acc/537 outline

Week One Content Outline: University of Phoenix Tools and Basic Concepts of Accounting

OBJECTIVE: Use the tools available to University of Phoenix graduate students.

Resource: University of Phoenix student Web site: https://ecampus.phoenix.edu

Content

University Library
Center for Writing Excellence
Student Web site

OBJECTIVE: Identify the hierarchy of sources for generally accepted accounting principles.

Resource: Ch. 1 of Intermediate Accounting

Content

Financial accounting standards board (FASB) standard categorizes the major sources of generally accepted accounting principles (GAAP) as:

FASB standards, interpretations, and staff positions
Accounting principles board (APB) Opinions
American Institute of Certified Public Accountants (AICPA) accounting research bulletins

Other sources of GAAP

Category A (most authoritative): FASB standards, interpretations, and staff positions; APB Opinions; AICPA Accounting Research Bulletins
Category B: FASB Technical Bulletins; AICPA Industry Audit and Accounting Guides; AICPA Statements of Position
Category C: FASB Emerging Issues Task Force; AICPA AcSEC Practice Bulletins
Category D (least authoritative): AICPA Accounting Interpretations; FASB Implementation Guides (Q&A); widely prevalent and recognized industry practices

OBJECTIVE: Describe the qualities of accounting information.

Resource: Ch. 2 of Intermediate Accounting, Ch. 4 of Financial Accounting

Content

Relevance

Predictive value
Feedback value
Timeliness

Reliability

Verifiability
Representational faithfulness
Neutrality

Comparability
Consistency

OBJECTIVE: Compare and contrast accrual basis and cash basis of accounting

Resource: Ch. 4 of Financial Accounting

Content

Accrual-basis accounting

Revenue recognized on financial statements when earned (revenue recognition principle)
Expenses recognized on financial statements when incurred (matching principle)

Cash-basis