University of Bristol - EFIM10006: Fundamentals of Accounting and Finance 2

This unit, Fundamentals of Accounting and Finance 2 (EFIM10006) - follows on from Fundamentals of Accounting and Finance 1, covering in more depth the topics introduced in that unit. The aim is to enhance the detailed knowledge of students who are on specialist accounting programmes, to equip them for the core second and third year courses in their programme. 

On completion of the unit, you should be able to:

• explain and apply the principles of double-entry bookkeeping, including the use of an extended trial balance;
• prepare and explain a Statement of Financial Position for a single entity; prepare and explain a Statement of Comprehensive Income for a single entity;
• prepare and explain a Statement of Changes in Equity for a single entity;
• prepare and explain a Statement of Cash Flow for a single entity;
• explain, apply and evaluate alternative cost flow assumptions for measuring inventory (FIFO, LIFO and weighted average cost);
• explain the purpose of control accounts and perform reconciliations;
• prepare and explain partnership accounts, including where there is a change in partnership or in profit-sharing ratio, and explain the associated principles and techniques;
• account for the incorporation of a business, and explain the associated principles and techniques;
• demonstrate an understanding of principles of VAT;
• understand the principles of total absorption costing and marginal costing, and carry out computations demonstrating this understanding;
• understand the principles of key factor analysis and single-period capital rationing, and carry out computations demonstrating this understanding; 
• have a knowledge and understanding of basic working capital control issues and models, and carry out computations demonstrating this understanding; and, 
• demonstrate an awareness of the workings of the UK Stock market.