Financial Accounting and Analysis

FINANCIAL ACCOUNTING AND ANALYSIS
Course Objectives:
1. To get familiar with the basic concepts of corporate financial statements
2. To understand the components of the corporate financial statements and notes to accounts
3. To understand the preparation and need of cash flow statement and its interpretation
4. To learn the tools and techniques of financial statement analysis
5. To study the ethical issues in accounting
Course Outcomes:
At the end of the course students will be able to:
CO1: Understand the corporate financial statements in accordance with Indian Accounting
Standards
CO2: Apply the concepts in preparing the corporate financial statements including balance sheet,
statement of profit and loss and cash flow statement
CO3: Analyze the corporate financial statements with the techniques of Financial Statement
Analysis (FSA)
CO4: Evaluate the performance of the companies using FSA techniques
CO5: Create projected financial statements based on analyzed results and past financial reports
Content
UNIT-I
1. Introduction to Financial Accounting for Corporate Entities (1.5 Hours)
(a) Business & Activities
(b) GAAP and IFRS
(c) Financial Reporting and Disclosure of Financial Statements
(d) Annual Report, Objectives, and Its Components
(e) Users of Annual Report
UNIT-II
2. Statement of Profit and Loss and Balance Sheet and as per Schedule III for IND
AS (9 Hours)
(a) Statement of Profit and Loss
(i) Format of Statement of Profit and Loss as per Schedule III for IND AS
(ii) Items in Statement of Profit and Loss
(iii) Preparation and Analysis of Statement of Profit and Loss from trial
balance (Numerical with adjustments)
(b) Balance Sheet
Page 1 of 3
(i) Format of Balance Sheet as per Schedule III for IND AS
(ii) Items in Balance Sheet and Classification of Assets, Liabilities and

Equity
(iii) Preparation and Analysis of Balance Sheet from trial balance (Numerical
with adjustments)
UNIT-III
3. Statement of Cash Flow (9 Hours)
(a) Introduction
(b) Need for Cash Flow Statement
(c) Regulations related to Cash Flow Statement

MID-TERM EXAMINATION: (It covers from Unit no 1 to 3 (Till topic no 3(b)) of the
syllabus)
(d) Format of Cash Flow Statement
(e) Preparation and Analysis of Cash Flow Statement (Numerical without

Adjustments)
(f) Real Company Cash Flow Analysis from Annual Report
UNIT-IV
4. Financial Statement Analysis (FSA) (9 Hours)
(a) Introduction, Techniques of FSA
(b) Common Size Statement Analysis (Numerical)
(c) Comparative Analysis (Numerical)
(d) Trend Analysis
(e) Ratio Analysis - Liquidity Ratios, Solvency Ratios, Profitability Ratios,

Efficiency Ratios, Valuation Ratios (Numerical)
(f) Inter-firm Comparison Analysis (Numerical)
(g) Projected Financial Statements from Ratios (Numerical)

QUIZ: (It covers from Unit no 1 to 4 of the syllabus)
UNIT-V
5. Ethical Issues in Accounting (1.5 Hours)
(a) Meaning of Window Dressing
Page 2 of 3
(b) Methods of Window Dressing in Accounting
(c) Case discussion for corporate financial frauds

Total (30 Hours)
END-TERM EXAMINATION: It covers from Unit no 1 to 5 of the syllabus.
Pedagogy:
1. Case Studies
2. Lectures & PPT
3. Newspaper Articles, Actual Prospectus & Annual Reports, Articles from Journals &
Magazines
Textbook:
1. Dr. Narender Ahuja, Dr. Varun Dawar, “Financial Accounting & Analysis”, Taxmann
Publications, ISBN-13:978-93-5071-643-4
Reference Books:
1. Sudhir S. Jaiswall, Asish K. Bhattacharyya, “Corporate Financial Statements Under

IND AS”, McGraw Hill, 2023, ISBN-13: 978-93-5532-459-7
2. Sanjay Dhamija, “Financial Reporting and Analysis”, Sultan Chand & Sons, 2020,
ISBN-13: 978-93-5161-180-6
3. N Ramachandra, Ramkumar Kakani, “Financial Accounting for Management”,
McGraw Hill, 2021, ISBN-13: 978-93-8981-173-5
4. Ambrish Gupta, “Financial Accounting for Management – An Analytical Perspective”,
2022, ISBN-13: 978-93-560-6081-4
5. M. N. Arora, “Basic Financial Accounting”, Himalaya Publishing House, 2018
6. S. Ramanathan, “Accounting for Management”, 2014, Oxford University Press, ISBN-
13: 978-0-19-809331-2
Web Resources:
1. Schedule III for IND AS available at: Schedule III for Ind AS (wirc-icai.org)
Journals:
1. Journal of Accounting and Economics available at ScienceDirect
2. International Review of Financial Analysis available at ScienceDirect
3. Journal of Accounting Research available at Wiley Online Library
4. The Accounting Review available at American Accounting Association
5. Contemporary Accounting Research available at Wiley Online Library
Page 3 of 3

Financial Accounting and Analysis - 2023-25

Uploaded by

Copyright:

Available Formats

Financial Accounting and Analysis - 2023-25

Uploaded by

Document Information

Original Description:

Original Title

Copyright

Available Formats

Share this document

Share or Embed Document

Sharing Options

Did you find this document useful?

Is this content inappropriate?

Copyright:

Available Formats

Financial Accounting and Analysis - 2023-25

Uploaded by

Copyright:

Available Formats

1. Introduction to Financial Accounting for Corporate Entities (1.5 Hours)

(a) Business & Activities

(b) GAAP and IFRS

(c) Financial Reporting and Disclosure of Financial Statements

(d) Annual Report, Objectives, and Its Components

(e) Users of Annual Report

(a) Statement of Profit and Loss

(ii) Items in Statement of Profit and Loss

(b) Balance Sheet

(ii) Items in Balance Sheet and Classification of Assets, Liabilities and

3. Statement of Cash Flow (9 Hours)

(b) Need for Cash Flow Statement

(c) Regulations related to Cash Flow Statement

(d) Format of Cash Flow Statement

(e) Preparation and Analysis of Cash Flow Statement (Numerical without

(f) Real Company Cash Flow Analysis from Annual Report

4. Financial Statement Analysis (FSA) (9 Hours)

(a) Introduction, Techniques of FSA

(b) Common Size Statement Analysis (Numerical)

(c) Comparative Analysis (Numerical)

(d) Trend Analysis

(e) Ratio Analysis - Liquidity Ratios, Solvency Ratios, Profitability Ratios,

(f) Inter-firm Comparison Analysis (Numerical)

(g) Projected Financial Statements from Ratios (Numerical)

5. Ethical Issues in Accounting (1.5 Hours)

(a) Meaning of Window Dressing

(c) Case discussion for corporate financial frauds

1. Sudhir S. Jaiswall, Asish K. Bhattacharyya, “Corporate Financial Statements Under

You might also like