Introduction to Financial Accounting – UGBA 102A
Professor: B. Korcan Ak
Email: korcan_ak@haas.berkeley.edu
Office Hours: MW 11:00am-12:00pm or by appointment
Office: F502
Tel: (510)705-2259
Course Dates: May 26, 2015 to July 1, 2015
Lecture Time and Location: MW 8:00-10:30am C110-Cheit
GSI: SEI KYU SONG
GSI Email: seikyu_song@berkeley.edu
GSI – Office Hours:. Tu 10:30-11:30am F422
Discussion Time and Location: TuTh 8:00-10:30am C110
Course Description
Catalog Description: The identification, measurement, and reporting of financial
effects of events on enterprises, with a particular emphasis on business organization.
Preparation and interpretation of balance sheets, income statements, and statements
of cash flows.
Objective
This required core course in Financial Accounting covers the accounting principles
and methods (GAAP) used in preparing the four principal financial statements – the
balance sheet, the income statement, the statement of stockholders’ equity and the
statement of cash flow.
This course emphasizes the rationale for, and implications of the fundamental
accounting concepts. We use problems to enhance the learning of these concepts
and to bridge the gap between the preparation of financial statements and their
interpretation and use in various decision situations.
Textbook (required)
Financial Accounting (8th Edition)
by Libby, Libby, Short
Publisher: McGraw-Hill Irwin
ISBN13: 978-0-07-802555-6
1
Grading
Your grade will be determined in the following way:
Final Grade = Max {Grade Based on Option1, Grade Based on Option2}
Problem-Sets
Cases
Quizzes
Midterm
Final
Option 1
Option 2
15%
5%
15%
5%
20%
10%
20%
30%
30%
50%
Letter grades will be awarded based on relative performance within the class (Haas
Curve).
•
Examinations
o Quizzes
There are 3 quizzes planned. They will be closed book and will
comprehensively cover all of the materials we have studied. You can bring a
calculator, however devices that can store data or transmit a wireless signal
are not allowed.
o Midterm
The midterm will take place on June 10, 2015 during the lecture. The
midterm will include Chapters 1, 2, 3, 6, and 7. The midterm will be closed
book. You can bring a calculator, however devices that can store data or
transmit a wireless signal are not allowed.
o Final
The final will take place on July 1, 2015 during the lecture. The final will be
comprehensive, covering all material we have studied. The final will be
closed book. You can bring a calculator, however devices that can store data
or transmit a wireless signal are not allowed.
2
All the examinations are mandatory unless a student is excused, ahead of time, for a
documented illness or University-approved absence. There are no exceptions.
Students who miss an exam and have not been previously excused will receive a
score of zero.
•
Assignments
For accounting, there is really no other way to learn than to work through as many
problems as possible yourself. For this reason the course has many problem-sets
and case assignments. These are a key element in ensuring you get the most out of
this course.
o Problem Sets (PS)
Problem sets should be submitted through bcourses before the section when
they are due. Problem sets will be graded based on effort not correctness.
Each problem set gets an equal weight, and there are a total of 4 problem
sets. You may work together on problem sets, but each student must write up
and submit the assignments individually.
o Cases
There are a total of 5 Cases; you need to submit a write-up for each case
before beginning of each lecture when they are due. The cases will be based
on material you have not seen previously. Given this, I am looking for effort
and imaginative thinking as opposed to the right answer. You may work
together, but each student must write up and submit the assignments
individually.
3
Academic Honesty
Any cheating, copying or other academic dishonesty is strongly discouraged. The
punishment for academic dishonesty is (minimum) a zero on the assignment or (for
serious cases, such as cheating on a closed book examination) expulsion from the
course with an ‘F’ grade.
Berkeley-Haas Defining Principles
We will try to study the course in line with the defining principles of Haas which are:
•
Question the Status Quo
•
Confidence without Attitude
•
Students Always
•
Beyond Yourself
For more information on the Berkeley-Haas defining principles please visit
http://www.haas.berkeley.edu/strategicplan/culture/
Feedback
I encourage you to provide feedback on class topics, content, and cases. I appreciate
any concerns, questions, or opinions regarding the course. Participants’ feedback is
critical to the improvement of the course over time.
Instructor Bio
B. Korcan AK is a PhD candidate in Accounting at the Haas School of Business at the
University of California, Berkeley. He gained his Bachelor’s in Management
Engineering from Istanbul Technical University in 2009. His research interests
include: Measurement of Financial Distress, Implications of Financial Distress on
Firm Performance, Financial Statement Analysis and Valuation, and Sports Finance.
4
Schedule:
Week
1
2
3
4
5
6
Date
26-May
27-May
L
Topic
Introduction to Financial Accounting and Review of Financial Statements
Assignments
Read Chapter 1 - No Assignments
L
Chapter 2 - Investing and Financial Decisions and the Accounting System
Discussion: P2-5, P2-6
28-May
D
Practice Problems for Chapters 1 & 2. Review P2-5 & P2-6.
PS-1*: E1-2, E1-5, E1-11, E2-1, E2-5, E2-12
1-Jun
L
Chapter 3 - Operating Decision and the Accounting System,
Case-1*: M3-1 to M3-11
2-Jun
D
QUIZ 1 – Review Quiz 1. Review Case 1.
3-Jun
L
Chapter 6 - Reporting and Interpreting Sales Revenue, Receivables, and Cash
Discussion: CP6-2 & CP6-4
4-Jun
D
Practice Problems for Chapter 6.
PS-2*: MC6-2, MC6-9, M6-1, M6-4, P6-3
8-Jun
L
Chapter 7 - Reporting and Interpreting Cost of Goods Sold and Inventory
Case-2*: P7-2
9-Jun
D
Practice Midterm, Review Case 2.
10-Jun
L
MIDTERM
11-Jun
D
15-Jun
L
16-Jun
D
Review of Midterm (Optional)
Chapter 4 - Adjustments, Financial Statements, and the Quality of Earnings
Chapter 5 - Communicating and Interpreting Accounting Information
(Guest Speaker)
Review Case 3. Practice Problems for Chapters 4 & 5.
17-Jun
L
Chapter 8 - Reporting and Interpreting Property, Plant and Equipment;
Intangibles; and Natural Resources
18-Jun
D
QUIZ 2 – Review Quiz 2. Review P8-3 & E8-5.
22-Jun
L
Chapter 9 - Reporting and Interpreting Liabilities
Chapter 11 - Reporting and Interpreting Owners' Equity,
23-Jun
D
Review Case 4. Practice Problems for Chapters 9 & 11.
24-Jun
L
Chapter 12 - Statement of Cash Flows
25-Jun
D
QUIZ 3 - Review Quiz 3. Review E12-1, E12-2, E12-5, E12-16.
29-Jun
L
Chapter 13 - Analyzing Financial Statements
30-Jun
D
Practice Final. Review Case 5.
1-Jul
L
FINAL
Discussion: P4-2
PS-3*: P4-4, E5-2, E5-5, E5-12
Case-3*: P8-3 & E8-5
Case-4*: P9-11 & P11-5
PS-4*: MC9-4, M9-2, M9-4, M11-3, M11-5,
M11-7
Discussion: E12-1, E12-2, E12-5, E1216
Case-5*: P13-10
Bold Lettering – Lectures
Italic Lettering – Discussion Sections
5