ACTG 211: Fundamentals of Financial Accounting
Prerequisite: Sophomore standing
Credit Hours: (3)
A comprehensive introduction to the fundamental concepts and procedures in accounting
for proprietorships, partnerships, and corporations. Emphasis is on the user perspective.
Note(s): General Education and Applied Learning designated course. ACTG 211 is a business core requirement.
Detailed Description of Content of Course
The content of this course includes the basic elements of financial statements (assets,
liabilities, equity, revenues, expenses, gains, losses, and profit). This is accomplished
through a detailed study of financial statements and the impact that typical business
transactions have on the financial statement elements. Such study is based on Generally
Accepted Accounting Principles (GAAP) as applied to the accrual basis of accounting,
and as contrasted with cash basis accounting. The study of financial statements will
focus primarily on the income statement, balance sheet, and statement of cash flows.
Typical business transactions are also examined, including the calculations (such
as interest, dividends, gains, etc.) necessary to develop these transactions. Also
introduced are the flows of data (primarily documents) within an organization that
evidence the use and/or acquisition of a firm鈥檚 financial resources. Throughout the
course, the use of accounting information in decision making, particularly via ratio
analysis, will be studied.
Detailed Description of Conduct of Course
The study of transactions and their impact on the financial statements will require
some knowledge of double entry accounting and the accounting process. However, the
course will focus on the use of accounting information in decision making.
Test and homework problems will be oriented toward problem solving abilities, not
number crunching. Knowing which formulae to apply and how to interpret the results
of a calculation will be emphasized, not just how to do the calculation. The bulk
of the class time will follow the traditional lecture format, though individual and
group work exercises will also be utilized.
Homework assignments (either online or of the traditional format) will be given.
These assignments will often require the use of spreadsheets, expert systems, on-line
databases, or other decision support software.
Goals and Objectives of the Course.
This course is designated as L (Applied Learning) Area and fulfills the learning
goal: To explore professional practice through the application of knowledge, skills,
and critical reflection. Students will fulfill the learning outcomes in this area:
apply acquired knowledge and skills to develop professional identity or professional
practice and critically reflect on their learning, abilities, experiences, or role
within professional contexts. This course may be applied to the REAL Studies Minor
Applied Learning.
Students who complete this course successfully should be able to:
1. Analyze business transactions by:
a. making necessary calculations of interest, discounts, etc.
b. determining the financial statement impact of the transaction.
2. Construct basic financial statements from a list of events or financial statement
elements.
3. Use accounting information to plan, evaluate performance, and make decisions.
4. Explain the differences between the primary types of business organizations, how
each type of organization is established, and the various benefits and burdens of
each.
5. Identify basic controls contained in or missing from given business situations.
6. Compare and contrast the liquidity, solvency, and profitability of two or more
entities using ratio analyses based on financial statement information.
Assessment Measures
Assessment of the objectives listed in part D will be made via exams, homework assignments,
and other projects. Individual student grades will be constructed from their performances
on these measures.
Other Course Information
This course is designated as a General Education course.
Review and Approval
Date Action Reviewed by
February 2011 Reviewed
March 27, 2012 Revised
March 01, 2021