanding of different measurement, reporting,
and disclosure issues related to liabilities and owners' equity.
To provide students with detailed discussion of contemporary accounting issues such
as accounting for leases, accounting for pensions and other measurement and
disclosure issues.
To enhance the students' analytical capabilities when dealing with accounting
problems related to the issues discussed.
Suggested Textbooks

Doland E. Kieso, Jerry J. Weygandt and Terry D. Warfield, Intermediate
Accounting, (13th Edition), John Wiley & Sons.

Lanny Chasteen, Richard Flaherty, and Melvin O' Conner. Intermediate
Accounting, (latest edition), Random-House, Inc.

Glenn A. Welsch and Chales T. Zlatkovich. Intermediate Accounting, (latest
edition). Richard D. Irwin, Inc.

P. Danos and E. Imhoff, Jr. Intermediate Accounting, (latest edition), PrenticeHall, Inc.
‫ الرايض‬66899 .‫ب‬.‫ ص‬- 0108944 : ‫ فاكس‬- 944 ‫ حتويلة‬0108084 / 0108444 : ‫هاتف‬
44186
P.O. Box No. 66833, Riyadh - 11586, Tel. No. 454-8011, 454-8489 - Fax No. 4548317
Riyadh Philanthropic Society for Science
‫مؤسسة الرياض الخيرية للعلوم‬
Prince Sultan University
‫جامعة األمير سلطان‬
‫قسم العلوم املالية واحملاسبة‬
Dept. of Finance and Accounting
Supplementary Material


SOCPA, Financial Accounting Standards.
FASB, Original Pronouncement of Financial Accounting Standards (latest edition).
Grading
Your grade will be based on the following:
First Major Examination
Second Major Examination
Final Exam
Assignments and Cases
Class-Participation
20%
20%
40%
10%
10%
Class participation means regular attendance, punctuality, making meaningful contributions
and showing evidence of preparation during the discussion of the issues. Considering the
very nature of the course, the instructor will explain intermediate accounting II issues in the
class. Then, you will be given a number of assignments which along with class participation
will together count for 20% of your final grade. The assignments will be straightforward
cases where you play the role of an accountant. Make sure that you understand each
assignment completely before you work on it. You are encouraged to ask questions inside
and outside the classroom regarding your assignment.
Assignments must be completed by the due date. You should make the required effort to
answer every question, as well as to develop a good understanding of the issues involved.
Preparing yourself for the coming lectures and active class participation are essential to your
learning process. Case Studies given to you would be of the companies functioning in the
real marketplace. Solving them would require you to obtain information from various
sources including the internet and would help you to follow a research oriented approach to
your learning. You are encouraged to seek guidance from your course incharge regarding the
cases.
Exams will be structured to allow you to apply what you have learned to realistic settings.
The absence from class can be extremely costly as student will loose the thread of
discussions.
DN and attendance regulations
DN wil be given to the students who are absent for 16 hours or more including the first week
(whether excused or unexcused) during the semester. Attendance will be taken 5 minutes
‫ الرايض‬66899 .‫ب‬.‫ ص‬- 0108944 : ‫ فاكس‬- 944 ‫ حتويلة‬0108084 / 0108444 : ‫هاتف‬
44186
P.O. Box No. 66833, Riyadh - 11586, Tel. No. 454-8011, 454-8489 - Fax No. 4548317
Riyadh Philanthropic Society for Science
‫مؤسسة الرياض الخيرية للعلوم‬
Prince Sultan University
‫جامعة األمير سلطان‬
‫قسم العلوم املالية واحملاسبة‬
Dept. of Finance and Accounting
after the start time of the class. Any student who joins the class later will be allowed to attend
the lecture but no attendence will be granted to him.
Please note the following instructions:a.
b.
c.
d.
e.
Read the assigned material before class meetings.
Do not miss any class.
Pay attention to details.
Ask questions and participate in discussions.
Be regular in doing home-works and assignments because all your course is
interrelated.
Course Calendar
WEEK 1
CURRENT AND CONTINGENT LIABILITIES
Read Chapter 13
 Current liabilities
 Nature, type and valuation of current liabilities
WEEK 2
CURRENT AND CONTINGENT LIABILITIES (Continued)
Read Chapter 13
 Contingencies
 Gain contingencies and loss contingencies
 Presentaion of current liabilities and contingencies
WEEK 3
LONG-TERM LIABILITIES
Read Chapter 14
 Bonds Payable, issuing bonds, types and ratings of bonds
 Valuation of bonds payable – Discount and Premiums
 Effective-interest method
WEEK 4
LONG-TERM LIABILITIES (Continued)
Read Chapter 14
 Costs of issuing bonds, Extenguishment of debt
 Long-Term Notes Payable, Issued at face value/ not issued at face value
 Special notes payable situations, Mortgage notes payable
‫ الرايض‬66899 .‫ب‬.‫ ص‬- 0108944 : ‫ فاكس‬- 944 ‫ حتويلة‬0108084 / 0108444 : ‫هاتف‬
44186
P.O. Box No. 66833, Riyadh - 11586, Tel. No. 454-8011, 454-8489 - Fax No. 4548317
Riyadh Philanthropic Society for Science
‫مؤسسة الرياض الخيرية للعلوم‬
Prince Sultan University
‫جامعة األمير سلطان‬
‫قسم العلوم املالية واحملاسبة‬
Dept. of Finance and Accounting
WEEK 5
STOCKHOLDERS' EQUITY
Read Chapter 15
 Corporate form, Corporate Capital
 Issuance of stock, reacquisition of shares
WEEK 6
STOCKHOLDERS' EQUITY (Continued)
Read Chapter 15
 Preffered stock, reporting preferred stock
 Dividend policy, types of dividends, stock split
First Major Examination
WEEK 7
RECOGNIZING REVENUE
Read Chapter 18
 Guidelines for revenue recognation
 Revenue recognation at point of sale
WEEK 8
RECOGNIZING REVENUE (Continued)
Read Chapter 18
 Revenue recognation before delivery
 Revenue recognation after delivery
WEEK 9
ACCOUNTING FOR PENSIONS AND OTHER POSTRETIREMENT BENEFITS
Read Chapter 20
 Nature of pension plans
 Accounting for pensions
WEEK 10
ACCOUNTING FOR PENSIONS AND OTHER POSTRETIREMENT BENEFITS
(Continued)
Read Chapter 20
 Using a pension worksheet
 Reporting pension plans in financial statements
WEEK 11
‫ الرايض‬66899 .‫ب‬.‫ ص‬- 0108944 : ‫ فاكس‬- 944 ‫ حتويلة‬0108084 / 0108444 : ‫هاتف‬
44186
P.O. Box No. 66833, Riyadh - 11586, Tel. No. 454-8011, 454-8489 - Fax No. 4548317
Riyadh Philanthropic Society for Science
‫مؤسسة الرياض الخيرية للعلوم‬
Prince Sultan University
‫جامعة األمير سلطان‬
‫قسم العلوم املالية واحملاسبة‬
Dept. of Finance and Accounting
LEASING: ACCOUNTING ISSUES
Read Chapters 21
 Accounting by lessee
 Accounting by lessor
 Special accounting problems
Second Major Examination
WEEK 12
ACCOUNTING CHANGES AND ERROR ANALYSIS
Read Chapter 22
 Accounting changes and error analysis
 Changing in accounting principle
 Changing in accounting estimate
WEEK 13
ACCOUNTING CHANGES AND ERROR ANALYSIS (Continued)
Read Chapter 22
 Change in reporting entity
 Crrection of errors, Balance sheet errors, Income statement errors
 Balance sheet and income statement effects
WEEK 14
FULL DISCLOSURE: CONCEPTS AND PRACTICES
Read Chapter 24
 Full disclosure in financial reporting
 Accounting policies, common notes
 Disclosure issues, Interim reports
WEEK 15
FULL DISCLOSURE: CONCEPTS AND PRACTICES (Continued)
Read Chapter 24
 Current reporting issues
 Reporting on forecasts and projections
 Internet financial reporting
WEEK 16
‫ الرايض‬66899 .‫ب‬.‫ ص‬- 0108944 : ‫ فاكس‬- 944 ‫ حتويلة‬0108084 / 0108444 : ‫هاتف‬
44186
P.O. Box No. 66833, Riyadh - 11586, Tel. No. 454-8011, 454-8489 - Fax No. 4548317
Riyadh Philanthropic Society for Science
‫مؤسسة الرياض الخيرية للعلوم‬
Prince Sultan University
‫جامعة األمير سلطان‬
‫قسم العلوم املالية واحملاسبة‬
Dept. of Finance and Accounting
FINAL EXAMINATION
‫ الرايض‬66899 .‫ب‬.‫ ص‬- 0108944 : ‫ فاكس‬- 944 ‫ حتويلة‬0108084 / 0108444 : ‫هاتف‬
44186
P.O. Box No. 66833, Riyadh - 11586, Tel. No. 454-8011, 454-8489 - Fax No. 4548317