Accounting
Mr Alan Ramsay
6 points * Two 1-hour lectures and one 1-hour tutorial per week * Second semester * Clayton * Prerequisite: Students who have not passed AAF1021/2 should see the lecturer-in-charge
Objectives On completion of this subject students should understand the definitions and recognition criteria for the elements of financial statements and be able to apply these to differing situations; understand the principles of financial mathematics and be able to apply these principles to the pricing of financial instruments; be able to evaluate the accounting system in use in Australia and to implement and evaluate some basic alternative measurement systems; be able to analyse and interpret accounting information to assist in making decisions concerning management efficiency, financial structure and investment in shares.
Synopsis The subject involves a study of the following topics: a conceptual framework for accounting; definition and recognition of revenues, expenses, assets and liabilities (including inventory valuation, depreciation and non-current assets); financial mathematics and markets covering the time value of money, concepts of interest, valuation of financial instruments; an introduction to financial instruments and financial markets; price-level accounting, alternative accounting measurement systems; analysis and interpretation of financial statements.
Assessment Written (1500 words): 10% * Mid-semester test: 15% * Examination: (3 hours): 75%