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COURSE TITLE: Intermediate Financial Accounting II
CREDIT WEIGHT AND WEEKLY TIME DISTRIBUTION: credits 3 (hrs lect 3 - hrs sem 0 - hrs lab 1)
COURSE DESCRIPTION: Continues from Busi 353, Intermediate Financial Accounting I. Accounting for the Statement of Financial Position is completed, covering relevant IFRS and ASPE standards, disclosure and reporting for the liabilities and equity sections. Also examines the preparation and interpretation of the Statement of Cash Flows. Other topics covered include earnings per share, income taxes, pensions, leases, changes in accounting methods, and accounting errors.

Prerequisites: BUSI 353
REQUIRED TEXTS: Kieso, D., Weygandt, J., Warfield, T., Young, N., Wiecek, I., & McConomy, B. (2013). Intermediate Accounting Volume 2 (Tenth Cana.). Toronto, Canada: John Wiley & Sons Canada, Ltd. 
Midterm 1 20%
Midterm 225%
Final Exam 30%
Assignments 25%
Upon successful completion of this course, you will be able to
  • Perform accounting for current and long term liabilities, including deferred income taxes.
    • Account for estimated and contingent liabilities.
    • Apply the accounting principles for long-term bonds.
    • Construct current and deferred income tax journal entries.
    • Illustrate financial statement disclosure for corporate income taxes.
  • Show how to account for shareholders' equity.
    • Explain the nature of shareholders' equity including contributed surplus, retained earnings, and accumulated other comprehensive income.
    • Record the issuance and reacquisition of shares.
    • Distinguish between the various forms of dividends and how to account for them.
  • Compute basic and diluted earnings per share.
    • Compute earnings per share for a simple and a complex capital structure.
    • Present the financial statement disclosure for earnings per share.
  • Apply the accounting rules for leases and pensions.
    • Explain the nature, economic substance, and advantages/disadvantages of leases.
    • Apply principles or rules for accounting to capital and operating leases from both the perspectives of lessee and lessor.
    • Present the financial statement disclosure for leases for both the lessee and the lessor.
    • Compute the major components of pension expense.
    • Prepare the financial statement disclosure for defined benefit pension plans.
  • Analyze accounting errors and changes.
    • Analyze the effect of errors and prepare the appropriate correcting journal entries.
    • Assess the types of accounting changes and prepare the appropriate journal entries.
    • Describe the financial statement disclosure for accounting errors and changes.
  • Prepare the Statement of Cash Flows.
    • Discuss the objectives of the statement of cash flows.
    • Prepare a statement of cash flows in good format, including proper disclosure.  
  • Non-financial and current liabilities
  • Long-term financial liabilities
  • Shareholders’ equity
  • Complex financial instruments
  • Earnings per share
  • Income taxes
  • Pensions and other employee future benefits
  • Leases
  • Accounting changes and error analysis
  • Statement of cash flows
  • Other measurement and disclosure issues

Required texts, assignments, and grade distributions may vary from one offering of this course to the next. Please consult the course instructor for up to date details.

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