Sep 23, 2020  
2016-2017 Catalog 
2016-2017 Catalog [PAST CATALOG]

BPA 201 - Financial Accounting

3 credit hours - Three hours weekly; one term.
(formerly BPA 211 Principles of Accounting 1)

Learn principles of financial accounting for proprietorships, partnerships and corporations. Study accrual-based accounting and the accounting cycle. Analyze and record financial transactions, prepare financial statements, and learn to account for receivables, inventories, fixed assets and liabilities.

Prerequisite(s): Eligibility for ENG 111  or ENG 115  or ENG 121  or permission of department chair.

Note: Credit is not given for both BPA 201  and BPA 211 or BPA 201 and BPA 100 .

Course Outcomes
Upon successful completion of this course, students will be able to:

  • Demonstrate knowledge of a basic accounting system with the focus on the corporate entity.
    • Identify the basic accounting equation.
    • Identify the cash and accrual basis of accounting.
    • Prepare appropriate journal entries; initial, adjusting and closing.
    • Identify the four basic financial statements.(Income Statement, Balance Sheet, Statement of Stockholders’ Equity, Statement of Cash Flows)
    • Prepare three of the four financial statements (Balance Sheet, Income Statement and Statement of Shareholders’ Equity)
    • Identify the steps in the accounting cycle.
    • Solve problems related to the objectives in 1-6.
  • Demonstrate knowledge regarding the importance of financial statement analysis.
    • Calculate select financial ratios.
    • Analyze the results of the financial ratio calculations.
    • Compare the results to benchmarks and historical data.
  • Demonstrate knowledge of the importance of internal controls.
    • Define what internal controls are and why they are necessary in business.
    • Identify the various cash controls and inventory controls necessary for a sound business.
    • Solve cash reconciliation problems.
    • Prepare the journal entries necessary based on the results of cash reconciliation.
    • Analyze a company’s cash and inventory control systems and make recommendations for improvement.
  • Demonstrate knowledge of the accounting for accounts receivables.
    • Identify the various classes of receivables.
    • Identify the various methods of bad debt recognition.
    • Solve various problems related to the direct write off and allowance methods.
    • Identify the various methods to account for bad debt expense.
    • Analyze which bad debt recognition method is most appropriate.
    • Prepare applicable journal entries.
    • Evaluate applicable financial ratios.
  • Demonstrate knowledge of inventory systems.
    • Define periodic and perpetual methods of inventory.
    • Define the various methods of inventory valuation.
    • Solve problems related to FIFO, LIFO and weighted average methods of inventory valuation.
    • Prepare applicable journal entries.
    • Evaluate applicable financial ratios.
  • Demonstrate knowledge of accounting for long term assets.
    • Define long term assets and the various classes (tangible and intangible) of long term assets.
    • Identify what constitutes the cost of a long term asset.
    • Identify various depreciation methods.
    • Solve problems for depreciation and amortization of long term assets.
    • Prepare applicable journal entries.
    • Evaluate applicable financial ratios.
  • Demonstrate knowledge of current and long term liabilities.
    • Define various current and long term liabilities.
    • Prepare journal entries associated with liability related transactions.
    • Apply time value of money concepts to bond pricing.
    • Solve additional problems associated with current and long term liabilities.
    • Evaluate applicable financial ratios.
  • Demonstrate knowledge of the stockholder’s equity section.
    • Identify and define the parts of stockholders’ equity.
    • Identify the differences between common stock, preferred stock and treasury stock.
    • Identify cash dividends, stock dividends and stock splits.
    • Solve related problems.
    • Evaluate applicable financial ratios.
Core Competencies
Core 1 Communication Core 2 Technology Fluency Core 3 Information Literacy Core 7 Quantitative Reasoning Core 10 Innovative and Critical Thinking