AFF4013

Financial reporting and statement analysis

Dr Sheikh Rahman

6 points · 3 hours per week · Caulfield · Prerequisites: previous studies in financial accounting at undergraduate level

Objectives On successful completion of this subject students should be able to demonstrate knowlege of current legal and professional requirements about the form, content and timing of published financial reports; understand the impact of choices of accounting methods on the usefulness of corporate financial statements and on the process of financial statement analysis; understand the special issues and concerns relating to consolidated financial statments, foreign operations and related analytical challenges; appreciate the nature and impact of tangible assets, large write-offs and 'off-balance sheet' items on the published financial reports; analyse and interpet financial statements and reports; prepare suitable reports to management.

Synopsis This subject has two distinct but interlinked aspects. One aspect considers business enterprises in Australia. Reporting requirements according to Corporations Law and approved accounting standards are contrasted with existing reporting practices in order to assess critically the quality of published financial reports. The other aspect examines the properties and roles of financial statements; the key aspects of decisions based on financial statements and the environmental features for decision making.

Assessment Class presentation: 10% · Short tests/assignments (2500 words): 20% · Examination (3 hours): 70%

Prescribed texts

Eddey P Accounting for corporate combinations and associations 4th edn, Butterworths, 1995
Jager M O and others Company accounting procedures 6th edn, Butteworths, 1994
ASCPA and ICAA Accounting handbook 1994/1995 plus a number of prescribed reading materials
Foster G Financial statement analysis 2nd edn, Prentice-Hall, 1986
Zikmund W G Business research methods Dryden, 1993

Back to the 1999 Business and Economics Handbook