Instruction Mode: In-Class
Professor: N/A
Resource(s): | Type | Description | Required | Textbook | Modern Advanced Accounting in Canada, Herauf & Mbagwu (CDN), McGraw-Hill, 10th, 2022 |
Optional | Other | CPA Canada Handbook - Accounting (available online via Sheridan library services database collection) |
Optional | Other | CPA Canada Handbook - Public Sector Accounting (available online via Sheridan Library services database collection) |
Applicable student group(s): Business Administration- Accounting
Course Details: Module 1: Introduction to Advanced Accounting & Investments in Equity Securities
- Conceptual framework for financial reporting
- Accounting standards in Canada
- Equity investments – overview
- Accounting for significant influence and investments in associates (cost and equity methods of accounting)
- Reporting complexities associated with the equity method
- Differences in the standards for private enterprises
Textbook Reference: Chapters 1 & 2
Assessment: Assignment 2%
Learning Outcomes: 1, 2
Module 2: Business Combinations (Subsidiaries)
- Business combinations concepts
- Forms of business combinations (purchase of net assets, purchase of shares, contractual arrangement)
- Accounting for business combinations (acquisition method)
- Consolidated financial statements (year of acquisition) using the direct and worksheet approaches
- Differences in the standards for private enterprises
Textbook Reference: Chapter 3
Assessments: Quiz 1%, Assignment 2%
Learning Outcome: 3
Module 3: Consolidation of Non-Wholly Owned Subsidiaries
- Consolidation methods (FVE and identifiable net assets methods)
- Other consolidation issues (including bargain purchases, contingent consideration, other)
Textbook Reference: Chapter 4 (including 4A)
Assessments: Quiz - 1% Assignment 2%
Learning Outcome: 3
Module 4: Consolidation Subsequent to Acquisition Date
- Methods of accounting for an investment in a subsidiary (including cost and equity methods)
- Consolidated Income and Retained Earnings Statements
- Consolidation subsequent to acquisition date (wholly and non-wholly owned subsidiary) using the direct and working paper approaches
- Other consolidation reporting topics (impairment, other)
- Differences in the standards for private enterprises
Textbook Reference: Chapter 5 (including 5A, 5B)
Assessments: Quiz 1%, Assignment 2%
Learning Outcomes: 2, 3
Module 5: Intercompany Balances and Profits – Land and Inventory
- Accounting for intercompany transactions (balances, revenues and expenses), including how to account for realized and unrealized profits in intercompany transactions (non-depreciable assets such as land, inventory)
- Adjustments in the year of the sale, subsequent years, downstream vs. upstream
Textbook Reference: Chapter 6
Assessments: Quiz 1%, Assignment 2%
Learning Outcomes: 2, 3
Module 6: Intercompany Balances and Profits – Depreciable Assets & Other
- Accounting for intercompany transactions, including how to account for realized and unrealized profits in intercompany transactions (depreciable assets and other)
- Adjustments in the year of the sale, subsequent years, downstream vs. upstream
- Differences in the standards for private enterprises
Textbook Reference: Chapter 7
Assessments: Quiz 1%, Assignment 2%
Learning Outcomes: 2, 3
Mid-term Exam (30%)
Module 7: Consolidated Cash Flows and Changes in Ownership
- Consolidated Cash Flow Statement
- Accounting for various ownership structures including a change in the parent’s ownership interests, subsidiary issues additional shares to public, subsidiary with preferred shares outstanding, indirect shareholdings
- Differences in the standards for private enterprises
Textbook Reference: Chapter 8
Assessments: Quiz 1%, Assignment 2%
Learning Outcome: 3
Module 8: Other Consolidation Reporting Issues
- Accounting for joint arrangements & other
- Deferred income taxes arising on acquisition
- Operating segments
- Differences in the standards for private enterprises
Textbook Reference: Chapter 9
Assessments: Quiz 1%, Assignment 2%
Learning Outcomes: 4, 5
Module 9: Foreign Currency Transactions & Hedges
- Concepts of foreign currency transactions
- Accounting for foreign currency transactions
- Hedging foreign currency exposure (forward contracts) – no hedge accounting
- Hedge accounting (including fair value and cash flow hedges, and hedges of a net investment in foreign operations)
- Differences in the standards for private enterprises
Textbook Reference: Chapter 10
Assessments: Quiz 1%, Assignment 2%
Learning Outcomes: 6, 7
Module 10: Reporting Foreign Operations / Foreign Currency Translation
Accounting exposure vs. economic exposure
- Foreign operations – functional vs. presentation currency
- Translation methods and translated financial statements
- Other foreign reporting issues (acquisition differential)
- Differences in the standards for private enterprises
Textbook Reference: Chapter 11
Assessments: Quiz 1%, Assignment 2%
Learning Outcome: 8
Module 11: Financial Reporting for Not-for-Profit Organizations
- Characteristics and users of Not-for-Profit Organizations (NFPOs)
- Accounting standards for Not-for-Profit Organizations (NFPO) – financial statements, fund accounting, types of contributions, revenue recognition of contributions (deferral method and restricted fund method), other considerations (capital assets, donated goods and services, other)
- Differences in the standards for private enterprises
Textbook Reference: Chapter 12 (including 12A, 12B)
Assessments: Quiz 1%, Assignment 2%
Learning Outcome: 9
Module 12: Public Sector Financial Reporting
- Nature of government, users and uses of public sector accounting
- Financial reporting for government – PSA Handbook
- Objectives and major reporting issues
Textbook Reference: Chapter 12 (including 12C)
Learning Outcome: 9
Final Exam Comprehensive: (40%)