ACW2522 - Accounting for Islamic financial institutions - 2017

This unit provides an introduction to the accounting framework, practices and standards of Islamic banks and Islamic financial institutions. The accounting treatment, measurement and disclosures of various financing transactions are explained. Related areas such as Zakat for Islamic banks will also be discussed. The unit will make references to Accounting and Auditing Organization of Islamic Financial Institutions (AAOIFI) standards and to Malaysian Accounting Standards Board (MASB) standards for Islamic financial institutions.

The learning objectives associated with this unit are to:

1. demonstrate an understanding of, and analyse and interpret the annual reports of Islamic banks and differentiate that from conventional banks' annual reports
2. understand the functions and roles of standard setters such as AAOIFI, the Central Bank (BNM) and MASB
3. demonstrate an understanding of the need for and rationale of Islamic accounting and accounting for Islamic banks
4. compare and contrast differences between Islamic accounting and conventional accounting
5. identify the objectives, reports and disclosure requirements in accounting for Islamic financial institutions
6. demonstrate the application of accounting principles in the recording, classification, analysis and reporting of various Islamic financial transactions based on the relevant standards
7. critically appraise accounting and reporting practices of local and international Islamic banks.

Within semester assessment: 30% + Examination: 70%

Minimum total expected workload to achieve the learning outcomes for this unit is 144 hours per semester typically comprising a mixture of scheduled learning activities and independent study. Independent study may include associated readings, assessment and preparation for scheduled activities. The unit requires on average three/four hours of scheduled activities per week. Scheduled activities may include a combination of teacher directed learning, peer directed learning and online engagement.

See also Unit timetable information

Students must have completed: ACW1000 or AFW1000 or ACW1100 or ACW1200 AND AFW1310 or BFW1310