Module Overview

Financial Accounting for Business Managers 1

This module aims to provide students with a basic knowledge of accounting concepts, principles,conventions and formats. It is intended that this knowledge will be applied to various business scenarios and functions so that an appreciation of the important role of financial information will be attained by the student.

Module Code

FACC H1005

ECTS Credits


*Curricular information is subject to change

Introduction to Accounting

The purpose and role of accounting information, accounting terminology, the accounting equation, and the importance of capital.- qualitative characteristics of financial statements- underlying assumptions (going concern, accruals, materiality.)- elements of the Financial Statements and their definition.

Accounting Standards

Basic introduction to the following International accounting standards: IAS 2 Inventories; IAS 8 Accounting Policies; Changes in Accounting Estimates and Errors; IAS 16 Property; Plant and Equipment.

Recording of Transactions and other events

Books of Prime Entry for (i) Sales (cash sales and credit sales) (ii) Purchases (cash purchases and credit purchases) (iii) Bank (cheque payments and cash receipts) (iv) Sundry adjustments (petty cash and journals).Use of double entry to post recorded totals to ledger accounts in the Nominal Ledger.

Double entry

Application of journal entries in recording, correcting or amending changes in Assets, Expenses, Income, Liabilities and Equity.Correction of errors, excluding the use of suspense accounts

Financial Statements of Sole Trader

Origin and purpose of the Trial Balance. Classification of individual amounts in the Trial Balance by reference to Elements of the Financial Statements.Preparation of Trading & Income Statement and Balance Sheet of a Sole Trader, from Trial Balance and additional information (post-Trial Balance adjustments), by applying principles, conventions and methods.

Post Trial Balance Adjustments

Computation and adjustments for amounts by reference to "additional information to Trial Balance" including;(i) Accruals & Prepayments(ii) Non Current Assets- Depreciation straight line and reducing balnce(iii) Inventory -closing inventory adjustment(iv) Bad debts write off and maintaing provison for doubtful debts.(v) Taxes - VAT (including basic principles and adjustments) and PAYE adjustments

Bank Reconciliation

Preparation of a bank reconciliation from cheque payments, cash receipts and the bank statement.

Module Content & Assessment
Assessment Breakdown %
Other Assessment(s)30
Formal Examination70