Intermediate Accounting 2A
  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: Fall 2020
Prerequisites: ACCG21646
Corequisites: N/A
Equivalents: N/A
Pre/Co/Equiv Notes: N/A

Program(s): Business Admin. Accounting
Program Coordinator(s): Jennifer Peterson
Course Leader or Contact: Lorraine Alyea
Version: 20200914_00
Status: Approved (APPR)

Section I Notes: N/A

Section II: Course Details

Detailed Description
Students develop accounting skills via lecture, demonstration, and group problem-solving work that relate to the liabilities and shareholders' equity section of the Balance Sheet. These skills consist of identifying and measuring financial obligations, preparing a shareholders' equity section, breaking complex financial instruments into debt and equity components, and recording and reporting Earnings per Share.

Program Context

Business Admin. Accounting Program Coordinator(s): Jennifer Peterson
This course is a core component of the third year of the Business Administration Accounting Program, building on the second year learning experiences of Intermediate Accounting 1A and 1B.

Course Critical Performance and Learning Outcomes

  Critical Performance:
By the end of this course, students will have demonstrated the ability to correctly apply the Conceptual Accounting Framework underlying financial reporting as it relates to the liabilities and shareholders' equity sections of the Balance Sheet. Both ASPE and IFRS will be covered with a major focus on being the difference between two frameworks.
Learning Outcomes:

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

  1. Report known and estimated current liabilities.
  2. Prepare the proper accounting journal entries for long term liabilities and for contingencies.
  3. Properly record bond issuance and retirement transactions.
  4. Record common stock issuance and repurchase transactions.
  5. Prepare a Shareholders' Equity section of the Balance Sheet.
  6. Record all types of dividends.
  7. Report the issuance and retirement of complex financial instruments.
  8. Calculate basic and diluted earnings per share.

Evaluation Plan
Students demonstrate their learning in the following ways:

 Evaluation Plan: IN-CLASS
 Assignments (5 @ 2% each)10.0%
 Quizzes (5 @ 2% each)10.0%
 Mid-Term Exam (Module 1-2)40.0%
 Comprehensive Final Exam40.0%

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


Essential Employability Skills
Essential Employability Skills emphasized in the course:

  • Numeracy - Execute mathematical operations accurately.
  • Critical Thinking & Problem Solving Skills - Use a variety of thinking skills to anticipate and solve problems.
  • Critical Thinking & Problem Solving - Apply a systematic approach to solve problems.
  • Information Management Skills - Analyze, evaluate, and apply relevant information from a variety of sources.
  • Information Management - Locate, select, organize and document information using appropriate technology and information systems.
  • Personal Skills - Manage the use of time and other resources to complete projects.
  • Personal Skills - Take responsibility for one's own actions, decisions, and consequences.

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
RequiredTextbookIntermediate Accounting, Volume 2, Kieso, D., Weygandt, J., Warfield, T., Young, N., Wiecek, I., McConomy, B, John Wiley & Sons Canada, Ltd: Toronto, 12th Canadian Edition, 2019
RequiredOtherCPA Handbook (online via Sheridan Library database)

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

Module 1: Non-Financial and Current Liabilities

  1. Understand the importance of non-financial and current liabilities from a business perspective. 
  2. Define liabilities, distinguish financial liabilities from other liabilities, and identify how they are measured.
  3. Define current liabilities and identify and account for common types of current liabilities.
  4. Identify and account for the major types of employee-related liabilities.
  5. Explain the recognition, measurement, and disclosure requirements for decommissioning and restoration obligations.
  6. Explain the issues and account for product guarantees, other customer program obligations, and unearned revenues.
  7. Explain and apply two approaches to the recognition of contingencies and uncertain commitments and identify the accounting and reporting requirements for guarantees and commitments.

Text Reference: Chapter 13

Assessments: Quiz 2%, Assignment 2%

Learning Outcomes: 1, 2


Module 2: Long-Term Financial Liabilities

  1. Understand the nature of long-term debt financing arrangements.
  2. Understand how long-term debt is measured and accounted for.
  3. Understand when long-term debt is recognized and derecognized, including how to account for troubled debt restructurings.
  4. Explain how long-term debt is presented disclosed and analyzed.

Text Reference: Chapter 14

Assessments: Quiz 2%, Assignment 2%

Learning Outcomes: 2, 3


Mid-Term Exam Module 1 & 2 (40%)

Module 3 Shareholders' Equity

  1. Discuss the characteristics of the corporate form of organization, rights of shareholders, and different types of shares.
  2. Explain how to account for the issuance, reacquisition, and retirement of shares, stock splits, and dividend distribution.
  3. Understand how shareholders’ equity is presented, disclosed, and analyzed.

Text Reference: Chapter 15

Assessments: Quiz 2%, Assignment 2% Learning Outcomes: 4, 5, 6

Module 4 Complex Financial Instruments

  1. Understand what derivatives are and how they are used to manage risks and how to account for them.
  2. Analyze and account for hybrid/compound instruments from an issuer perspective.
  3. Describe and account for share-based compensation

Text Reference: Chapter 16

Assessments: Quiz 2%, Assignment 2%

Learning Outcome: 7

Module 5:  Earnings per share

  1. Understand why earnings per share (EPS) is an important number and how it should be presented, disclosed and analyzed.
  2. Calculate basic earnings per share.
  3. Calculate diluted earnings per share.

Text Reference: Chapter 17

Assessments: Quiz 2%, Assignment 2%

Learning Outcome: 8

Final Exam – Comprehensive (40%)

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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.

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