Introductory Accounting 2
  I: Administrative Information   II: Course Details   III: Topical Outline(s)  Printable Version
Section I: Administrative Information
  Total hours: 42.0
Credit Value: 3.0
Credit Value Notes: N/A
Effective: Winter 2021
Prerequisites: ACCG16971
Corequisites: N/A
Equivalents: N/A
Pre/Co/Equiv Notes: N/A

Program(s): Business, Business Accounting, Business Admin. Accounting, Business Admin. Finance, Business Finance
Program Coordinator(s): Georgia Mello, Jennifer Peterson, Kathleen Begin
Course Leader or Contact: Maurizio Di Maio, Athena Mailloux
Version: 20210118_00
Status: Approved (APPR)

Section I Notes: Allowable calculator: four function calculator or Texas BAII Plus.

Section II: Course Details

Detailed Description
Students examine in depth current and long-term assets, property, plant and equipment, intangible assets, current and long-term liabilities and equity accounts. Students learn about the structure and operations of partnerships and corporations and how to account for business transactions within those entities. Using interactive lectures, demonstrations and in-class problem solving activities students learn how to account for and report business transactions for partnerships and corporations.

Program Context

Business Program Coordinator(s): Georgia Mello
This course is an optional component of the first year of the Business and Business Administration Finance programs.

Business Accounting Program Coordinator(s): Jennifer Peterson
Same as Business Admin. Accounting

Business Admin. Accounting Program Coordinator(s): Jennifer Peterson
This is a core component of the Business Administration Accounting Program and is the prerequisite for all further studies.

Business Admin. Finance Program Coordinator(s): Kathleen Begin
Same as Business.

Business Finance Program Coordinator(s): Kathleen Begin
Same as Business.

Course Critical Performance and Learning Outcomes

  Critical Performance:
By the end of this course, students will have demonstrated the ability to report a variety of business transactions to users of financial statements.
Learning Outcomes:

To achieve the critical performance, students will have demonstrated the ability to:

  1. Account for current assets using a variety of acceptable methods to report their balances on the financial statements.
  2. Describe long-term assets and apply the cost principle to calculate their costs.
  3. Calculate and record amortization using straight-line, units-of-production and declining balance methods
  4. Prepare journal entries for the disposition of assets.
  5. Describe the characteristics of current and long-term liabilities.
  6. Calculate interest with respect to notes payable.
  7. Prepare journal entries to account for all aspects of partnerships.
  8. Prepare the shareholders' equity section of a corporate balance sheet.
  9. Record the issuance and retirement of common and preferred shares and account for the distribution of a variety of dividends.
  10. Record closing entries for a corporation.
  11. Calculate earnings per share and describe its uses.
  12. Record issuance of bonds.
  13. Prepare a simple cash flow statement.

Evaluation Plan
Students demonstrate their learning in the following ways:

 Evaluation Plan: IN-CLASS
 Tutorials (10 @ 1.5%)15.0%
 Quizzes (10 x 2%)20.0%
 Tests (Test 1 15% and Test 2 15%)30.0%
 Final Exam Comprehensive35.0%

Evaluation Notes and Academic Missed Work Procedure:

Provincial Context
The course meets the following Ministry of Colleges and Universities requirements:


Essential Employability Skills
Essential Employability Skills emphasized in the course:

  • Critical Thinking & Problem Solving Skills - Use a variety of thinking skills to anticipate and solve problems.
  • Numeracy - Execute mathematical operations accurately.
  • Critical Thinking & Problem Solving - Apply a systematic approach to solve problems.
  • Personal Skills - Manage the use of time and other resources to complete projects.

Prior Learning Assessment and Recognition
PLAR Contact (if course is PLAR-eligible) - Office of the Registrar

  • Not Eligible for PLAR

Section III: Topical Outline
Some details of this outline may change as a result of circumstances such as weather cancellations, College and student activities, and class timetabling.
Instruction Mode: In-Class
Professor: Multiple Professors
RequiredTextbookKey Accounting Principles, Vol 2, Neville Joffe, AME Publishing, 5th Canadian edition, ISBN 978-1-989003-51-0 (PAPER), ISBN 978-1-989003-55-8 (digital version)
RequiredOtherCPA Handbook (online via Sheridan Library database)

Applicable student group(s): Business, Business Accounting, Business Finance, Business Administration Accounting, Business Administration Finance
Course Details:

Module 1: Accounting for Receivables

  • Credit customers and bad debts
  • Promissory notes
  • Converting receivables into cash before maturity
  • Accounts Receivable turnover
  • Days' sales outstanding analysis
  • Review accounting principles such as revenue and expense recognition and measurement criteria under ASPE and IFRS.

Text Reference: Joffe Chapter 1

Learning Outcomes:  1

Chapter 1 Tutorial (1.5%)

Chapter 1 Quiz (2.0%)


Module 2: Long-Term Assets - Property, plant and equipment

  • Costs subsequent to acquisition of property, plant & equipment
  • Depreciation
  • Impairment of Property, plant & equipment
  • Disposals of Property, plant & equipment
  • Intangible assets
  • Asset turnover ratio
  • Return on Total Assets ratio

Text Reference: Joffe Chapter 2

Learning Outcomes:  2, 3, 4

Chapter 2 Tutorial (1.5%)

Chapter 2 Quiz (2.0%)


Module 3: Current Liabilities

  • Accounts Payable
  • Payroll Liabilities
  • Sales Tax
  • Unearned Revenue
  • Short Term Notes Payable
  • Estimated & Contingent Liabilities

Text Reference: Joffe Chapter 3

Learning Outcomes:  5, 6

Chapter 3 Tutorial (1.5%)

Chapter 3 Quiz (2.0%)


Module 4: Partnerships

  • Characteristics of partnerships
  • Division of partnership earnings
  • Liquidation of a partnership

Text Reference: Joffe Chapter 4

Learning Outcomes:  7, 8, 9

Chapter 4 Tutorial (1.5%)

Chapter 4 Quiz (2.0%)


Test 1 - 15%


Module 5: Corporations: Contributed Capital and Dividends

  • Corporate organization
  • Issuance of shares
  • Classes of shares
  • Cash dividends
  • Closing entries for a corporation

Text Reference: Joffe Chapter 5

Learning Outcomes:  8, 9, 10

Chapter 5 Tutorial (1.5%)

Chapter 5 Quiz (2.0%)


Module 6: (Long Term) Non-Current Liabilities

  • Bonds payable and other long-term liabilities
  • Issuing bonds at par
  • Time value of money
  • Issuing bonds at discount and premium
  • Retiring bonds

Text Reference: Joffe Chapter 7

Learning Outcomes:  5, 12

Chapter 7 Tutorial (1.5%)

Chapter 7 Quiz (2.0%)


Module 7: Investments

  • Account for different types of debt and equity investments
  • Record investment acquisition, interest or dividends earned, and disposal
  • Strategic & Non-strategic equity investments

Text Reference: Joffe Chapter 8

Learning Outcomes:  11, 12

Chapter 8 Tutorial (1.5%)

Chapter 8 Quiz (2.0%)


Test 2 - 15% 


Module 8: Corporations: The Financial Statements

  • Book value per share
  • Earnings per share
  • Reporting income
  • Retained earnings
  • Corporate Financial Statements

Text Reference: Joffe Chapter 6

Learning Outcomes:   8, 10, 12

Chapter 6 Tutorial (1.5%)

Chapter 6 Quiz (2.0%)


Module 9: The Statement of Cash Flows

  • Classify operating, investing and financing activities
  • Create a simple cash flow statement

Text Reference: Joffe Chapter 9

Learning Outcomes:  13

Chapter 9 Tutorial (1.5%)

Chapter 9 Quiz (2.0%)


Module 10: Financial Statement Analysis

  • Describe the purpose of financial statement analysis
  • Explain and apply vertical/horizontal analysis
  • Profitability, liquidity management ratios            

Text Reference: Joffe Chapter 10

Learning Outcomes:  11

Chapter 10 Tutorial (1.5%)

Chapter 10 Quiz (2.0%)


Final Exam - Cumulative - 35%


Sheridan Policies

All Sheridan policies can be viewed on the Sheridan policy website.

Academic Integrity: The principle of academic integrity requires that all work submitted for evaluation and course credit be the original, unassisted work of the student. Cheating or plagiarism including borrowing, copying, purchasing or collaborating on work, except for group projects arranged and approved by the professor, or otherwise submitting work that is not the student's own, violates this principle and will not be tolerated. Students who have any questions regarding whether or not specific circumstances involve a breach of academic integrity are advised to review the Academic Integrity Policy and procedure and/or discuss them with the professor.

Copyright: A majority of the course lectures and materials provided in class and posted in SLATE are protected by copyright. Use of these materials must comply with the Acceptable Use Policy, Use of Copyright Protected Work Policy and Student Code of Conduct. Students may use, copy and share these materials for learning and/or research purposes provided that the use complies with fair dealing or an exception in the Copyright Act. Permission from the rights holder would be necessary otherwise. Please note that it is prohibited to reproduce and/or post a work that is not your own on third-party commercial websites including but not limited to Course Hero or OneNote. It is also prohibited to reproduce and/or post a work that is not your own or your own work with the intent to assist others in cheating on third-party commercial websites including but not limited to Course Hero or OneNote.

Intellectual Property: Sheridan's Intellectual Property Policy generally applies such that students own their own work. Please be advised that students working with external research and/or industry collaborators may be asked to sign agreements that waive or modify their IP rights. Please refer to Sheridan's IP Policy and Procedure.

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Accessible Learning: Accessible Learning coordinates academic accommodations for students with disabilities. For more information or to register, please see the Accessible Learning website (Statement added September 2016)

Course Outline Changes: The information contained in this Course Outline including but not limited to faculty and program information and course description is subject to change without notice. Any changes to course curriculum and/or assessment shall adhere to approved Sheridan protocol. Nothing in this Course Outline should be viewed as a representation, offer and/or warranty. Students are responsible for reading the Important Notice and Disclaimer which applies to Programs and Courses.

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