University of Fribourg
Prof. Dr. Alexis H. Kunz
Syllabus
Advanced Group Accounting
(AGA)
Prof. Dr. Alexis H. Kunz
University of Lausanne, HEC, Internef, # 523
CH-1015 Lausanne
1. Course outline
This is an advanced course in group accounting and consolidation. The principal objective is
to continue students’ education in this field through an examination of more complex
accounting issues. The main course objectives are the following:
1. Develop the conceptual understanding of and appreciation for the significant
accounting and reporting requirements pertaining to consolidated or affiliated
enterprises and foreign currency transactions and translations on consolidated
financial statements.
2. Improve the ability to interpret and use financial statements describing the financial
condition and operating result of affiliated business entities, including multinational
organizations.
3. Develop a thorough understanding of different national and international accounting
regulations with respect to group accounting, in particular to Swiss GAAP RCP, IFRS
and in part to US-GAAP.
4. Expand the technical proficiency in accounting for transactions involving partnerships
and affiliated business enterprises and in the preparation of consolidated financial
statements.
An important supplementary objective is to develop students’ ability to research accounting
pronouncements and to use their judgmental skills to provide opinions on the appropriate
treatment for unfamiliar accounting problems.
University of Fribourg
Prof. Dr. Alexis H. Kunz
2.
•
Reading
CP - extensive course package: slides, exercises, case studies and study aids;
download: http://www.hec.unil.ch/akunz/UNIFR. The password will be disclosed during
the introductory session.
•
BLKJ - Baker Richard E., Lembke Valdean C., King Thomas E., Jeffrey Cynthia G.
Advanced Financial Accounting, 7th edition, McGraw Hill, 2007. ISBN 0-07-26632-2.
•
IFRS – A Guide through International Financial Reporting Standards, 2008.
•
ARR – Swiss GAAP FER/RPC 2007. Accounting and Reporting Recommendations,
2007.
Students must have access to IFRS- and Swiss GAAP RPC-Standards. In addition to
these texts, several academic papers will provide theory and empirical evidence on group
accounting. Details will be given in the course.
3. Organisation
The course is scheduled for the following dates, September 19, October 10 and 31,
November 14 and 28, and December 12 from 9h15-12h00 and from 13h15 to 16h00 at
PER21 in room A230. Any changes to that schedule will be announced on the course's
home page: http://www.hec.unil.ch/akunz/UNIFR.
4. Subject Schedule
Date
Subject
Readings
19.09.2008
0915-1045
Day 1: Introduction into Group Accounting
1045-1100
1100-1230
Break
Lecture 2
1230-1330
1330-1445
1445-1500
1500-1600
Lunch break
Exercises 1 Exercises & Case studies
Break
Lecture 3
Investment in Associates I
Lecture 1
AGA-UNIFR 2008
Cases
Introduction into Group
Accounting
BLKJ, pp.1-23;
IFRS 3
Case in CP
Purchase Method & Goodwill
Accounting
BLKJ, pp.1-23;
IFRS 3, IAS 36,
RPC 20
Case in CP
–2–
BLKJ, pp. 49-71, Case in CP
IAS 28, RPC 30.
Prof. Dr. Alexis H. Kunz
University of Fribourg
Prof. Dr. Alexis H. Kunz
10.10.2008
0915-1045
Day 2: Capital Consolidation at the date of acquisition
Lecture 4
Investment in Associates II
1045-1100
1100-1230
Break
Exercises 2
Exercises & Case studies
1230-1330
1330-1445
Lunch break
Lecture 5
Capital Consolidation at
acquisition
1445-1500
1500-1600
Break
Exercises 3
31.10.2008
0915-1045
Day 3: Capital Consolidation subsequent to the date of acquisition
1045-1100
1100-1230
Break
Lecture 7
1230-1330
1330-1445
Lunch break
Exercises 4 Exercises & Case studies
1445-1500
1500-1600
Break
Exercises 5
14.11.2008
0915-1045
Day 4: Elimination of interco transaction I
1045-1100
1100-1230
Break
Lecture 9
1230-1330
1330-1445
1445-1500
1500-1600
Lunch break
Exercises 6
Break
Exercises 7
28.11.2008
0915-1045
Day 5: Elimination of interco transaction II
1045-1100
1100-1230
1230-1330
1330-1445
Break
Exercises 8
Lunch break
Lecture 11
1445-1500
1500-1600
Break
Lecture 12
Lecture 6
Lecture 8
Lecture 10
AGA-UNIFR 2008
BLKJ, pp. 49-71,
IAS 28, RPC 30.
Case in CP
BLKJ, pp. 92-111, Case in CP
IAS 27, IFRS 3,
RPC 30.
Exercises & Case studies
Capital Consolidation
subsequent to acquisition I
BLKJ, pp. 134168, IAS 27,
IFRS 3, RPC 30.
Mini-Case in
CP
Capital Consolidation
subsequent to acquisition II
BLKJ, pp. 134168, IAS 27,
IFRS 3, RPC 30.
Mini-Case in
CP
Exercises & Case studies
Interco Transfer of
Noncurrent Assets I
BLKJ, pp. 260292.
Interco Transfer of
Noncurrent Assets I
BLKJ, pp. 260292.
Case in CP
Exercises & Case studies
Exercises & Case studies
Interco Inventory
Transactions
BLKJ, pp. 325341.
Exercises & Case studies
Intragroup debt II
BLKJ,
390.
Intragroup debt II
BLKJ, pp. 371- Case in CP
390
–3–
pp.
371-
Prof. Dr. Alexis H. Kunz
University of Fribourg
Prof. Dr. Alexis H. Kunz
12.12.2008
0915-1045
1045-1100
1100-1230
Day 6: Special Consolidation Issues
1230-1330
1330-1445
Lunch break
Lecture 15
1445-1500
1500-1600
Break
Exercises 9
Lecture 13
Break
Lecture 14
Consolidation Tax Issues
IAS 12, RPC 11.
Foreign Currency
Transactions
BLKJ, pp. 500533, pp. 572-603,
IAS 21.
Consolidation of Cash Flow
Statements
BLKJ, pp.
471, IAS 7.
463-
Exercices & Cases
5. Grading
Grading is based on a 90 minutes written exam. The exam consists of two to three
exercises that are similar to the mini-cases discussed in the lectures. All exercises must be
solved and they are all of equal weight for the final grade. The exam is a closed book exam.
The only aids allowed during the exam are (i) a calculator with no entry in the memory
related to this course and (ii) the non annotated IFRS- and RPC-Standards.
AGA-UNIFR 2008
–4–
Prof. Dr. Alexis H. Kunz