Accounting Analysis I: The Role of Accounting as an Information System

Go to Course: https://www.coursera.org/learn/accounting-information-system

Introduction

### Course Review: Accounting Analysis I: The Role of Accounting as an Information System #### Overview If you are looking to strengthen your foundational knowledge of accounting and its primary role as a reporting tool for economic entities, Coursera's "Accounting Analysis I: The Role of Accounting as an Information System" is an excellent choice. This course is the first in a five-course Financial Reporting Specialization and is tailored for those who have a basic understanding of accounting principles. Designed to become proficient in analyzing financial reports, this course offers insights into how accounting information is collected, processed, and communicated to stakeholders, including managers, stockholders, and creditors. #### Course Structure and Content The course is well-structured, comprising a series of eight modules that guide learners through various concepts essential for understanding financial accounting. Here's a breakdown of what you can expect from each section: 1. **Course Orientation**: - An essential start for familiarizing yourself with the course layout, your peers, and the necessary technical skills needed to navigate the learning platform. 2. **Module 1: Financial Accounting Structure/Environment**: - This module provides an introduction to the fundamentals of financial accounting, including GAAP (Generally Accepted Accounting Principles) and IFRS (International Financial Reporting Standards). You'll learn how these frameworks shape financial reporting. 3. **Module 2: Accounting Process**: - Here, you will delve into the accounting cycle using the basic accounting equation, learning how month-end adjustments are made. You will also discover how financial statements interconnect. 4. **Module 3: The Balance Sheet and Financial Disclosures**: - This module focuses on the intricacies of the Balance Sheet, financial disclosures, and valuable liquidity and financing ratios. Understanding these can enhance your financial analysis skills. 5. **Module 4: Income Statement, Comprehensive Income, and Statement of Cash Flows**: - You will learn the essential components of the Income Statement, differentiating between income types, and understanding the significance of Comprehensive Income and Cash Flow statements. 6. **Module 5: Time Value of Money (TVOM)**: - TVOM concepts are vital for understanding financial decision-making, and this module covers the key variables related to it. 7. **Module 6 & 8: Revenue Recognition Parts I & II**: - These modules provide an in-depth examination of revenue recognition processes, including critical steps, challenges involving multiple performance obligations, and the methods applicable for long-term contracts. You'll also explore differences between US GAAP and IFRS. 8. **Course Wrap-Up & Case Study**: - The course culminates in a comprehensive peer-reviewed case study, allowing you to analyze a Fortune 500 company's annual report. Completing this study not only reinforces your learning but can also help you earn an Honors badge for your certificate. #### Learning Experience The course is delivered through engaging video lectures, interactive quizzes, and practical assignments that enhance the learning experience. The blend of theoretical knowledge with practical application through case studies makes the course particularly valuable for those looking to apply their knowledge in real-world contexts. #### Who Should Enroll? This course is highly recommended for anyone pursuing a career in accounting, finance, or business management. It's also beneficial for current professionals looking to refresh or expand their understanding of financial reporting systems. However, it is important to have a basic accounting background prior to enrolling to grasp the concepts effectively. #### Conclusion "Accounting Analysis I: The Role of Accounting as an Information System" is an excellent starting point for anyone serious about mastering financial accounting. With a robust curriculum and the opportunity to earn a prestigious certificate, this Coursera course is a worthwhile investment in your professional development. I highly recommend it for students and professionals alike who wish to enhance their accounting skills and understand its critical role in business operations.

Syllabus

Course Orientation

You will become familiar with the course, your classmates, and our learning environment. The orientation will also help you obtain the technical skills required for the course.

We will learn the primary focus of financial accounting and learn about General Accepted Accounting Principles (GAAP) and their key assumptions, as well as compare them to International Financial Reporting Standards (IFRS).

We will use the accounting equation to complete the processing cycle. We will also learn the basic types of month-end adjusting entries. More importantly, we will describe the basic financial statements and how they relate to one another.

We will learn the nuances of the Balance Sheet as well as various forms of disclosures associated with financial statements, including the Auditors' Report and MD&A. We will also review several key liquidity and financing ratios. Lastly, we will learn what's included in the operating segment reporting.

We will learn the key components of the Income Statement (e.g., EPS) and its impact on shareholders’ equity. We will also distinguish income from continuing operations vs discontinued operations. We will learn the key components of the Comprehensive Income and Statement of Cash Flows.

We will learn some of the key concepts and variables related to time value of money.

We will learn the key issues involving revenue recognition, including the five key steps. Next, we will determine when to recognize revenue, including involvement of multiple performance obligations and special issues related to steps 4 and 5. Lastly, we will discuss the presentation and disclosure requirements of revenue.

We will understand the two methods of revenue recognition for long-term contracts, and work also with losses on these kind of contracts. In the end, we will review the convergence and differences between USGAAP and IFRS.

If you would like to earn an Honors badge on your certificate for this course, you must complete a peer reviewed case study that will serve as a refresher of all of the concepts that you have learned over the past seven modules. The case study will involve analysis of a publicly held Fortune 500 company in which you will analyze the Annual Report or 10K Report.