Module Guide
Financial Reporting
BAF-6-FRE
School of Business
2022-23
Level 6
Table of Contents
1.
2.
3.
4.
Module Details ..................................................................................................... 3
Short Description ................................................................................................. 4
Aims of the Module .............................................................................................. 4
Learning Outcomes ............................................................................................. 4
4.1
Knowledge and Understanding ....................................................................................................... 4
4.2
Intellectual Skills .............................................................................................................................. 4
4.3
Practical Skills ................................................................................................................................. 5
4.4
Transferable Skills ........................................................................................................................... 5
5.
5.1
6.
7.
Assessment of the Module .................................................................................. 5
5.1 Late Submission and Extenuating Circumstances Notification ................................................ 6
Feedback ............................................................................................................. 6
Introduction to Studying the Module .................................................................... 7
7.1
Overview of the Main Content ......................................................................................................... 7
7.2
Overview of Types of Classes ........................................................................................................ 7
7.3
Importance of Student Self-Managed Learning Time ..................................................................... 7
7.4
Employability ................................................................................................................................... 7
8.
9.
10.
The Programme of Teaching, Learning and Assessment .................................... 8
Student Evaluation ............................................................................................ 10
Learning Resources .......................................................................................... 11
10.1 Core Materials ............................................................................................................................... 11
10.2 Optional Materials ......................................................................................................................... 11
Melville, Alan (2022). International Financial Reporting. Pearson ............................................................. 11
Websites..................................................................................................................................................... 11
LSBU Moodle – https://vle.lsbu.ac.uk/login.php......................................................................................... 11
NOTES ....................................................................................................................................................... 11
2
1.
MODULE DETAILS
Module Title:
Module Level:
Module Reference Number:
Credit Value:
Student Study Hours:
Contact Hours:
Financial Reporting
6
BAF-6-FRE
20
200
Full time: 52 hours per semester
Private Study Hours: Full-time: 152 hours per semester
Pre-requisite Learning (If applicable): Level 5 Financial Accounting and Analysis
Co-requisite Modules (If applicable): None
Course(s): BA(Hons) Accounting and Finance
BA(Hons) Business Management
BA(Hons) Economics
Year and Semester 2022/23 Semester 1
Module Coordinator: Joe Adomako
MC Contact Details (Tel, Email, Room) Second Floor, Business School
Tel: 07583861906
Academic Hub α, LSBU Business School
Email: adomakkj@lsbu.ac.uk
Teaching Team & Contact Details Joe Adomako
Email: adomakkj@lsbu.ac.uk
Second Floor, Business School
Academic Hub α, LSBU Business School
Suresh Theivendran
Email: sureshs@lsbu.ac.uk
Second Floor, Business School
Academic Hub α, LSBU Business School
Dr Vy Tran
Email: tranv4@lsbu.ac.uk
Academic Hub α, LSBU Business School
Ibrahim Ganiyu
Email:ganiyui@lsbu.ac.uk
Second Floor, Business School
Academic Hub α, LSBU Business School
Accounting and Finance
Summary of Assessment Method: Coursework and Examination
Weights: 40% CW and 60% Exam
Overall Pass mark: 40%
External Examiner appointed for module: Alison Bonathan
3
2.
SHORT DESCRIPTION
This module develops the skills in understanding and applying accounting standards in
the preparation of financial statements. It covers the preparation of financial statements
for individual reporting entities and groups. It also covers key technical aspects of
corporate reporting and addresses theoretical issues such as earnings management.
3.
AIMS OF THE MODULE
The aim of the module is to ensure that students:
 Acquire a thorough knowledge of accounting theory and practice in all the areas
identified for this module.
 Master the concepts, and a range of skills and techniques identified as necessary, for
effectively applying the knowledge acquired.
 Make use of IT for researching and presenting coursework; and
 Cultivate personal skills and attributes essential for discharging responsibility at a
professional level.
4.
LEARNING OUTCOMES
4.1
Knowledge and Understanding
On completion of the module, students will be conversant with a range of
International
Accounting/Reporting Standards. In addition, students will be able to:
 Demonstrate a high degree of competence in the accepted techniques of
recording, analysing, classifying and summarising financial transactions of
reporting entities.
 Prepare financial statements including group accounts for reporting entities.
 Apply and critically appraise the theoretical and regulatory framework of
accounting.
 Critically analyse and interpret financial statements for identified purposes; and
 Critically evaluate current issues in financial reporting.
4.2
Intellectual Skills
On completion of this module students will be able to:
 Challenge the suitability of accounting and reporting techniques prescribed by
the accounting profession.
 Question appropriateness of given accounting techniques to specific
circumstances.
 Discern the accounting and reporting techniques appropriate to new
transactions; and
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4.3
Practical Skills
On completion of the module students will have developed skills in:
 Using information technology to locate financial data and to enable the
accurate and efficient preparation of financial statements together with the
analysis of financial reports.
 Using the different methodologies for preparing and analysing financial
information together with an understanding of their strengths and limitations.
4.4
Transferable Skills
On completion of the module students will have developed skills in:
 Solving complex structured and unstructured business problems taking
account of relevant legal, professional and commercial factors.
 Effective communication of opinions and conclusions relating to financial data
in a logical, analytical, coherent and reasoned manner.
 Numeracy to critically analyse and interpret financial information, selecting
appropriate techniques and showing an appreciation of their potential
limitations.
5.
ASSESSMENT OF THE MODULE
The module will be assessed by coursework (40%) and end of Semester
Examination (60%).
1. Coursework: This will be an individual assignment on a theoretical accounting
issue. Students are expected to research and form opinions on the issue. The
word limit will be circa 2,000 words.
The main objectives of the assignments will be to assess each student’s ability
to:
 seek out relevant literature and materials (particularly using electronic based
methods); and develop problem-solving skills.
2. Examination: A three-hour unseen written examination, which will contain a mix
of computational and discursive questions. The examination will test the
students’ ability to:
 apply technical knowledge to practical situations;
 formulate appropriate solutions and /or approaches;
 demonstrate awareness of relevant legal, professional and commercial factors;
and
Pass-marks and overall marks:
Students must achieve a minimum mark of 40% overall to pass the module; a
minimum of 30% must be achieved in each element of the assessment.
5
5.1
5.1 Late Submission and Extenuating Circumstances
Notification
Students are expected to use MyAccount to submit Late Submission or ECs
requests. It is important that you meet all deadlines, but if you are having difficulties in
doing so, it is also important to let us know as soon as possible so that we can provide
the best support and guidance.
The Late Submission and Extenuating Circumstances Notification form in MyAccount
allows you to:



Request the opportunity to submit your work up to 5 working days late for an
uncapped mark if this is included as part of your DDS support arrangements.
Notify us of an unexpected issue which is outside of your control that is
impacting an assessment (an ‘Extenuating Circumstance’), which may allow an
uncapped late submission or the opportunity to attempt the assessment at
another time.
Request additional time to submit an upcoming piece of coursework, without
having a valid extenuating circumstance (but this will incur a marking penalty of
5% for each working day past the deadline, up to 5 working days).
If you submit an assessment late (up to a maximum of 5 working days), and do not
notify us in advance via the Late Submission and Extenuating Circumstances
Notification form, then your mark will be capped at a pass.
If you do not attempt your assessment within 5 working days of the main deadline, then
you will usually be able to attempt the assessment again during the resit period, but
your mark will be capped at a pass (unless you are able to provide evidence of a valid
Extenuating Circumstance, in addition to giving a reason why you were unable to
submit this evidence before the deadline had passed).
6.
FEEDBACK
Generic feedback, applying to all students, will be placed on the Module VLE site
within 15 working days after the final submission of the coursework assignment.
6
7.
INTRODUCTION TO STUDYING THE MODULE
7.1
Overview of the Main Content
Earnings management
Ratio analysis and limitations of financial reports
Impairment of property, plant and equipment
Leasing
Revenue recognition
Statement of cash flows
Consolidated financial statements
Reporting financial performance and review of accounting standards
7.2
Overview of Types of Classes
The module develops theoretical knowledge of the subject and also focuses on
practical scenarios faced by accountants and emphasises the development of
essential skills required by the professional accountant.
A combination of on-line lectures and on-site seminars will be used, together with
students’ personal studies. Lectures provide the basic framework for the area of
study. They are used to describe the underlying concepts of a subject. The aim
of the lecture is to introduce a topic and arouse students’ interest in it. For each
lecture, students are advised to pre-read the content of the topic by reference to
the scheme of work given below. Lecture slides will be placed on the Module VLE
site.
Seminars are used for discussions between the tutor and students and as a forum
for students to air opinions, clear doubts and crystallise thought.
7.3
Importance of Student Self-Managed Learning Time
Students are required to undertake directed self-study and prepare
solutions/discussions to questions on various topics. Students will be encouraged
to identify for themselves particular problems of difficulty and to use seminar
discussions, where appropriate, for the resolution of these. Students must
regularly access the Module VLE site for this module. Where appropriate, students
are also expected to download the relevant seminar questions and study them in
advance of each seminar, in order to derive maximum benefit from seminar
session.
7.4
Employability
On completion of this module, students should have sufficient knowledge of the
concepts and skills required for the preparation and presentation of financial
statements to be able to apply them in the workplace.
7
Week
8.
1
THE PROGRAMME OF TEACHING, LEARNING
AND ASSESSMENT
Lecture plan
Introduction to the module
Recap of material covered in Year 2
Revenue recognition
2
On completion of this session, you should be able to:
Understand and apply the requirements of IFRS 15
Elliot B & Elliot, J (2019). Financial Accounting and Reporting. Pearson
Education. Chapter 11 of the core text
Earnings management
3
4
On completion f this session, you should be able to:
Explain the motives behind earnings management
Methods used by firms to manage earnings
Mechanisms used by firms to constrain earnings management
Accounting for Property, plant and equipment
On completion of this session, you should be able to:
Understand and apply the requirements of IAS 16
Reading:
Elliot B & Elliot, J (2019. Financial Accounting and Reporting. Pearson
Education. Chapter 17 of the core text
Accounting for Impairment of non- current assets & Investment
Properties
On completion of this session, you should be able to:
5
Understand and apply the requirements of IAS 36
Understand and apply the requirements of IAS 40
Reading:
Elliot B & Elliot, J (2019. Financial Accounting and Reporting. Pearson
Education. Chapter 17 of the core text
8
6
Leasing
On completion of these sessions, you should be able to:
Understand and apply the requirements of IFRS 16
Reading:
Elliot B & Elliot, J (2019). Financial Accounting and Reporting. Pearson
Education. Chapter 18 of the core text
7-8
Consolidated financial statements
On completion of these sessions, you should be able to:
(a)
Understand and apply the requirements of IFRS 3 & IFRS 10
(b)
Explain the concept of control and explain the circumstances
that give rise to one entity obtaining control over the other
(c)
Calculate goodwill, non-controlling interests and consolidated
retained earnings
(d)
Deal with the following issues in consolidation:
Contingent consideration
Deferred consideration
Use of shares as purchase consideration
Inter-company adjustments
Uniform accounting policies
(e)
Prepare Consolidated Statement of Financial Position
(including Associates)
( f)
Prepare Consolidated Statement of Comprehensive Income
Reading:
Elliot B & Elliot, J (2019). Financial Accounting and Reporting. Pearson
Education. Chapters 23 to 25 of the core text
9-10
Statement of cash flows and analysis of performance
Analysis of financial Statements
On completion of these sessions, you should be able to:
a) Understand and apply the requirements of 1AS 7
b) Prepare and interpret a statement of cash flows for a single company.
c) Analyse the financial performance, liquidity and financial adaptability
of a firm.
Reading:
Elliot B & Elliot, J (2019). Financial Accounting and Reporting. Pearson
Education. Chapters 5 and 28 of the core text.
9
11
Review of selected accounting standards
On completion of this session, you should be able to:
(a)
(b)
(c)
Understand and apply the requirements of 1AS 37-Provisions,
Contingent Liabilities and Contingent Assets
Understand and apply some of the requirements of 1AS 21Foreign currency transactions
Understand and apply the requirements of 1AS 10- Events after
the reporting period
Reading:
Elliot B & Elliot, J (2019). Financial Accounting and Reporting. Pearson
Education. Chapters 4, 13 and 26 of the core text
12
Published accounts and review of accounting standards
Earnings per share
On completion of this session, you should be able to:
Prepare a set a Statement of Comprehensive Income, Statement of
Changes in Equity and a Statement of Financial Position for a single
company.
Reading:
Elliot B & Elliot, J (2019). Financial Accounting and Reporting. Pearson
Education. Chapter 3 of the core text
13
Revision
14 &15
Examination weeks
9.
STUDENT EVALUATION
Students were very satisfied with the organisation and coverage of the Financial
Reporting module in the 2021/22 academic year. A significant number of students scored
well above 70% in the examination and coursework components of the module.
Students are encouraged to participate fully in the 2022/23 National Students Survey.
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10. LEARNING RESOURCES
10.1 Core Materials
Elliot B & Elliot, J (2019). Financial Accounting and Reporting. Pearson Education.
https://ebookcentral.proquest.com/lib/lsbuuk/reader.action?docID=5775613
10.2 Optional Materials
The books listed below are only some of which are available on the subject.
Latest editions of:
Maynard, Jennifer (2017). Financial Accounting, Reporting & Analysis. Oxford
University Press.
Melville, Alan (2022). International Financial Reporting. Pearson
Websites
LSBU Moodle – https://vle.lsbu.ac.uk/login.php
A Moodle site is maintained for this module. Copies of all module materials can
be obtained from this site. Copies of seminar answers will be placed on Moodle
one week after the relevant seminar.
Library - http://www1.lsbu.ac.uk/library
NOTES
Plagiarism means presenting another person’s work as your own. Some examples of it
are:
1.
The inclusion in a student’s assignment of more than a single phrase from another
person’s work without the use of quotation marks and due acknowledgement of the
source.
2.
The use of the ideas or intellectual data of another person without
acknowledgement of the source or the submission or presentation of work as if it were
the student’s, when in fact they are substantially the ideas or intellectual data of another
person.
3.
Copying the work of another person (be it a co-student or any other source).
Students are rightly expected to draw upon other people’s ideas but in an appropriate
manner.
However, other people’s work must be used in a principled way, with due
acknowledgement of authorship. Students are expected to use the Harvard system of
referencing.
11
For guidance on plagiarism refer to:
https://library.lsbu.ac.uk/harvardreferencing/plagiarism
For guidance on the Harvard system of referencing:
https://library.lsbu.ac.uk/harvardreferencing/usefulinfo
The consequences of plagiarism are extremely serious. This should be borne in mind at
all times and especially when students are completing their assignments.
In cases of plagiarism and other forms of cheating, University regulations will be strictly
applied. Penalties may include failure of the assessment without the right to be reassessed or even termination of studies. If you have any concerns about plagiarism, you
must discuss them with your lecturer or seminar tutor before submitting your final work for
marking.
12