This course imparts a detailed understanding of alternative accounting concepts and practices, and their effect on the financial statements, including a critical evaluation of these alternatives. Such an understanding provides the technical tools as well as the ethical and general background necessary for successful professional careers in accounting, by enhancing the students' ability to understand the environment and broad implications of accounting concepts and practices.
Subjects covered in this course include business com¬binations, consolidated financial statements, foreign currency translation, foreign currency transactions, international financial accounting standards, interim reporting, segmental reporting, the cash flow statement, earnings per share, the accounting for governmental units and not-for-profit organizations, and partnership accounting. The course presupposes mastery of the subject matter of all course prerequisites, especially introductory and intermediate financial accounting. Social, environmental, and ethical issues are addressed in passing as class sessions address traditional topics, not in separate class sessions, as follows:
1)Business combinations—motivation: Effect of combination’s sought after operating economies on employment, competition
2)Business combinations—structure and measurement: Unrecorded environmental liabilities of target companies
3)Partnerships: Ethics of misleading versus informing naïve new partner as to income distributions prior to admission
4)Partnerships: Ethics of bonus to new / continuing partner upon admission / retirement of partner
5)Governmental accounting: Role of state and local governments in the U.S. Unique aspects that call for unique accounting.
6)Not-for-profit accounting: Role of not-for-profit organizations in the U.S. Unique aspects that call for unique accounting.




