Edmonds Community College Financial Accounting 1 - ACCT 201A - Fall 2008 Monday – Thursday – 8:30 - 9:20 a.m. – SNH 337
Instructor: Andy Williams
Textbooks: Financial & Managerial Accounting, Eighth Edition, by Needles, Powers, and
Crosson is required. Also, the authors have posted useful materials:
http://www.college.hmco.com/accounting/needles/fin_man_acc/8e/student_home.html.
Equipment and software: A calculator, paper and pencils will prove to be handy, as will
computer skills, such as familiarity with word processing, spreadsheets and the Internet. For
that matter, your fine mind and your ability to communicate can also be considered to be
equipment necessary for this course!
You can find additional information at the EdCC Blackboard site: http://blackboard.edcc.edu/.
Availability: The best way to reach me is via email at <andy.williams@edcc.edu>. You can
also reach me by phone at 425-640-1450. If you want to meet in person, you can find me in
my office in SNO #235. my office hours are Monday - Thursday, 10:30 - 11:30 a.m. You can
also find additional information on my web page: http://faculty.edcc.edu/andy.williams/
Prerequisites: Successful completion of an introductory accounting or bookkeeping course, or
work experience in accounting is a prerequisite for this course. Minimum placement in EAP
(English for Academic Purposes) 121 or Bridge 91, roughly the equivalent of American High
School English, is a prerequisite for this course. Mathematical ability equivalent to Math 60 or
Business Math (BUS 130), again the equivalent of High School Algebra is also recommended.
Proficiencies in computer spreadsheet and word processing applications will be helpful to
those students who have acquired those skills. If you have any questions regarding these
prerequisites, please talk to me at the beginning of this course.
Accessibility: Students who require accommodation for special circumstances should contact
Services for Student Disabilities at http://ssd.edcc.edu/.
Course Objectives
Financial Accounting 1 (ACCT 201) is designed for students who have successfully completed
an introductory accounting class in high school or at a community college, or have on-the-job
experience in accounting. The following college-wide abilities and specific learning outcomes
are taught, applied and assessed in this course:
Critical Thinking Outcomes:
 Observe, analyze, synthesize, apply and evaluate business information.
 Identify arguments, evaluate claims, and form conclusions based on standard business
practices.
 Identify and analyze problems and options, then select and implement appropriate
solutions, and evaluate outcomes appropriate to course content.
 Examine and evaluate personal thinking as well as the thought process and
perspectives of others.
Communication Outcomes:
 Prepare and present clear, concise, well-developed written communications in
Standard English with correct punctuation and spelling, using business-appropriate
word processing formats and styles.
 Write clear organized short informational reports using correct format and report
writing principles.
 Use listening skills that positively enhance relationships in a business environment.
Quantitative Skills Outcomes:
 Use mathematics to solve quantitative business issues and problems.
 Calculate and explain the costs and benefits of simple financial choices encountered in
financial planning and strategic decision-making.
 Use personal computers and other tools most commonly used by business to obtain,
store, organize and communicate quantitative business information.
Specific Course Outcomes for ACCT 201:
 Recognize accounting transactions and record them in journals using proper formats.
 Prepare financial statements including income statements, statements of retained
earnings, balance sheets and statements of cash flows.
 Apply the concepts of accrual accounting to transactions that span fiscal periods. Trace
the effects of those transactions to financial statements.
 Apply accounting conventions, concepts, and the basic tools of financial analysis to
financial statements.
 Record accounting transactions for merchandising operations and understand how to
cost inventories using a variety of methods.
 Record cash and account receivable transactions.
 Record transactions for uncollectible accounts using generally accepted principals.
 Journalize transactions involving definitely determinable and estimated liabilities.
Identify contingent liabilities. Explain the effects of recording liabilities on financial
statements.
Course Schedule
Week One: Uses of Accounting Information and the Financial Statements
9/22 – 9/25 Learning Objectives
 What is accounting?
 The corporate form of business.
 Transactions, money measurement, separate entity
 Financial position and four basic accounting statements
Week Two: Analyzing Business Transactions 9/29 - 10/2 Learning Objectives
 Recognition, valuation and classification issues
 Asset, liability and stockholders' equity accounts
 The double-entry system; debits and credits
 General journal and general ledger
 Trial balance preparation
10/2 – Quiz #1
Week Three: Measuring Business Income 10/6 – 10/9 Learning Objectives
 Net Income, revenues and expenses
 Accrual accounting: periodicity, continuity and matching
 Deferral adjusting and accrual adjusting transactions
 Effects of adjustments on financial statements
 Analysis of cash flows from accrual-based information
Week Four: Completing the Accounting Cycle 10/13 - 10/16 Learning Objectives
 Describe the accounting cycle
 Prepare closing entries.
 Prepare reversing entries.
Week Five: Financial Reporting and Analysis
10/20 - 10/23 Learning Objectives
 Objectives of Financial Reporting
 Qualitative characteristics of accounting information
 Financial accounting concepts and ethical reporting
 Classified balance sheets and income statements
 Liquidity, leverage and profitability measures
 How to read about an annual report
10/23 - Midterm Exam
Week Six: Merchandising Operations and Inventories
10/27 - 10/30 Learning Objectives
 Income statements for a merchandising concern
 Purchase and sale transactions
 Cost of goods sold calculations
 Periodic and perpetual inventory systems
 Inventory Management
Week Six: Inventories
11/3 - 11/6 Learning Objectives
 Effects of inventory measurement
 Inventory cost, cost flows and goods flow
 Inventory valuation methods
Week Seven: Inventories
11/11 – Veterans’ Day Holiday – No Classes
11/10 – 11/13 Learning Objectives
 Perpetual inventory systems
 Lower of cost or market rules
 Estimating inventory using retail & gross profit methods
11/17 – Quiz #2
Week Eight – Cash Equivalents and Cash Control
11/18 – 11/20 Learning Objectives
 Accounting for cash and receivables
 Accounts receivable, credit policies, uncollectible accounts
 The allowance method and estimating uncollectible account expense
 Notes receivable and interest calculations
Week Nine: Current Liabilities
11/24 - 11/26 Learning Objectives:
 Recognition, valuation, classification and disclosure of liabilities
 Definitely determinable and estimated liabilities
 Contingent Liabilities
11/27 – Thanksgiving – No Classes
Week Ten: Internal Control
12/1 – 12/4 Learning Objectives:
 Identify the management issues related to internal control
 Describe the components of internal control, control activities and limitations on
internal controls
 Apply internal control activities to common merchandising transations
Final Exam – December 11 – 7:30- 9:20 a.m.
Assessment of Student Achievement
Please read my policy on Academic Integrity
Student achievement of the course objectives will be assessed by a variety of instruments,
including objective testing, completion of written homework problems and discussion
questions, participation in class discussions and written analysis of cases.
NO EXAM MAKEUPS WILL BE ALLOWED unless instructor receives sufficient notice
and adequate reasons prior to scheduled exam.
Specific homework problems and other assignments will be assigned periodically
throughout the course, usually at the beginning of each unit. The assigned homework
is the minimum that you should prepare to successfully complete this course. NO
LATE HOMEWORK ASSIGNMENTS WILL BE ACCEPTED for any reason without
prior approval from the instructor. If you know that you will need more time on an
assignment, please contact me BEFORE THE ASSIGNMENT IS DUE so we can
discuss the situation. Homework assignments will be graded on the bases of quality of
presentation, completeness, and accuracy.
Grades: Points will be earned as follows:
Midterm Exam
100
Final Exam
150
Assignments & Quizzes
200
Total Possible
450
V” grades are not available. If you need to withdraw from the course, please do so by the date
on the EdCC Academic Calendar.
“I” grades are only available with prior approval of the instructor based on extenuating
circumstances and a specific agreement to complete the class in a timely manner
Percentage of points earned will be converted to a decimal grade using the Accounting
Department Decimal Grading Scale:
Accounting Department Decimal Grading Scale
Percentage of Total Points
95 - 100%
94
93
92
91
90
89
88
87
86
85
84
83
82
81
80
79
78
77
76
75
74
73
72
71
70
69 - 67
66
65
64
63
62
61
60
Score < 60%
Decimal Grade
4.0
3.9
3.8
3.7
3.6
3.5
3.4
3.3
3.2
3.1
3.0
2.9
2.8
2.7
2.6
2.5
2.4
2.3
2.2
2.1
2.0
1.9
1.8
1.7
1.6
1.5
1.4
1.3
1.2
1.1
1.0
0.9
0.8
0.7
0.0
Letter Grade Equivalent
A
A
A
A
AAB+
B+
B
B
B
B
B
B
BBC+
C+
C
C
C
C
C
CCCD+
D
D
D
DDDDNo Credit